NYSE:HUBB

Stock Analysis Report

Executive Summary

Hubbell Incorporated designs, manufactures, and sells electrical and electronic products in the United States and internationally.

Snowflake

Outstanding track record established dividend payer.


Similar Companies

Share Price & News

How has Hubbell's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HUBB has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.6%

HUBB

0.8%

US Electrical

0.4%

US Market


1 Year Return

37.3%

HUBB

14.8%

US Electrical

13.1%

US Market

Return vs Industry: HUBB exceeded the US Electrical industry which returned 14.8% over the past year.

Return vs Market: HUBB exceeded the US Market which returned 13.1% over the past year.


Shareholder returns

HUBBIndustryMarket
7 Day1.6%0.8%0.4%
30 Day8.8%10.3%4.0%
90 Day16.1%20.9%7.4%
1 Year41.3%37.3%17.4%14.8%15.6%13.1%
3 Year42.0%31.4%35.7%28.1%48.2%38.6%
5 Year51.7%34.0%46.1%31.1%62.6%44.6%

Price Volatility Vs. Market

How volatile is Hubbell's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Hubbell undervalued compared to its fair value and its price relative to the market?

20.64x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: HUBB ($146.33) is trading above our estimate of fair value ($121.77)

Significantly Below Fair Value: HUBB is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: HUBB is poor value based on its PE Ratio (20.6x) compared to the Electrical industry average (17.2x).

PE vs Market: HUBB is poor value based on its PE Ratio (20.6x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: HUBB is poor value based on its PEG Ratio (2.8x)


Price to Book Ratio

PB vs Industry: HUBB is overvalued based on its PB Ratio (4.2x) compared to the US Electrical industry average (1.6x).


Next Steps

Future Growth

How is Hubbell forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

7.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: HUBB's forecast earnings growth (7.4% per year) is above the savings rate (2.7%).

Earnings vs Market: HUBB's earnings (7.4% per year) are forecast to grow slower than the US market (14.3% per year).

High Growth Earnings: HUBB's earnings are forecast to grow, but not significantly.

Revenue vs Market: HUBB's revenue (3.2% per year) is forecast to grow slower than the US market (7.3% per year).

High Growth Revenue: HUBB's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HUBB's Return on Equity is forecast to be high in 3 years time (22.2%)


Next Steps

Past Performance

How has Hubbell performed over the past 5 years?

2.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HUBB has high quality earnings.

Growing Profit Margin: HUBB's current net profit margins (8.3%) are higher than last year (6.9%).


Past Earnings Growth Analysis

Earnings Trend: HUBB's earnings have grown by 2.3% per year over the past 5 years.

Accelerating Growth: HUBB's earnings growth over the past year (32.2%) exceeds its 5-year average (2.3% per year).

Earnings vs Industry: HUBB earnings growth over the past year (32.2%) exceeded the Electrical industry 8.6%.


Return on Equity

High ROE: HUBB's Return on Equity (20.5%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Hubbell's financial position?


Financial Position Analysis

Short Term Liabilities: HUBB's short term assets ($1.8B) exceeds its short term liabilities ($866.2M)

Long Term Liabilities: HUBB's short term assets (1.8B) do not cover its long term liabilities (2.3B)


Debt to Equity History and Analysis

Debt Level: HUBB's debt to equity ratio (91.4%) is considered high

Reducing Debt: HUBB's debt to equity ratio has increased from 29.4% to 91.4% over the past 5 years.

Debt Coverage: HUBB's debt is well covered by operating cash flow (32.2%).

Interest Coverage: HUBB's interest payments on its debt are well covered by EBIT (8.6x coverage).


Balance Sheet

Inventory Level: HUBB has a high level of physical assets or inventory.

Debt Coverage by Assets: HUBB's debt is covered by short term assets (assets are 1x debt).


Next Steps

Dividend

What is Hubbell's current dividend yield, its reliability and sustainability?

2.49%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Hubbell before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield vs Market

company2.5%marketbottom25%1.4%markettop25%3.7%industryaverage2.2%forecastin3Years2.4%

Current dividend yield vs market & industry

Notable Dividend: HUBB's dividend (2.49%) is higher than the bottom 25% of dividend payers in the US market (1.43%).

High Dividend: HUBB's dividend (2.49%) is low compared to the top 25% of dividend payers in the US market (3.66%).


Stability and Growth of Payments

Stable Dividend: HUBB's dividends per share have been stable in the past 10 years.

Growing Dividend: HUBB's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.4%), HUBB's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: HUBB's dividends in 3 years are forecast to be well covered by earnings (37.6% payout ratio).


Next Steps

Management

What is the CEO of Hubbell's salary, the management and board of directors tenure and is there insider trading?

4.4yrs

Average management tenure


CEO

Dave Nord (61yo)

6.8yrs

Tenure

US$7,620,663

Compensation

Mr. David G. Nord, also known as Dave, has been Chief Executive Officer of Hubbell Inc. since January 1, 2013 and served as its President since June 6, 2012 until June 2019. Mr. Nord has been a Director of ...


CEO Compensation Analysis

Compensation vs Market: Dave's total compensation ($USD7.62M) is about average for companies of similar size in the US market ($USD6.77M).

Compensation vs Earnings: Dave's compensation has been consistent with company performance over the past year.


Management Age and Tenure

4.4yrs

Average Tenure

54.5yo

Average Age

Experienced Management: HUBB's management team is considered experienced (4.4 years average tenure).


Board Age and Tenure

6.3yrs

Average Tenure

61yo

Average Age

Experienced Board: HUBB's board of directors are considered experienced (6.3 years average tenure).


Insider Trading

Insider Buying: HUBB insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$250,78505 Nov 19
Stephen Mais
EntityIndividual
Role
Head of Human Resources
Senior Vice President of Human Resources
Shares1,750
Max PriceUS$143.35
SellUS$194,29906 Aug 19
Kevin Poyck
EntityIndividual
Role
Unit President
Group President of Lighting
Shares1,522
Max PriceUS$127.66
SellUS$254,82206 Aug 19
Stephen Mais
EntityIndividual
Role
Head of Human Resources
Senior Vice President of Human Resources
Shares2,000
Max PriceUS$127.41
BuyUS$62,88506 Aug 19
Neal Keating
EntityIndividual
Role
Member of the Board of Directors
Indpenedent Director
Shares500
Max PriceUS$125.84
SellUS$30,13420 May 19
Kevin Poyck
EntityIndividual
Role
Unit President
Group President of Lighting
Shares247
Max PriceUS$122.00
SellUS$259,95907 May 19
Rodd Ruland
EntityIndividual
Role
Unit President
Group President of Construction & Energy
Shares2,000
Max PriceUS$129.98
SellUS$807,70507 May 19
David Nord
EntityIndividual
Role
Chief Executive Officer
Chairman & CEO
Shares6,219
Max PriceUS$129.88
SellUS$84,04007 May 19
Stephen Mais
EntityIndividual
Role
Head of Human Resources
Senior Vice President of Human Resources
Shares648
Max PriceUS$129.69

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Dave Nord (61yo)

    Chairman & CEO

    • Tenure: 6.8yrs
    • Compensation: US$7.62m
  • Stephen Mais (55yo)

    Senior Vice President of Human Resources

    • Tenure: 3.5yrs
  • Darrin Wegman (51yo)

    Group President of Commercial & Industrial

    • Tenure: 4.4yrs
    • Compensation: US$1.37m
  • Bill Sperry (57yo)

    Executive VP

    • Tenure: 7.4yrs
    • Compensation: US$2.56m
  • Joe Capozzoli (44yo)

    VP, Controller & Principal Accounting Officer

    • Tenure: 0yrs
  • Gerben Bakker (54yo)

    President & COO

    • Tenure: 0.4yrs
    • Compensation: US$1.97m
  • Dan Innamorato

    Director of Investor Relations

    • Tenure: 0yrs
  • Kevin Poyck (49yo)

    Group President of Lighting

    • Tenure: 4.4yrs
  • Rodd Ruland (61yo)

    Group President of Construction & Energy

    • Tenure: 4.4yrs
    • Compensation: US$1.74m
  • Katherine Lane

    VP, General Counsel & Corporate Secretary

    • Tenure: 0yrs

Board Members

  • Steve Shawley (66yo)

    Independent Director

    • Tenure: 5.8yrs
    • Compensation: US$219.91k
  • Dave Nord (61yo)

    Chairman & CEO

    • Tenure: 6.8yrs
    • Compensation: US$7.62m
  • John Russell (61yo)

    Independent Director

    • Tenure: 8.3yrs
    • Compensation: US$231.91k
  • Neal Keating (64yo)

    Indpenedent Director

    • Tenure: 9.2yrs
    • Compensation: US$214.91k
  • Carlos Cardoso (61yo)

    Independent Director

    • Tenure: 6.8yrs
    • Compensation: US$231.91k
  • John Malloy (64yo)

    Independent Director

    • Tenure: 8.4yrs
    • Compensation: US$217.91k
  • Judy Marks (55yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$209.91k
  • Tony Guzzi (55yo)

    Lead Director

    • Tenure: 0yrs
    • Compensation: US$233.25k
  • Bonnie Cruickshank-Lind (61yo)

    Independent Director

    • Tenure: 0.8yrs

Company Information

Hubbell Incorporated's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hubbell Incorporated
  • Ticker: HUBB
  • Exchange: NYSE
  • Founded: 1888
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: US$7.958b
  • Shares outstanding: 54.39m
  • Website: https://www.hubbell.com

Number of Employees


Location

  • Hubbell Incorporated
  • 40 Waterview Drive
  • Shelton
  • Connecticut
  • 6484
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HUECDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
HUBBNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
HUBB *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1968

Biography

Hubbell Incorporated designs, manufactures, and sells electrical and electronic products in the United States and internationally. It operates through two segments, Electrical and Power. The Electrical seg ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/14 00:19
End of Day Share Price2019/11/13 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.