Hubbell HUBB is preparing to release its quarterly earnings on Tuesday, 2024-10-29. Here's a brief overview of what investors should keep in mind before the announcement.
Analysts expect Hubbell to report an earnings per share (EPS) of $4.45.
Hubbell bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.
New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).
Overview of Past Earnings
In the previous earnings release, the company beat EPS by $0.12, leading to a 4.17% increase in the share price the following trading session.
Here's a look at Hubbell's past performance and the resulting price change:
| Quarter | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 |
|---|---|---|---|---|
| EPS Estimate | 4.25 | 3.54 | 3.57 | 4.05 |
| EPS Actual | 4.37 | 3.60 | 3.69 | 3.95 |
| Price Change % | 4.0% | 1.0% | -3.0% | 3.0% |
Stock Performance
Shares of Hubbell were trading at $444.52 as of October 25. Over the last 52-week period, shares are up 67.08%. Given that these returns are generally positive, long-term shareholders should be satisfied going into this earnings release.
Analyst Views on Hubbell
For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Hubbell.
With 10 analyst ratings, Hubbell has a consensus rating of Neutral. The average one-year price target is $424.0, indicating a potential 4.62% downside.
Comparing Ratings with Peers
The below comparison of the analyst ratings and average 1-year price targets of Rockwell Automation, nVent Electric and Regal Rexnord, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.
- For Rockwell Automation, analysts project an Outperform trajectory, with an average 1-year price target of $274.82, indicating a potential 38.18% downside.
- nVent Electric received a Outperform consensus from analysts, with an average 1-year price target of $83.0, implying a potential 81.33% downside.
- The prevailing sentiment among analysts is an Buy trajectory for Regal Rexnord, with an average 1-year price target of $196.33, implying a potential 55.83% downside.
Peer Metrics Summary
The peer analysis summary presents essential metrics for Rockwell Automation, nVent Electric and Regal Rexnord, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Hubbell | Neutral | 6.34% | $508.70M | 7.13% |
| Rockwell Automation | Outperform | -8.40% | $794.80M | 6.72% |
| nVent Electric | Outperform | 9.63% | $368.30M | 3.42% |
| Regal Rexnord | Buy | -12.50% | $571M | 0.99% |
Key Takeaway:
Hubbell ranks highest in revenue growth among its peers. It also leads in gross profit margin. However, it has the lowest return on equity compared to its peers.
All You Need to Know About Hubbell
Hubbell is a diversified conglomerate industrial company that mostly competes in the electrical components market. Its products and services serve vital portions of the U.S. electrical supply chain, including transmission and distribution as well as the commercial, industrial, and residential end markets. The company organizes its business into two segments: Utility Solutions Segment and the Electrical Solutions Segment. It derives maximum revenue from Utility Solutions Segment.
Financial Milestones: Hubbell's Journey
Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.
Revenue Growth: Hubbell's remarkable performance in 3 months is evident. As of 30 June, 2024, the company achieved an impressive revenue growth rate of 6.34%. This signifies a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Industrials sector.
Net Margin: Hubbell's net margin excels beyond industry benchmarks, reaching 14.68%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): Hubbell's ROE stands out, surpassing industry averages. With an impressive ROE of 7.13%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Hubbell's ROA stands out, surpassing industry averages. With an impressive ROA of 3.1%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: Hubbell's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.7.
To track all earnings releases for Hubbell visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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