Hubbell Incorporated
Hubbell Incorporated Fundamental Analysis
Hubbell Incorporated (HUBB) shows moderate financial fundamentals with a PE ratio of 31.35, profit margin of 15.29%, and ROE of 25.00%. The company generates $5.8B in annual revenue with moderate year-over-year growth of 4.76%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 73.1/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze HUBB's fundamental strength across five key dimensions:
Efficiency Score
ExcellentHUBB demonstrates superior asset utilization.
Valuation Score
WeakHUBB trades at a premium to fair value.
Growth Score
WeakHUBB faces weak or negative growth trends.
Financial Health Score
ExcellentHUBB maintains a strong and stable balance sheet.
Profitability Score
ExcellentHUBB achieves industry-leading margins.
Key Financial Metrics
Is HUBB Expensive or Cheap?
P/E Ratio
HUBB trades at 31.35 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, HUBB's PEG of 9.23 indicates potential overvaluation.
Price to Book
The market values Hubbell Incorporated at 7.26 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 18.49 times EBITDA. This signals the market has high growth expectations.
How Well Does HUBB Make Money?
Net Profit Margin
For every $100 in sales, Hubbell Incorporated keeps $15.29 as profit after all expenses.
Operating Margin
Core operations generate 20.89 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $25.00 in profit for every $100 of shareholder equity.
ROA
Hubbell Incorporated generates $10.86 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hubbell Incorporated produces operating cash flow of $1.03B, showing steady but balanced cash generation.
Free Cash Flow
Hubbell Incorporated generates strong free cash flow of $873.59M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $16.43 in free cash annually.
FCF Yield
HUBB converts 3.13% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
31.35
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
9.23
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.26
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.79
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.68
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.72
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.25
vs 25 benchmark
ROA
Return on assets percentage
0.11
vs 25 benchmark
ROCE
Return on capital employed
0.18
vs 25 benchmark
How HUBB Stacks Against Its Sector Peers
| Metric | HUBB Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 31.35 | 26.76 | Worse (Expensive) |
| ROE | 25.00% | 1300.00% | Weak |
| Net Margin | 15.29% | -29570.00% (disorted) | Strong |
| Debt/Equity | 0.68 | 0.79 | Neutral |
| Current Ratio | 1.72 | 10.68 | Neutral |
| ROA | 10.86% | -1545134.00% (disorted) | Strong |
HUBB outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hubbell Incorporated's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
43.67%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
116.75%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
68.79%
Industry Style: Cyclical, Value, Infrastructure
High Growth