What happened Shares of MongoDB (NASDAQ: MDB) fell by as much as 6% on Friday despite getting an upgrade from Wall Street. Tech stocks have been weak today due to rising interest rates (again). As of 2:50 p.m. EST, the stock was still down 4%. So what Argus upgraded its rating on MongoDB from hold to buy while assigning a price target of $406, which represents 24% upside from yesterday's closing price. Analyst Joseph Bonner believes that the company can become a disruptive force in the massive market for enterprise database software. MongoDB continues to sacrifice near-term profitability to invest in future growth in order to capture market share, but Bonner believes this is the right strategy to utilize. Image source: MongoDB. Additionally, the recent sell-off throughout the tech sector is providing investors with an attractive entry point, according to the analyst. MongoDB shares have lost roughly 24% of their value from the all-time highs set last month. Now what Enterprises continue to migrate more of their critical IT workloads to the cloud, which represents an opportunity for MongoDB. The stock still trades at a lofty valuation, although its multiples have come down from peak levels in recent weeks. "The market will likely judge MDB on such metrics as revenue growth, annual recurring revenue growth, and customer acquisition rather than on traditional profitability metrics, at least in the near term," Bonner wrote in a research note to investors. "As such, any pullback in these revenue measures would likely be a strong negative for MDB shares." 10 stocks we like better than MongoDBWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and MongoDB wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of February 24, 2021 Evan Niu, CFA has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends MongoDB. The Motley Fool has a disclosure policy.Source