Electrical and electronic products company Hubbell (NYSE: HUBB) announced better-than-expected revenue in Q1 CY2026, with sales up 11.1% year on year to $1.52 billion. Its non-GAAP profit of $3.93 per share was 1.7% above analysts’ consensus estimates.

Is now the time to buy Hubbell? Find out by accessing our full research report, it’s free.

"Hubbell delivered strong performance in the first quarter, with double digit growth in sales, operating profit and earnings per share" said Gerben Bakker, Chairman, President and CEO.

Company Overview

A respected player in the electrical segment, Hubbell (NYSE: HUBB) manufactures electronic products for the construction, industrial, utility, and telecommunications markets.

Revenue Growth

Reviewing a company’s long-term sales performance reveals insights into its quality. Even a bad business can shine for one or two quarters, but a top-tier one grows for years. Over the last five years, Hubbell grew its sales at a solid 10.2% compounded annual growth rate. Its growth surpassed the average industrials company and shows its offerings resonate with customers, a great starting point for our analysis.

We at StockStory place the most emphasis on long-term growth, but within industrials, a half-decade historical view may miss cycles, industry trends, or a company capitalizing on catalysts such as a new contract win or a successful product line. Hubbell’s recent performance shows its demand has slowed as its annualized revenue growth of 4.5% over the last two years was below its five-year trend. We’re wary when companies in the sector see decelerations in revenue growth, as it could signal changing consumer tastes aided by low switching costs.

We can dig further into the company’s sales dynamics by analyzing its organic revenue, which strips out one-time events like acquisitions and currency fluctuations that don’t accurately reflect its fundamentals. Over the last two years, Hubbell’s organic revenue averaged 2.4% year-on-year growth. Because this number is lower than its two-year revenue growth, we can see that some mixture of acquisitions and foreign exchange rates boosted its headline results.

This quarter, Hubbell reported year-on-year revenue growth of 11.1%, and its $1.52 billion of revenue exceeded Wall Street’s estimates by 0.8%.

Looking ahead, sell-side analysts expect revenue to grow 7% over the next 12 months. While this projection indicates its newer products and services will catalyze better top-line performance, it is still below the sector average. At least the company is tracking well in other measures of financial health.

ONE MORE THING: 3 Hidden Platforms Growing 3X Faster than Amazon, Google, and PayPal. Amazon, Google, and Meta all followed the same playbook: Dominate an ignored market. Build an unbeatable moat. Scale until you’re unstoppable.

These three platforms are running that exact playbook right now. The early investors in Amazon made fortunes. The early investors in these could do the same. Get All 3 Stocks Here for FREE.

Operating Margin

Hubbell has been a well-oiled machine over the last five years. It demonstrated elite profitability for an industrials business, boasting an average operating margin of 17.8%.

Analyzing the trend in its profitability, Hubbell’s operating margin rose by 7.9 percentage points over the last five years, as its sales growth gave it immense operating leverage.

In Q1, Hubbell generated an operating margin profit margin of 17.4%, in line with the same quarter last year. This indicates the company’s cost structure has recently been stable.

Earnings Per Share

Revenue trends explain a company’s historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions.

Hubbell’s EPS grew at 19.7% compounded annual growth rate over the last five years, higher than its 10.2% annualized revenue growth. This tells us the company became more profitable on a per-share basis as it expanded.

Diving into the nuances of Hubbell’s earnings can give us a better understanding of its performance. As we mentioned earlier, Hubbell’s operating margin was flat this quarter but expanded by 7.9 percentage points over the last five years. On top of that, its share count shrank by 2.6%. These are positive signs for shareholders because improving profitability and share buybacks turbocharge EPS growth relative to revenue growth.

Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business.

For Hubbell, its two-year annual EPS growth of 10.7% was lower than its five-year trend. We still think its growth was good and hope it can accelerate in the future.

In Q1, Hubbell reported adjusted EPS of $3.93, up from $3.38 in the same quarter last year. This print beat analysts’ estimates by 1.7%. Over the next 12 months, Wall Street expects Hubbell’s full-year EPS of $18.76 to grow 8.1%.

Key Takeaways from Hubbell’s Q1 Results

We enjoyed seeing Hubbell beat analysts’ adjusted operating income expectations this quarter. We were also happy its organic revenue narrowly outperformed Wall Street’s estimates. On the other hand, its full-year EPS guidance slightly missed. Overall, this print had some key positives. Investors were likely hoping for more, and shares traded down 2.5% to $532.36 immediately following the results.

So do we think Hubbell is an attractive buy at the current price? If you’re making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here (it’s free).