The boost was sparked by a well-received earnings report from the software specialist.
HubSpot revealed strong operating momentum through June, with sales spiking 53%. Profitability improved, too, thanks to a continued shift toward its software-as-a-service model.
Operating losses lessened as a percentage of sales, and both sales and earnings beat the projections management had issued back in early May. "We finished out the first half of the year with yet another strong performance across the business," incoming CEO Yamini Rangan said in a press release.
Rangan and her team lifted their outlook for the rest of 2021, and that boost supported the stock's surge on Thursday. Sales are now expected to reach $1.3 billion, up from the prior target of between $1.24 billion and $1.25 billion. Non-GAAP operating earnings should land between $107 million and $109 million, up from the prior goal of $104 million to $106 million.
These hikes suggest HubSpot is still seeing no signs of an impending growth slowdown, which means fiscal 2021 is likely to be strong even compared to 2020's banner results.