HubSpot (NYSE:HUBS) Stock Price Up 5.9% - Here's Why

Key Points

• HubSpot's stock price increased by 5.9% to $478.20 amid a decline in trading volume, down 27% from its average session.
• Analysts are optimistic about HubSpot, with ratings ranging from "Strong Buy" to "Outperform," and a mean target price of $719.54.
• Institutional investors hold 90.39% of HubSpot's stock, with significant increases in holdings from firms like Price T Rowe Associates and Jennison Associates.

Shares of HubSpot, Inc. (NYSE:HUBS - Get Free Report) traded up 5.9% on Tuesday . The stock traded as high as $477.70 and last traded at $478.20. 556,765 shares traded hands during trading, a decline of 27% from the average session volume of 765,977 shares. The stock had previously closed at $451.58.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on HUBS shares. Wells Fargo & Company started coverage on shares of HubSpot in a report on Tuesday, September 30th. They issued an "overweight" rating and a $685.00 price target for the company. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $775.00 target price on shares of HubSpot in a report on Friday, October 3rd. Macquarie dropped their price target on HubSpot from $730.00 to $660.00 and set an "outperform" rating on the stock in a research report on Thursday, August 7th. Needham & Company LLC restated a "buy" rating and set a $900.00 price objective on shares of HubSpot in a research report on Thursday, September 4th. Finally, Raymond James Financial reduced their target price on shares of HubSpot from $825.00 to $655.00 and set an "outperform" rating for the company in a report on Thursday, August 7th. One research analyst has rated the stock with a Strong Buy rating, twenty-seven have given a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat.com, HubSpot presently has an average rating of "Moderate Buy" and an average target price of $719.54.

HubSpot Price Performance

The company has a fifty day simple moving average of $472.44 and a two-hundred day simple moving average of $534.02. The company has a market capitalization of $25.22 billion, a P/E ratio of -2,081.32, a price-to-earnings-growth ratio of 15.07 and a beta of 1.58.

HubSpot (NYSE:HUBS - Get Free Report) last issued its quarterly earnings data on Wednesday, August 6th. The software maker reported $2.19 EPS for the quarter, beating analysts' consensus estimates of $2.12 by $0.07. HubSpot had a positive return on equity of 1.74% and a negative net margin of 0.42%.The business had revenue of $760.87 million for the quarter, compared to analyst estimates of $739.94 million. During the same quarter in the prior year, the firm posted $1.94 EPS. The firm's revenue for the quarter was up 19.4% on a year-over-year basis. Equities analysts anticipate that HubSpot, Inc. will post 1.01 earnings per share for the current year.

Insiders Place Their Bets

In other news, CTO Dharmesh Shah sold 4,747 shares of HubSpot stock in a transaction dated Tuesday, September 9th. The stock was sold at an average price of $501.60, for a total value of $2,381,095.20. Following the transaction, the chief technology officer directly owned 1,271,058 shares in the company, valued at approximately $637,562,692.80. The trade was a 0.37% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Brian Halligan sold 8,500 shares of the firm's stock in a transaction on Tuesday, September 16th. The stock was sold at an average price of $506.52, for a total transaction of $4,305,420.00. Following the completion of the sale, the director owned 522,185 shares in the company, valued at approximately $264,497,146.20. The trade was a 1.60% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 42,598 shares of company stock valued at $20,947,042. 4.00% of the stock is owned by company insiders.

Hedge Funds Weigh In On HubSpot

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Price T Rowe Associates Inc. MD increased its holdings in shares of HubSpot by 17.0% during the first quarter. Price T Rowe Associates Inc. MD now owns 4,910,062 shares of the software maker's stock worth $2,805,070,000 after buying an additional 714,980 shares in the last quarter. Jennison Associates LLC increased its holdings in HubSpot by 548.6% during the 2nd quarter. Jennison Associates LLC now owns 794,677 shares of the software maker's stock valued at $442,341,000 after purchasing an additional 672,158 shares in the last quarter. Norges Bank bought a new position in HubSpot in the 2nd quarter valued at $269,941,000. Massachusetts Financial Services Co. MA boosted its stake in HubSpot by 37.3% in the first quarter. Massachusetts Financial Services Co. MA now owns 927,927 shares of the software maker's stock worth $530,115,000 after purchasing an additional 251,853 shares in the last quarter. Finally, Vanguard Group Inc. boosted its stake in HubSpot by 4.0% in the first quarter. Vanguard Group Inc. now owns 5,246,734 shares of the software maker's stock worth $2,997,407,000 after purchasing an additional 201,994 shares in the last quarter. Institutional investors own 90.39% of the company's stock.

HubSpot Company Profile

HubSpot, Inc, together with its subsidiaries, 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 Hub, a toolset for marketing automation and email, social media, SEO, and reporting and analytics; Sales Hub offers email templates and tracking, conversations and live chat, meeting and call scheduling, lead and website visit alerts, lead scoring, sales automation, pipeline management, quoting, forecasting, and reporting; Service Hub, a service software designed to help businesses manage, respond, and connect with customers; and Content Management Systems Hub enables businesses to create new and edit existing web content.

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