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Relative valuation derived from Technology sector median benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Multiples adjusted for extreme outliers and non-recurring volatility.
Auditing capital efficiency...
Quality Profile Audit
Score: 50GRADE C+
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation.
Return on Equity
Profit generated per dollar of shareholder equity
23.0%
Sector: -1.4%
Dividend Analysis audit
GROWTH
1.23%
Trailing Yield
$1.23
Per $100 Invested
Modest dividend — capital prioritized for reinvestment.
Est. Payout Ratio
39%SAFE
Analyst Projections
Analyst Consensus
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Based on our 6-factor quantitative model, HUBBELL INC (HUBB) receives a "Hold" rating with a composite score of 50.9/100, ranked #1304 out of 4446 stocks. Key factor scores: Quality 50/100, Value 58/100, Momentum 61/100. This is quantitative analysis only — not investment advice.
HUBBELL INC (HUBB) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does HUBBELL INC Do?
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. HUBBELL INC (HUBB) is classified as a large-cap stock in the Technology sector, specifically within the Electronic Equipment industry. The company is led by CEO Gerben Wilhelm Marinus Bakker and employs approximately 16,300 people, headquartered in Shelton, Connecticut. With a market capitalization of $26.5B, HUBB is one of the prominent companies in the Technology sector.
HUBBELL INC (HUBB) Stock Rating — Hold (April 2026)
As of April 2026, HUBBELL INC receives a Hold rating with a composite score of 50.9/100 and 3 out of 5 stars from the Blank Capital Research quantitative model.HUBB ranks #1,304 out of 4,446 stocks in our coverage universe. Within the Technology sector, HUBBELL INC ranks #143 of 584 stocks, placing it in the top quartile of its Technology peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
HUBB Stock Price and 52-Week Range
HUBBELL INC (HUBB) currently trades at $536.01. The stock gained $1.34 (0.3%) in the most recent trading session. The 52-week high for HUBB is $533.80, which means the stock is currently trading 0.4% from its annual peak. The 52-week low is $299.43, putting the stock 79.0% above its annual trough. Recent trading volume was 431K shares, suggesting relatively thin trading activity.
Is HUBB Overvalued or Undervalued? — Valuation Analysis
HUBBELL INC (HUBB) carries a value factor score of 58/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 31.49x, compared to the Technology sector average of 45.27x — a discount of 30%. The price-to-book ratio stands at 7.25x, versus the sector average of 3.16x. The price-to-sales ratio is 4.82x, compared to 1.06x for the average Technology stock. On an enterprise value basis, HUBB trades at 23.11x EV/EBITDA, versus 12.79x for the sector.
Overall, HUBB's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.
HUBBELL INC Profitability — ROE, Margins, and Quality Score
HUBBELL INC (HUBB) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 23.0%, compared to the Technology sector average of -1.4%, which demonstrates strong shareholder value creation. Return on assets (ROA) comes in at 10.8% versus the sector average of -1.0%.
On a margin basis, HUBBELL INC reports gross margins of 35.1%, compared to 50.9% for the sector. The operating margin is 20.8% (sector: -0.5%). Net profit margin stands at 15.3%, versus -1.5% for the average Technology stock. Revenue growth is running at 3.4% on a trailing basis, compared to 14.2% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
HUBB Debt, Balance Sheet, and Financial Health
HUBBELL INC has a debt-to-equity ratio of 113.0%, compared to the Technology sector average of 43.0%. Leverage is within a manageable range for the industry, though investors should monitor debt trends over time. The current ratio is 1.72x, suggesting adequate working capital coverage. Total debt on the balance sheet is $2.00B. Cash and equivalents stand at $667M.
HUBB has a beta of 1.12, meaning it is roughly in line with the broader market in terms of price volatility. The stability factor score for HUBBELL INC is 73/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.
HUBBELL INC Revenue and Earnings History — Quarterly Trend
In TTM 2026, HUBBELL INC reported revenue of $5.79B and earnings per share (EPS) of $16.63. Net income for the quarter was $888M. Gross margin was 35.1%. Operating income came in at $1.21B.
In FY 2025, HUBBELL INC reported revenue of $5.84B and earnings per share (EPS) of $16.63. Net income for the quarter was $892M. Gross margin was 35.3%. Revenue grew 3.8% year-over-year compared to FY 2024. Operating income came in at $1.21B.
In Q3 2025, HUBBELL INC reported revenue of $1.50B and earnings per share (EPS) of $4.80. Net income for the quarter was $257M. Gross margin was 36.2%. Revenue grew 4.1% year-over-year compared to Q3 2024. Operating income came in at $331M.
In Q2 2025, HUBBELL INC reported revenue of $1.48B and earnings per share (EPS) of $4.58. Net income for the quarter was $246M. Gross margin was 37.2%. Revenue grew 2.2% year-over-year compared to Q2 2024. Operating income came in at $336M.
Over the past 8 quarters, HUBBELL INC has demonstrated a growth trajectory, with revenue expanding from $1.45B to $5.79B. Investors analyzing HUBB stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
HUBB Dividend Yield and Income Analysis
HUBBELL INC (HUBB) currently pays a dividend yield of 1.2%. At this yield, a $10,000 investment in HUBB stock would generate approximately $$123.00 in annual dividend income. With a net margin of 15.3%, the dividend appears well-covered by earnings, suggesting sustainable payouts going forward.
HUBB Momentum and Technical Analysis Profile
HUBBELL INC (HUBB) has a momentum factor score of 61/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 32/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 14/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
HUBB vs Competitors — Technology Sector Ranking and Peer Comparison
Comparing HUBB against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full HUBB vs S&P 500 (SPY) comparison to assess how HUBBELL INC stacks up against the broader market across all factor dimensions.
HUBB Next Earnings Date
No upcoming earnings date has been announced for HUBBELL INC (HUBB) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy HUBB? — Investment Thesis Summary
HUBBELL INC presents a balanced picture with arguments on both sides. Price momentum is positive at 61/100, suggesting the trend favors buyers. Low volatility (stability score 73/100) reduces downside risk.
In summary, HUBBELL INC (HUBB) earns a Hold rating with a composite score of 50.9/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on HUBB stock.
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Institutional Research Dossier
HUBBELL INC (HUBB) Deep Dive Analysis
Published on March 24, 2026
Action RatingHold
Sections
Executive Summary
Hubbell Incorporated (HUBB) receives a Hold rating, reflecting a balanced assessment of its strong profitability metrics and stable business model against a backdrop of moderate growth prospects and a valuation that appears fair but not compelling. While Hubbell demonstrates robust operational efficiency and returns, its growth trajectory lags behind the broader technology sector, and its free cash flow generation is currently negative, raising concerns about near-term financial flexibility.
The company's established position in electrical and utility solutions provides a degree of defensibility, but the lack of a clear catalyst for significant outperformance warrants a cautious stance. Investors should monitor Hubbell's ability to improve free cash flow, accelerate revenue growth, and effectively deploy capital to enhance shareholder value. The current valuation suggests limited upside potential, making a Hold rating appropriate until more definitive signs of improvement emerge.
Business Strategy & Overview
Hubbell operates through two primary segments: Electrical Solutions and Utility Solutions. The Electrical Solutions segment caters to industrial, commercial, and institutional facilities, offering a wide array of wiring devices, lighting fixtures, and industrial controls. This segment leverages a diverse distribution network, including electrical and industrial distributors, home centers, and online retailers, to reach a broad customer base. The Utility Solutions segment focuses on providing infrastructure products to utilities, telecommunication companies, and industrial firms, including smart meters, communication systems, and protection and control devices. This segment often sells directly to end-users, fostering long-term relationships and recurring revenue streams.
Hubbell's strategic positioning centers on providing reliable and high-quality products for critical infrastructure applications. The company emphasizes innovation and product development to meet evolving customer needs and regulatory requirements. A key aspect of Hubbell's strategy involves acquiring and integrating complementary businesses to expand its product portfolio and geographic reach. The acquisitions of Aclara and other companies have strengthened its position in the smart grid and utility infrastructure markets.
The company's focus on essential products and services provides a degree of resilience against economic downturns. Demand for electrical and utility infrastructure tends to be relatively stable, driven by ongoing maintenance, upgrades, and new construction projects. However, Hubbell faces competition from other established players in the electrical and utility equipment industries, as well as from emerging technology providers.
Hubbell's management team has demonstrated a commitment to operational efficiency and cost control. The company has implemented various initiatives to streamline its manufacturing processes, optimize its supply chain, and reduce overhead expenses. These efforts have contributed to improved profitability and cash flow generation. However, the recent negative free cash flow raises concerns about the sustainability of these improvements and the company's ability to fund future growth initiatives.
Execution Benchmarks audit
Revenue Growth
YOY expansion rate
3.4%
Sector: 14.2%
-76% VS SCTR
Economic Moat Analysis
Hubbell possesses a narrow economic moat, primarily derived from its established brand reputation and customer relationships within the electrical and utility solutions markets. The company's long history and extensive product portfolio have fostered trust and loyalty among its customer base, particularly in applications where reliability and performance are paramount. This brand recognition provides a degree of pricing power and helps to defend against competition from lower-cost alternatives.
Switching costs also contribute to Hubbell's narrow moat. In many industrial and utility applications, the cost of replacing existing electrical and utility equipment can be significant, including installation, downtime, and retraining. This creates a degree of stickiness for Hubbell's products, as customers are often reluctant to switch to a new supplier unless there is a compelling cost or performance advantage.
However, Hubbell's moat is not particularly wide or deep. The electrical and utility equipment industries are relatively fragmented, with numerous competitors offering similar products and services. While Hubbell has a strong brand reputation, it does not possess a dominant market share or a unique technology that provides a significant competitive advantage. Furthermore, the company's products are often subject to commoditization, which limits its ability to command premium prices.
The absence of network effects further weakens Hubbell's moat. The value of its products and services does not increase as more customers adopt them. This contrasts with companies that benefit from network effects, such as social media platforms or online marketplaces, where the value of the platform increases exponentially as more users join.
While Hubbell's established brand and customer relationships provide a degree of defensibility, its narrow moat is vulnerable to disruption from new technologies and aggressive pricing strategies from competitors. The company must continue to innovate and invest in product development to maintain its competitive position and prevent its moat from eroding further.
Financial Health & Profitability
Hubbell's financial health presents a mixed picture. The company exhibits strong profitability metrics, with a TTM net income of $891.90 million and an operating margin of 20.8%, significantly exceeding the sector average of -0.5%. The company's ROE of 23.0% also demonstrates efficient capital utilization, far surpassing the sector average of -1.5%. However, the TTM free cash flow is negative at $-6.61 million, raising concerns about the company's ability to generate cash from its operations.
Revenue growth has been moderate, with a TTM revenue of $5.84 billion, representing a 3.4% increase compared to the previous year. This growth rate lags behind the broader technology sector, which has experienced a 14.0% revenue growth. The quarterly financial history reveals a consistent trend of revenue growth, with each quarter in FY2025 showing higher revenue compared to the corresponding quarter in FY2024. However, the pace of growth appears to be slowing down.
Hubbell's balance sheet is moderately leveraged, with a total debt of $2.00 billion and a debt-to-equity ratio of 113.00, which is higher than the sector average of 43.00. The company's current ratio of 1.72 indicates a healthy level of liquidity, suggesting that it has sufficient current assets to cover its current liabilities. The company also holds a substantial amount of cash, with total cash of $666.80 million.
The gross margin has shown some variability over the past few quarters, ranging from 32.4% to 37.2%. The operating margin has also fluctuated, ranging from 17.5% to 22.7%. These fluctuations may be due to changes in product mix, raw material costs, or operating expenses. The company's ability to maintain consistent margins will be crucial for sustaining its profitability.
The negative free cash flow is a significant concern. While the company has been profitable, it has not been able to convert its earnings into cash. This may be due to increased capital expenditures, working capital requirements, or other factors. The company needs to address this issue to ensure its long-term financial stability and ability to invest in future growth opportunities.
Valuation Assessment
Hubbell's valuation appears to be fair but not particularly compelling based on several key metrics. The company's P/E ratio of 28.6x is lower than the sector average of 45.3x, suggesting that it may be undervalued relative to its peers. However, the P/E ratio is still above the historical average for the overall market, indicating that the stock is not necessarily cheap.
The EV/EBITDA ratio of 5.2x is significantly lower than the sector average of 13.0x, which further supports the argument that Hubbell may be undervalued. This metric suggests that the company's enterprise value is relatively low compared to its earnings before interest, taxes, depreciation, and amortization. However, it's important to consider that EV/EBITDA ratios can vary widely across different industries and companies, so a direct comparison to the sector average may not be entirely accurate.
The negative free cash flow makes it difficult to assess the company's valuation based on traditional free cash flow yield metrics. A positive free cash flow is typically a key indicator of a company's ability to generate cash and return value to shareholders. The lack of positive free cash flow raises concerns about the company's ability to fund future growth initiatives and pay dividends.
Considering Hubbell's moderate revenue growth rate of 3.4%, the current valuation appears to be reasonable. The company's strong profitability metrics and stable business model provide some support for its valuation. However, the lack of a clear catalyst for significant outperformance suggests that the stock may not offer substantial upside potential.
Overall, Hubbell's valuation can be characterized as fair but not cheap. The company's strong profitability and stable business model are offset by its moderate growth prospects and negative free cash flow. Investors should carefully consider these factors before making an investment decision.
Risk & Uncertainty
Hubbell faces several specific risks that could negatively impact its business and financial performance. One significant risk is the potential for increased competition in the electrical and utility solutions markets. The company operates in a relatively fragmented industry, with numerous competitors offering similar products and services. Increased competition could lead to price erosion, reduced market share, and lower profitability.
Another risk is the potential for disruptions in the supply chain. Hubbell relies on a network of suppliers to provide raw materials, components, and finished goods. Disruptions in the supply chain, such as natural disasters, geopolitical events, or supplier bankruptcies, could lead to delays in production, increased costs, and reduced sales.
The company is also subject to regulatory risks. The electrical and utility industries are heavily regulated, and changes in regulations could have a significant impact on Hubbell's business. For example, new regulations related to energy efficiency, safety standards, or environmental protection could require the company to make costly investments in new products or technologies.
Hubbell's debt levels also pose a risk. The company has a significant amount of debt outstanding, which could limit its financial flexibility and increase its vulnerability to economic downturns. High debt levels can also increase the company's interest expense, which could reduce its profitability.
Finally, the company's reliance on acquisitions to drive growth poses a risk. Hubbell has historically grown through acquisitions, and the success of its acquisition strategy depends on its ability to identify and integrate suitable targets. Failed acquisitions or poorly integrated acquisitions could lead to financial losses and damage to the company's reputation.
Bulls Say / Bears Say
The Bull Case
BULL VIEWHubbell's consistent profitability and strong operating margins, significantly above the sector average, demonstrate its operational efficiency and pricing power.
BULL VIEWThe company's focus on essential electrical and utility infrastructure provides a stable revenue base and resilience against economic downturns.
BULL VIEWHubbell's strategic acquisitions, like Aclara, have expanded its product portfolio and strengthened its position in high-growth markets such as smart grid technology.
The Bear Case
BEAR VIEWHubbell's negative free cash flow raises concerns about its ability to fund future growth initiatives and return value to shareholders.
BEAR VIEWThe company's revenue growth lags behind the broader technology sector, indicating a lack of dynamism and potential for market share erosion.
BEAR VIEWHubbell's relatively high debt-to-equity ratio increases its financial risk and vulnerability to economic shocks.
About the Author
Marques Blank
Founder & Chief Investment Officer, Blank Capital
Marques brings 15 years of institutional finance and investing experience, having overseen financial planning for a $1.6B defense business unit. He developed the proprietary 6-factor quantitative model used to score HUBB and 4,400+ other equities.
HUBBELL INC exhibits a 134% valuation premium relative to institutional benchmarks. This represents a potential valuation overextension based on current multiples.
Return on Assets
Efficiency of asset utilization
10.8%
Sector: -1.0%
Gross Margin
Pricing power and cost efficiency
35.1%
Sector: 50.9%
Operating Margin
Core business profitability
20.8%
Sector: -0.5%
Net Margin
Bottom-line profitability
15.3%
Sector: -1.5%
Factor Methodology
The Quality factor evaluates the persistence and magnitude of cash flows. Companies with scores >70 exhibit superior competitive moats and financial resilience through economic cycles.
Sector Avg Yield0.00%
Yield Delta—
Income Projection audit
A $10,000 investment would generate approximately $123 annually in dividends at the current trailing rate.
