Definitive Analysis
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Definitive Analysis

Financial Statements

Periods / Units / Analysis

Ticker

Industry

Sector

Hubbell Incorporated (HUBB)

Company Dividend Discount ModelIndustry: Electrical Equipment & PartsSector: Industrials

Valuation Snapshot

Stable Growth$365.63 - $934.78$552.70
Multi-Stage$257.15 - $280.82$268.77
Blended Fair Value$410.74
Current Price$430.31
Upside-4.55%
DecisionDon't Buy

Dividend History & Growth Metrics (10Y)

Metric5Y CAGR10Y CAGR2024202320222021202020192018201720162015
DPS7.45%8.23%4.964.564.264.023.743.463.202.922.672.48
YoY Growth--8.88%6.93%5.86%7.70%7.93%8.30%9.33%9.44%7.70%10.31%
Dividend Yield--1.50%1.09%1.75%2.19%2.00%3.02%2.68%2.40%2.23%2.34%

Stable Growth Model (Adjusted)

(USD in Millions except Per Share Data)
Net Income To Common (M)866.40
(-) Cash Dividends Paid (M)281.90
(=) Cash Retained (M)584.50
MetricLOWBASEHIGH
Required Retention Ratio20.0%12.5%7.5%
(=) Cash Required (M)173.28108.3064.98
Cash Retained (M)584.50584.50584.50
(-) Cash Required (M)-173.28-108.30-64.98
(=) Excess Retained (M)411.22476.20519.52
(/) Shares Outstanding (M)53.8953.8953.89
(=) Excess Retained per Share7.638.849.64
LTM Dividend per Share5.235.235.23
(+) Excess Retained per Share7.638.849.64
(=) Adjusted Dividend12.8614.0714.87
WACC / Discount Rate9.16%9.16%9.16%
Growth Rate5.45%6.45%7.45%
Fair Value$365.63$552.70$934.78
Upside / Downside-15.03%28.44%117.23%

Multi-Stage Model: Projections

(USD in Millions)
MetricTTMDec-27Dec-28Dec-29Dec-30Dec-31Terminal
Net Income (M)866.40922.31981.821,045.171,112.621,184.411,219.94
Payout Ratio32.54%44.03%55.52%67.01%78.51%90.00%92.50%
Projected Dividends (M)281.90406.09545.13700.42873.491,065.971,128.45

Multi-Stage Valuation

MetricLOWBASEHIGH
WACC / Discount Rate9.16%9.16%9.16%
Growth Rate5.45%6.45%7.45%
Year 1 PV (M)368.51372.00375.50
Year 2 PV (M)448.91457.46466.10
Year 3 PV (M)523.41538.45553.76
Year 4 PV (M)592.34615.13638.57
Year 5 PV (M)655.98687.68720.59
PV of Terminal Value (M)11,269.1711,813.7312,379.13
Equity Value (M)13,858.3214,484.4415,133.65
Shares Outstanding (M)53.8953.8953.89
Fair Value$257.15$268.77$280.82
Upside / Downside-40.24%-37.54%-34.74%

High-Yield Dividend Screener

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