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HubSpot Inc (HUBS)

Fair Value
TechnologySoftware - ApplicationUnited States

Fundamental

68

Price

$204.98

Market Cap

$10.11B

Part 1 · What the company is worth

Overview

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, AEO, 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 Hub that helps business with website pages, business blogging, video and podcast hosting, smart content, landing pages and forms, SEO recommendations, forms and lead flow, web analytics reporting, calls-to-action, and file manager. It offers Operations Hub, which provides programmable automation, data sync, data curation, and data quality tools; and Commerce Hub, a B2B commerce suite that provides payment links, invoices, quotes, subscription management, and automation and revenue reporting; and breeze, an AI that powers the customer platform that provides AI-powered insights, automation, content generation, and data enrichment, as well as Breeze Assistant, a go-to-market assistant to boost productivity and make work easier; and Breeze Agents, which helps teams automate work end-to-end from strategy to execution. In addition, the company provides professional services to educate and train customers on how to utilize its CRM platform; and customer success; phone and/or email and chat-based support services; and helps customers by providing Customer Success Manager and Partner Development Manager digital channels through educational content academey. It serves mid-market business-to-business companies. The company was incorporated in 2005 and is headquartered in Cambridge, Massachusetts.

No editorial profile for this company yet

Direct competitors

Who this company fights with for the same customers

Compare

Generated on September 18, 2026 with claude-haiku-4-5 — shared with all users

P/E: 20.9Score: 81Market cap: $187.04B

Salesforce sells the same integrated CRM, marketing, sales and service cloud suite that HubSpot sells, and its Starter and Pro editions chase the same small and mid-sized business buyers.

P/E: 20.3Score: 72Market cap: $1.97B

Freshworks sells Freshsales CRM and Freshdesk customer-service software to the same mid-market buyers, with the same self-serve, free-tier motion HubSpot uses to acquire customers.

P/E: 13.4Score: 69Market cap: $92.99B

Adobe's Marketo Engage and Experience Manager compete directly with HubSpot's Marketing Hub and CMS for marketing automation, email campaigns and website content budgets.

P/E: 28.6Score: 80Market cap: $3.70T

Microsoft Dynamics 365 Sales and Customer Service target the same CRM spend, and Microsoft can bundle them with the Office 365 subscription many of HubSpot's customers already pay for.

Zoho Corporation Pvt. Ltd.Not tracked

Zoho offers an all-in-one CRM plus marketing, sales and helpdesk bundle aimed at the same 2-to-2,000-employee companies, and wins them mainly on a much lower subscription price.

Pipedrive OÜNot tracked

Pipedrive competes for the small-business sales team that would otherwise buy HubSpot's Sales Hub, offering pipeline management and sales automation at a lower entry price.

Balance Sheet & Liquidity

Revenue

$3.45B

Trailing 12 months (through 6/30/2026)

Net Income

$147M

Trailing 12 months (through 6/30/2026)

Free Cash Flow

$708M

Total Equity

$2.07B

Total Liabilities

$1.79B

Current Ratio

1.38

Interest Coverage

202.69

Debt/EBITDA

1.65

Earnings Per Share

Revenue & Net Income

Free Cash Flow

Income Breakdown

Historical statement

Margins over time

Debt over time

How heavy the debt is

Growth grid

Growth — Revenue

Fair Value Estimation

General caseFairly Valued

Fair Value

$192.14

Current Price

$204.98

Margin of Safety

-6.7%

Fair Value Range

$124.89 - $259.38

Spread across the valuation methods used, not a statistically calibrated confidence interval.

Estimation Methods

Analyst price target:$249.72
Discounted cash flow (DCF):$231.39
Earnings multiple (P/E):$42.88
Graham growth formula:$45.75
Earnings power value (EPV):$17.55
Justified P/B:$24.43
Dividend discount (Gordon):Not enough data to compute it
P/FFO, funds from operations:$58.46
Mid-cycle earnings:Not enough data to compute it
Revenue multiple:$347.81
Analyst Consensus:Buy (20B / 21H / 1S)
Last Earnings Surprise:+5.96%

Valuation Metrics

P/E Ratio

72.69

ROE

2.2%

P/B Ratio

6.17

P/FCF

12.82

Gross Margin

83.2%

ROIC

5.3%

Profitability Radar

Value Creation (Economic Moat)

ROIC

5.3%

WACC

10.7%

ROIC − WACC

-5.5 pp

ROIC is below the cost of capital — the company is destroying value for every dollar invested.

Fundamental Analysis Criteria

Passed (19)

  • EPS shows upward trend
  • Price CAGR 16.97%
  • ROIC 5.3%
  • Gross Margin 83.2%
  • P/FCF 12.82
  • Debt/Equity ratio
  • Positive Free Cash Flow
  • CapEx intensity
  • Current Ratio
  • Interest Coverage
  • Debt/EBITDA
  • Return on Tangible Assets
  • Low reliance on intangibles
  • ROE 7.8%
  • Revenue Growth 5Y 28.8%
  • Earnings Surprise avg 4.1%
  • Earnings Quality (OCF/NI) 5.83
  • Net Margin Trend 4.3% vs -0.4%
  • Piotroski F-Score 6/9

Failed (6)

  • P/B Ratio 6.17
  • Operating Margin 3.8%
  • Price below Graham Number
  • DCF valuation (Overvalued)
  • Analyst Consensus 48% Buy
  • Share Dilution 3.8%

Unavailable (2)

  • Dividend Payout NaN%
  • PEG Ratio (need PE > 0 and growth > 0)

Piotroski F-Score

6/9

Mixed signals: some areas need attention

score
criteria

Earnings Quality

5.83

High quality: earnings backed by cash

Share Dilution

3.8%

Issuing new shares, diluting ownership

Institutional Holdings

Governance

Executive Team

NameTitleAge
Ms. Yamini RanganCEO, President and Director51
Mr. Dharmesh ShahCo-Founder, CTO & Director57
Ms. Kathryn A. BuekerCFO & Treasurer54
Ms. Erika Ashley Fisher J.D.Chief Legal Officer & Secretary39
Mr. Chris HoganExecutive Vice President of Operations-
Mr. Charles MacGlashingCorporate Treasure & Senior Director of IR-
Mr. Kipp BodnarChief Marketing Officer-
Ms. Helen RussellChief People Officer57
Ms. Alison ElworthyChief of Staff & Executive VP of Central Strategy41
Mr. Jon DickChief Customer Officer-

Audit Risk

1

Board Risk

2

Compensation Risk

3

Shareholder Rights Risk

2

Part 2 · The price and when to enter

This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.

Documents

  • Annual Report (10-K)

    A yearly overview of the business, its financial results, and the risks it faces.

    Filed on 2026-02-11

    View document
  • Quarterly Report (10-Q)

    A snapshot of financial performance for the most recent three-month period.

    Filed on 2026-08-05

    View document
  • Current Report (8-K)

    An announcement of a major event, such as a leadership change or big news.

    Filed on 2026-08-05

    View document

via SEC EDGAR

Income History

via SEC EDGAR

Latest News

Recent headlines for HUBS, sourced from Markets Gazette.

  • 6/18/2026POSITIVE
    HubSpot Stock's Momentum Score Jumps As Shareholders Approve 2.3 Million New Shares For Incentives

    HubSpot Inc. has seen its momentum score surge following shareholder approval of a significant incentive plan, authorizing 2.3 million new shares for employee compensation. This move, alongside the re-election of board members and adoption of governance reforms, signals strong internal confidence and a commitment to retaining talent. For investors, the increased share pool for incentives can be viewed positively, suggesting the company is focused on long-term growth and innovation by rewarding key personnel. This proactive approach to human capital management often correlates with sustained business performance and potential stock appreciation.

  • 5/28/2026POSITIVE
    3 AI Software Stocks JPMorgan Loves — And One Could Jump 214%

    JPMorgan has identified HubSpot as a top AI software stock with significant upside potential. While the article mentions a sub-$5 stock with over 214% potential, HubSpot is highlighted among favored names, suggesting strong conviction from the bank. This positive outlook from a major financial institution like JPMorgan, especially concerning AI-driven growth, could attract significant investor interest. Investors should monitor HubSpot's AI integration and market adoption for potential gains.

  • 5/7/2026NEGATIVE
    HubSpot Raises Guidance, Here's Why Shares Are Getting Hammered Thursday

    HubSpot Inc. (HUBS) shares experienced a significant decline following the release of its Q1 financial results. Despite the company raising its guidance, the market reacted negatively, suggesting that the forward-looking statements or other aspects of the report did not meet investor expectations. This price action indicates a potential disconnect between the company's outlook and market sentiment, prompting a re-evaluation of the stock's valuation by investors.

  • 3/4/2026POSITIVE
    Huge News: Is HubSpot Quietly Building the Next AI Growth Engine?

    HubSpot's AI-powered "Loop" strategy is posited as a potential catalyst to transform the stock from a "beaten-down" performer into a breakout winner. The article highlights this AI initiative as a possible "AI growth engine." For investors, this suggests a speculative opportunity with significant upside potential if the Loop strategy proves successful in driving user acquisition and revenue growth, revitalizing the company's market position.

  • 3/3/2026POSITIVE
    A Glimpse Into The Expert Outlook On HubSpot Through 27 Analysts

    Analyst confidence in HubSpot (HUBS) remains robust, as highlighted by recent evaluations from 27 industry experts. Morgan Stanley maintained its "Overweight" rating in March 2022, while Raymond James and Mizuho reiterated "Strong Buy" and "Buy" respectively in February 2022. These positive recommendations, which suggest the stock is poised to outperform the market or is a strong purchase, reflect an optimistic outlook on the company's future prospects. Investors may interpret this positive consensus as a signal of stability and potential growth for the marketing, sales, and customer service software provider. The consistency of these ratings across various investment banks underscores a shared view on HubSpot's strong business model and its ability to generate value.

via Markets Gazette