MongoDB, Inc.: BofA Global Research raises price objective to $540 from $450

Bank of America Global Research has raised its price target for MongoDB, Inc. (NASDAQ:MDB) to $540 from $450, reflecting increased confidence in the company’s growth trajectory and market positioning. The updated target is based on the firm’s assessment of MongoDB’s accelerating revenue performance and strategic initiatives, particularly in its cloud-based Atlas platform.

MongoDB’s Atlas revenue has grown at a year-over-year rate of 30% in the third fiscal quarter, up from 29% in the prior quarter, outpacing 11% average growth rate of its infrastructure software peers. The firm also cited MongoDB’s dual growth strategy—combining enterprise sales with product-led growth—as a key driver of valuation premium.

BofA’s new price target is supported by a 14.2x EV/CY26E revenue multiple, which the firm argues is justified by MongoDB’s superior growth relative to its peers. The company has also raised its 2026 revenue forecast to between $2.34 billion and $2.36 billion, exceeding analyst expectations. Analysts from other firms, including Goldman Sachs and Truist Securities, have similarly raised their price targets, reinforcing the positive sentiment around MongoDB’s stock.

Despite its current valuation metrics, including a Price/Book ratio of 10.54x, MongoDB maintains a strong balance sheet with more cash than debt and a current ratio of 5.25, providing flexibility for future investments. The firm’s recent AI-related product updates and leadership changes are also seen as positive catalysts for long-term growth.