HubSpot (HUBS) is back in focus after reporting quarterly and full year 2025 results that topped expectations, alongside management issuing an upbeat 2026 outlook highlighting revenue growth and margin expansion.

Despite the upbeat earnings and guidance, HubSpot’s recent share price performance has been weak. The company has recorded a 30 day share price decline of 27.94% and a 1 year total shareholder return decline of 67.7%. This suggests momentum has been fading even as product updates, AI features and a new share repurchase program keep the story active.

If HubSpot’s AI push has you thinking about what else is out there, this is a good moment to check out 59 profitable AI stocks that aren't just burning cash as potential next ideas to research.

With HubSpot stock down sharply over the past year, yet supported by profitable growth, AI product momentum and a new US$1b buyback, the key question is simple: is this weakness a buying opportunity, or is future growth already priced in?

Most Popular Narrative: 37.9% Undervalued

HubSpot’s most followed narrative pegs fair value at $374.75 per share, well above the last close of $232.60. That frames today’s weakness in a very different light.

Rapid adoption and expansion of AI-based functionality such as Customer Agent, Prospecting Agent, and connectors to leading LLMs are driving higher customer engagement, sticky workflows, and early-stage monetization opportunities (especially via credit-based AI features). This is setting the stage for stronger net dollar retention and potentially higher net margins in 2026 and beyond.

Want to see what sits behind that AI push and the higher earnings power it implies? Revenue, margins, and a richer earnings base all feed into this narrative. The forecast mix of growth and profitability is far from ordinary. If you care about what assumptions are doing the heavy lifting in that $374.75 fair value, the full narrative lays them out in black and white.

Result: Fair Value of $374.75 (UNDERVALUED)

However, this hinges on AI agents and credit based monetization actually gaining traction, as well as on international expansion avoiding regulatory or localization setbacks that could slow growth.

Next Steps

If this all sounds confident on paper, the next move is yours. Take a closer look at the underlying metrics and judge for yourself. You can quickly check how that optimism stacks up by reviewing the 3 key rewards.

Looking for more investment ideas?

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.