MongoDB Earnings: Overall Growth Is Slowing, but Atlas’ Growth Still Solid

No-moat-rated MongoDB reported decent fiscal fourth-quarter earnings; however, the fiscal 2025 outlook was disappointing. The company is still set to expand, but not as fast as expected. As we factor in slower growth than we were previously expecting, driven by the disappointing outlook, we are lowering our fair value estimate to $370 from $403. We thought shares were fairly valued heading into today’s earnings. Based on the drop in share price of approximately 10% afterhours, our updated fair value estimate implies shares are fairly valued once again.