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Research Alert: Hubs: Q1 Results Beat, But Billing Deceleration Pressures Shares After Hours

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-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:

HUBS delivered strong Q1 2026 results with non-GAAP EPS of $2.72, beating consensus by $0.26, while total revenue of $881M grew 23% Y/Y, exceeding expectations by $17.7M. Subscription revenue of $862.3M expanded 23% with billings of $912.3M up 19%, demonstrating solid demand momentum despite modest deceleration from Q4's 27% growth. Operating margin expansion accelerated with non-GAAP margin reaching 17.8%, up 380 bps, tracking ahead of the full-year target of 21%. The company repurchased $211M of stock with $789M remaining under authorization. Management raised FY 26 revenue guidance to $3.700B-$3.708B and non-GAAP EPS to $13.04-$13.12, both above consensus expectations. We think the combination of strong cash generation ($198.8M operating cash flow, up 23%), share buybacks, and guidance raises that were above Street expectations continues to show steady business fundamentals and a healthy growth trajectory.

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