Here's Why HubSpot Rose 11% Last Month
HubSpot (NYSE: HUBS) stock climbed 11% in February after the company smashed analyst forecasts with its February 16 quarterly earnings report. It notched higher-than-expected revenue, but investors were more impressed with HubSpot's profits and 2023 outlook.
Investors are worried about slowing growth and shrinking margins right now, so companies that buck these trends can generate a lot of positive momentum. While most stocks slid lower as February ended, HubSpot's positive outlook kept it from losing its gains.
HubSpot's quarterly revenue grew 27% to $470 million, while its adjusted earnings rose nearly 70%. That resulted in $71 million in free cash flow, slightly less than in the prior year. Obviously, it would be great to see cash flow expanding, but it's still impressive that the company is achieving that level of sales without burning cash.
Source Fool.com
