What Happened?
Shares of customer platform provider HubSpot (NYSE: HUBS) jumped 2.4% in the afternoon session after financial services firm Jefferies identified the company as a key player positioned for growth in 2026.
The positive outlook came as the stock traded near multi-year lows after its multiple compressed by 50% in 2025. During that period, the market had penalized some software firms that could not prove immediate returns for their customers. Jefferies stated that high concerns around Artificial Intelligence were already priced into the stock. The firm believed that with another year of roughly 20% growth and margin expansion, the stock should be able to gradually recover. Catalysts for future growth included AI-driven revenue acceleration and increased upmarket traction.
After the initial pop the shares cooled down to $398.24, up 2.3% from previous close.
Is now the time to buy HubSpot? Access our full analysis report here.
What Is The Market Telling Us
HubSpot’s shares are quite volatile and have had 18 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
The previous big move we wrote about was 5 days ago when the stock gained 3.8% on the news that investment firm BTIG initiated coverage on the company with a 'Buy' rating and set a $500 price target. This move by BTIG analyst Nick Altmann signaled a positive outlook on the company's future performance. When an analyst firm begins covering a stock, it can often draw new attention from investors. The 'Buy' rating indicated that the firm believed the stock was a good investment at its current price, and the $500 target suggested potential for significant growth.
HubSpot is down 42.9% since the beginning of the year, and at $398.24 per share, it is trading 51.4% below its 52-week high of $819.71 from February 2025. Investors who bought $1,000 worth of HubSpot’s shares 5 years ago would now be looking at an investment worth $952.21.
Do you want to know what moves the business you care about? Add them to your StockStory watchlist and every time a stock significantly moves, we provide you with a timely explanation straight to your inbox. It’s free for active Edge members and will only take you a second.
