10 Best SaaS Stocks to Buy According to Hedge Funds

8. MongoDB, Inc. (NASDAQ:MDB)

With significant hedge fund interest, MongoDB, Inc. (NASDAQ:MDB) secures a spot on our list of the 10 best SaaS stocks to buy according to hedge funds. As of Q1 2026, 74 hedge funds held bullish positions in the stock, representing $2.58 billion in aggregate value.

On May 28, 2026, MongoDB, Inc. (NASDAQ:MDB) reported first-quarter fiscal 2027 revenue of $687.6 million, up 25% year-over-year. Subscription revenue was $666.1 million, also up 25%, while services revenue rose 22% to $21.5 million. Non-GAAP EPS came in at $1.32, compared to $1.00 in the year-ago period.

Meanwhile, non-GAAP income from operations was $123.2 million, up from $87.4 million a year earlier. Free cash flow reached $197.5 million, nearly double the $105.9 million generated in the prior-year quarter. RPO grew 88% year-over-year to $1.46 billion, with current RPO up 69% to $766.3 million. MongoDB, Inc. (NASDAQ:MDB) ended the quarter with $2.4 billion in cash, cash equivalents, short-term investments, and restricted cash.

CEO CJ Desai said MongoDB, Inc. (NASDAQ:MDB) continues to show strong profitability while driving revenue growth and cited momentum across enterprise use cases and emerging AI opportunities. MongoDB also acquired Clarity Business Solutions to strengthen its U.S. Federal vertical and formalized a strategic partnership with LangChain to position MongoDB Atlas as a backend for production AI agents.

Looking ahead, MongoDB, Inc. (NASDAQ:MDB) guided for second-quarter revenue of $729 million to $734 million and non-GAAP EPS of $1.58 to $1.61. Full-year fiscal 2027 revenue guidance was raised to $2.92 billion to $2.96 billion, with non-GAAP EPS of $5.95 to $6.14.

On May 29, 2026, UBS raised its price target on MongoDB, Inc. (NASDAQ:MDB) to $350 from $275 and kept a “Neutral” rating, calling the quarter largely in line and noting results were driven mainly by its core business rather than early-stage AI demand.

MongoDB, Inc. (NASDAQ:MDB) is a developer data platform company. Its platform combines a globally distributed operational database with a set of data services that help development teams manage a growing range of application requirements.