2019-03-14 10:58:15 | MongoDB jumps 26% despite Nomura claiming 'debate is far from over'Nomura Instinet analyst Christopher Eberle said much of the beat MongoDB reported last night came from new ASC 606 revenue recognition adjustments, which he noted is implied to be 5% of the fiscal 2020 revenue guidance. This accounts for $18M-$19M in additional revenue, leaving full-year revenue guidance on an ASC 605 apples-to-apples basis "exactly in line" with Street estimates of $347M, Eberle wrote earlier in a research note to investors. As such, he views the guidance as a "disappointment at current valuations." The "debate is far from over," the analyst adds. He raised his price target for MongoDB to $70 from $63 and kept a Reduce rating on the name. The stock in morning trading is up 26%, or $27.39, to $131.65. |
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