In a report released today, Bradley Sills from Bank of America Securities maintained a Buy rating on HubSpot (HUBS – Research Report), with a price target of $950.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Bradley Sills’s rating is based on several positive indicators for HubSpot’s future growth potential. The company’s stock has seen a significant increase of 56% since September, backed by a stabilized spending environment in the SMB front office applications sector. HubSpot’s current growth rate of 20% to 21% is promising, with potential to reach high 20s growth by the first half of fiscal year 2026, driven by its ability to consolidate a substantial SMB front office total addressable market.
In addition, improvements in net revenue retention from 101% to 104% signal a positive trend, with expectations of reaching 108% by the end of fiscal year 2025. This is complemented by the upcoming revenue contributions from HubSpot’s new Breeze agents, which are expected to enhance growth through usage-based pricing models. These developments, along with a competitive valuation relative to peer companies, form the basis of Sills’s Buy rating and a price objective of $950.
Sills covers the Technology sector, focusing on stocks such as Salesforce, Microsoft, and HubSpot. According to TipRanks, Sills has an average return of 3.5% and a 47.34% success rate on recommended stocks.
In another report released yesterday, Redburn Atlantic also initiated coverage with a Buy rating on the stock with a $930.00 price target.