Hubbell price target raised to $445 from $407 at Morgan Stanley

Morgan Stanley analyst Christopher Snyder raised the firm’s price target on Hubbell (HUBB) to $445 from $407 and keeps an Equal Weight rating on the shares. While Hubbell missed Q3 organic growth expectations and guided Q4 about 350 basis points below consensus excluding storm tailwinds, strong conviction on the Utility outlook over the next twelve months is allowing the market to look through organic misses and an extended destock, the analyst says. While the firm also has conviction in Utility improvement over the next twelve months, it thinks the FY25 bar is “high” and is “a bit concerned” that Hubbell Utility volumes have only grown at a 2% compound annual growth rate since 2020 despite the breadth of industry tailwinds, the analyst added.