HubSpot vs Shopify Which Is More Reliable?

HubSpot and Shopify are two prominent companies in the technology sector that have garnered significant attention from investors. HubSpot is a provider of inbound marketing and sales software, while Shopify is an e-commerce platform that allows businesses to create online stores. Both companies have seen strong growth in their respective markets, but there are key differences in their business models and revenue streams. Investors are closely watching to see which company will outperform the other in the stock market.

HubSpot or Shopify?

When comparing HubSpot and Shopify, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between HubSpot and Shopify.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. HubSpot has a dividend yield of -%, while Shopify has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. HubSpot reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Shopify reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with HubSpot P/E ratio at -2651.10 and Shopify's P/E ratio at 105.87. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. HubSpot P/B ratio is 21.12 while Shopify's P/B ratio is 14.47.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, HubSpot has seen a 5-year revenue growth of 2.26%, while Shopify's is 4.42%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with HubSpot's ROE at -0.91% and Shopify's ROE at 14.85%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $707.58 for HubSpot and $112.69 for Shopify. Over the past year, HubSpot's prices ranged from $434.84 to $762.47, with a yearly change of 75.34%. Shopify's prices fluctuated between $48.56 and $120.72, with a yearly change of 148.60%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.