Hubbell (HUBB) Q2 Earnings Report Preview: What To Look For

Electrical and electronic products company Hubbell (NYSE:HUBB) will be announcing earnings results this Tuesday before the bell. Here’s what to look for.

Hubbell missed analysts’ revenue expectations by 1.3% last quarter, reporting revenues of $1.37 billion, down 2.4% year on year. It was a slower quarter for the company, with a significant miss of analysts’ EBITDA and EPS estimates.

Is Hubbell a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Hubbell’s revenue to grow 4.2% year on year to $1.51 billion, slowing from the 6.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $4.40 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings.

Looking at Hubbell’s peers in the electrical equipment segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Acuity Brands delivered year-on-year revenue growth of 21.7%, beating analysts’ expectations by 3.1%, and Allegion reported revenues up 5.8%, topping estimates by 1.5%. Acuity Brands traded up 5.8% following the results while Allegion was also up 7.2%.

Read our full analysis of Acuity Brands’s results here and Allegion’s results here.

There has been positive sentiment among investors in the electrical equipment segment, with share prices up 6.8% on average over the last month. Hubbell is up 8.4% during the same time and is heading into earnings with an average analyst price target of $431.25 (compared to the current share price of $442.54).

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