What To Expect From MongoDB's (MDB) Q1 Earnings

Database software company MongoDB (MDB) will be reporting earnings tomorrow after market close. Here's what you need to know.

MongoDB beat analysts' revenue expectations by 5.2% last quarter, reporting revenues of $458 million, up 26.8% year on year. It was a weaker quarter for the company, with management forecasting growth to slow and underwhelming revenue guidance for the next quarter. It added 80 enterprise customers paying more than $100,000 annually to reach a total of 2,052.

Is MongoDB a buy or sell going into earnings? Read our full analysis here, it's free.

This quarter, analysts are expecting MongoDB's revenue to grow 19.4% year on year to $439.9 million, slowing from the 29% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.37 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. MongoDB has a history of exceeding Wall Street's expectations, beating revenue estimates every single time over the past two years by 7.2% on average.

Looking at MongoDB's peers in the data storage segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Commvault Systems delivered year-on-year revenue growth of 9.7%, beating analysts' expectations by 5.1%, and DigitalOcean reported revenues up 11.9%, topping estimates by 1.2%. Commvault Systems traded up 3.2% following the results while DigitalOcean was also up 15.7%.

Read our full analysis of Commvault Systems's results here and DigitalOcean's results here.

Investors in the data storage segment have had steady hands going into earnings, with share prices up 1.3% on average over the last month. MongoDB is down 8.1% during the same time and is heading into earnings with an average analyst price target of $444.4 (compared to the current share price of $335.56).

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