In a report released today, Elizabeth Porter from Morgan Stanley maintained a Buy rating on HubSpot, with a price target of $747.00.
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Elizabeth Porter’s rating is based on HubSpot’s strong performance and strategic positioning in the market. The company has shown robust results in the third quarter, reaching the high end of expectations, and is expected to continue this momentum into the fourth quarter. This success is attributed to HubSpot’s ability to capitalize on upmarket opportunities and multi-hub adoption, as well as its emerging potential in AI monetization.
HubSpot is perceived as a key player in facilitating AI adoption, offering seamless integration and user-friendly solutions that appeal to market teams. Despite concerns about AI-driven disruptions, HubSpot is seen as an enabler rather than a risk. The company’s shares are trading at a significant discount compared to the average SaaS growth-adjusted EV/Sales multiple, presenting an attractive risk/reward opportunity. This, combined with a stable macroeconomic environment and positive partner feedback, supports the Buy rating.