HubSpot (MEX:HUBS) Beneish M-Score : -3.16 (As of Mar. 27, 2025)

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What is HubSpot Beneish M-Score?

The zones of discrimination for M-Score is as such:

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Good Sign:

Beneish M-Score -3.16 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for HubSpot's Beneish M-Score or its related term are showing as below:

MEX:HUBS' s Beneish M-Score Range Over the Past 10 Years
Min: -3.3 Med: -2.78 Max: -2.02
Current: -3.16

During the past 13 years, the highest Beneish M-Score of HubSpot was -2.02. The lowest was -3.30. And the median was -2.78.

HubSpot Beneish M-Score Historical Data

The historical data trend for HubSpot's Beneish M-Score can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

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HubSpot Beneish M-Score Chart

HubSpot Annual Data

Trend

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Beneish M-Score

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-2.69

-2.40

-2.87

-2.49

-3.16

HubSpot Quarterly Data
	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24
Beneish M-Score	Get a 7-Day Free Trial															-2.49	-2.55	-2.69	-2.77	-3.16

Competitive Comparison of HubSpot's Beneish M-Score

For the Software - Application subindustry, HubSpot's Beneish M-Score, along with its competitors' market caps and Beneish M-Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

HubSpot's Beneish M-Score Distribution in the Software Industry

For the Software industry and Technology sector, HubSpot's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where HubSpot's Beneish M-Score falls into.

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HubSpot Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of HubSpot for today is based on a combination of the following eight different indices:

-4.84

0.92 * DSRI

0.528 * GMI

0.404 * AQI

0.892 * SGI

0.115 * DEPI

-4.84

0.92 * 1.0553

0.528 * 0.9923

0.404 * 0.7961

0.892 * 1.3201

0.115 * 0.822

0.172 * SGAI

4.679 * TATA

0.327 * LVGI

0.172 * 0.9502

4.679 * -0.146335

0.327 * 0.8727

-2.89

This Year (Dec24) TTM:

Last Year (Dec23) TTM:

Total Receivables was MXN6,983 Mil.
Revenue was 14665.269 + 13187.007 + 11674.119 + 10246.76 = MXN49,773 Mil.
Gross Profit was 12510.104 + 11231.288 + 9924.238 + 8668.655 = MXN42,334 Mil.
Total Current Assets was MXN54,926 Mil.
Total Assets was MXN79,165 Mil.
Property, Plant and Equipment(Net PPE) was MXN6,891 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN1,844 Mil.
Selling, General, & Admin. Expense(SGA) was MXN28,730 Mil.
Total Current Liabilities was MXN32,814 Mil.
Long-Term Debt & Capital Lease Obligation was MXN5,309 Mil.
Net Income was 103.924 + 160.397 + -264.451 + 98.482 = MXN98 Mil.
Non Operating Income was 36.915 + -30.559 + 12.952 + 205.445 = MXN225 Mil.
Cash Flow from Operations was 4048.946 + 3141.43 + 2158.621 + 2109.185 = MXN11,458 Mil.

Total Receivables was MXN5,013 Mil.
Revenue was 9877.57 + 9712.028 + 9071.489 + 9041.7 = MXN37,703 Mil.
Gross Profit was 8393.324 + 8220.274 + 7615.012 + 7593.77 = MXN31,822 Mil.
Total Current Assets was MXN31,768 Mil.
Total Assets was MXN52,135 Mil.
Property, Plant and Equipment(Net PPE) was MXN6,016 Mil.
Depreciation, Depletion and Amortization(DDA) was MXN1,263 Mil.
Selling, General, & Admin. Expense(SGA) was MXN22,903 Mil.
Total Current Liabilities was MXN15,990 Mil.
Long-Term Debt & Capital Lease Obligation was MXN12,778 Mil.

1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total Receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI	=	(Receivables_t / Revenue_t)	/	(Receivables_t-1 / Revenue_t-1)
	=	(6983.093 / 49773.155)	/	(5012.546 / 37702.787)
	=	0.140298	/	0.132949
	=	1.0553

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI	=	GrossMargin_t-1	/	GrossMargin_t
	=	(GrossProfit_t-1 / Revenue_t-1)	/	(GrossProfit_t / Revenue_t)
	=	(31822.38 / 37702.787)	/	(42334.285 / 49773.155)
	=	0.844033	/	0.850545
	=	0.9923

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than Property, Plant and Equipment to Total Assets.

AQI	=	(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t)	/	(1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
	=	(1 - (54925.634 + 6890.619) / 79164.754)	/	(1 - (31767.984 + 6015.707) / 52134.569)
	=	0.219144	/	0.275266
	=	0.7961

4. SGI = Sales Growth Index

Ratio of Revenue in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI	=	Sales_t	/	Sales_t-1
	=	Revenue_t	/	Revenue_t-1
	=	49773.155	/	37702.787
	=	1.3201

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI	=	(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1))	/	(Depreciation_t / (Depreciaton_t + PPE_t))
	=	(1262.886 / (1262.886 + 6015.707))	/	(1843.526 / (1843.526 + 6890.619))
	=	0.173507	/	0.211071
	=	0.822

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI	=	(SGA_t / Sales_t)	/	(SGA_t-1 /Sales_t-1)
	=	(28730.058 / 49773.155)	/	(22902.65 / 37702.787)
	=	0.57722	/	0.607452
	=	0.9502

7. LVGI = Leverage Index

The ratio of total debt to Total Assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase in leverage

LVGI	=	((LTD_t + CurrentLiabilities_t) / TotalAssets_t)	/	((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
	=	((5308.589 + 32814.338) / 79164.754)	/	((12777.654 + 15989.877) / 52134.569)
	=	0.481564	/	0.551794
	=	0.8727

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA	=	(IncomefromContinuingOperations_t	-	CashFlowsfromOperations_t)	/	TotalAssets_t
	=	(NetIncome_t - NonOperatingIncome_t	-	CashFlowsfromOperations_t)	/	TotalAssets_t
	=	(98.352 - 224.753	-	11458.182)	/	79164.754
	=	-0.146335

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

HubSpot has a M-score of -2.89 suggests that the company is unlikely to be a manipulator.

HubSpot Beneish M-Score Related Terms

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HubSpot Business Description

Industry

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Traded in Other Exchanges

HUBS:USA 0TZZ:UK 096:Germany H2UB34:Brazil

Address

Two Canal Park, Cambridge, MA, USA, 02141

Website

https://www.hubspot.com

HubSpot provides a cloud-based marketing, sales, and customer service software platform referred to as the growth platform. The applications are available ala carte or packaged together. HubSpot's mission is to help companies grow better and has expanded from its initial focus on inbound marketing to embrace marketing, sales, and service more broadly. The company was founded in 2006, completed its initial public offering in 2014, and is headquartered in Cambridge, Massachusetts.