BMO Capital has cut its target price on HubSpot Inc (NYSE: HUBS) to $385.00 from $465.00 while retaining an Outperform rating, saying it now sees less upside to consensus billings and revenue growth in the December quarter than it had previously anticipated. The new target still sits noticeably above the shares' recent trading level of $290.48, with the stock trading near its 52-week low after sliding more than 59% over the past year.
Despite the price-target reduction, BMO highlighted that HubSpot has delivered solid revenue expansion recently, recording revenue growth of 19.21% over the last twelve months. Nonetheless, the firm flagged a softening signal from several SMB-focused data sources, which collectively point to a modest net deterioration in SMB conditions that could constrain HubSpot's near-term demand for its platform.
As a result of these readings, BMO now expects management to guide fiscal year 2026 revenue growth to a range of 14% to 15% year-over-year on a constant currency basis. The brokerage also reiterated concerns that continuing uncertainty around generative artificial intelligence is weighing on the application segment, though it said these AI-related worries did not change its overall positive view and Outperform recommendation on the stock.
The move from BMO comes amid a cluster of other analyst updates that present a mixed but generally constructive view of HubSpot's longer-term prospects. Stifel lowered its price target to $500 but kept a Buy rating, citing software multiple compression as a driver of valuation pressure. Raymond James maintained an Outperform view and a $525 price target, pointing to robust growth that exceeded management's plans for 2025.
Citi kept a Buy rating and set a $660 price target while placing HubSpot on a 30-day upside catalyst watch. Oppenheimer continued to rate HubSpot as Outperform with a $550 target, despite noting mixed demand signals and reporting a shortfall in fourth-quarter new monthly recurring revenue.
That shortfall in new monthly recurring revenue was attributed by analysts to a few discrete factors: reduced upmarket deal flow and a smaller-than-expected budget flush. Some of the deals that were expected in the quarter were reportedly postponed into the first quarter of fiscal 2026, yet Raymond James observed that growth targets were still met in the period overall.
The collection of analyst reactions illustrates divergent emphasis across valuation, growth trajectory and near-term demand indicators. BMO trimmed its upside expectations on the December quarter based on SMB readings and held back its price target accordingly, while other brokerages continued to assign materially higher targets based on longer-term growth momentum and different interpretations of recent quarterly results.
For investors, the headlines reflect a tension between HubSpot's recent double-digit revenue growth and near-term demand noise concentrated among small and medium-sized customers and in certain enterprise deal flows. BMO's reduced target signals a more cautious near-term posture tied to SMB health and December-quarter billings, even as the firm remains constructive on the shares relative to the market.