HubSpot (NYSE:HUBS) Stock Price Down 5.5% on Analyst Downgrade

HubSpot, Inc. (NYSE:HUBS) shares fell 5.5% on Wednesday after Zacks Research downgraded the stock from a strong-buy rating to a hold rating. The stock traded as low as $207.92 and last traded at $208.31. 869,316 shares changed hands during trading, a decline of 52% from the average session volume of 1,828,350 shares. The stock had previously closed at $220.51.

Several other equities research analysts also recently commented on HUBS. Stephens downgraded HubSpot from an “overweight” rating to a “hold” rating and set a $251.00 price objective for the company. in a report on Thursday, August 6th. Sanford C. Bernstein downgraded shares of HubSpot from an “outperform” rating to a “market perform” rating and lowered their target price for the stock from $381.00 to $220.00 in a report on Thursday, August 6th. Jefferies Financial Group reaffirmed a “buy” rating and set a $250.00 price target on shares of HubSpot in a research report on Friday, May 8th. Capital One Financial set a $206.00 price target on shares of HubSpot and gave the company an “equal weight” rating in a research note on Thursday, August 6th. Finally, Piper Sandler downgraded shares of HubSpot from an “overweight” rating to a “neutral” rating and decreased their price objective for the company from $250.00 to $220.00 in a research report on Thursday, August 6th. Fifteen research analysts have rated the stock with a Buy rating, sixteen have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and an average price target of $268.90.

Insider Activity

In other HubSpot news, Director Gerald Dischler bought 925 shares of HubSpot stock in a transaction dated Monday, August 10th. The stock was bought at an average cost of $215.93 per share, for a total transaction of $199,735.25. Following the purchase, the director owned 1,940 shares of the company’s stock, valued at $418,904.20. The trade was a 91.13% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Brian Halligan sold 8,500 shares of the business’s stock in a transaction that occurred on Tuesday, July 21st. The stock was sold at an average price of $221.09, for a total value of $1,879,265.00. Following the transaction, the director directly owned 85,000 shares in the company, valued at $18,792,650. The trade was a 9.09% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 26,202 shares of company stock valued at $5,481,959 over the last three months. Insiders own 3.70% of the company’s stock.

Hedge Funds Weigh In On HubSpot

Large investors have recently modified their holdings of the stock. Turning Point Benefit Group Inc. acquired a new position in HubSpot in the 3rd quarter valued at about $25,000. Rakuten Securities Inc. lifted its position in HubSpot by 783.3% during the second quarter. Rakuten Securities Inc. now owns 53 shares of the software maker’s stock worth $30,000 after acquiring an additional 47 shares during the last quarter. Cary Street Partners Investment Advisory LLC bought a new stake in shares of HubSpot during the fourth quarter worth approximately $33,000. Osterweis Capital Management Inc. bought a new stake in shares of HubSpot during the second quarter worth approximately $34,000. Finally, Larson Financial Group LLC boosted its holdings in shares of HubSpot by 378.9% during the fourth quarter. Larson Financial Group LLC now owns 91 shares of the software maker’s stock worth $37,000 after acquiring an additional 72 shares during the period. 90.39% of the stock is owned by institutional investors.

HubSpot Price Performance

The firm has a 50-day moving average price of $205.60 and a 200 day moving average price of $226.25. The company has a market cap of $11.57 billion, a price-to-earnings ratio of 81.35, a P/E/G ratio of 2.15 and a beta of 1.19.

HubSpot (NYSE:HUBS) last released its quarterly earnings results on Wednesday, August 5th. The software maker reported $3.26 earnings per share for the quarter, topping the consensus estimate of $3.02 by $0.24. The business had revenue of $911.74 million during the quarter, compared to analysts’ expectations of $898.31 million. HubSpot had a return on equity of 8.66% and a net margin of 4.26%.The firm’s revenue for the quarter was up 19.8% compared to the same quarter last year. During the same period last year, the firm posted $2.19 EPS. HubSpot has set its FY 2026 guidance at 13.230-13.310 EPS and its Q3 2026 guidance at 3.250-3.270 EPS. On average, equities analysts anticipate that HubSpot, Inc. will post 4.54 EPS for the current fiscal year.

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.