Investing.com -- MongoDB reported Wednesday full-year guidance that missed analysts' estimates, overshadowing fourth-quarter results that beat on both the top and bottom lines.
MongoDB (NASDAQ:MDB) fell more than 17% in premarket trading Thursday.
For the three months ended Jan. 31, MongoDB reported adjusted EPS of $1.28 on revenue of $548.4 million, topping estimates of $0.67 and $519.8M, respectively.
Looking ahead to Q1 of fiscal 2026, the company forecasts adjusted EPS of $0.63 to $0.67 on revenue of $524M to $529M. That topped Wall Street estimates for EPS of $0.63 on revenue of $526.1M.
For full fiscal 2026, adjusted EPS was guided in a range of $2.44 to $2.62, well below the estimates of $3.39. Revenue is expected between $2.24B and $2.28B, also missing estimates of $2.32B.
Revenue is projected to decline in the high single digits (HSD) year over year, compared to a 3% year-over-year increase in fiscal year 2025, due to an anticipated headwind of approximately $50 million from a reduction in multi-year term license revenue.
D.A. Davidson analysts described the fiscal 2026 guide as "ugly." The firm lowered its price target on MDB shares to $275 from $360.
Separately, Bank of America (NYSE:BAC) analysts said the outlook "is disappointing," but highlighted that "other key growth metrics trended well, and we see the growth rate improving from here."
The bank also cut its MongoDB price objective to $286 from $420 "to reflect the lower FY26 revenue and margin outlook."
Yasin Ebrahim contributed to this report.