Hubbell B (HUBB) AI Stock Analysis

• Market Cap: $27.20B
• Dividend Yield: 1.18%
• Average Volume (3M): 556.24K
• Price to Earnings (P/E): 30.9
• Beta (1Y): 1.23
• Revenue Growth: 0.82%
• EPS Growth: 16.05%
• Country: US
• Employees: 17,700
• Sector: Industrials
• Sector Strength: 72
• Industry: Electrical Equipment & Parts
• EPS (TTM): 4.73
• Shares Outstanding: 53,161,602
• 10 Day Avg. Volume: 480,920
• 30 Day Avg. Volume: 556,239
• PEG Ratio: 1.78
• Price to Book (P/B): 6.14
• Price to Sales (P/S): 4.04
• P/FCF Ratio: 27.03
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 5.02
• Enterprise Value/Gross Profit: 14.13
• Enterprise Value/Ebitda: 20.98
• 1Y Price Target: $542.63
• Price Target Upside: 3.52% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 9
• EPS Forecast (FY): 19.72
• Revenue Forecast (FY): $6.32B

• Rating: 79 Outperform
• Price Target: $558.00 ▲(6.45% Upside)
• Action: Reiterated Date: 02/05/26
• Date: Action: Reiterated 02/05/26

The score is driven primarily by strong financial performance (multi-year growth, higher margins, and robust free cash flow) and supportive 2026 guidance with continued margin and cash-conversion targets. Technicals are also constructive with an established uptrend. The main offset is valuation, with a relatively high P/E and only a modest dividend yield, alongside noted risks around cash conversion variability, higher 2025 debt, and pockets of end-market softness.

Positive Factors

Multi-year Revenue & Margin Expansion

Sustained top-line growth coupled with meaningful gross and net margin expansion indicates durable pricing power and scalable operations. Over multiple years this supports higher operating leverage, better profitability across cycles, and stronger reinvestment capacity for product and capacity expansion.

Strong Cash Generation & Conversion

Consistently strong operating cash flow and near‑complete conversion to free cash flow provide durable internal funding for capex, M&A, and shareholder returns. This cash profile reduces reliance on external financing and supports strategic flexibility across multi‑quarter planning horizons.

Accretive M&A & Capacity Investments

Targeted acquisitions and automation investments expand high‑margin product mix and scalable capacity. An accretive purchase like DMC Power accelerates access to premium margins and complementary end markets, enhancing long‑term revenue diversification and structural operating margin potential.

Negative Factors

Higher Absolute Debt Level

An increase in debt balances and recent note issuance raise interest and refinancing exposure, trimming financial flexibility. If growth or cash conversion softens, elevated debt can constrain discretionary spending, raise leverage ratios, and increase sensitivity to rate or margin pressure over the coming quarters.

Cash Conversion Volatility

Working‑capital and timing variability that produce inconsistent cash conversion create persistent execution risk for multi‑quarter planning. Variable cash conversion can force short‑term financing, complicate capital allocation, and magnify profit volatility even when underlying EBITDA remains stable.

End‑Market & Portfolio Headwinds

Structural weakness in specific end markets and a challenged automation portfolio reduce diversity of durable demand and may depress growth in affected segments. Remedial reshaping and softer industrial/nonresidential demand can weigh on near‑to‑medium term revenue stability and require sustained remediation or repositioning.

Hubbell B Business Overview & Revenue Model

Company Description

Hubbell 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 Money

Hubbell 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 Financial Statement Overview

Summary

Strong multi-year revenue growth and meaningful margin expansion (gross margin up to ~35.5% in 2025; net margin ~15.2%) support high-quality profitability. Free cash flow is robust (~$875M in 2025) with solid earnings conversion (~0.85x net income), but cash conversion vs EBIT has been inconsistent and debt increased in 2025, adding some balance-sheet risk.

Income Statement

Revenue has expanded steadily from $3.68B (2020) to $5.84B (2025), with growth positive in each of the last five years after a 2020 dip. Profitability has improved meaningfully: gross margin rose to ~35.5% (2025) from ~29.5% (2020) and net margin increased to ~15.2% from ~9.5%, signaling strong pricing/operating leverage. A watch item is that 2025 revenue growth is modest versus prior years, suggesting a slower top-line pace even as margins remain strong.

Balance Sheet

Leverage is moderate overall, with debt-to-equity around 0.60 in 2025 (improved from ~0.80 in 2023 and ~0.82 in 2020), indicating a healthier capital structure trend. Returns are strong, with return on equity consistently high (~18%–26%) and ~23% in 2025, reflecting efficient use of shareholder capital. The main concern is debt stepped up in 2025 (to ~$2.33B from ~$1.72B in 2024), which could reduce flexibility if conditions soften.

Cash Flow

Cash generation is solid and improving: operating cash flow rose to ~$1.03B (2025) from ~$0.65B (2020), and free cash flow reached ~$875M (2025) with positive growth. Free cash flow tracks earnings reasonably well (about ~0.85x net income in 2025), supporting earnings quality. However, cash conversion is not consistently strong—operating cash flow has covered a smaller share of EBIT (roughly ~0.54x–0.78x across years, ~0.68x in 2025), pointing to working-capital or cash timing volatility.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	5.84B	5.63B	5.37B	4.95B	4.19B
Gross Profit	2.07B	1.90B	1.89B	1.47B	1.15B
EBITDA	1.34B	1.29B	1.17B	855.10M	663.10M
Net Income	887.10M	777.80M	759.80M	545.90M	399.50M
Balance Sheet
Total Assets	8.23B	6.68B	6.91B	5.40B	5.28B
Cash, Cash Equivalents and Short-Term Investments	497.90M	345.00M	348.70M	454.80M	295.60M
Total Debt	2.61B	1.72B	2.29B	1.56B	1.53B
Total Liabilities	4.37B	3.40B	4.02B	3.03B	3.04B
Stockholders Equity	3.85B	3.27B	2.88B	2.36B	2.23B
Cash Flow
Free Cash Flow	874.70M	810.80M	715.10M	453.90M	453.60M
Operating Cash Flow	1.03B	991.20M	880.80M	583.20M	543.80M
Investing Cash Flow	-1.09B	-59.10M	-1.38B	16.40M	-77.80M
Financing Cash Flow	203.60M	-923.40M	388.50M	-437.10M	-433.00M

Hubbell B Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 524.19
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: 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 524.19 is above the 20-day moving average (MA) of 511.24, above the 50-day MA of 483.33, and above the 200-day MA of 437.18, indicating a bullish trend. The MACD of 12.67 indicates Positive momentum. The RSI at 62.58 is Neutral, neither overbought nor oversold. The STOCH value of 71.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HUBB.

Hubbell B Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HUBB	79 Outperform	$27.20B	30.91	25.07%	1.18%	0.82%	16.05%
ENS	77 Outperform	$6.12B	20.57	16.74%	0.67%	6.17%	20.86%
NVT	77 Outperform	$19.14B	45.47	12.30%	0.84%	5.31%	5.76%
AEIS	74 Outperform	$12.67B	87.28	11.64%	0.18%	17.18%	235.76%
AYI	70 Outperform	$9.25B	23.21	15.61%	0.18%	13.14%	-6.09%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
ATKR	55 Neutral	$2.18B	-46.52	-3.23%	2.02%	-10.98%	-103.99%

Hubbell B Corporate Events

Hubbell B Completes $400M Senior Notes Offering

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.

The most recent analyst rating on (HUBB) stock is a Buy with a $500.00 price target. To see the full list of analyst forecasts on Hubbell B stock, see the HUBB Stock Forecast page.