Hubbell’s (HUB.B) third quarter earnings beat the Zacks Consensus by a wide margin, although revenue was more or less in-line. Government initiatives, the company’s market position, the product line-up and acquisition strategy indicate a strong comeback once the economy is more conducive.
We agree that near-term growth could be impacted by the non-residential slowdown, conservatism and transmission focus of utilities and general weakness in the industrial market. However, the signs of a recovery in 2010 are encouraging.
Consequently, we are upgrading HUB.B shares to Outperform.Zacks Investment Research
