Raymond James Cautiously Positive on HubSpot Inc (HUBS): 'we suspect that shares could be range bound in the near-term'

Raymond James analyst Brian Peterson reiterated an Outperform rating and $250.00 price target on HubSpot Inc (NYSE: HUBS)

The analyst comments "We’re maintaining our Outperform rating on HubSpot following a challenging 2Q print, as elongated sales cycles exacerbated potential disruption from pricing and GTM changes in April. While we’d argue that the 16% CC growth is far better than most front-office software vendors, we suspect that the guidance reduction will raise questions around competition and/or productmarket fit that could be more structural in nature. As it will be hard to disprove these dynamics in the next few quarters, we suspect that shares could be range bound in the near-term, even with potential catalysts from an analyst day at Unbound next month. We clearly don’t view the quarter positively, but also see some of the developments (token maxing weighing on IT budgets, less familiarity in buying Agentic apps) as near-term bumps in the road. Our positive stance now rests on Hubspot’s reach, scale and product breadth, as we ultimately believe they will help deliver Agentic functionality to the mid-market. That could drive a material re-rating in both growth and shares, although the timing on that development has admittedly become more opaque."

For an analyst ratings summary and ratings history on HubSpot Inc click here. For more ratings news on HubSpot Inc click here.

Shares of HubSpot Inc closed at $250.21 yesterday.

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