MDB stock traded lower Monday after database software company MongoDB said it was investigating a security incident involving unauthorized access to some of its internal corporate systems.
In an alert posted Saturday, MongoDB told customers it was "actively investigating a security incident involving unauthorized access to certain MongoDB corporate systems, which includes exposure of customer account metadata and contact information."
The company said in a subsequent update that it had not identified any security vulnerability in its MongoDB database products. The MongoDB Atlas product used by customers has a separate authentication system from its corporate system, the company alert said.
But the company said it is aware of "unauthorized access to some corporate systems." Those systems include customer names, phone numbers, and email addresses. For one customer, MongoDB said it uncovered unauthorized access to system logs. MongoDB said the company notified that customer.
"At this time, we are not aware of any exposure to the data that customers store in MongoDB Atlas," the company said in a Saturday alert. "Nevertheless, we recommend that customers be vigilant for social engineering and phishing attacks, activate phishing-resistant multifactor authentication, and regularly rotate their MongoDB Atlas passwords"
On the stock market today, MDB stock shed 1.8% to close at 412.74.
MDB Stock: Company Says Investigation Ongoing
Further, MongoDB said it is still investigating the incident and "working with relevant authorities." It first detected suspicious activity on Dec. 13.
MongoDB provides database software for more than 46,000 customers, according to its website.
Meanwhile, MDB stock had gained 113% on the year, heading into trading Monday. Investors see it as a likely winner for artificial intelligence-related business.
"Given the world we live in we are not surprised this occurred, but do not expect this to slow customer Atlas adoption," wrote Stifel analyst Brad Reback in a client note Monday. Reback holds a buy rating on the stock.
MDB stock is still hovering just above a cup-with-handle entry point of 412.67, according to IBD MarketSmith. Shares pushed past that point late last month. MongoDB reported earnings earlier in December. MDB stock is on the IBD Tech Leaders list.
