RADNOR, Pa., July 29, 2024 /PRNewswire/ — The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed against MongoDB, Inc. (“MongoDB”) (NASDAQ:MDB). The action charges MongoDB with violations of the federal securities laws, including omissions and fraudulent misrepresentations relating to the company’s business, operations, and prospects. As a result of MongoDB’s materially misleading statements and omissions to the public, MongoDB’s investors have suffered significant losses. The lead plaintiff deadline is September 9, 2024.
If you suffered MongoDB losses, you may CLICK HERE or go to: https://www.ktmc.com/new-cases/mongodb-inc?utm_source=PR&utm_medium=link&utm_campaign=mdb&mktm=r
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You can also contact attorney Jonathan Naji, Esq. of Kessler Topaz by calling (484) 270-1453 or by email at [email protected].
DEFENDANTS’ ALLEGED MISCONDUCT
MongoDB, a software company, has two core offerings: its original localized MongoDB platform which incorporates a physical MongoDB server, coined “MongoDB Enterprise Advanced”, and its cloud-based alternative, MongoDB Atlas (“Atlas”). The Class Period begins on August 31, 2023, when, after the market closed, Defendants held an earnings call to discuss second quarter fiscal year 2024 results. During the call, Defendant Ittycheria discussed details of MongoDB’s new sales incentive plan. Defendant Gordon further detailed the impact of this change and other factors on MongoDB’s projected growth, emphasizing revenue increases despite the loss of upfront revenue from commitments to the Atlas product. During the question and answer portion of the call, Defendant Gordon continued to downplay the risks associated with the plan to reduce upfront commitments in the Atlas product.
On March 7, 2024, MongoDB announced that due to sales restructuring, the company experienced an annual decrease of approximately $40 million in multiyear license revenue and anticipated near-zero revenue from unused Atlas commitments in fiscal year 2025. MongoDB also provided a disappointing revenue growth forecast that trailed that of the prior year. Following this news, the price of MongoDB stock to decline $28.59 per share, or about 7%, from $412.01 per share on March 7, 2024, to $383.42 per share on March 8, 2024.
Then, on May 30, 2024, MongoDB disclosed significantly reduced growth expectations, cutting fiscal year 2025 growth projections further and again attributing the losses to sales force restructuring. On this news, the price of MongoDB stock declined $73.94 per share, or nearly 24%, from $310.00 per share on May 30, 2024, to $236.06 per share on May 31, 2024.
WHAT CAN I DO?
MongoDB investors may, no later than September 9, 2024, seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, LLP or other counsel, or may choose to do nothing and remain an absent class member. Kessler Topaz Meltzer & Check, LLP encourages MongoDB investors who have suffered significant losses to contact the firm directly to acquire more information. The class action complaint, Baxter v. MongoDB, Inc., et al., Case No. 24-cv-05191, is filed in the United States District Court for the Southern District of New York and assigned to the Honorable Gregory Howard Woods III.
CLICK HERE TO SIGN UP FOR THE CASE OR GO TO: https://www.ktmc.com/new-cases/mongodb-inc?utm_source=PR&utm_medium=link&utm_campaign=mdb&mktm=r
WHO CAN BE A LEAD PLAINTIFF?
A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
ABOUT KESSLER TOPAZ MELTZER & CHECK, LLP
Kessler Topaz Meltzer & Check, LLP prosecutes class actions in state and federal courts throughout the country and around the world. The firm has developed a global reputation for excellence and has recovered billions of dollars for victims of fraud and other corporate misconduct. All of our work is driven by a common goal: to protect investors, consumers, employees and others from fraud, abuse, misconduct and negligence by businesses and fiduciaries. The complaint in this action was not filed by Kessler Topaz Meltzer & Check, LLP. For more information about Kessler Topaz Meltzer & Check, LLP please visit www.ktmc.com.
CONTACT:
Kessler Topaz Meltzer & Check, LLP
Jonathan Naji, Esq.
(484) 270-1453
280 King of Prussia Road
Radnor, PA 19087
[email protected]
May be considered attorney advertising in certain jurisdictions. Past results do not guarantee future outcomes.
SOURCE Kessler Topaz Meltzer & Check, LLP
