MongoDB, Inc. (NASDAQ: MDB)

This lawsuit is for anyone who acquired securities in MongoDB, Inc. (NASDAQ: MDB) from August 31, 2023 through May 30, 2024.

The lawsuit alleges that the Company and certain of its executives violated federal law. Specifically, the lawsuit alleges that, throughout the time period mentioned above, the Company misled investors regarding its financial condition. More specifically, the lawsuit alleges that the Company misled investors by failing to disclose a sales incentive structure change and the effect the change would have on revenue.

On March 7, 2024, MongoDB disclosed that it anticipated near zero revenue from unused Atlas commitments in fiscal year 2025, a decrease of approximately $40 million in revenue, due to a change in the Company’s sales incentive structure to reduce enrollment frictions. Additionally, the Company provided an estimated growth for the fiscal year 2025 of only 14% compared to the previous year’s growth of 31%. On this news, the price of the Company’s stock dropped precipitously on unusually heavy trading volume. Then, on May 30, 2024, MongoDB again announced reduced growth expectations, cutting growth projections for fiscal year 2025 further. The Company cited the same sales incentive structure change as the cause, as well as some allegedly unanticipated macro headwinds. On this news, the price of the Company’s again stock dropped precipitously on unusually heavy trading volume.

The Law Offices of Howard G. Smith seeks to recover damages on behalf of class members. If you acquired securities in MongoDB, Inc. (NASDAQ: MDB) from August 31, 2023 through May 30, 2024 you may join the lawsuit by submitting your information online, or you may call the Law Offices of Howard G. Smith and speak to Mr. Smith directly to learn how he can protect your rights.