HubSpot Inc "More Muted Channel Commentary" (Buy) McGinnis

Research evidence excerpt

HubSpot Inc "More Muted Channel Commentary" (Buy) McGinnis

Global Research

20 July 2026ab

HubSpot Inc Equities

United StatesMore Muted Channel Commentary

Software

12-month rating Buy *

Partner Checks Ahead of 2QF26 Earnings

Our partner checks carried a more measured tone this quarter. While AI adoption 12m price target US$250.00

continues to build and upmarket momentum remains a source of strength, these are

being offset by a challenging apps spending environment and still-early AI monetization,

Price (17 Jul 2026) US$224.26

which has pressured partners' ability to hit growth targets. As a result, we believe the

potential upside to 2QF26 estimates may be more limited, and think HUBS could RIC: HUBS.N BBG: HUBS US

reiterate its ~17% C/C FY26 revs outlook. Accordingly, we’re tactically taking a more

Trading data and key metrics

measured near-term view into the print, as a 2H acceleration looks increasingly

52-wk range US$560.90-170.28

challenging and we believe growth is likely to be more consistent at best. Though, at

~11x CY27 EV/FCF, we maintain our Buy rating, as we view the current headwinds as Market cap. US$11.8b

largely reflective of broader seat-based apps software trends rather than HUBS-specific, Shares o/s 52.7m (COM)

with some of the uncertainty reflected in investor sentiment. Free float 94%

Avg. daily volume ('000) 466

Our Key Takes Avg. daily value (m) US$95.3

AI Adoption & Monetization: Adoption of HUBS' AI agents continues to Common s/h equity (12/26E) US$2.27b

improve gradually, with more pilots moving into production and Customer Agent P/BV (12/26E) 5.1x

and Prospecting Agent remaining the most widely deployed offerings. Partner Net debt to EBITDA (12/26E) NM

feedback suggests that 20-25% of Pro/Enterprise customers (~50% of HUBS' total