BMO Cuts HubSpot Price Target to $385 Amid Growth Concerns
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 15h ago
0mins
Source: seekingalpha
- Price Target Adjustment: BMO Capital Markets has lowered HubSpot's (HUBS) price target from $465 to $385, indicating limited upside in the near term while maintaining an Outperform rating.
- Stock Volatility: HubSpot's stock fell approximately 10% on Thursday, reflecting market concerns about future growth potential, with analysts expecting December quarter billings and revenue growth to underperform compared to previous quarters.
- SMB Conditions: Analysts noted that HubSpot's near-term growth potential is correlated with several SMB data sources, and December quarter data suggests a modest net deterioration in SMB conditions, which could impact the company's performance.
- Future Outlook: Despite challenges, analysts expect the company's management to guide for 2026 revenue growth of 14% to 15% year-over-year, although fears surrounding generative AI continue to weigh on the application segment.
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Analyst Views on HUBS
Wall Street analysts forecast HUBS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for HUBS is 582.08 USD with a low forecast of 450.00 USD and a high forecast of 800.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
27 Analyst Rating
24 Buy
3 Hold
0 Sell
Strong Buy
Current: 317.110
Low
450.00
Averages
582.08
High
800.00
Current: 317.110
Low
450.00
Averages
582.08
High
800.00
About HUBS
HubSpot, Inc. provides a customer platform that helps businesses connect and grow better. The Company delivers seamless connection for customer-facing teams with a unified platform that includes artificial intelligence (AI)-powered engagement hubs, a Smart CRM, and a connected ecosystem with over 1,700 app marketplace integrations, a community network, and educational content. Its AI-powered engagement hubs include Marketing, Sales, Service, Operations, Content, and Commerce, as well as other tools and integrations that enable companies to attract, engage, and delight customers throughout the customer lifecycle. Its customer platform features a central database of lead and customer interactions, and integrated applications designed to help businesses attract visitors to their websites, convert visitors into leads, close leads into customers, transact with those customers, and delight them so they become promoters of those businesses. Breeze is its AI that powers the customer platform.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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