HubSpot (NYSE:HUBS) Shares Gap Up – Here’s Why

Shares of HubSpot, Inc. (NYSE:HUBS) gapped up prior to trading 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 trading hands.

Analysts Set New Price Targets

HUBS has been the subject of several research analyst reports. Bank of America reiterated an “underperform” rating and issued a $180.00 price objective (down from $300.00) on shares of HubSpot in a report on Friday, May 8th. Zacks Research downgraded shares of HubSpot from a “strong-buy” rating to a “hold” rating in a research report on Tuesday, April 14th. BMO Capital Markets reduced their price objective on HubSpot from $285.00 to $230.00 and set an “outperform” rating for the company in a research note on Friday, May 8th. Evercore set a $225.00 target price on HubSpot in a report on Friday, May 8th. Finally, Raymond James Financial reiterated an “outperform” rating and set a $250.00 target price on shares of HubSpot in a research report on Friday, May 8th. Twenty-one investment analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat.com, HubSpot has an average rating of “Moderate Buy” and an average price target of $311.00.

HubSpot Price Performance

The stock’s 50-day simple moving average is $202.43 and its two-hundred day simple moving average is $258.00. The firm has a market capitalization of $9.83 billion, a P/E ratio of 100.52, a price-to-earnings-growth ratio of 2.05 and a beta of 1.22.

HubSpot (NYSE:HUBS) last announced its quarterly earnings data on Thursday, May 7th. The software maker reported $2.72 EPS for the quarter, beating the consensus estimate of $2.47 by $0.25. HubSpot had a net margin of 3.04% and a return on equity of 5.66%. The firm had revenue of $881.00 million for the quarter, compared to the consensus estimate of $863.32 million. During the same period last year, the firm earned $1.84 EPS. The company’s 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. On average, analysts forecast that HubSpot, Inc. will post 4.39 earnings per share for the current fiscal year.

Insider Transactions at HubSpot

In other news, Director Brian Halligan sold 8,500 shares of the company’s stock in a transaction dated Tuesday, June 16th. The stock was 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 owned 93,500 shares of the company’s stock, valued at $17,243,270. This represents a 8.33% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Lorrie M. Norrington bought 1,313 shares of the firm’s stock in a transaction that occurred on Monday, May 11th. The shares were acquired at an average cost of $190.42 per share, for a total transaction of $250,021.46. Following the purchase, the director directly owned 2,838 shares in the company, valued at $540,411.96. This trade represents a 86.10% increase in their position. The SEC filing for this purchase provides additional information. Over the last 90 days, insiders have purchased 14,063 shares of company stock valued at $2,585,781 and have sold 26,207 shares valued at $5,567,244. 3.70% of the stock is currently owned by insiders.

Institutional Investors Weigh In On HubSpot

A number of institutional investors have recently added to or reduced their stakes in the stock. Price T Rowe Associates Inc. MD increased its holdings in HubSpot by 36.5% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 4,581,922 shares of the software maker’s stock valued at $1,838,727,000 after acquiring an additional 1,224,424 shares during the last quarter. Arrowstreet Capital Limited Partnership lifted its stake in HubSpot by 352.1% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 903,559 shares of the software maker’s stock worth $220,559,000 after purchasing an additional 703,706 shares in the last quarter. Capital World Investors bought a new position in shares of HubSpot during the 4th quarter valued at about $259,930,000. AQR Capital Management LLC boosted its holdings in shares of HubSpot by 117.6% during the 4th quarter. AQR Capital Management LLC now owns 1,188,981 shares of the software maker’s stock valued at $477,138,000 after purchasing an additional 642,545 shares during the last quarter. Finally, Pictet Asset Management Holding SA grew its position in shares of HubSpot by 32.7% during the fourth quarter. Pictet Asset Management Holding SA now owns 1,935,587 shares of the software maker’s stock valued at $776,714,000 after purchasing an additional 476,740 shares in the last quarter. 90.39% of the stock is owned by hedge funds and other institutional investors.

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.