Common Stock Valuation Ratios (Price Multiples)
Quarterly Data
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Historical Valuation Ratios (Summary)
Hubbell Inc., historical price multiples (quarterly data)
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
The financial ratios for the company exhibit notable fluctuations and trends over the analyzed periods, reflecting changes in market perceptions, profitability, and valuation metrics.
- Price to Earnings (P/E)
- The P/E ratio shows an overall increasing trend from early 2019 through 2023, with some variation. Beginning at around 18.5 in the first quarter of 2019, it rose gradually to peak near 29.47 in mid-2021. Following this peak, there was a moderate decline, stabilizing around the low twenties by late 2023. This indicates a period during which investors were willing to pay more per dollar of earnings, suggesting increased growth expectations or improved profitability, although more recent values suggest a tempering of that enthusiasm.
- Price to Operating Profit (P/OP)
- This ratio mirrors the P/E trend but with slightly less pronounced peaks. Starting near 12 in early 2019, it climbed steadily, reaching highs close to 20 in 2021. Subsequently, the ratio experienced a modest decline to approximately 15.2 by the third quarter of 2023. The increased P/OP ratios over time imply that the market valued operating profit more highly for a prolonged period, potentially due to improvements in operational efficiency or operating margins. The recent decrease might reflect either market adjustment or changes in operational performance.
- Price to Sales (P/S)
- The price to sales ratio also showed growth over time, starting at roughly 1.5 in early 2019 and trending upwards with some volatility to a high of approximately 3.21 in mid-2023. After this peak, the ratio declined slightly but remained elevated relative to its starting point. This indicates that the market assigned a higher valuation to each dollar of sales as time progressed, possibly reflecting better sales growth prospects or improved revenue quality. The recent tapering suggests some moderation in sales valuation.
- Price to Book Value (P/BV)
- The P/BV ratio displays a consistent upward trajectory throughout the period. Beginning at about 3.8 in early 2019, the ratio rose steadily, exceeding 6.0 by mid-2023 before experiencing a slight pullback to around 5.46 by the third quarter of 2023. This increasing trend could signify growing investor confidence in the company's net asset value or expectations of enhanced future asset returns. The slight recent decline may be a result of market repricing or changes in book value components.
Overall, the valuation ratios generally increased over the study period, peaking around 2021 to 2023 before exhibiting mild corrections. This pattern suggests a period of market optimism regarding the company’s earnings, operating profitability, sales, and book value, followed by a partial normalization. The convergence of trends in these key financial ratios indicates that both earnings power and asset base were valued more highly by investors over the medium term, with recent data reflecting some market recalibration potentially due to changes in growth outlook, profitability persistence, or broader market conditions.
Price to Earnings (P/E)
Hubbell Inc., historical P/E calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 53,622,050 | 53,631,016 | 53,588,548 | 53,600,592 | 53,705,829 | 53,677,757 | 53,661,255 | 54,409,067 | 54,410,883 | 54,380,483 | 54,316,306 | 54,296,993 | 54,236,468 | 54,228,170 | 54,201,073 | 54,434,310 | 54,385,600 | 54,408,952 | 54,508,892 | ||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Net income attributable to Hubbell Incorporated (in thousands) | 200,100) | 206,800) | 181,900) | 104,600) | 139,100) | 122,000) | 180,200) | 117,600) | 108,400) | 95,800) | 77,700) | 80,900) | 107,100) | 88,200) | 75,000) | 101,900) | 130,700) | 96,000) | 72,300) | ||||||
| Earnings per share (EPS)2 | 12.93 | 11.79 | 10.22 | 10.18 | 10.41 | 9.84 | 9.35 | 7.34 | 6.67 | 6.65 | 6.52 | 6.47 | 6.86 | 7.30 | 7.45 | 7.36 | 7.12 | 6.80 | 6.86 | ||||||
| Share price1, 3 | 279.10 | 310.00 | 269.32 | 240.62 | 238.06 | 209.71 | 196.33 | 183.31 | 190.67 | 195.88 | 191.42 | 164.36 | 144.24 | 134.97 | 122.08 | 147.54 | 143.63 | 129.88 | 127.03 | ||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/E ratio4 | 21.58 | 26.29 | 26.36 | 23.63 | 22.88 | 21.31 | 20.99 | 24.97 | 28.60 | 29.47 | 29.38 | 25.41 | 21.02 | 18.49 | 16.39 | 20.03 | 20.18 | 19.10 | 18.50 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| P/E Ratio, Competitors5 | |||||||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 12.95 | 17.55 | 15.65 | 19.15 | 15.15 | 14.29 | 18.28 | 16.82 | 21.38 | 25.50 | 37.92 | — | — | — | — | — | — | — | — | ||||||
| Eaton Corp. plc | 27.72 | 32.23 | 26.89 | 27.93 | 26.32 | 25.21 | 26.37 | 27.77 | 33.08 | 34.43 | 40.32 | — | — | — | — | — | — | — | — | ||||||
| GE Aerospace | 12.72 | 13.82 | 12.78 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Honeywell International Inc. | 21.44 | 23.92 | 25.30 | 26.97 | 24.58 | 25.26 | 25.10 | 23.14 | 27.35 | 31.83 | 33.71 | — | — | — | — | — | — | — | — | ||||||
| Lockheed Martin Corp. | 15.71 | 16.11 | 22.32 | 20.48 | 19.28 | 22.00 | 19.45 | 16.70 | 15.11 | 14.27 | 15.48 | — | — | — | — | — | — | — | — | ||||||
| RTX Corp. | 35.32 | 22.79 | 26.67 | 27.59 | 29.12 | 29.83 | 35.16 | 36.79 | 40.28 | 60.91 | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2023 Calculation
EPS
= (Net income attributable to Hubbell IncorporatedQ3 2023
+ Net income attributable to Hubbell IncorporatedQ2 2023
+ Net income attributable to Hubbell IncorporatedQ1 2023
+ Net income attributable to Hubbell IncorporatedQ4 2022)
÷ No. shares of common stock outstanding
= (200,100,000 + 206,800,000 + 181,900,000 + 104,600,000)
÷ 53,622,050 = 12.93
3 Closing price as at the filing date of Hubbell Inc. Quarterly or Annual Report.
4 Q3 2023 Calculation
P/E ratio = Share price ÷ EPS
= 279.10 ÷ 12.93 = 21.58
5 Click competitor name to see calculations.
- Share Price Trend
- The share price exhibited an overall upward trajectory from March 2019 to September 2023. Initially priced at $127.03 in March 2019, it rose steadily to $147.54 by December 2019. There was a slight dip in the first half of 2020, reaching $122.08 in March 2020, likely reflecting market uncertainties during that period. Subsequently, the share price recovered and accelerated its growth, crossing the $190 mark by March 2021 and continuing an upward trend to peak at $310 in June 2023. The last observed value in September 2023 showed a moderate decline to $279.10, indicating some recent volatility or market correction.
- Earnings Per Share (EPS) Analysis
- EPS remained relatively stable around the 6.8 to 7.5 range from March 2019 through December 2020, with minor fluctuations that suggest consistent profitability. Beginning in 2021, the EPS showed a marked upward trend, increasing from 6.52 in March 2021 to a peak of 12.93 in September 2023. This represents nearly a doubling of earnings per share over the three-year span, indicative of improved operational efficiency, profitability, or strong revenue growth. The steady increase post-2020 suggests the company has managed to enhance shareholder value through increased earnings.
- Price-to-Earnings (P/E) Ratio Insights
- The P/E ratio displayed variability reflecting changes in both share price and EPS. From 2019 through early 2020, the P/E ratio fluctuated moderately around 18 to 20, indicating a stable valuation relative to earnings. During 2020, despite a temporary share price dip, the P/E ratio increased, peaking at 25.41 by December 2020. This increase likely reflects investor optimism or expected growth even when EPS slightly declined at that time. In 2021, the P/E ratio further increased, reaching nearly 30 in mid-2021, showing a premium valuation during that period. However, starting in 2022, the P/E ratio declined gradually to around 21.58 by September 2023, which may signal a market revaluation, potentially due to the rapid increase in EPS outpacing share price gains or shifting investor sentiment toward more conservative valuation multiples.
- Overall Observations
- The data indicates a positive long-term growth in both market price and earnings, suggesting strengthening fundamentals. The rapid EPS growth from 2021 forward is the most notable development and contributes to the company's increased intrinsic value. The P/E ratio's fluctuations highlight changing market perceptions and the balance between earnings performance and share price valuation. The recent moderation of share price after reaching a high in mid-2023 could suggest a period of consolidation or increased market caution. These trends collectively suggest a company that has improved profitability significantly while experiencing typical market valuation cycles.
Price to Operating Profit (P/OP)
Hubbell Inc., historical P/OP calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 53,622,050 | 53,631,016 | 53,588,548 | 53,600,592 | 53,705,829 | 53,677,757 | 53,661,255 | 54,409,067 | 54,410,883 | 54,380,483 | 54,316,306 | 54,296,993 | 54,236,468 | 54,228,170 | 54,201,073 | 54,434,310 | 54,385,600 | 54,408,952 | 54,508,892 | ||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Operating income (in thousands) | 276,300) | 287,800) | 248,800) | 172,000) | 203,600) | 190,600) | 142,900) | 134,300) | 145,900) | 142,200) | 109,900) | 119,800) | 162,900) | 131,500) | 118,800) | 135,900) | 172,900) | 166,900) | 120,900) | ||||||
| Operating profit per share2 | 18.37 | 17.01 | 15.21 | 13.23 | 12.50 | 11.43 | 10.53 | 9.78 | 9.52 | 9.83 | 9.65 | 9.82 | 10.12 | 10.31 | 10.97 | 10.96 | 10.98 | 10.81 | 10.61 | ||||||
| Share price1, 3 | 279.10 | 310.00 | 269.32 | 240.62 | 238.06 | 209.71 | 196.33 | 183.31 | 190.67 | 195.88 | 191.42 | 164.36 | 144.24 | 134.97 | 122.08 | 147.54 | 143.63 | 129.88 | 127.03 | ||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/OP ratio4 | 15.20 | 18.23 | 17.71 | 18.19 | 19.04 | 18.34 | 18.64 | 18.74 | 20.04 | 19.92 | 19.84 | 16.74 | 14.25 | 13.09 | 11.13 | 13.46 | 13.08 | 12.01 | 11.98 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| P/OP Ratio, Competitors5 | |||||||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 10.25 | 13.99 | 12.67 | 16.25 | 14.25 | 13.65 | 17.16 | 15.87 | 16.57 | 18.76 | 26.25 | — | — | — | — | — | — | — | — | ||||||
| Eaton Corp. plc | 22.55 | 25.61 | 21.74 | 22.78 | 21.52 | 18.06 | 18.52 | 19.33 | 22.62 | 27.06 | 30.03 | — | — | — | — | — | — | — | — | ||||||
| GE Aerospace | 22.82 | 26.69 | 20.39 | 19.88 | 15.70 | 13.51 | 17.08 | 17.46 | 20.90 | 23.40 | 35.58 | — | — | — | — | — | — | — | — | ||||||
| Honeywell International Inc. | 15.87 | 18.29 | 19.31 | 20.84 | 21.54 | 21.51 | 22.09 | 20.68 | 23.54 | 25.98 | 28.28 | — | — | — | — | — | — | — | — | ||||||
| Lockheed Martin Corp. | 12.87 | 13.18 | 15.02 | 14.06 | 13.30 | 11.97 | 13.61 | 11.56 | 10.22 | 11.57 | 12.37 | — | — | — | — | — | — | — | — | ||||||
| RTX Corp. | 35.06 | 20.81 | 24.68 | 26.48 | 24.82 | 26.15 | 29.36 | 28.68 | 35.30 | 46.33 | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2023 Calculation
Operating profit per share
= (Operating incomeQ3 2023
+ Operating incomeQ2 2023
+ Operating incomeQ1 2023
+ Operating incomeQ4 2022)
÷ No. shares of common stock outstanding
= (276,300,000 + 287,800,000 + 248,800,000 + 172,000,000)
÷ 53,622,050 = 18.37
3 Closing price as at the filing date of Hubbell Inc. Quarterly or Annual Report.
4 Q3 2023 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 279.10 ÷ 18.37 = 15.20
5 Click competitor name to see calculations.
The analysis of the financial indicators over the quarters reveals notable trends in the share price, operating profit per share, and the corresponding price to operating profit ratio.
- Share Price
- The share price exhibited a general upward trajectory from early 2019 through late 2023. Starting at approximately $127 in March 2019, it experienced moderate fluctuations but steadily increased to peak near $310 by June 2023. A slight decline was observed towards the end of the observed period, with the price falling to around $279 by September 2023. Despite this dip, the overall trend remained strongly positive.
- Operating Profit Per Share (OPPS)
- Operating profit per share showed relative stability in the initial period, maintaining just above $10 from 2019 through mid-2020, with a minor dip to around $9.82 by December 2020. From 2021 onward, a consistent upward trend emerged, with OPPS rising sharply from roughly $9.65 in March 2021 to $18.37 by September 2023. This represents nearly a doubling in operating profit per share over the subsequent two and a half years.
- Price to Operating Profit Ratio (P/OP)
- The price to operating profit ratio underwent clear fluctuations correlated to movements in share price and OPPS. Initially, the ratio stayed within the 12 to 14 range during 2019. Thereafter, P/OP climbed significantly as share prices outpaced operating profit growth, peaking around 20 in the mid-2021 period. Subsequently, the ratio began a gradual decline from this peak, dropping to approximately 15.2 by September 2023. This decline reflects the faster growth in operating profits relative to the share price in the latter quarters.
In summary, the data indicates robust growth in operating profitability alongside a substantial increase in market valuation, although the valuation multiple contracted slightly as earnings growth accelerated. The company's financial performance through 2023 shows strengthening profitability that may be contributing to sustained investor confidence despite some corrections in share price levels.
Price to Sales (P/S)
Hubbell Inc., historical P/S calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 53,622,050 | 53,631,016 | 53,588,548 | 53,600,592 | 53,705,829 | 53,677,757 | 53,661,255 | 54,409,067 | 54,410,883 | 54,380,483 | 54,316,306 | 54,296,993 | 54,236,468 | 54,228,170 | 54,201,073 | 54,434,310 | 54,385,600 | 54,408,952 | 54,508,892 | ||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Net sales (in thousands) | 1,375,800) | 1,365,900) | 1,285,400) | 1,219,600) | 1,316,200) | 1,256,000) | 1,156,100) | 1,100,100) | 1,083,400) | 1,054,300) | 956,300) | 1,037,900) | 1,108,600) | 949,200) | 1,090,300) | 1,103,300) | 1,204,000) | 1,196,400) | 1,087,300) | ||||||
| Sales per share2 | 97.85 | 96.72 | 94.74 | 92.31 | 89.90 | 85.61 | 81.88 | 77.08 | 75.94 | 76.44 | 74.60 | 77.09 | 78.39 | 80.16 | 84.76 | 84.34 | 85.17 | 84.68 | 83.98 | ||||||
| Share price1, 3 | 279.10 | 310.00 | 269.32 | 240.62 | 238.06 | 209.71 | 196.33 | 183.31 | 190.67 | 195.88 | 191.42 | 164.36 | 144.24 | 134.97 | 122.08 | 147.54 | 143.63 | 129.88 | 127.03 | ||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/S ratio4 | 2.85 | 3.21 | 2.84 | 2.61 | 2.65 | 2.45 | 2.40 | 2.38 | 2.51 | 2.56 | 2.57 | 2.13 | 1.84 | 1.68 | 1.44 | 1.75 | 1.69 | 1.53 | 1.51 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| P/S Ratio, Competitors5 | |||||||||||||||||||||||||
| Boeing Co. | 1.42 | 1.91 | 1.73 | 1.90 | 1.30 | 1.53 | 1.50 | 1.87 | 1.93 | 2.20 | 2.44 | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 1.86 | 2.37 | 1.89 | 2.27 | 2.08 | 1.88 | 2.38 | 2.26 | 2.41 | 2.59 | 3.23 | — | — | — | — | — | — | — | — | ||||||
| Eaton Corp. plc | 3.67 | 3.96 | 3.23 | 3.31 | 2.99 | 2.95 | 2.96 | 3.03 | 3.51 | 3.39 | 3.25 | — | — | — | — | — | — | — | — | ||||||
| GE Aerospace | 1.84 | 1.85 | 1.51 | 1.20 | 1.11 | 1.10 | 1.25 | 1.50 | 1.64 | 1.60 | 1.68 | — | — | — | — | — | — | — | — | ||||||
| Honeywell International Inc. | 3.19 | 3.61 | 3.68 | 3.78 | 3.78 | 3.72 | 3.84 | 3.73 | 4.32 | 4.66 | 4.78 | — | — | — | — | — | — | — | — | ||||||
| Lockheed Martin Corp. | 1.62 | 1.69 | 1.92 | 1.78 | 1.75 | 1.61 | 1.84 | 1.57 | 1.38 | 1.53 | 1.63 | — | — | — | — | — | — | — | — | ||||||
| RTX Corp. | 1.68 | 1.80 | 2.15 | 2.14 | 1.97 | 2.04 | 2.27 | 2.21 | 2.09 | 2.14 | 2.07 | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2023 Calculation
Sales per share
= (Net salesQ3 2023
+ Net salesQ2 2023
+ Net salesQ1 2023
+ Net salesQ4 2022)
÷ No. shares of common stock outstanding
= (1,375,800,000 + 1,365,900,000 + 1,285,400,000 + 1,219,600,000)
÷ 53,622,050 = 97.85
3 Closing price as at the filing date of Hubbell Inc. Quarterly or Annual Report.
4 Q3 2023 Calculation
P/S ratio = Share price ÷ Sales per share
= 279.10 ÷ 97.85 = 2.85
5 Click competitor name to see calculations.
The share price exhibited an overall upward trend from March 2019 to September 2023, starting at $127.03 and reaching a peak of $310 in June 2023 before decreasing slightly to $279.10 by September 2023. Throughout this period, the share price showed periodic fluctuations, including a notable dip around March 2020, followed by a strong recovery and consistent growth thereafter.
Sales per share showed a different pattern, with relatively minor fluctuations and a generally stable progression. Beginning at $83.98 in March 2019, the sales per share slightly declined until the end of 2020, reaching a low around $77.09 in December 2020. From 2021 onward, sales per share gradually increased, reaching $97.85 by September 2023, indicating steady growth in the company's sales output on a per-share basis.
The price-to-sales (P/S) ratio demonstrated clear cyclic movements in relation to the share price and sales per share. The ratio started at 1.51 in March 2019, rose steadily to reach 2.13 by December 2020, reflecting increasing investor valuation relative to sales despite relatively flat sales per share. Between 2021 and 2023, the P/S ratio fluctuated between approximately 2.4 and 3.21, peaking in June 2023. This suggests that the market valued the company's shares increasingly higher relative to its sales, particularly during the strong share price growth periods, but showed some correction towards September 2023.
Overall, the data reflects a company whose share price experienced strong appreciation over the analyzed period, particularly after the initial market disruptions in early 2020. Sales per share maintained modest but consistent growth, while the P/S ratio movements indicate periods of market re-rating, with investor confidence strengthening through most of the timeframe but showing signs of moderation more recently.
Price to Book Value (P/BV)
Hubbell Inc., historical P/BV calculation (quarterly data)
| Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 53,622,050 | 53,631,016 | 53,588,548 | 53,600,592 | 53,705,829 | 53,677,757 | 53,661,255 | 54,409,067 | 54,410,883 | 54,380,483 | 54,316,306 | 54,296,993 | 54,236,468 | 54,228,170 | 54,201,073 | 54,434,310 | 54,385,600 | 54,408,952 | 54,508,892 | ||||||
| Selected Financial Data (US$) | |||||||||||||||||||||||||
| Total Hubbell Incorporated shareholders’ equity (in thousands) | 2,739,100) | 2,620,700) | 2,472,700) | 2,360,900) | 2,318,700) | 2,256,900) | 2,213,300) | 2,229,800) | 2,168,800) | 2,125,700) | 2,082,700) | 2,070,000) | 2,016,800) | 1,959,900) | 1,914,900) | 1,947,100) | 1,903,100) | 1,835,900) | 1,808,100) | ||||||
| Book value per share (BVPS)2 | 51.08 | 48.87 | 46.14 | 44.05 | 43.17 | 42.05 | 41.25 | 40.98 | 39.86 | 39.09 | 38.34 | 38.12 | 37.19 | 36.14 | 35.33 | 35.77 | 34.99 | 33.74 | 33.17 | ||||||
| Share price1, 3 | 279.10 | 310.00 | 269.32 | 240.62 | 238.06 | 209.71 | 196.33 | 183.31 | 190.67 | 195.88 | 191.42 | 164.36 | 144.24 | 134.97 | 122.08 | 147.54 | 143.63 | 129.88 | 127.03 | ||||||
| Valuation Ratio | |||||||||||||||||||||||||
| P/BV ratio4 | 5.46 | 6.34 | 5.84 | 5.46 | 5.51 | 4.99 | 4.76 | 4.47 | 4.78 | 5.01 | 4.99 | 4.31 | 3.88 | 3.73 | 3.46 | 4.12 | 4.10 | 3.85 | 3.83 | ||||||
| Benchmarks | |||||||||||||||||||||||||
| P/BV Ratio, Competitors5 | |||||||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 5.76 | 8.05 | 6.13 | 8.09 | 7.16 | 6.14 | 6.96 | 6.62 | 6.61 | 6.65 | 7.86 | — | — | — | — | — | — | — | — | ||||||
| Eaton Corp. plc | 4.52 | 4.87 | 3.96 | 4.04 | 3.75 | 3.56 | 3.52 | 3.63 | 4.28 | 4.21 | 3.84 | — | — | — | — | — | — | — | — | ||||||
| GE Aerospace | 4.31 | 4.09 | 3.39 | 2.43 | 2.53 | 2.26 | 2.27 | 2.64 | 3.15 | 3.43 | 3.53 | — | — | — | — | — | — | — | — | ||||||
| Honeywell International Inc. | 6.74 | 7.54 | 7.81 | 8.02 | 7.46 | 7.31 | 7.17 | 6.91 | 8.39 | 8.83 | 8.67 | — | — | — | — | — | — | — | — | ||||||
| Lockheed Martin Corp. | 11.80 | 12.31 | 13.16 | 12.67 | 9.46 | 9.05 | 12.08 | 9.62 | 9.50 | 15.63 | 17.05 | — | — | — | — | — | — | — | — | ||||||
| RTX Corp. | 1.62 | 1.75 | 2.03 | 1.97 | 1.85 | 1.89 | 2.04 | 1.95 | 1.87 | 1.87 | 1.75 | — | — | — | — | — | — | — | — | ||||||
Based on: 10-Q (reporting date: 2023-09-30), 10-Q (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31).
1 Data adjusted for splits and stock dividends.
2 Q3 2023 Calculation
BVPS = Total Hubbell Incorporated shareholders’ equity ÷ No. shares of common stock outstanding
= 2,739,100,000 ÷ 53,622,050 = 51.08
3 Closing price as at the filing date of Hubbell Inc. Quarterly or Annual Report.
4 Q3 2023 Calculation
P/BV ratio = Share price ÷ BVPS
= 279.10 ÷ 51.08 = 5.46
5 Click competitor name to see calculations.
The share price of the company demonstrates an overall upward trajectory from March 2019 to September 2023. Starting at $127.03, the price shows gradual increases with occasional cyclical fluctuations. Notably, there is a dip around the first quarter of 2020, aligning with broader market disturbances, but recovery and growth resume thereafter. The share price peaks at $310 in June 2023 before declining slightly to $279.1 by September 2023, indicating some volatility in the most recent quarters.
The book value per share exhibits a steady and consistent increase throughout the period analyzed. From $33.17 in March 2019, it rises incrementally each quarter, reaching $51.08 by September 2023. This pattern suggests continuous accumulation of equity value, reflecting positive retained earnings and possibly conservative dividend policies or reinvestment strategies.
The price-to-book value ratio (P/BV) fluctuates more significantly over the same timeframe. Initially, the ratio hovers near 3.8 to 4.1, then drops to a low of 3.46 in March 2020, coinciding with the share price decline during that period. Subsequently, the P/BV ratio climbs steadily, reaching a peak of 6.34 in June 2023 before falling back to 5.46 in September 2023. This indicates a growing market premium on the company's book value during most periods, suggesting increasing investor confidence or expectations of future growth exceeding the book value appreciation.
In summary, the data reveals a company with a consistently growing book value per share, accompanied by general appreciation in its share price, albeit with some short-term volatility likely influenced by external market conditions. The rising P/BV ratio over time underscores an elevated market valuation relative to the underlying book value, reflecting optimistic market sentiment and potentially strong expected performance.