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

HubSpot, Inc. (NYSE:HUBS)’s share price gapped up prior to trading on Thursday following a stronger than expected earnings report. 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 traded.

The software maker reported $3.09 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.99 by $0.10. HubSpot had a return on equity of 3.64% and a net margin of 1.47%.The firm had revenue of $846.75 million during the quarter, compared to analysts’ expectations of $830.65 million. During the same quarter last year, the firm earned $2.32 earnings per share. The business’s revenue for the quarter was up 20.4% on a year-over-year basis.

Key HubSpot News

Here are the key news stories impacting HubSpot this week:

• Positive Sentiment: Q4 beat and aggressive FY‑2026 guidance — HubSpot reported Q4 EPS $3.09 and revenue $846.7M (both above estimates) and gave FY‑2026 revenue and EPS guidance well ahead of consensus, which investors view as proof of continued growth acceleration. HubSpot rallies in premarket on earnings beat and upbeat 2026 outlook
• Positive Sentiment: $1B buyback and margin targets boost upside — Management approved a $1B repurchase program alongside targets for ~20% pro‑forma margins and strong FCF, signaling capital return confidence that supports valuation recovery narratives. HubSpot shares jump as Q4 earnings beat estimates
• Positive Sentiment: Enterprise CRM adoption pickup — HubSpot is seeing adoption growth inside the Russell 1000 and stronger multi‑hub customer adoption, suggesting larger deal traction and improving retention/expandability. HubSpot Sees Adoption Growth in Russell 1000 CRM Push
• Neutral Sentiment: Analyst bull/bear debate and valuation review — Coverage is polarized: some analysts raised targets (Citigroup), while others trimmed PTs substantially; independent writeups are reassessing valuation given the buyback and lowered multiples after the stock drawdown. Assessing HubSpot Valuation After Earnings Beat
• Negative Sentiment: Widespread price‑target cuts — Multiple sell‑side firms slashed targets (Goldman, UBS, Mizuho, Truist, Piper, BTIG and others), reflecting persistent skepticism on longer‑term multiples despite the beat; that keeps downside risk if sentiment doesn’t improve. Benzinga roundup of analyst changes
• Negative Sentiment: Near‑term volatility and profit‑taking — Despite the beat and strong guidance, headlines reported a volatile intra‑day reaction (initial tumble in some sessions) as investors weigh valuation, prompting short‑term swings. HubSpot shares tumble despite earnings beat and strong guidance

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on the stock. Piper Sandler reduced their price objective on shares of HubSpot from $400.00 to $280.00 and set an “overweight” rating for the company in a research note on Thursday. Needham & Company LLC cut their target price on HubSpot from $700.00 to $300.00 and set a “buy” rating on the stock in a report on Thursday. Stifel Nicolaus reduced their price target on HubSpot from $550.00 to $500.00 and set a “buy” rating for the company in a research report on Friday, January 23rd. Argus decreased their price target on HubSpot from $650.00 to $525.00 and set a “buy” rating for the company in a research note on Thursday, November 20th. Finally, Cantor Fitzgerald lowered their price objective on HubSpot from $500.00 to $280.00 and set an “overweight” rating on the stock in a report on Thursday. 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 given a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $452.70.

Insider Activity at HubSpot

In other news, Director Brian Halligan sold 8,500 shares of the stock in a transaction that occurred on Tuesday, January 20th. The stock was sold at an average price of $303.38, for a total value of $2,578,730.00. Following the completion of the sale, the director directly owned 487,344 shares of the company’s stock, valued at approximately $147,850,422.72. This represents a 1.71% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Erika Ashley Fisher sold 841 shares of the business’s stock in a transaction on Wednesday, February 4th. The stock was sold at an average price of $238.01, for a total transaction of $200,166.41. Following the transaction, the insider directly owned 10,119 shares in the company, valued at $2,408,423.19. This trade represents 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 corporate insiders.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. Goodman Advisory Group LLC acquired a new stake in HubSpot during the second quarter worth about $27,000. Whittier Trust Co. lifted its position in shares of HubSpot by 136.4% in the 2nd quarter. Whittier Trust Co. now owns 52 shares of the software maker’s stock worth $29,000 after acquiring an additional 30 shares during the period. Rakuten Securities Inc. grew its holdings in shares of HubSpot by 783.3% during 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 in the last quarter. Strategic Advocates LLC acquired a new stake in shares of HubSpot during the 3rd quarter worth approximately $25,000. Finally, Turning Point Benefit Group Inc. bought a new stake in shares of HubSpot during the third quarter valued at approximately $25,000. Institutional investors and hedge funds own 90.39% of the company’s stock.

HubSpot Price Performance

The business has a 50 day moving average of $337.83 and a 200 day moving average of $412.48. The firm has a market capitalization of $12.83 billion, a price-to-earnings ratio of 279.67, a price-to-earnings-growth ratio of 5.44 and a beta of 1.44.

About HubSpot

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.