HUBBELL INC (HUBB) Stock Fundamental Analysis
USA - NYSE:HUBB - US4435106079 - Common Stock
468.06 USD
+8.62 (+1.88%)
468.06 USD
0 (0%)
HUBB gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 92 industry peers in the Electrical Equipment industry. HUBB scores excellent points on both the profitability and health parts. This is a solid base for a good stock. HUBB has a correct valuation and a medium growth rate. HUBB also has an excellent dividend rating. These ratings could make HUBB a good candidate for dividend investing.
1. Profitability
1.1 Basic Checks
In the past year HUBB was profitable.
HUBB had a positive operating cash flow in the past year.
Each year in the past 5 years HUBB has been profitable.
In the past 5 years HUBB always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 11.49%, HUBB belongs to the top of the industry, outperforming 94.57% of the companies in the same industry.
HUBB has a Return On Equity of 23.49%. This is amongst the best in the industry. HUBB outperforms 93.48% of its industry peers.
With an excellent Return On Invested Capital value of 15.21%, HUBB belongs to the best of the industry, outperforming 92.39% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for HUBB is above the industry average of 10.26%.
The 3 year average ROIC (14.28%) for HUBB is below the current ROIC(15.21%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.49% | ||
| ROE | 23.49% | ||
| ROIC | 15.21% |
ROA(3y)10.89%
ROA(5y)9.42%
ROE(3y)24.39%
ROE(5y)21.59%
ROIC(3y)14.28%
ROIC(5y)12.41%
1.3 Margins
HUBB has a Profit Margin of 15.21%. This is amongst the best in the industry. HUBB outperforms 90.22% of its industry peers.
In the last couple of years the Profit Margin of HUBB has grown nicely.
The Operating Margin of HUBB (20.68%) is better than 97.83% of its industry peers.
HUBB's Operating Margin has improved in the last couple of years.
HUBB's Gross Margin of 35.31% is fine compared to the rest of the industry. HUBB outperforms 79.35% of its industry peers.
In the last couple of years the Gross Margin of HUBB has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.68% | ||
| PM (TTM) | 15.21% | ||
| GM | 35.31% |
OM growth 3Y15.35%
OM growth 5Y6.87%
PM growth 3Y13.25%
PM growth 5Y6.38%
GM growth 3Y7.31%
GM growth 5Y2.4%
2. Health
2.1 Basic Checks
HUBB has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
HUBB has about the same amout of shares outstanding than it did 1 year ago.
HUBB has less shares outstanding than it did 5 years ago.
The debt/assets ratio for HUBB has been reduced compared to a year ago.
2.2 Solvency
HUBB has an Altman-Z score of 5.94. This indicates that HUBB is financially healthy and has little risk of bankruptcy at the moment.
HUBB has a Altman-Z score of 5.94. This is amongst the best in the industry. HUBB outperforms 84.78% of its industry peers.
HUBB has a debt to FCF ratio of 2.35. This is a good value and a sign of high solvency as HUBB would need 2.35 years to pay back of all of its debts.
HUBB has a better Debt to FCF ratio (2.35) than 85.87% of its industry peers.
A Debt/Equity ratio of 0.43 indicates that HUBB is not too dependend on debt financing.
HUBB's Debt to Equity ratio of 0.43 is in line compared to the rest of the industry. HUBB outperforms 48.91% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.35 | ||
| Altman-Z | 5.94 |
ROIC/WACC1.82
WACC8.38%
2.3 Liquidity
HUBB has a Current Ratio of 1.36. This is a normal value and indicates that HUBB is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.36, HUBB is in line with its industry, outperforming 40.22% of the companies in the same industry.
HUBB has a Quick Ratio of 1.36. This is a bad value and indicates that HUBB is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.85, HUBB perfoms like the industry average, outperforming 40.22% of the companies in the same industry.
The current and quick ratio evaluation for HUBB is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.85 |
3. Growth
3.1 Past
HUBB shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 9.60%, which is quite good.
HUBB shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.29% yearly.
The Revenue has been growing slightly by 0.82% in the past year.
Measured over the past years, HUBB shows a small growth in Revenue. The Revenue has been growing by 7.36% on average per year.
EPS 1Y (TTM)9.6%
EPS 3Y25.44%
EPS 5Y15.29%
EPS Q2Q%15.14%
Revenue 1Y (TTM)0.82%
Revenue growth 3Y10.3%
Revenue growth 5Y7.36%
Sales Q2Q%4.15%
3.2 Future
HUBB is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.68% yearly.
HUBB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.52% yearly.
EPS Next Y11.41%
EPS Next 2Y10.1%
EPS Next 3Y8.74%
EPS Next 5Y8.68%
Revenue Next Year2.65%
Revenue Next 2Y5.01%
Revenue Next 3Y4.97%
Revenue Next 5Y5.52%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 26.44, which means the current valuation is very expensive for HUBB.
Compared to the rest of the industry, the Price/Earnings ratio of HUBB indicates a rather cheap valuation: HUBB is cheaper than 81.52% of the companies listed in the same industry.
HUBB's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 26.13.
The Price/Forward Earnings ratio is 23.31, which indicates a rather expensive current valuation of HUBB.
Based on the Price/Forward Earnings ratio, HUBB is valued a bit cheaper than 77.17% of the companies in the same industry.
HUBB's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 22.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.44 | ||
| Fwd PE | 23.31 |
4.2 Price Multiples
HUBB's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. HUBB is cheaper than 79.35% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HUBB indicates a rather cheap valuation: HUBB is cheaper than 81.52% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.25 | ||
| EV/EBITDA | 18.32 |
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.
The excellent profitability rating of HUBB may justify a higher PE ratio.
PEG (NY)2.32
PEG (5Y)1.73
EPS Next 2Y10.1%
EPS Next 3Y8.74%
5. Dividend
5.1 Amount
HUBB has a Yearly Dividend Yield of 1.21%. 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 3.00. HUBB pays more dividend than 90.22% of the companies in the same industry.
With a Dividend Yield of 1.21, HUBB pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.21% |
5.2 History
On average, the dividend of HUBB grows each year by 7.79%, 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 its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.79%
Div Incr Years17
Div Non Decr Years34
5.3 Sustainability
32.59% 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.
DP32.59%
EPS Next 2Y10.1%
EPS Next 3Y8.74%
468.06
+8.62 (+1.88%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryElectrical Equipment
Earnings (Last)
Earnings (Next)
Inst Owners97.93%
Inst Owner Change0.77%
Ins Owners0.39%
Ins Owner Change2.2%
Market Cap24.87B
Revenue(TTM)5.69B
Net Income(TTM)864.90M
Analysts75.24
Price Target470.73 (0.57%)
Short Float %3.81%
Short Ratio4.3
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.21% |
Yearly Dividend4.97
Dividend Growth(5Y)7.79%
DP32.59%
Div Incr Years17
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.68%
Min EPS beat(2)1.81%
Max EPS beat(2)9.55%
EPS beat(4)2
Avg EPS beat(4)0.88%
Min EPS beat(4)-7.85%
Max EPS beat(4)9.55%
EPS beat(8)4
Avg EPS beat(8)0.53%
EPS beat(12)7
Avg EPS beat(12)4.77%
EPS beat(16)10
Avg EPS beat(16)5.28%
Revenue beat(2)0
Avg Revenue beat(2)-3.65%
Min Revenue beat(2)-3.94%
Max Revenue beat(2)-3.37%
Revenue beat(4)0
Avg Revenue beat(4)-4.63%
Min Revenue beat(4)-7.28%
Max Revenue beat(4)-3.37%
Revenue beat(8)1
Avg Revenue beat(8)-3.52%
Revenue beat(12)2
Avg Revenue beat(12)-3.05%
Revenue beat(16)5
Avg Revenue beat(16)-4.3%
PT rev (1m)0.17%
PT rev (3m)7.68%
EPS NQ rev (1m)-0.07%
EPS NQ rev (3m)-0.6%
EPS NY rev (1m)0.05%
EPS NY rev (3m)2.62%
Revenue NQ rev (1m)-0.57%
Revenue NQ rev (3m)-1.2%
Revenue NY rev (1m)-0.2%
Revenue NY rev (3m)-0.84%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.44 | ||
| Fwd PE | 23.31 | ||
| P/S | 4.37 | ||
| P/FCF | 29.25 | ||
| P/OCF | 24.51 | ||
| P/B | 6.76 | ||
| P/tB | 762.97 | ||
| EV/EBITDA | 18.32 |
EPS(TTM)17.7
EY3.78%
EPS(NY)20.08
Fwd EY4.29%
FCF(TTM)16
FCFY3.42%
OCF(TTM)19.09
OCFY4.08%
SpS107
BVpS69.28
TBVpS0.61
PEG (NY)2.32
PEG (5Y)1.73
Graham Number166.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.49% | ||
| ROE | 23.49% | ||
| ROCE | 21.49% | ||
| ROIC | 15.21% | ||
| ROICexc | 17.15% | ||
| ROICexgc | 54.07% | ||
| OM | 20.68% | ||
| PM (TTM) | 15.21% | ||
| GM | 35.31% | ||
| FCFM | 14.95% |
ROA(3y)10.89%
ROA(5y)9.42%
ROE(3y)24.39%
ROE(5y)21.59%
ROIC(3y)14.28%
ROIC(5y)12.41%
ROICexc(3y)15.44%
ROICexc(5y)13.39%
ROICexgc(3y)49.94%
ROICexgc(5y)42.26%
ROCE(3y)18.59%
ROCE(5y)16.19%
ROICexgc growth 3Y20.93%
ROICexgc growth 5Y10%
ROICexc growth 3Y16.01%
ROICexc growth 5Y8.34%
OM growth 3Y15.35%
OM growth 5Y6.87%
PM growth 3Y13.25%
PM growth 5Y6.38%
GM growth 3Y7.31%
GM growth 5Y2.4%
F-Score7
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.43 | ||
| Debt/FCF | 2.35 | ||
| Debt/EBITDA | 1.16 | ||
| Cap/Depr | 83.07% | ||
| Cap/Sales | 2.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 73.86% | ||
| Profit Quality | 98.31% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.85 | ||
| Altman-Z | 5.94 |
F-Score7
WACC8.38%
ROIC/WACC1.82
Cap/Depr(3y)94.27%
Cap/Depr(5y)80.12%
Cap/Sales(3y)2.97%
Cap/Sales(5y)2.66%
Profit Quality(3y)94.05%
Profit Quality(5y)111.5%
High Growth Momentum
Growth
EPS 1Y (TTM)9.6%
EPS 3Y25.44%
EPS 5Y15.29%
EPS Q2Q%15.14%
EPS Next Y11.41%
EPS Next 2Y10.1%
EPS Next 3Y8.74%
EPS Next 5Y8.68%
Revenue 1Y (TTM)0.82%
Revenue growth 3Y10.3%
Revenue growth 5Y7.36%
Sales Q2Q%4.15%
Revenue Next Year2.65%
Revenue Next 2Y5.01%
Revenue Next 3Y4.97%
Revenue Next 5Y5.52%
EBIT growth 1Y9.69%
EBIT growth 3Y27.23%
EBIT growth 5Y14.73%
EBIT Next Year18.95%
EBIT Next 3Y9.7%
EBIT Next 5Y9.54%
FCF growth 1Y39.65%
FCF growth 3Y21.36%
FCF growth 5Y9.94%
OCF growth 1Y30.96%
OCF growth 3Y22.15%
OCF growth 5Y10.87%
HUBBELL INC / HUBB FAQ
Can you provide the ChartMill fundamental rating for HUBBELL INC?
ChartMill assigns a fundamental rating of 7 / 10 to HUBB.
What is the valuation status of HUBBELL INC (HUBB) stock?
ChartMill assigns a valuation rating of 5 / 10 to HUBBELL INC (HUBB). This can be considered as Fairly Valued.
Can you provide the profitability details for HUBBELL INC?
HUBBELL INC (HUBB) has a profitability rating of 9 / 10.
Can you provide the expected EPS growth for HUBB stock?
The Earnings per Share (EPS) of HUBBELL INC (HUBB) is expected to grow by 11.41% in the next year.
Can you provide the dividend sustainability for HUBB stock?
The dividend rating of HUBBELL INC (HUBB) is 7 / 10 and the dividend payout ratio is 32.59%.