HubSpot
Market Cap
US$7.8b
Last Updated
2020/02/25 02:13 UTC
Data Sources
Company Financials +
Executive Summary
HubSpot, Inc. provides a cloud-based marketing, sales, and customer service software platform for businesses in the Americas, Europe, and the Asia Pacific.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -4.5% per year for the next 3 years
Currently unprofitable and not forecast to become profitable over the next 3 years
Snowflake Analysis
Adequate balance sheet with concerning outlook.
Similar Companies
Share Price & News
How has HubSpot's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: HUBS has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-8.6%
HUBS
-6.6%
US Software
-4.2%
US Market
1 Year Return
7.4%
HUBS
29.5%
US Software
14.0%
US Market
Return vs Industry: HUBS underperformed the US Software industry which returned 35.1% over the past year.
Return vs Market: HUBS underperformed the US Market which returned 17.8% over the past year.
Shareholder returns
| HUBS | Industry | Market | |
|---|---|---|---|
| 7 Day | -8.6% | -6.6% | -4.2% |
| 30 Day | -2.6% | 1.8% | -1.8% |
| 90 Day | 19.0% | 8.4% | 2.6% |
| 1 Year | 7.4%7.4% | 30.8%29.5% | 16.3%14.0% |
| 3 Year | 202.7%202.7% | 138.3%128.2% | 43.2%34.0% |
| 5 Year | 333.1%333.1% | 203.2%181.5% | 65.9%47.6% |
Price Volatility Vs. Market
How volatile is HubSpot's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
If You Had Bought HubSpot (NYSE:HUBS) Shares Five Years Ago You'd Have Made 451%2 months ago | Simply Wall St
Is HubSpot, Inc.'s (NYSE:HUBS) CEO Paid Enough Relative To Peers?2 months ago | Simply Wall St
Is HubSpot, Inc. (NYSE:HUBS) Expensive For A Reason? A Look At Its Intrinsic ValueValuation
Is HubSpot undervalued compared to its fair value and its price relative to the market?
11.9x
Price to Book (PB) ratio
Share Price vs. Fair Value
Below Fair Value: HUBS ($185.93) is trading above our estimate of fair value ($123.09)
Significantly Below Fair Value: HUBS is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: HUBS is unprofitable, so we can't compare its PE Ratio to the Software industry average.
PE vs Market: HUBS is unprofitable, so we can't compare its PE Ratio to the US market.
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate HUBS's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: HUBS is overvalued based on its PB Ratio (12.3x) compared to the US Software industry average (5.9x).
Next Steps
Future Growth
How is HubSpot forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?
-4.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: HUBS is forecast to remain unprofitable over the next 3 years.
Earnings vs Market: HUBS is forecast to remain unprofitable over the next 3 years.
High Growth Earnings: HUBS is forecast to remain unprofitable over the next 3 years.
Revenue vs Market: HUBS's revenue (16.8% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: HUBS's revenue (16.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: HUBS's Return on Equity is forecast to be low in 3 years time (15.6%).
Next Steps
Past Performance
How has HubSpot performed over the past 5 years?
-4.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HUBS is currently unprofitable.
Growing Profit Margin: HUBS is currently unprofitable.
Past Earnings Growth Analysis
Earnings Trend: HUBS is unprofitable, and losses have increased over the past 5 years at a rate of -4.3% per year.
Accelerating Growth: Unable to compare HUBS's earnings growth over the past year to its 5-year average as it is currently unprofitable
Earnings vs Industry: HUBS is unprofitable, making it difficult to compare its past year earnings growth to the Software industry (18.4%).
Return on Equity
High ROE: HUBS has a negative Return on Equity (-8.27%), as it is currently unprofitable.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is HubSpot's financial position?
Financial Position Analysis
Short Term Liabilities: HUBS's short term assets ($1.1B) exceed its short term liabilities ($322.5M).
Long Term Liabilities: HUBS's short term assets ($1.1B) exceed its long term liabilities ($596.8M).
Debt to Equity History and Analysis
Debt Level: HUBS's debt to equity ratio (52.4%) is considered high.
Reducing Debt: HUBS's debt to equity ratio has increased from 0% to 52.4% over the past 5 years.
Balance Sheet
Inventory Level: HUBS has a high level of physical assets or inventory.
Debt Coverage by Assets: HUBS's debt is covered by short term assets (assets are 3.3x debt).
Cash Runway Analysis
For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.
Stable Cash Runway: Whilst unprofitable HUBS has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.
Forecast Cash Runway: HUBS is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 62.2% per year.
Next Steps
Dividend
What is HubSpot's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: Unable to evaluate HUBS's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.
High Dividend: Unable to evaluate HUBS's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if HUBS's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if HUBS's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of HUBS's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.5yrs
Average management tenure
CEO
Brian Halligan (51yo)
15.1yrs
Tenure
US$3,108,818
Compensation
Mr. Brian Halligan Co-founded HubSpot, Inc. in 2005 and has been its Chief Executive Officer since 2005. Mr. Halligan served as Vice President of Sales of Groove Networks, Inc since 2000 until 2004. He wor ...
CEO Compensation Analysis
Compensation vs Market: Brian's total compensation ($USD3.11M) is below average for companies of similar size in the US market ($USD6.37M).
Compensation vs Earnings: Brian's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Co-Founder | 15.1yrs | US$3.11m | 1.49% $116.2m | |
| President & COO | 5.9yrs | US$3.30m | 0.076% $5.9m | |
| Co-Founder | 15.1yrs | US$2.15m | 3.71% $289.1m | |
| CFO & Treasurer | 1.7yrs | no data | 0.0097% $755.4k | |
| Chief Information Officer | 4.3yrs | no data | no data | |
| Corporate Treasure & Senior Director of IR | 0yrs | no data | no data | |
| General Counsel & Secretary | 7.7yrs | US$1.18m | 0.070% $5.5m | |
| Chief Marking Officer | 4.6yrs | no data | no data | |
| Vice President of Corporate & Business Development | 1.1yrs | no data | no data | |
| Chief People Officer | 3.1yrs | no data | no data |
4.5yrs
Average Tenure
51yo
Average Age
Experienced Management: HUBS's management team is considered experienced (4.5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Co-Founder | 15.1yrs | US$3.11m | 1.49% $116.2m | |
| Co-Founder | 15.1yrs | US$2.15m | 3.71% $289.1m | |
| Advisor & Member of Advisory Board | 1.1yrs | no data | no data | |
| Director | 2.3yrs | US$228.26k | 0.0049% $382.8k | |
| Independent Director | 8.7yrs | US$246.36k | 0.077% $6.0m | |
| Member of Advisory Board | 1.1yrs | no data | no data | |
| Lead Independent Director | 0yrs | US$254.76k | 0.0035% $272.1k | |
| Independent Director | 7.7yrs | US$256.76k | 0.033% $2.5m | |
| Independent Director | 3.8yrs | US$240.76k | 0.012% $944.1k | |
| Independent Director | 3.1yrs | US$234.36k | 0.0088% $682.2k |
3.8yrs
Average Tenure
53yo
Average Age
Experienced Board: HUBS's board of directors are considered experienced (3.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 9.1%.
Top Shareholders
Company Information
HubSpot, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: HubSpot, Inc.
- Ticker: HUBS
- Exchange: NYSE
- Founded: 2005
- Industry: Application Software
- Sector: Software
- Market Cap: US$7.796b
- Shares outstanding: 43.29m
- Website: https://www.hubspot.com
Number of Employees
Location
- HubSpot, Inc.
- 25 First Street
- 2nd Floor
- Cambridge
- Massachusetts
- 2141
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| HUBS | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Oct 2014 |
| 96 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Oct 2014 |
| 0TZZ | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Oct 2014 |
| HUBS * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Oct 2014 |
Biography
HubSpot, Inc. provides a cloud-based marketing, sales, and customer service software platform for businesses in the Americas, Europe, and the Asia Pacific. The company’s software platform includes integrated applications, such as customer relationship management, search engine optimization, blogging, Website content management, messaging, chatbots, social media, marketing automation, email, predictive lead scoring, sales productivity, ticketing and helpdesk tools, customer NPS surveys, analytics, and reporting. It also offers professional, as well as phone and/or email and chat based support services. It serves mid-market business-to-business companies. HubSpot, Inc. was founded in 2005 and is headquartered in Cambridge, Massachusetts.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/25 02:13 |
| End of Day Share Price | 2020/02/24 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.