Deutsche upgrades Hubbell to Buy with headwinds dissipating

Deutsche Bank upgraded Hubbell to Buy from Hold with a price target of $441, up from $431. The firm is bullish on the electrical products and systems sub-sector and says Hubbell has the highest power and utility exposure within its coverage universe. The company is positioned for mid- to high-single-digit organic growth for the next several years, the analyst tells investors in a research note. Deutsche says the shares have underperformed the peer group since initiated coverage with a Hold rating back in March, “making this a relatively attractive entry point.” It also believes Hubbell-specific, transitory headwinds of utility channel and end customer destocking and telecom weakness are dissipating.