HubSpot stock rating reiterated at Overweight by Cantor Fitzgerald

Investing.com - Cantor Fitzgerald has reiterated its Overweight rating and $775.00 price target on HubSpot Inc (NYSE:HUBS). According to InvestingPro data, analyst targets for the stock range from $605 to $910, with the company maintaining a GOOD overall financial health score.

The firm noted that HubSpot shares have significantly underperformed since the company’s first-quarter earnings release on May 8, declining approximately 20% while the iShares Expanded Tech-Software Sector ETF (IGV) gained about 9% during the same period. InvestingPro data shows the stock has fallen 26.27% over the past six months, despite maintaining impressive gross profit margins of 84.83%.

According to Cantor Fitzgerald, HubSpot stock currently trades in line with its "Liberation Day" low multiple of approximately 8 times enterprise value to next twelve months revenue.

The firm expects HubSpot to exceed second-quarter revenue and earnings per share forecasts, with management likely to incorporate slightly more than the anticipated second-quarter outperformance into future guidance on both a reported and constant currency basis.

Cantor Fitzgerald believes HubSpot shares could perform well following the earnings report due to a combination of adequate results and subdued market expectations.

In other recent news, HubSpot Inc. has been the focus of several significant developments. UBS has maintained its Buy rating and a price target of $820 on the company, citing stable demand trends in the second quarter of fiscal 2025. The firm anticipates a potential revenue beat and highlights the possibility of high-teens growth in fiscal year 2025. Meanwhile, Stifel lowered its price target for HubSpot to $700, maintaining a Buy rating. This adjustment follows mixed feedback on the company’s AI adoption, though there remains optimism about future demand.

Cantor Fitzgerald reiterated its Overweight rating with a price target of $775, reflecting a positive outlook on HubSpot’s CRM platform. Similarly, Oppenheimer maintained its Outperform rating, noting stabilizing demand trends and improving deal quality. The firm also acknowledged some competitive pressure but sees potential long-term benefits from market changes.

In corporate governance, HubSpot shareholders approved significant amendments, including the declassification of its Board of Directors and the elimination of supermajority voting provisions. The changes were filed with the Secretary of State of Delaware and became effective immediately. Additionally, the election of directors resulted in the re-election of key figures for a three-year term, with several proposals ratified during the Annual Meeting.

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