Stock Buyback Plan Announced by Hubbell (NYSE:HUBB) Board

Hubbell (NYSE:HUBB) declared that its board has authorized a stock buyback program on Wednesday, February 12th, RTT News reports. The company plans to repurchase $500.00 million in shares. This repurchase authorization allows the industrial products company to repurchase up to 2.4% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board of directors believes its stock is undervalued.

Hubbell Stock Performance

NYSE:HUBB opened at $389.93 on Friday. The stock’s fifty day moving average is $427.95 and its 200 day moving average is $423.00. Hubbell has a fifty-two week low of $346.13 and a fifty-two week high of $481.35. The firm has a market capitalization of $20.93 billion, a PE ratio of 27.15, a PEG ratio of 1.36 and a beta of 0.92. The company has a debt-to-equity ratio of 0.44, a quick ratio of 1.05 and a current ratio of 1.64.

Hubbell (NYSE:HUBB) last released its quarterly earnings results on Tuesday, February 4th. The industrial products company reported $4.10 earnings per share for the quarter, beating the consensus estimate of $4.02 by $0.08. Hubbell had a return on equity of 28.62% and a net margin of 13.82%. The company had revenue of $1.33 billion for the quarter, compared to analyst estimates of $1.41 billion. During the same quarter in the prior year, the firm posted $3.69 EPS. Hubbell’s quarterly revenue was down .9% compared to the same quarter last year. On average, sell-side analysts anticipate that Hubbell will post 17.63 earnings per share for the current year.

Hubbell Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, March 17th. Investors of record on Friday, February 28th will be issued a dividend of $1.32 per share. The ex-dividend date is Friday, February 28th. This represents a $5.28 annualized dividend and a yield of 1.35%. Hubbell’s payout ratio is presently 36.77%.

Wall Street Analysts Forecast Growth

HUBB has been the subject of several recent analyst reports. StockNews.com downgraded Hubbell from a “buy” rating to a “hold” rating in a research note on Tuesday, January 28th. Morgan Stanley upped their price target on Hubbell from $407.00 to $445.00 and gave the stock an “equal weight” rating in a research note on Wednesday, October 30th. Wells Fargo & Company dropped their price target on Hubbell from $455.00 to $450.00 and set an “equal weight” rating for the company in a research note on Tuesday, January 7th. Barclays upped their price target on Hubbell from $402.00 to $475.00 and gave the stock an “equal weight” rating in a research note on Thursday, December 5th. Finally, Deutsche Bank Aktiengesellschaft cut Hubbell from a “buy” rating to a “hold” rating and decreased their price objective for the stock from $493.00 to $473.00 in a report on Tuesday, November 26th. Six equities research analysts have rated the stock with a hold rating and three have given a buy rating to the stock. Based on data from MarketBeat, Hubbell currently has a consensus rating of “Hold” and a consensus price target of $471.50.

About Hubbell

Hubbell Incorporated, together with its subsidiaries, designs, manufactures, and sells electrical and utility solutions in the United States and internationally. It operates through two segments, Electrical Solutions and Utility Solutions. The Electrical Solution segment offers standard and special application wiring device products, rough-in electrical products, connector and grounding products, lighting fixtures, and other electrical equipment for use in industrial, commercial, and institutional facilities by electrical contractors, maintenance personnel, electricians, utilities, and telecommunications companies, as well as components and assemblies.