3956

Q3 Earnings Outperformers: MongoDB (NASDAQ:MDB) And The Rest Of The Data Storage Stocks


Adam Hejl /
2022/01/17 6:08 am EST
Add to Watchlist

As Q3 earnings season comes to a close, it’s time to take stock of this quarters’ best and worst performers amongst the data storage stocks, including MongoDB (NASDAQ:MDB) and its peers.

Data is the lifeblood of the internet and software in general, and the amount of data created is growing at an accelerating pace. Likewise, the importance of storing the data in scalable and efficient formats continues to rise, especially as the diversity of the data and associated use cases expand from analyzing simple, structured data to high-scale processing of unstructured data, images, audio and video.

The 5 data storage stocks we track reported a decent Q3; on average, revenues beat analyst consensus estimates by 4.64%, while on average next quarter revenue guidance was 2.13% above consensus. Technology stocks have been hit hard on fears of higher interest rates and while some of the data storage stocks have fared somewhat better, they have not been spared, with share price declining 17.9% since earnings, on average.

MongoDB (NASDAQ:MDB)

Started in 2007 by the team behind Google’s ad platform DoubleClick, MongoDB offers database-as-a-service that helps companies store large volumes of semi-structured data.

MongoDB reported revenues of $226.8 million, up 50.4% year on year, beating analyst expectations by 10.5%. It was a very strong quarter for the company, with an impressive beat of analyst estimates and an exceptional revenue growth.

"MongoDB delivered another fantastic quarter, highlighted by 84% Atlas revenue growth and increasing our customer count to over 31,000. Our continued success reflects the adoption of our application data platform by customers who need to innovate faster to compete in today's marketplace," said Dev Ittycheria, President and Chief Executive Officer of MongoDB.

MongoDB Total Revenue

MongoDB scored the strongest analyst estimates beat and highest full year guidance raise of the whole group. The company added 75 enterprise customers paying more than $100,000 annually to a total of 1,201. The stock is down 7.23% since the results and currently trades at $397.40.

Is now the time to buy MongoDB? Access our full analysis of the earnings results here, it's free.

Best Q3: Snowflake (NYSE:SNOW)

Founded in 2013 by three French engineers who spent decades working for Oracle, Snowflake (NYSE:SNOW) provides a data warehouse-as-a-service in the cloud that allows companies to store large amounts of data and analyze it in real time.

Snowflake reported revenues of $334.4 million, up 109% year on year, beating analyst expectations by 9.24%. It was an impressive quarter for the company, with a strong revenue growth and solid guidance for the next quarter.


Snowflake Total Revenue

Snowflake achieved the fastest revenue growth among its peers. The company added 32 enterprise customers paying more than $1m annually to a total of 148. The stock is down 6.61% since the results and currently trades at $290.01.

Is now the time to buy Snowflake? Access our full analysis of the earnings results here, it's free.

Weakest Q3: Commvault (NASDAQ:CVLT)

Originally formed in 1988 as part of Bell Labs, Commvault (NASDAQ: CVLT) provides enterprise software used for data backup and recovery, cloud and infrastructure management, retention and compliance.

Commvault reported revenues of $177.8 million, up 3.91% year on year, missing analyst expectations by 3.75%. It was a weak quarter for the company, with a miss of the top line analyst estimates and a slow revenue growth.

Commvault had the weakest performance against analyst estimates and slowest revenue growth in the group. The company lost 22 enterprise customers paying more than $100,000 annually and ended up with a total of 163. The stock is down 7.94% since the results and currently trades at $69.68.

Read our full analysis of Commvault's results here.

CouchBase (NASDAQ:BASE)

Formed in 2011 with the merger of Membase and CouchOne, Couchbase (NASDAQ:BASE) is a database as a service platform that allows enterprises to store large volumes of semi-structured data.

CouchBase reported revenues of $30.8 million, up 19.9% year on year, beating analyst expectations by 4.76%. It was a decent quarter for the company, with guidance roughly in line with what analysts were expecting.

The stock is down 31.1% since the results and currently trades at $20.30.

Read our full, actionable report on CouchBase here, it's free.

DigitalOcean (NYSE:DOCN)

Started by brothers Ben and Moisey Uretsky, DigitalOcean (NYSE: DOCN) provides a simple, low-cost platform that allows developers and small and medium sized businesses to host applications and data in the cloud.

DigitalOcean reported revenues of $111.4 million, up 37.2% year on year, beating analyst expectations by 2.38%. It was an OK quarter for the company, with a significant improvement in gross margin but decelerating customer growth.

DigitalOcean had the weakest full year guidance update among the peers. The company lost 4,000 customers and ended up with a total of 598,000. The stock is down 36.5% since the results and currently trades at $60.

Read our full, actionable report on DigitalOcean here, it's free.

The author has no position in any of the stocks mentioned