# HubSpot Inc. (HUBS) — Financial Analysis

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-18  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/HUBS/thesis · /stocks/HUBS/memo

## Financial Snapshot

---
ticker: HUBS
step: 04
generated: 2026-05-13
source: quick-research
---

### HubSpot, Inc. (HUBS) — Financial Snapshot

#### Income Statement Summary

| Metric | FY2022 | FY2023 | FY2024 | YoY |
|--------|--------|--------|--------|-----|
| Revenue | $1.73B | $2.17B | $2.63B | +21% |
| Non-GAAP Gross Margin | ~83% | ~83% | ~84% | |
| GAAP Operating Margin | ~-15% | ~-9.3% | ~-2.6% | improving rapidly |
| Non-GAAP Operating Margin | ~11% | ~15.5% | ~17.5% | |
| GAAP Net Income | ~-$0.25B | ~-$0.18B | ~$0.005B | ~breakeven |

*FY2025: Revenue $3.131B (+19% YoY); non-GAAP operating margin ~19%; GAAP approaching profitability. Q4 2025 strong results + 2026 outlook drove stock +5.5% in one session. EPS surged to $1.04/share in a strong quarter, challenging profitability skeptics. $1B share repurchase program announced.*

#### Cash Flow & Balance Sheet (FY2024)

| Metric | Value |
|--------|-------|
| Operating Cash Flow | ~$450M |
| Free Cash Flow | ~$350–400M (~13–15% FCF margin) |
| Capital Expenditures | ~$50–75M |
| Cash & Equivalents | ~$2.0B |
| Total Debt | ~$1.6B (convertible notes) |

*FCF margins improving as operating leverage accrues. GAAP net income barely positive in FY2024 — first GAAP profitable year. SBC declining as % of revenue (~10% of revenue in FY2024 vs. 15%+ prior years). $1B buyback authorized provides EPS support.*

#### Key Ratios (approximate)
- P/E: ~45–55x (non-GAAP FY2026E) | EV/Sales: ~9–10x | FCF Yield: ~1.5%
- Revenue Growth (TTM): ~19% | Non-GAAP Operating Margin: ~17–19%

#### Growth Profile
HubSpot compounded from $1.73B (FY2022) to $3.13B (FY2025) — an 81% increase in 3 years — with growth decelerating from 25% (FY2023) to 21% (FY2024) to 19% (FY2025). Mid-teens to high-teens growth is the new expectation, with AI monetization (credits model) as the potential re-acceleration catalyst. GAAP profitability achieved in FY2024 — a milestone that reduces the "unprofitable growth" concern. The multi-hub expansion (Content Hub attach rate 3x, Agent.AI 10x users) supports sustained 15–20% growth.

#### Forward Estimates
- FY2026: Revenue ~$3.6–3.7B (+15–18% YoY); non-GAAP EPS ~$2.84/share (+224% YoY due to SBC normalization)
- AI Credits model: additive revenue layer on top of seat licensing — beginning to scale in FY2026
- Agent.AI: 500K+ users → monetization beginning; AEO features driving Marketing Hub ARPU expansion
- Analyst targets: wide dispersion $248–650; mean ~$550; majority Outperform/Overweight
- $1B buyback: ~3–4% of market cap; EPS accretive over 2–3 years

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/HUBS/fundamental

## Navigation

- Overview: /stocks/HUBS
- Financials (this page): /stocks/HUBS/financials
- Thesis: /stocks/HUBS/thesis
- Investment Memo: /stocks/HUBS/memo
- Coverage universe: /stocks