Hubbell dividend: cash coverage and outlook
MyStockButler's October 2026 analysis: Hubbell's dividend begins at $6.08 per share, with the base forecast rising to $6.51 and then $6.97. Hubbell's free cash flow should fund dividends and gradual debt reduction, while buybacks and acquisitions also use cash.
How much does Hubbell pay per share over time?
The dividend begins at $6.08 per share in every case because that rate is already declared. Base dividends rise to $6.51 and then $6.97, matching the recent 7% increase and strong cash coverage. Bear dividends remain $6.08 after 2027 as debt constrains distributions. Bull dividends rise to $6.57 and then $7.10 if cash growth and debt reduction allow 8% increases.
| 2025 | 2024 | 2023 | 2022 | 2021 | |
|---|---|---|---|---|---|
| Real free cash flow per share | 15.73 | 14.45 | 12.75 | 8.92 | 7.42 |
| − Dividends paid, per share | 5.36 | 4.95 | 4.55 | 4.24 | 3.97 |
| = FCF not paid out, per share | 6.61 | 9.26 | 8.07 | 1.64 | 3.38 |
What this means. The company's own free cash flow per share is higher because it does not subtract the value of shares given to employees as pay; we subtract it because those new shares reduce each existing shareholder's share.
How much would Hubbell's dividend pay you?
$10,000 invested in Hubbell at its 1.4% dividend yield (our report of October 28, 2026) pays $140.00 in the first year, before tax. If its dividend per share keeps changing 7.8% a year, as it did from 2021 to 2025, and the dividends are reinvested, year 10 pays $326.59, with $2,198.85 received in all.
Before tax. Past dividend growth is not a promise. Information only, not investment advice.
Does Hubbell's free cash flow cover its dividend?
Free cash flow is operating cash after capital expenditure, the money spent on facilities and equipment. Hubbell used a large share of it for dividends and share buybacks. Dividends distribute cash directly; buybacks retire shares, increasing the remaining shareholders’ claim on future earnings. Neither action proves value creation by itself, because the result depends on the price paid and the cash left for reinvestment.
The base case is confirmed if organic growth continues, led by Electrical Solutions and infrastructure, while capacity investment supports shipments and pricing offsets costs. Free cash flow should fund dividends and gradual debt reduction.
| 2025 | 2024 | 2023 | 2022 | 2021 | |
|---|---|---|---|---|---|
| Free cash flow | 874.7 | 810.8 | 715.1 | 506.9 | 423.5 |
| − Dividends paid | 286.6 | 267.3 | 245.5 | 229.6 | 216.9 |
| − Share buybacks | 225.0 | 40.0 | 30.0 | 182.0 | 11.2 |
| = Free cash flow not paid out | 353.9 | 499.9 | 436.0 | 88.6 | 184.8 |
| Paid out, % of free cash flow | 58.5% | 37.9% | 38.5% | 81.2% | 53.9% |
What this means. The company's own net debt is lower because it subtracts all investments, while our figure subtracts only cash and investments it can sell quickly.
What could change Hubbell's dividend?
The view moves toward bear during 2027–2028 if utility project timing worsens, budgets are crowded out or Grid Automation's meter weakness persists. It moves further down if inflation and capacity costs reduce margins and NSI debt slows repayment through 2029.
| October 2027 | October 2028 | October 2029 | |
|---|---|---|---|
| Earnings | 1,117 (1,000 / 1,216) | 1,200 (991 / 1,394) | 1,290 (979 / 1,596) |
| Shares (millions) | 52.54 (52.73 / 52.35) | 52.20 (52.57 / 51.84) | 51.88 (52.42 / 51.37) |
| Dividends per share | 6.08 (6.08 / 6.08) | 6.51 (6.08 / 6.57) | 6.97 (6.08 / 7.10) |
| Price to earnings | 25.00 (20.00 / 29.00) | 24.00 (18.00 / 31.00) | 23.00 (16.00 / 33.00) |