Sales and marketing software maker HubSpot (NYSE: HUBS) will be announcing earnings results this Wednesday afternoon. Here’s what to look for.
HubSpot beat analysts’ revenue expectations by 2% last quarter, reporting revenues of $714.1 million, up 15.7% year on year. It was a strong quarter for the company, with an impressive beat of analysts’ billings estimates and a solid beat of analysts’ EBITDA estimates. It added 10,319 customers to reach a total of 258,258.
Is HubSpot a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting HubSpot’s revenue to grow 16% year on year to $739.3 million, slowing from the 20.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.12 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. HubSpot has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 3.1% on average.
Looking at HubSpot’s peers in the sales and marketing software segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Freshworks delivered year-on-year revenue growth of 17.5%, beating analysts’ expectations by 2.9%, and BigCommerce reported revenues up 3.2%, topping estimates by 1.3%. Freshworks traded down 2.5% following the results while BigCommerce was up 4.6%.
Read our full analysis of Freshworks’s results here and BigCommerce’s results here.
The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. While some of the sales and marketing software stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 3% on average over the last month. HubSpot is down 7.8% during the same time and is heading into earnings with an average analyst price target of $736.74 (compared to the current share price of $512.20).
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