Is Hubbell Incorporated (HUBB) a Prospective Investment?
Artisan Partners, an investment management company, released its “Artisan Mid Cap Fund” second quarter 2023 investor letter. A copy of the same can be downloaded here. In the second quarter, its Investor Class fund ARTMX returned 4.44%, Advisor Class fund APDMX posted a return of 4.48%, and Institutional Class fund APHMX returned 4.49%, compared to a 6.23% return for the Russell Midcap Growth Index. Sector allocation and security selection drove the Q2 underperformance. ARTMX, APDMX, and APHMX returned 17.36%, 17.47%, and 17.48%, respectively, compared to 15.94% for the index. In addition, please check the fund’s top five holdings to know its best picks in 2023.
Artisan Mid Cap Fund highlighted stocks like Hubbell Incorporated (NYSE:HUBB) in the second quarter 2023 investor letter. Headquartered in Shelton, Connecticut, Hubbell Incorporated (NYSE:HUBB) designs and manufactures electrical and utility solutions. On August 29, 2023, Hubbell Incorporated (NYSE:HUBB) stock closed at $327.37 per share. One-month return of Hubbell Incorporated (NYSE:HUBB) was 4.17%, and its shares gained 58.14% of their value over the last 52 weeks. Hubbell Incorporated (NYSE:HUBB) has a market capitalization of $17.557 billion.
Artisan Mid Cap Fund made the following comment about Hubbell Incorporated (NYSE:HUBB) in its second quarter 2023 investor letter:
"Along with Exact Sciences, notable adds in the quarter included Hubbell Incorporated (NYSE:HUBB) and Pool Corporation. Hubbell manufactures and sells electrical products for a wide range of utility, commercial, residential and industrial applications. The US electrical grid needs substantial investment to avoid outages and support the future proliferation of green energy installations. As a leading supplier of transmission and distribution components to utilities, we believe Hubbell is well[1]positioned. Fundamental results have been strong across multiple metrics, including sales, which grew 11%, and operating margins, which expanded by ~700bps. Specifically, the utility segment posted a record 24% operating margin, up nearly ~1,000bps from a year ago. Management raised guidance for 2023; however, we believe this remains conservative. We have moved the position into the CropSM based on our view that the valuation is reasonable, and the profit cycle momentum will continue as the grid modernization trend sustains demand growth in the utility segment."
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Hubbell Incorporated (NYSE:HUBB) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 31 hedge fund portfolios held Hubbell Incorporated (NYSE:HUBB) at the end of second quarter which was 32 in the previous quarter.
We discussed Hubbell Incorporated (NYSE:HUBB) in another article and shared best electrical equipment stocks to buy. In addition, please check out our hedge fund investor letters Q2 2023 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
