HubSpot (NYSE:HUBS) Shares Gap Up Following Strong Earnings

HubSpot, Inc. (NYSE:HUBS) shares gapped up before the market opened on Thursday following a better than expected earnings announcement. The stock had previously closed at $442.15, but opened at $465.00. HubSpot shares last traded at $451.00, with a volume of 347,315 shares changing hands.

The software maker reported ($0.04) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.42) by $0.38. The company had revenue of $557.56 million for the quarter, compared to analysts’ expectations of $533.70 million. HubSpot had a negative net margin of 10.51% and a negative return on equity of 11.28%.

Analyst Ratings Changes

A number of brokerages have recently issued reports on HUBS. Argus upped their target price on shares of HubSpot from $550.00 to $604.00 and gave the company a “buy” rating in a report on Wednesday, August 16th. Mizuho increased their price target on shares of HubSpot from $550.00 to $600.00 and gave the company a “buy” rating in a report on Thursday, September 7th. Oppenheimer reissued an “outperform” rating and issued a $620.00 price target on shares of HubSpot in a report on Thursday, August 3rd. StockNews.com assumed coverage on shares of HubSpot in a report on Thursday, October 5th. They issued a “hold” rating on the stock. Finally, TheStreet cut shares of HubSpot from a “c-” rating to a “d+” rating in a report on Tuesday, October 24th. Four research analysts have rated the stock with a hold rating and eighteen have issued a buy rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $581.85.

Insider Buying and Selling

In related news, CFO Kathryn Bueker sold 918 shares of the stock in a transaction that occurred on Tuesday, August 15th. The shares were sold at an average price of $507.76, for a total transaction of $466,123.68. Following the sale, the chief financial officer now owns 37,106 shares in the company, valued at approximately $18,840,942.56. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. In other HubSpot news, CFO Kathryn Bueker sold 918 shares of the firm’s stock in a transaction that occurred on Tuesday, August 15th. The shares were sold at an average price of $507.76, for a total value of $466,123.68. Following the sale, the chief financial officer now owns 37,106 shares in the company, valued at $18,840,942.56. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Brian Halligan sold 8,500 shares of the firm’s stock in a transaction that occurred on Tuesday, August 15th. The shares were sold at an average price of $507.76, for a total transaction of $4,315,960.00. Following the completion of the sale, the insider now owns 578,376 shares in the company, valued at approximately $293,676,197.76. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 47,201 shares of company stock worth $23,477,027. Corporate insiders own 4.90% of the company’s stock.

Institutional Trading of HubSpot

A number of hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. boosted its position in HubSpot by 1.1% in the first quarter. Vanguard Group Inc. now owns 4,130,734 shares of the software maker’s stock valued at $1,961,849,000 after buying an additional 46,384 shares in the last quarter. Clearbridge Investments LLC raised its stake in shares of HubSpot by 6.1% during the first quarter. Clearbridge Investments LLC now owns 1,454,927 shares of the software maker’s stock valued at $623,800,000 after acquiring an additional 83,660 shares during the last quarter. Durable Capital Partners LP raised its stake in shares of HubSpot by 7.5% during the fourth quarter. Durable Capital Partners LP now owns 986,355 shares of the software maker’s stock valued at $285,185,000 after acquiring an additional 68,833 shares during the last quarter. Bank of New York Mellon Corp raised its stake in shares of HubSpot by 1.5% during the third quarter. Bank of New York Mellon Corp now owns 799,174 shares of the software maker’s stock valued at $393,593,000 after acquiring an additional 12,109 shares during the last quarter. Finally, Jennison Associates LLC raised its stake in shares of HubSpot by 728.0% during the third quarter. Jennison Associates LLC now owns 792,135 shares of the software maker’s stock valued at $390,126,000 after acquiring an additional 696,469 shares during the last quarter. Institutional investors and hedge funds own 87.06% of the company’s stock.

HubSpot Price Performance

The business’s 50 day moving average is $474.05 and its two-hundred day moving average is $494.05. The firm has a market cap of $20.75 billion, a P/E ratio of -100.21 and a beta of 1.61. The company has a quick ratio of 2.25, a current ratio of 2.25 and a debt-to-equity ratio of 0.42.

HubSpot Company Profile

HubSpot, Inc provides a cloud-based customer relationship management (CRM) platform for businesses in the Americas, Europe, and the Asia Pacific. The company's CRM platform includes marketing, sales, service, and content management systems, as well as integrated applications, such as search engine optimization, blogging, website content management, messaging, chatbots, social media, marketing automation, email, predictive lead scoring, sales productivity, knowledge base, commerce, conversation routing, video hosting, ticketing and helpdesk tools, customer NPS surveys, analytics, and reporting.