Quality Investor

HubSpot, Inc.

Rank #24Hypergrowth

HUBS · NYSE · Technology

HubSpot, Inc. (HUBS) — Rank #24 by gross profitability (GP/assets 0.75) · ROE 2.8% · Piotroski F-Score 6 / 9.

As-of 2026-09-15 · CIK 0001404655 · all metrics point-in-time as of the filing date.

About

HubSpot, Inc., together with its subsidiaries, provides a cloud-based customer relationship management (CRM) platform for businesses in the Americas, Europe, and the Asia Pacific.

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The company's CRM platform includes Marketing Hub, a toolset for marketing automation and email, social media, SEO, AEO, and reporting and analytics; Sales Hub offers email templates and tracking, conversations and live chat, meeting and call scheduling, lead and website visit alerts, lead scoring, sales automation, pipeline management, quoting, forecasting, and reporting; Service Hub, a service software designed to help businesses manage, respond, and connect with customers; and Content Hub that helps business with website pages, business blogging, video and podcast hosting, smart content, landing pages and forms, SEO recommendations, forms and lead flow, web analytics reporting, calls-to-action, and file manager. It offers Operations Hub, which provides programmable automation, data sync, data curation, and data quality tools; and Commerce Hub, a B2B commerce suite that provides payment links, invoices, quotes, subscription management, and automation and revenue reporting; and breeze, an AI that powers the customer platform that provides AI-powered insights, automation, content generation, and data enrichment, as well as Breeze Assistant, a go-to-market assistant to boost productivity and make work easier; and Breeze Agents, which helps teams automate work end-to-end from strategy to execution. In addition, the company provides professional services to educate and train customers on how to utilize its CRM platform; and customer success; phone and/or email and chat-based support services; and helps customers by providing Customer Success Manager and Partner Development Manager digital channels through educational content academey. It serves mid-market business-to-business companies.

The company was incorporated in 2005 and is headquartered in Cambridge, Massachusetts.

Industry
Software - Application
Sector
Technology
State
NY
Filer Category
Large accelerated filer
Fiscal Year End
December 31

Price History

HUBS-68.0% · -20.4% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/S is the primary valuation lens — earnings are reinvested, not available for P/E.

Market Cap

$12.53B

P/E (annual)

292.3

P/S (annual)

4.0

P/B

7.6

P/OCF (annual)

16.5

Shareholder Yield

-51.1%

Employees

9,016

Industry

Software - Application

Exchange

NYSE

Signal Flags

3 green2 yellow
Revenue growth acceleratingGrowth rate increasing year over year
Deferred revenue growingRevenue and deferred revenue both growing — retention signal
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 1-quarter streak
Dilution above 2%Annual share count increase exceeds 2%. May be acceptable for high-growth companies funding talent via stock compensation
Disclosure regressionA previously-disclosed line item is no longer reported — worth checking the filing for why

Quality Profile

Profitability

1/1 pass
GP / assets
0.75
Return on equity
2.8%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.12
Current ratio
1.38×
Net cash
$1.34B

Cash Flow

3/3 pass
Positive FCF
PASS
Cash-backed earnings
PASS
Accruals healthy
PASS
SBC / revenue
16.9%

Growth

1/2 pass
Revenue growth
1055.6%
Piotroski F-Score
6 / 9
Share dilution
51.1%

Terry Smith quality gate

Passes 2/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

6.9%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Dilution drag: 51.1% — per-share value needs a total required return of 58.1% once share-count change is priced in.

vs. own 6-year median revenue growth: 49.3%

within its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

2.7%

r = 10% (base)

6.9%

r = 12%

10.6%

Net debt / market cap: -10.0%

Base FCF: $707.6M3Y mean FCF: $8M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / S

Price / revenue per share

11.5xExpensive
2.6xmed 7.2x12.9x

P / B

Price / book value per share

11.9xFair
4.1xmed 14.4x27.1x

P / GP

Price / gross profit per share

14.2xExpensive
4.1xmed 9.6x16.1x

P / FCF

Price / free cash flow per share

98.5xCheap
98.5xmed 113.9x587.4x

Revenue growth and the path to profitability (margin trend) are the primary reads at this stage.

Profitability

Gross profitability (GP / assets)

0.75

Primary signal (Novy-Marx).

97th pctl of 38 SIC 7372 peers

Return on equity

2.8%

Gross margin

83.8%

95th pctl of 38 SIC 7372 peers

Revenue growth (YoY)

1055.6%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2014201520162017
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.12

22nd pctl of 33 SIC 7372 peers (best = lowest)

Current ratio

1.38×

22nd pctl of 38 SIC 7372 peers

Quick ratio

1.11×

Net cash

$1.34B

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$707.55M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

14.41

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

PASS

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

16.9%

Stock-based comp intensity.

Piotroski F-Score

F-Score

6 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20122017
Hypergrowth