What happened

Shares of HubSpot (NYSE:HUBS) gained 35.9% in November, according to data from S&P Global Market Intelligence. The digital marketing software hub gained after both strong earnings that beat analysts' expectations, as well as general market enthusiasm following the November U.S. elections. It has been an amazing year for HubSpot, whose stock price is up a whopping 144.3% for 2020.

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So what

In its third quarter, HubSpot reported hefty 31.6% revenue gains, and adjusted (non-GAAP) EPS of $0.28, with both figures beating expectations. Management also forecasts much-better-than-expected results for the fourth quarter.

Importantly, while revenue impressed, HubSpot had even greater 39% growth in customers -- a great sign, since its core small- and middle-market customers often start small and then upgrade their purchases with HubSpot over time. CEO Brian Halligan said, "The year is not over, but I believe the growth we've seen in the third quarter is both a sign of the ongoing digital transformation of the mid-market and a reflection of newly heightened expectations when it comes to how easy CRM platforms need to be to match rapidly changing times."

While many tend to associate small businesses with things like restaurants and gyms that are hurting right now, many small businesses are law firms, dentist and doctors' offices, investment advisors, or other white-collar jobs that are rapidly digitizing their communications with customers. This digitization of online marketing has accelerated due to the pandemic, so HubSpot is actually reaping a net benefit from coronavirus, like many other digital transformation software stocks.

Additionally, HubSpot continues to delight customers and expanding its product portfolio, growing from just a digital marketing software suite to a full customer relationship management platform with an enterprise-grade backend that ties together marketing, sales automation, accounting, and other modules needed to run a digital business.