HubSpot (NYSE:HUBS) Shares Gap Up on 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 $209.33, but opened at $227.65. HubSpot shares last traded at $234.3980, with a volume of 1,546,124 shares changing hands.

The software maker reported $3.09 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.99 by $0.10. The company had revenue of $846.75 million for the quarter, compared to analysts’ expectations of $830.65 million. HubSpot had a net margin of 1.47% and a return on equity of 3.69%. The firm’s quarterly revenue was up 20.4% on a year-over-year basis. During the same quarter last year, the company posted $2.32 earnings per share.

More HubSpot News

Here are the key news stories impacting HubSpot this week:

• Positive Sentiment: Q4 beat and upbeat FY26 guidance — HubSpot reported stronger-than-expected Q4 EPS ($3.09) and revenue ($846.7M, +20% y/y) and issued aggressive FY26 revenue and EPS targets, which underpin the rally. HubSpot Reports Strong Q4 and Full Year 2025 Results
• Positive Sentiment: $1 billion share buyback announced — Management approved a $1B repurchase that investors view as a signal of confidence and a near‑term support for shares; the program helped prompt an intraday jump after results. HubSpot shares jump as Q4 earnings beat estimates
• Positive Sentiment: Strong customer / AI momentum — Reports note accelerating multi‑hub adoption, AI tool uptake and management targeting ~$3.7B revenue in 2026; these trends support durable revenue growth and retention metrics. HubSpot targets $3.7B revenue in 2026 as AI adoption accelerates and share repurchase signals confidence
• Neutral Sentiment: Analyst and market commentators urge buying the dip — Several long‑form takes argue HUBS now trades at depressed multiples after a large drawdown and that fundamentals justify accumulation; useful for contrarian investors but timing remains uncertain. HubSpot: Panic Selling Is Senseless, Buy The Dip
• Neutral Sentiment: Partner wins and product traction — Third‑party partner accolades and usage data (e.g., multi‑hub campaigns) reinforce product stickiness but are less likely to move near‑term pricing alone. Orange Marketing Hits 151 Five-Star HubSpot Reviews, Ranks #8 Among U.S. Diamond Partners
• Negative Sentiment: Large, broad price‑target cuts — Multiple firms (JPMorgan, UBS, Goldman, Truist, Wells, Mizuho, Piper, Needham, BTIG, etc.) lowered targets—some steeply—citing valuation resets and sector fear; those cuts fuel selling pressure despite buy/overweight ratings in many cases. HubSpot Stock Takes The Software Slide After Q4 Earnings
• Negative Sentiment: Shares sold off despite the beat — Some headlines highlight that HUBS still tumbled in extended trading even after the results, reflecting macro/sector angst and short‑term profit taking. HubSpot shares tumble despite earnings beat and strong guidance
• Negative Sentiment: Debate over whether buyback can reverse the trend — Analysts and commentators are split on whether a $1B repurchase is large enough to offset valuation compression and sector flow; this uncertainty can prolong volatility. Hubspot stock has imploded: can the $1 billion buyback reverse the trend?

Analyst Ratings Changes

A number of research analysts have weighed in on the company. Needham & Company LLC lowered their target price on HubSpot from $700.00 to $300.00 and set a “buy” rating on the stock in a report on Thursday. Piper Sandler reduced their price target on shares of HubSpot from $400.00 to $280.00 and set an “overweight” rating for the company in a research report on Thursday. Oppenheimer dropped their price objective on shares of HubSpot from $550.00 to $350.00 and set an “outperform” rating on the stock in a report on Wednesday, February 4th. Jefferies Financial Group cut their target price on shares of HubSpot from $560.00 to $325.00 and set a “buy” rating for the company in a research report on Thursday. Finally, Argus decreased their price target on shares of HubSpot from $650.00 to $525.00 and set a “buy” rating on the stock in a research report on Thursday, November 20th. One analyst has rated the stock with a Strong Buy rating, twenty-seven have issued a Buy rating, one has assigned a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $451.37.

Insiders Place Their Bets

In other HubSpot news, Director Brian Halligan sold 8,500 shares of the business’s stock in a transaction on Tuesday, January 20th. The shares were sold at an average price of $303.38, for a total value of $2,578,730.00. Following the sale, the director owned 487,344 shares in the company, valued at $147,850,422.72. The trade was a 1.71% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Erika Ashley Fisher sold 841 shares of the firm’s stock in a transaction dated Wednesday, February 4th. The shares were sold at an average price of $238.01, for a total value of $200,166.41. Following the transaction, the insider owned 10,119 shares of the company’s stock, valued at approximately $2,408,423.19. The trade was a 7.67% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 26,930 shares of company stock valued at $9,175,604. 4.00% of the stock is owned by company insiders.

Institutional Investors Weigh In On HubSpot

A number of hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. grew its holdings in HubSpot by 6.4% during the 3rd quarter. Vanguard Group Inc. now owns 5,736,765 shares of the software maker’s stock valued at $2,683,659,000 after buying an additional 345,524 shares in the last quarter. Pictet Asset Management Holding SA boosted its position in shares of HubSpot by 32.7% during the 4th quarter. Pictet Asset Management Holding SA now owns 1,935,587 shares of the software maker’s stock valued at $776,714,000 after acquiring an additional 476,740 shares during the last quarter. State Street Corp grew its holdings in shares of HubSpot by 1.9% in the third quarter. State Street Corp now owns 1,148,895 shares of the software maker’s stock valued at $537,453,000 after purchasing an additional 21,358 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of HubSpot by 1.5% in the fourth quarter. Geode Capital Management LLC now owns 971,712 shares of the software maker’s stock valued at $388,917,000 after purchasing an additional 14,159 shares in the last quarter. Finally, Jennison Associates LLC increased its position in HubSpot by 548.6% in the second quarter. Jennison Associates LLC now owns 794,677 shares of the software maker’s stock worth $442,341,000 after purchasing an additional 672,158 shares during the last quarter. 90.39% of the stock is currently owned by hedge funds and other institutional investors.

HubSpot Stock Up 9.5%

The stock’s 50 day moving average is $340.55 and its 200-day moving average is $414.68. The company has a market cap of $12.01 billion, a PE ratio of 263.51, a P/E/G ratio of 4.97 and a beta of 1.44.

HubSpot Company Profile

HubSpot, Inc is a software company that develops a cloud-based customer relationship management (CRM) platform designed to help organizations attract, engage and delight customers. Its primary business activities center on providing integrated marketing, sales and customer service tools that support inbound marketing strategies, content management, lead nurturing, sales automation and customer support workflows.

The company’s product suite is organized around modular “hubs” built on a central CRM: Marketing Hub, Sales Hub, Service Hub, CMS Hub and Operations Hub.