HubSpot Inc
HUBS: XNYS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$694.00 | Hnvgwn | Ncftymlgr |
HubSpot’s Narrow Moat Carved Out Rapid Growth for Marketing Automation in the Midmarket
Business Strategy and Outlook
We believe HubSpot is a leader in customer service and engagement software for the midmarket and has a long runway for growth as it gathers new clients, moves existing clients up a tiered pricing structure, and sells multiple hubs to larger clients. We see small/medium businesses and the midmarket as being underserved by enterprise software providers, as the smaller deal sizes make it harder to serve efficiently. Therefore, we believe that HubSpot’s robust and expanding suite has helped carve out a meaningful niche.