Hubbell Inc (NYSE:HUBB) Announces Quarterly Dividend of $1.32

Key Points

• Hubbell Inc has announced a quarterly dividend of $1.32 per share, which equates to an annualized dividend of $5.28 and a yield of 1.19%.
• Despite a miss in consensus earnings estimates for the last quarter, analysts predict Hubbell will continue to afford its dividend, with an expected earnings per share of $18.96 next year.
• Insider transactions indicate selling activity, with key executives including Director Carlos M. Cardoso and CEO Gerben Bakker reducing their holdings in the company recently.

Hubbell Inc (NYSE:HUBB - Get Free Report) announced a quarterly dividend on Friday, July 25th, RTT News reports. Investors of record on Friday, August 29th will be paid a dividend of 1.32 per share by the industrial products company on Monday, September 15th. This represents a $5.28 dividend on an annualized basis and a yield of 1.19%.

Hubbell has a dividend payout ratio of 27.7% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Hubbell to earn $18.96 per share next year, which means the company should continue to be able to cover its $5.28 annual dividend with an expected future payout ratio of 27.8%.

Hubbell Trading Up 1.2%

Shares of NYSE:HUBB traded up $5.11 on Friday, hitting $442.61. 489,929 shares of the company's stock were exchanged, compared to its average volume of 638,189. Hubbell has a 12 month low of $299.42 and a 12 month high of $481.35. The stock has a market capitalization of $23.62 billion, a price-to-earnings ratio of 29.95, a price-to-earnings-growth ratio of 2.50 and a beta of 0.99. The business's 50 day simple moving average is $403.49 and its two-hundred day simple moving average is $383.25. The company has a debt-to-equity ratio of 0.32, a current ratio of 1.17 and a quick ratio of 0.73.

Hubbell (NYSE:HUBB - Get Free Report) last released its earnings results on Thursday, May 1st. The industrial products company reported $3.50 earnings per share for the quarter, missing the consensus estimate of $3.73 by ($0.23). Hubbell had a return on equity of 27.68% and a net margin of 14.29%. The business had revenue of $1.37 billion for the quarter, compared to the consensus estimate of $1.39 billion. During the same quarter last year, the business posted $3.60 earnings per share. The firm's revenue for the quarter was down 2.4% compared to the same quarter last year. Analysts anticipate that Hubbell will post 17.63 EPS for the current fiscal year.

Insider Buying and Selling

In other news, Director Carlos M. Cardoso sold 400 shares of the company's stock in a transaction that occurred on Wednesday, May 21st. The stock was sold at an average price of $386.29, for a total transaction of $154,516.00. Following the completion of the transaction, the director directly owned 1,727 shares of the company's stock, valued at $667,122.83. This represents a 18.81% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CEO Gerben Bakker sold 7,723 shares of the company's stock in a transaction that occurred on Wednesday, May 14th. The stock was sold at an average price of $384.63, for a total value of $2,970,497.49. Following the transaction, the chief executive officer directly owned 82,101 shares of the company's stock, valued at approximately $31,578,507.63. The trade was a 8.60% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.66% of the company's stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Geneos Wealth Management Inc. raised its stake in Hubbell by 271.9% in the 1st quarter. Geneos Wealth Management Inc. now owns 212 shares of the industrial products company's stock valued at $70,000 after purchasing an additional 155 shares during the last quarter. Empowered Funds LLC raised its stake in Hubbell by 18.9% in the 1st quarter. Empowered Funds LLC now owns 1,233 shares of the industrial products company's stock valued at $408,000 after purchasing an additional 196 shares during the last quarter. Acadian Asset Management LLC purchased a new stake in Hubbell in the 1st quarter valued at $599,000. Finally, Jones Financial Companies Lllp grew its holdings in Hubbell by 171.9% in the 1st quarter. Jones Financial Companies Lllp now owns 2,401 shares of the industrial products company's stock valued at $795,000 after buying an additional 1,518 shares in the last quarter. 88.16% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several analysts recently weighed in on HUBB shares. Barclays lifted their price objective on Hubbell from $414.00 to $420.00 and gave the company an "equal weight" rating in a report on Wednesday, July 9th. JPMorgan Chase & Co. boosted their target price on shares of Hubbell from $352.00 to $417.00 and gave the stock a "neutral" rating in a report on Friday, May 16th. Wall Street Zen downgraded shares of Hubbell from a "buy" rating to a "hold" rating in a report on Friday, April 11th. Finally, Wells Fargo & Company set a $420.00 target price on shares of Hubbell and gave the stock an "equal weight" rating in a report on Tuesday, July 1st. Six equities research analysts have rated the stock with a hold rating and three have issued a buy rating to the company. According to data from MarketBeat.com, Hubbell has a consensus rating of "Hold" and a consensus price target of $456.25.

Hubbell Company Profile

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.

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