Quality Investor

Hubbell Incorporated

Rank #286Value

HUBB · NYSE · Industrials

Hubbell Incorporated (HUBB) — Rank #286 by gross profitability (GP/assets 0.25) · ROE 23.5% · Piotroski F-Score 5 / 9.

As-of 2026-09-15 · CIK 0000048898 · all metrics point-in-time as of the filing date.

About

Hubbell Incorporated, together with its subsidiaries, manufactures and sells electrical and utility solutions in the United States and internationally.

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It operates through two segments, Electrical Solutions and Utility Solutions. The Utility Solution segment offers critical components that allow the grid to transmit and distribute energy, as well as the communications and controls technologies, including utility transmission and distribution components, such as arresters, insulators, connectors, anchors, bushings, enclosures, cutouts, and switches; and solutions that serve the edge of the utility infrastructure comprising smart meters, communications systems, and protection and control devices. It sells its products under various brands and/or trademarks to the electrical distribution, substation and transmission markets, as well as markets for grid protection and controls, utility meters and advanced metering infrastructure and telcom and gas distribution markets. The Electrical Solution segment offers standard and special application wiring device products, rough-in electrical products, connector and grounding products, and other electrical equipment for use in industrial, commercial, and institutional facilities by electrical contractors, maintenance personnel, electricians, utilities, and telecommunications companies. 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, and residential product-oriented internet sites; and special application products primarily through wholesale distributors to contractors, industrial customers, and original equipment manufacturers.

The company was founded in 1888 and is headquartered in Shelton, Connecticut.

Industry
Electrical Equipment & Parts
Sector
Industrials
State
CT
Filer Category
Large accelerated filer
Fiscal Year End
December 31

Price History

HUBB+145.8% · +19.7% CAGRSPY+80.5% · +12.5% CAGR

Company Snapshot

P/E and dividend yield are the primary valuation lenses for mature businesses.

Market Cap

$23.10B

P/E (annual)

26.4

P/S (annual)

4.0

P/B

6.1

P/OCF (annual)

22.4

Shareholder Yield

0.9%

Employees

19,400

Industry

Electrical Equipment & Parts

Exchange

NYSE

Signal Flags

3 green
Operating leverage expandingOperating income growing faster than revenue
Deferred revenue growingRevenue and deferred revenue both growing — retention signal
Sequential beat (rev + EPS)Both revenue and EPS exceeded prior quarter — 1-quarter streak

Quality Profile

Profitability

1/1 pass
GP / assets
0.25
Return on equity
23.5%
Gross margin trend
PASS

Safety

1/1 pass
Balance-sheet safety
PASS
Debt / equity
1.23
Current ratio
1.58×
Net cash
-$1.96B

Cash Flow

2/3 pass
Positive FCF
PASS
Cash-backed earnings
WARN
Accruals healthy
PASS
SBC / revenue
0.6%

Growth

2/2 pass
Revenue growth
3.8%
Piotroski F-Score
5 / 9
Share dilution
-0.9%

Terry Smith quality gate

Passes 2/5 Terry Smith thresholds

1 of 5 threshold not computable from filed data.

What Growth Is Priced In

Implied revenue growth (10Y)

11.7%

incredible deal

The annual FCF growth rate today's price requires over a 10-year horizon (discount rate 10%, terminal growth 2.5%).

Buyback tailwind: -0.9% — per-share value needs a total required return of 10.7% once share-count change is priced in.

vs. own 6-year median revenue growth: 6.7%

priced above its own history

Cost-of-equity sensitivity (implied growth at different discount rates)

r = 8%

7.1%

r = 10% (base)

11.7%

r = 12%

15.6%

Net debt / market cap: 8.4%

Note: current FCF margin is 1.5σ above its historical mean — implied growth may understate valuation risk if the margin reverts.

Base FCF: $874.7M3Y mean FCF: $800.2M

Valuation History

Current multiple vs historical range at each filing date. Band spans 25th-75th percentile.

P / E

Price / diluted EPS

31.2xExpensive
18.1xmed 25.3x31.2x

P / S

Price / revenue per share

4.7xExpensive
1.5xmed 2.3x4.7x

P / B

Price / book value per share

7.2xExpensive
3.7xmed 4.4x7.2x

P / GP

Price / gross profit per share

13.4xExpensive
5.0xmed 8.1x13.4x

P / FCF

Price / free cash flow per share

31.6xExpensive
15.5xmed 22.8x31.6x

Dividend yield and payout ratio are the primary reads at this stage (trailing P/E — see valuation above).

Profitability

Gross profitability (GP / assets)

0.25

Primary signal (Novy-Marx).

36th pctl of 43 SIC 36 peers

Return on equity

23.5%

Gross margin

35.3%

17th pctl of 43 SIC 36 peers

Revenue growth (YoY)

3.8%

Gross margin improving

Margin trend vs prior year.

PASS

Operating Leverage

2022202320242025
Revenue vs COGS
Revenue vs OpEx
Op. Income vs Revenue

Growth

Revenue CAGR (3Y)

5.7%

Revenue CAGR (5Y)

9.7%

Earnings CAGR (3Y)

17.6%

FCF CAGR (3Y)

19.9%

Anti-fragile safety

Balance-sheet safety

Composite anti-fragile check.

PASS

Debt / equity

1.23

18th pctl of 41 SIC 36 peers (best = lowest)

Current ratio

1.58×

7th pctl of 43 SIC 36 peers

Quick ratio

0.84×

Net cash

-$1.96B

Cash & equivalents minus total debt.

Cash-flow health

Free cash flow

$874.70M

Operating cash flow minus capex.

Positive free cash flow

PASS

FCF / net income

-0.01

Cash-backing of earnings.

FCF/NI divergence

Unfavorable divergence (yellow flag).

WARN

Accruals healthy

Cash-backed earnings.

PASS

SBC / revenue

0.6%

Stock-based comp intensity.

Piotroski F-Score

F-Score

5 / 9

Fundamental-strength score (0-9).

Lifecycle Phase History

20202025
Decline
Op. Leverage
Capital Return
Value