HubSpot (NYSE:HUBS) Shares Gap Up – Should You Buy?

Shares of HubSpot, Inc. (NYSE:HUBS) gapped up before the market opened on Wednesday . The stock had previously closed at $182.51, but opened at $189.32. HubSpot shares last traded at $190.7510, with a volume of 120,389 shares changing hands.

Analyst Ratings Changes

HUBS has been the subject of a number of recent analyst reports. Zacks Research cut shares of HubSpot from a “strong-buy” rating to a “hold” rating in a report on Tuesday, April 14th. William Blair cut HubSpot from an “outperform” rating to a “market perform” rating in a research report on Friday, May 8th. Wall Street Zen upgraded HubSpot from a “buy” rating to a “strong-buy” rating in a research note on Saturday, June 20th. Citigroup cut HubSpot from a “buy” rating to a “neutral” rating and reduced their price target for the stock from $321.00 to $230.00 in a report on Friday, May 8th. Finally, Royal Bank Of Canada lowered their price target on HubSpot from $400.00 to $350.00 and set an “outperform” rating on the stock in a research report on Friday, May 8th. Twenty-one research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $311.00.

HubSpot Trading Up 3.1%

The company has a market capitalization of $9.64 billion, a price-to-earnings ratio of 98.50, a PEG ratio of 2.01 and a beta of 1.21. The company has a fifty day moving average of $204.03 and a 200-day moving average of $260.69.

HubSpot (NYSE:HUBS) last posted its quarterly earnings data on Thursday, May 7th. The software maker reported $2.72 EPS for the quarter, topping the consensus estimate of $2.47 by $0.25. HubSpot had a return on equity of 5.66% and a net margin of 3.04%.The company had revenue of $881.00 million during the quarter, compared to analyst estimates of $863.32 million. During the same period in the previous year, the business earned $1.84 EPS. HubSpot’s quarterly revenue was up 23.4% on a year-over-year basis. HubSpot has set its Q2 2026 guidance at 3.000-3.020 EPS and its FY 2026 guidance at 13.040-13.120 EPS. As a group, equities research analysts expect that HubSpot, Inc. will post 4.39 EPS for the current year.

Insider Activity

In other news, CEO Yamini Rangan purchased 2,750 shares of the company’s stock in a transaction that occurred on Tuesday, May 12th. The stock was purchased at an average cost of $189.84 per share, for a total transaction of $522,060.00. Following the completion of the transaction, the chief executive officer owned 102,982 shares of the company’s stock, valued at $19,550,102.88. This trade represents a 2.74% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Brian Halligan sold 8,500 shares of the stock in a transaction on Tuesday, June 16th. The shares were sold at an average price of $184.42, for a total value of $1,567,570.00. Following the completion of the transaction, the director directly owned 93,500 shares of the company’s stock, valued at approximately $17,243,270. This represents a 8.33% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders bought 14,063 shares of company stock valued at $2,585,781 and sold 26,207 shares valued at $5,567,244. Company insiders own 3.70% of the company’s stock.

Institutional Investors Weigh In On HubSpot

A number of hedge funds have recently modified their holdings of the business. Empowered Funds LLC lifted its stake in shares of HubSpot by 88.5% in the first quarter. Empowered Funds LLC now owns 1,570 shares of the software maker’s stock worth $897,000 after buying an additional 737 shares in the last quarter. NewEdge Advisors LLC grew its stake in HubSpot by 12.1% during the 2nd quarter. NewEdge Advisors LLC now owns 4,788 shares of the software maker’s stock valued at $2,665,000 after acquiring an additional 516 shares in the last quarter. Treasurer of the State of North Carolina grew its stake in HubSpot by 4.7% during the 2nd quarter. Treasurer of the State of North Carolina now owns 23,754 shares of the software maker’s stock valued at $13,222,000 after acquiring an additional 1,077 shares in the last quarter. Osterweis Capital Management Inc. acquired a new stake in HubSpot in the 2nd quarter valued at about $34,000. Finally, Alliancebernstein L.P. raised its holdings in HubSpot by 35.0% in the 2nd quarter. Alliancebernstein L.P. now owns 376,076 shares of the software maker’s stock valued at $209,335,000 after acquiring an additional 97,469 shares during the last quarter. 90.39% of the stock is currently owned by institutional investors and hedge funds.

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.