HUBBELL INC (HUBB)

US4435106079 - Common Stock

456.48  +10.9 (+2.45%)

After market: 456.48 0 (0%)

Fundamental Rating

6

Taking everything into account, HUBB scores 6 out of 10 in our fundamental rating. HUBB was compared to 91 industry peers in the Electrical Equipment industry. HUBB has an excellent profitability rating, but there are some minor concerns on its financial health. HUBB has a decent growth rate and is not valued too expensively. HUBB also has an excellent dividend rating. With these ratings, HUBB could be worth investigating further for dividend investing!.



9

1. Profitability

1.1 Basic Checks

HUBB had positive earnings in the past year.
In the past year HUBB had a positive cash flow from operations.
In the past 5 years HUBB has always been profitable.
In the past 5 years HUBB always reported a positive cash flow from operatings.

1.2 Ratios

HUBB's Return On Assets of 10.82% is amongst the best of the industry. HUBB outperforms 94.44% of its industry peers.
HUBB's Return On Equity of 23.34% is amongst the best of the industry. HUBB outperforms 93.33% of its industry peers.
The Return On Invested Capital of HUBB (14.43%) is better than 94.44% of its industry peers.
The Average Return On Invested Capital over the past 3 years for HUBB is in line with the industry average of 10.64%.
The 3 year average ROIC (12.44%) for HUBB is below the current ROIC(14.43%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 10.82%
ROE 23.34%
ROIC 14.43%
ROA(3y)9.53%
ROA(5y)8.72%
ROE(3y)22.42%
ROE(5y)20.94%
ROIC(3y)12.44%
ROIC(5y)11.47%

1.3 Margins

HUBB's Profit Margin of 13.30% is amongst the best of the industry. HUBB outperforms 90.00% of its industry peers.
HUBB's Profit Margin has improved in the last couple of years.
HUBB has a better Operating Margin (19.01%) than 94.44% of its industry peers.
In the last couple of years the Operating Margin of HUBB has grown nicely.
HUBB's Gross Margin of 34.02% is fine compared to the rest of the industry. HUBB outperforms 76.67% of its industry peers.
HUBB's Gross Margin has improved in the last couple of years.
Industry RankSector Rank
OM 19.01%
PM (TTM) 13.3%
GM 34.02%
OM growth 3Y11.59%
OM growth 5Y7.06%
PM growth 3Y14.07%
PM growth 5Y11.99%
GM growth 3Y5.58%
GM growth 5Y3.36%

5

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), HUBB is creating some value.
Compared to 1 year ago, HUBB has about the same amount of shares outstanding.
HUBB has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, HUBB has a worse debt to assets ratio.

2.2 Solvency

HUBB has an Altman-Z score of 6.05. This indicates that HUBB is financially healthy and has little risk of bankruptcy at the moment.
HUBB has a Altman-Z score of 6.05. This is amongst the best in the industry. HUBB outperforms 87.78% of its industry peers.
HUBB has a debt to FCF ratio of 2.65. This is a good value and a sign of high solvency as HUBB would need 2.65 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 2.65, HUBB is doing good in the industry, outperforming 77.78% of the companies in the same industry.
HUBB has a Debt/Equity ratio of 0.60. This is a neutral value indicating HUBB is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.60, HUBB is doing worse than 60.00% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.6
Debt/FCF 2.65
Altman-Z 6.05
ROIC/WACC1.51
WACC9.59%

2.3 Liquidity

A Current Ratio of 1.66 indicates that HUBB should not have too much problems paying its short term obligations.
The Current ratio of HUBB (1.66) is worse than 60.00% of its industry peers.
A Quick Ratio of 1.05 indicates that HUBB should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.05, HUBB is in line with its industry, outperforming 41.11% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 1.66
Quick Ratio 1.05

5

3. Growth

3.1 Past

The Earnings Per Share has grown by an nice 13.49% over the past year.
HUBB shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.98% yearly.
Looking at the last year, HUBB shows a small growth in Revenue. The Revenue has grown by 7.50% in the last year.
Measured over the past years, HUBB shows a small growth in Revenue. The Revenue has been growing by 3.69% on average per year.
EPS 1Y (TTM)13.49%
EPS 3Y26.49%
EPS 5Y15.98%
EPS Q2Q%13.67%
Revenue 1Y (TTM)7.5%
Revenue growth 3Y13.42%
Revenue growth 5Y3.69%
Sales Q2Q%4.86%

3.2 Future

Based on estimates for the next years, HUBB will show a quite strong growth in Earnings Per Share. The EPS will grow by 9.13% on average per year.
Based on estimates for the next years, HUBB will show a small growth in Revenue. The Revenue will grow by 6.50% on average per year.
EPS Next Y9.71%
EPS Next 2Y8.61%
EPS Next 3Y8.32%
EPS Next 5Y9.13%
Revenue Next Year6.6%
Revenue Next 2Y5.84%
Revenue Next 3Y5.56%
Revenue Next 5Y6.5%

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.

4

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 28.27, HUBB can be considered very expensive at the moment.
Based on the Price/Earnings ratio, HUBB is valued a bit cheaper than 72.22% of the companies in the same industry.
HUBB is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 28.96, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 25.26, the valuation of HUBB can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HUBB indicates a somewhat cheap valuation: HUBB is cheaper than 74.44% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.82, HUBB is valued at the same level.
Industry RankSector Rank
PE 28.27
Fwd PE 25.26

4.2 Price Multiples

73.33% of the companies in the same industry are more expensive than HUBB, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, HUBB is valued a bit cheaper than the industry average as 73.33% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 33.56
EV/EBITDA 19.77

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates HUBB does not grow enough to justify the current Price/Earnings ratio.
HUBB has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.91
PEG (5Y)1.77
EPS Next 2Y8.61%
EPS Next 3Y8.32%

7

5. Dividend

5.1 Amount

HUBB has a Yearly Dividend Yield of 1.20%. Purely for dividend investing, there may be better candidates out there.
HUBB's Dividend Yield is rather good when compared to the industry average which is at 2.18. HUBB pays more dividend than 90.00% of the companies in the same industry.
With a Dividend Yield of 1.20, HUBB pays less dividend than the S&P500 average, which is at 2.23.
Industry RankSector Rank
Dividend Yield 1.2%

5.2 History

On average, the dividend of HUBB grows each year by 7.77%, which is quite nice.
HUBB has been paying a dividend for at least 10 years, so it has a reliable track record.
HUBB has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.77%
Div Incr Years16
Div Non Decr Years33

5.3 Sustainability

34.91% of the earnings are spent on dividend by HUBB. This is a low number and sustainable payout ratio.
The dividend of HUBB is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP34.91%
EPS Next 2Y8.61%
EPS Next 3Y8.32%

HUBBELL INC

NYSE:HUBB (11/21/2024, 8:04:00 PM)

After market: 456.48 0 (0%)

456.48

+10.9 (+2.45%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap24.50B
Analysts
Price Target
Dividend
Industry RankSector Rank
Dividend Yield 1.2%
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
Industry RankSector Rank
PE 28.27
Fwd PE 25.26
P/S
P/FCF
P/OCF
P/B
P/tB
EV/EBITDA
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.91
PEG (5Y)1.77
Profitability
Industry RankSector Rank
ROA 10.82%
ROE 23.34%
ROCE
ROIC
ROICexc
ROICexgc
OM 19.01%
PM (TTM) 13.3%
GM 34.02%
FCFM
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.81
Health
Industry RankSector Rank
Debt/Equity 0.6
Debt/FCF
Debt/EBITDA
Cap/Depr
Cap/Sales
Interest Coverage
Cash Conversion
Profit Quality
Current Ratio 1.66
Quick Ratio 1.05
Altman-Z
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)13.49%
EPS 3Y26.49%
EPS 5Y
EPS Q2Q%
EPS Next Y9.71%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)7.5%
Revenue growth 3Y13.42%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y