HubSpot, Inc. (NYSE:HUBS) has received a consensus recommendation of “Moderate Buy” from thirty-three analysts covering the company, according to MarketBeat Ratings. The analysis shows a varied outlook among experts, with one analyst assigning a sell rating, three indicating a hold, twenty-eight issuing buy ratings, and one classifying the stock as a strong buy. The average target price over the next year is set at $617.23.
Recent Analyst Activity
HubSpot has been the subject of several noteworthy research reports. On November 6, Oppenheimer adjusted its target price from $750.00 to $550.00, while maintaining an “outperform” rating. Rothschild Redb downgraded the stock from a “strong-buy” to a “hold” rating on November 10. Additionally, KeyCorp reduced its price target from $775.00 to $650.00 and maintained an “overweight” rating on the same day.
JPMorgan Chase & Co. also lowered its price target from $675.00 to $650.00, while retaining an “overweight” rating. Meanwhile, Sanford C. Bernstein upgraded its rating from “market perform” to “outperform,” establishing a price target of $606.00 on September 3.
Quarterly Earnings and Insider Trading
HubSpot’s latest quarterly earnings report, released on November 6, indicated that the company earned $2.66 per share, surpassing the consensus estimate of $2.58 by $0.08. The company reported a revenue of $809.52 million, exceeding analysts’ expectations of $786.80 million. This revenue marks a significant year-over-year increase of 20.9%.
Despite positive earnings, the company recorded a negative net margin of 0.12% and a modest return on equity of 1.21%. Analysts forecast an earnings per share (EPS) of $1.01 for the current fiscal year.
In terms of insider trading, Director Brian Halligan sold 8,500 shares on November 18 at an average price of $368.11, totaling $3,128,935. After this transaction, Halligan retains 504,966 shares valued at approximately $185.88 million, reflecting a 1.66% decline in ownership. CEO Yamini Rangan also sold 2,387 shares on October 6 for $500.00 each, amounting to $1,193,500, which represents a 4.07% decrease in her ownership.
Institutional Investor Activity
Recent movements among institutional investors show a growing interest in HubSpot. Strategic Advocates LLC acquired a new stake valued at approximately $25,000 in the third quarter. Turning Point Benefit Group Inc. also invested a similar amount in the same period. Furthermore, Goodman Advisory Group LLC purchased shares worth around $27,000, while Whittier Trust Co. expanded its holdings by 136.4%, now owning 52 shares valued at $29,000 after buying an additional 30 shares.
Currently, approximately 90.39% of HubSpot’s stock is held by hedge funds and institutional investors, reflecting a robust interest in the company’s future growth potential.
HubSpot, headquartered in the Americas, Europe, and Asia Pacific, offers a comprehensive cloud-based customer relationship management (CRM) platform. Its services include Marketing Hub, Sales Hub, Service Hub, and Content Management Systems Hub, designed to enhance business operations and customer engagement.
