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Hubbell B (HUBB)
NYSE:HUBB

Hubbell B (HUBB) AI Stock Analysis

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HUBB

Hubbell B

(NYSE:HUBB)

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Outperform 77 (OpenAI - 4o)
Rating:77Outperform
Price Target:
$501.00
▲(11.79% Upside)
Hubbell B's strong financial performance and positive earnings call guidance are significant strengths, supporting a robust overall score. Technical indicators suggest potential short-term volatility, and the stock's valuation appears high relative to peers, which slightly tempers the overall outlook.
Positive Factors
Revenue Growth
Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term business expansion.
Strategic Acquisition
The acquisition of DMC Power strengthens Hubbell's position in high voltage power infrastructure, potentially boosting future earnings and market share.
Cash Flow Generation
Strong cash flow generation enhances financial flexibility, enabling investment in growth opportunities and debt management.
Negative Factors
Rising Debt Levels
Higher debt levels can strain cash flow and limit financial flexibility, impacting long-term stability if not managed carefully.
Utility Segment Challenges
Challenges in the Utility segment may hinder overall growth, requiring strategic adjustments to maintain competitiveness.
Leadership Transition
Leadership changes can introduce uncertainty; however, continuity in financial strategy is expected with the new CFO's experience.

Hubbell B (HUBB) vs. SPDR S&P 500 ETF (SPY)

Hubbell B Business Overview & Revenue Model

Company DescriptionHubbell Incorporated, together with its subsidiaries, designs, manufactures, and sells electrical and electronic products in the United States and internationally. It operates through two segments, Electrical Solution and Utility Solution. The Electrical Solution segment offers standard and special application wiring device products, rough-in electrical products, connector and grounding products, lighting fixtures, and other electrical equipment for use in industrial, commercial, and institutional facilities by electrical contractors, maintenance personnel, electricians, utilities, and telecommunications companies, as well as components and assemblies for the natural gas distribution market. It also designs and manufactures various industrial controls, and communication systems for use in the non-residential and industrial markets, as well as in the oil and gas, and mining industries. This segment sells its products through electrical and industrial distributors, home centers, retail and hardware outlets, lighting showrooms, and residential product-oriented Internet sites; and special application products primarily through wholesale distributors to contractors, industrial customers, and original equipment manufacturers. The Utility Solution segment designs, manufactures, and sells distribution, transmission, substation, and telecommunications products, such as arresters, insulators, connectors, anchors, bushings, and enclosures; and utility infrastructure products, including smart meters, communications systems, and protection and control devices. This segment sells its products to distributors, as well as directly to users, such as utilities, telecommunication companies, industrial firms, and construction and engineering firms. Its brand portfolio includes Hubbell, Kellems, Bryant, Burndy, CMC, Bell, TayMac, Wiegmann, Killark, Hawke, Aclara, Fargo, Quazite, Hot Box, etc. The company was founded in 1888 and is headquartered in Shelton, Connecticut.
How the Company Makes MoneyHubbell generates revenue primarily through the sale of its electrical and lighting products across multiple sectors. The company's revenue model is based on direct sales to contractors, utilities, and distributors, as well as through partnerships with other manufacturers and service providers. Key revenue streams include the Electrical segment, which contributes a significant portion of sales through products like circuit breakers, wiring devices, and lighting fixtures. The Utility Solutions segment also plays a crucial role, providing products and services for utility infrastructure, including transformers and smart grid solutions. Additionally, Hubbell benefits from strategic partnerships and collaborations that enhance its product offerings and market reach, contributing to its overall earnings.

Hubbell B Key Performance Indicators (KPIs)

Any
Any
Operating Income by Segment
Operating Income by Segment
Reveals profitability across segments, showing which parts of the business are most efficient and contributing to the bottom line.
Chart Insights
Data provided by:The Fly

Hubbell B Earnings Call Summary

Earnings Call Date:Jul 29, 2025
(Q2-2025)
|
% Change Since: |
Next Earnings Date:Feb 03, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted strong organic growth and operating margin expansion, a positive full year outlook, and successful adoption of FIFO accounting. However, challenges such as grid automation weakness, tariff impacts, and Aclara segment decline were noted.
Q2-2025 Updates
Positive Updates
Strong Organic Growth in Key Segments
Hubbell delivered double-digit adjusted earnings per share growth in the second quarter, driven by strong organic growth in Grid Infrastructure and Electrical Solutions. Grid Infrastructure saw 7% organic growth, and Electrical Solutions delivered mid-single-digit organic growth.
Operating Margin Expansion
Year-over-year adjusted operating margin expanded by 120 basis points, supported by favorable mix dynamics and effective price/cost management.
Increased Full Year Outlook
Hubbell raised its full-year adjusted earnings per share outlook to a range of $17.65 to $18.15, reflecting confidence in achieving strong financial performance.
Successful Transition to FIFO Accounting
The adoption of a unified FIFO-based inventory accounting standard led to a $29 million decrease in COGS in Q2, contributing $0.30 to EPS in the first half.
Strong Order Book
Grid infrastructure orders remained strong, up high teens year-over-year in the first half, supporting expectations for continued growth.
Negative Updates
Grid Automation Weakness
Grid automation segment experienced a 13% contraction due to roll-off of large projects and backlog issues.
Impact of Tariffs and Raw Material Inflation
Raw material inflation and tariffs are driving incremental cost inflation, requiring proactive price and productivity adjustments.
Aclara Segment Challenges
Aclara, part of the grid automation segment, faced a 20% decline due to roll-off of large projects and backlog normalization.
Company Guidance
During Hubbell's Second Quarter 2025 Earnings Conference Call, the company reported robust financial performance, highlighting double-digit adjusted earnings per share growth and a 120 basis point year-over-year increase in adjusted operating margin. The call revealed a 7% organic growth in grid infrastructure within Utility Solutions and mid-single-digit organic growth in Electrical Solutions, with a notable 9% rise in adjusted operating profit. The company raised its full-year adjusted EPS outlook to $17.65-$18.15, indicating confidence in navigating macroeconomic and inflationary challenges. Hubbell transitioned to a FIFO-based inventory accounting to enhance cost consistency, resulting in a $29 million decrease in COGS for the second quarter. The company also noted strong order performance in grid infrastructure, with orders up high teens year-over-year in the first half, supporting expectations for continued organic growth in the latter half of the year.

Hubbell B Financial Statement Overview

Summary
Hubbell B demonstrates strong financial health with consistent revenue and profit growth, efficient cost management, and robust cash flow generation. The company maintains a balanced leverage position, although rising debt levels warrant attention.
Income Statement
85
Very Positive
Hubbell B has shown strong revenue growth with a TTM (Trailing-Twelve-Months) increase of 6.3%. The gross profit margin is healthy at 35.1%, indicating efficient cost management. Net profit margin has improved to 15.2%, reflecting enhanced profitability. However, the EBIT margin has slightly decreased from the previous year, suggesting potential cost pressures or operational inefficiencies.
Balance Sheet
78
Positive
The company's debt-to-equity ratio is stable at 0.54, indicating a balanced approach to leveraging. Return on equity is robust at 25.3%, showcasing effective use of shareholder funds. The equity ratio stands at 49.1%, reflecting a solid equity base. However, the increase in total debt over the years could pose future risks if not managed carefully.
Cash Flow
82
Very Positive
Hubbell B's free cash flow growth rate is impressive at 8.3%, indicating strong cash generation capabilities. The operating cash flow to net income ratio is 0.49, suggesting a moderate conversion of income to cash. The free cash flow to net income ratio is high at 83.8%, highlighting efficient cash management. Nonetheless, the operating cash flow coverage ratio has decreased, which could impact liquidity if the trend continues.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue5.69B5.63B5.37B4.95B4.19B3.68B
Gross Profit2.00B1.90B1.89B1.47B1.15B1.09B
EBITDA1.34B1.29B1.17B855.10M663.10M629.10M
Net Income866.40M777.80M759.80M545.90M399.50M351.20M
Balance Sheet
Total Assets7.53B6.68B6.91B5.40B5.28B5.09B
Cash, Cash Equivalents and Short-Term Investments680.90M345.00M348.70M454.80M295.60M267.90M
Total Debt2.15B1.72B2.29B1.56B1.53B1.69B
Total Liabilities3.83B3.40B4.02B3.03B3.04B3.00B
Stockholders Equity3.69B3.27B2.88B2.36B2.23B2.07B
Cash Flow
Free Cash Flow850.30M810.80M715.10M453.90M453.60M559.60M
Operating Cash Flow1.01B991.20M880.80M583.20M543.80M648.00M
Investing Cash Flow-294.50M-59.10M-1.38B16.40M-77.80M-328.80M
Financing Cash Flow-489.60M-923.40M388.50M-437.10M-433.00M-244.20M

Hubbell B Technical Analysis

Technical Analysis Sentiment
Positive
Last Price448.18
Price Trends
50DMA
434.03
Positive
100DMA
432.70
Positive
200DMA
400.37
Positive
Market Momentum
MACD
-0.30
Negative
RSI
53.40
Neutral
STOCH
74.92
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HUBB, the sentiment is Positive. The current price of 448.18 is above the 20-day moving average (MA) of 429.98, above the 50-day MA of 434.03, and above the 200-day MA of 400.37, indicating a bullish trend. The MACD of -0.30 indicates Negative momentum. The RSI at 53.40 is Neutral, neither overbought nor oversold. The STOCH value of 74.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HUBB.

Hubbell B Risk Analysis

Hubbell B disclosed 25 risk factors in its most recent earnings report. Hubbell B reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Hubbell B Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
77
Outperform
$23.46B27.3825.08%1.23%0.82%16.05%
77
Outperform
$11.40B29.7015.54%0.18%13.14%-6.09%
77
Outperform
$5.43B17.2018.22%0.67%6.17%20.86%
76
Outperform
$17.28B29.518.57%0.74%5.31%5.76%
67
Neutral
$8.37B58.3611.80%0.18%17.18%235.76%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
52
Neutral
$2.15B-1.11%2.07%-10.98%-103.99%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HUBB
Hubbell B
438.70
-12.31
-2.73%
AYI
Acuity Brands
371.00
48.25
14.95%
AEIS
Advanced Energy
221.27
103.76
88.30%
ENS
EnerSys
150.88
56.42
59.73%
ATKR
Atkore International Group
63.41
-23.52
-27.06%
NVT
nVent Electric
107.42
32.93
44.21%

Hubbell B Corporate Events

Private Placements and FinancingBusiness Operations and Strategy
Hubbell B Completes $400M Senior Notes Offering
Neutral
Nov 14, 2025

On November 14, 2025, Hubbell B completed a public offering of $400 million in 4.800% Senior Notes due 2035, with net proceeds of approximately $392 million after expenses. The company plans to use these funds, along with cash on hand, to fully redeem its outstanding 3.350% Senior Notes due 2026, with a redemption date set for December 1, 2025. This strategic financial move aims to manage the company’s debt obligations effectively, potentially impacting its financial stability and market positioning.

Private Placements and FinancingBusiness Operations and Strategy
Hubbell B Announces $400 Million Senior Notes Offering
Neutral
Nov 4, 2025

On October 30, 2025, Hubbell Incorporated announced an underwriting agreement for a public offering of $400 million in 4.800% Senior Notes due 2035. The proceeds from this offering, expected to close on November 14, 2025, will be used to redeem the company’s outstanding 3.350% Senior Notes due 2026. This strategic move is part of Hubbell’s financial management strategy, aiming to optimize its debt structure and potentially improve its market positioning.

Private Placements and FinancingM&A TransactionsBusiness Operations and Strategy
Hubbell B Acquires DMC Power to Boost Infrastructure
Positive
Oct 1, 2025

On October 1, 2025, Hubbell completed the acquisition of DMC Power, a company specializing in connectors and tooling for utility substation and transmission markets. The acquisition was financed through a $600 million unsecured term loan agreement with a syndicate of lenders, including JPMorgan Chase Bank, N.A. This strategic move is expected to strengthen Hubbell’s position in the high voltage power infrastructure sector, expanding its capabilities with DMC Power’s expertise and manufacturing facilities in Carson, CA, and Olive Branch, MS.

Executive/Board Changes
Hubbell B Announces CFO Retirement and Successor
Neutral
Sep 10, 2025

On September 10, 2025, Hubbell Incorporated announced the retirement of its long-serving Chief Financial Officer, William R. Sperry, effective December 31, 2025. Joseph A. Capozzoli, currently Vice President of Finance for Hubbell’s Electrical Solutions segment, will succeed Sperry as Senior Vice President and CFO starting January 1, 2026. Capozzoli has been with Hubbell since 2013 and has held various leadership roles, contributing significantly to the company’s financial performance and strategic initiatives. This leadership transition is expected to ensure continuity and further strengthen Hubbell’s financial strategies and stakeholder value.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 09, 2025