Baird initiated coverage on Hubbell Inc. with an Outperform rating. The firm established a price target of $550.00 for the stock.
Hubbell reported 65% growth in its data center segment during the second quarter. Analysts expect the transmission and substation business to serve as a long-term driver with growth accelerating in the second half of 2026.
Baird noted that Hubbell’s AI exposure is advantageously tied to utility spending. Headwinds in other business segments are currently dissipating.
Institutional investors Danske Bank, Allworth Financial LP, and Bank of New York Mellon Corp recently purchased significant shares in the company.