Hubbell Q1 revenue and adjusted EPS beat estimates, raises outlook

Overview

• U.S. utility and electrical solutions maker's Q1 revenue rose 11%, beating analyst expectations

• Adjusted EPS for Q1 increased 16% and beat analyst expectations

• Company raised full-year 2026 adjusted EPS guidance

Outlook

• Hubbell raises FY 2026 diluted EPS guidance to $17.45-$18.00; adj EPS to $19.30-$19.85

• Company anticipates FY 2026 total sales growth of 8-11%, organic sales growth of 6-9%

• Company expects continued strength in utility T&D and datacenter markets; softness in grid automation

Result Drivers

• UTILITY INFRASTRUCTURE DEMAND - Co said core utility transmission and substation markets remained strong due to load growth, and distribution markets benefited from aging infrastructure investment

• ELECTRICAL SOLUTIONS GROWTH - Co attributed segment growth to strong datacenter and light industrial markets

• MARGIN EXPANSION - Co said higher volumes in high margin businesses and effective price and productivity management drove margin expansion, partially offset by higher cost inflation and restructuring investment

Company press release: ID:nGNX72bt6g

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 8 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the electrical components & equipment peer group is "buy"

• Wall Street's median 12-month price target for Hubbell Inc is $545.00, about 0.2% below its April 29 closing price of $545.93

• The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 22 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.