HubSpot (NYSE:HUBS) Shares Gap Up – Still a Buy?

HubSpot, Inc. (NYSE:HUBS)’s stock price gapped up prior to trading on Monday . The stock had previously closed at $225.33, but opened at $235.81. HubSpot shares last traded at $241.1510, with a volume of 138,738 shares changing hands.

Wall Street Analyst Weigh In

A number of research firms have weighed in on HUBS. UBS Group set a $287.00 target price on shares of HubSpot in a research report on Thursday, August 6th. Capital One Financial set a $206.00 price target on HubSpot and gave the company an “equal weight” rating in a research report on Thursday, August 6th. Bank of America reiterated an “underperform” rating and issued a $200.00 price objective on shares of HubSpot in a research note on Thursday, August 6th. Wall Street Zen downgraded HubSpot from a “strong-buy” rating to a “buy” rating in a research report on Saturday, July 4th. Finally, Sanford C. Bernstein lowered HubSpot from an “outperform” rating to a “market perform” rating and cut their price target for the stock from $381.00 to $220.00 in a report on Thursday, August 6th. Fifteen investment analysts have rated the stock with a Buy rating, sixteen have assigned a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $271.90.

HubSpot Stock Performance

The company’s 50 day moving average price is $228.56 and its 200 day moving average price is $224.36. The company has a market cap of $12.14 billion, a price-to-earnings ratio of 85.73, a P/E/G ratio of 2.43 and a beta of 1.18.

HubSpot (NYSE:HUBS) last announced its earnings results on Wednesday, August 5th. The software maker reported $3.26 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.02 by $0.24. HubSpot had a net margin of 4.26% and a return on equity of 8.66%. The business had revenue of $911.74 million during the quarter, compared to analysts’ expectations of $898.31 million. During the same quarter last year, the company posted $2.19 EPS. The firm’s revenue for the quarter was up 19.8% on a year-over-year basis. HubSpot has set its FY 2026 guidance at 13.230-13.310 EPS and its Q3 2026 guidance at 3.250-3.270 EPS. As a group, analysts predict that HubSpot, Inc. will post 4.55 EPS for the current year.

Insider Activity

In related news, insider Erika Fisher sold 702 shares of the firm’s stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $235.22, for a total transaction of $165,124.44. Following the completion of the sale, the insider directly owned 14,581 shares of the company’s stock, valued at $3,429,742.82. This trade represents a 4.59% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Brian Halligan sold 8,500 shares of HubSpot stock in a transaction on Tuesday, July 21st. The shares were sold at an average price of $221.09, for a total value of $1,879,265.00. Following the completion of the transaction, the director owned 85,000 shares of the company’s stock, valued at approximately $18,792,650. The trade was a 9.09% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 26,202 shares of company stock worth $5,477,709. Insiders own 3.70% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Turning Point Benefit Group Inc. acquired a new stake in HubSpot in the 3rd quarter valued at about $25,000. Rakuten Securities Inc. raised its position in HubSpot by 783.3% in the 2nd quarter. Rakuten Securities Inc. now owns 53 shares of the software maker’s stock worth $30,000 after purchasing an additional 47 shares during the last quarter. Cary Street Partners Investment Advisory LLC bought a new stake in shares of HubSpot during the fourth quarter worth $33,000. Osterweis Capital Management Inc. bought a new stake in shares of HubSpot during the second quarter worth $34,000. Finally, Larson Financial Group LLC lifted its stake in shares of HubSpot by 378.9% during the fourth quarter. Larson Financial Group LLC now owns 91 shares of the software maker’s stock valued at $37,000 after acquiring an additional 72 shares during the period. Institutional investors and hedge funds own 90.39% of the company’s stock.

About HubSpot

HubSpot, Inc develops cloud-based customer relationship management (CRM) and marketing software for businesses. Its platform is designed to help organizations attract prospects, manage customer interactions, close sales and provide ongoing service through an integrated set of tools.

The company’s products include Marketing Hub, Sales Hub, Service Hub, Content Hub, Operations Hub and Commerce Hub. These offerings support marketing automation, sales engagement, customer support, content management, data integration, payments and other commercial activities.