Hubbell's Astute Acquisition of Systems Control Offsets Negative Macroeconomic Headwinds

We view Hubbell as an intelligent play on industrial infrastructure spending, particularly from improvements made to the U.S. power grid. Over 90% of Hubbell’s consolidated sales are made in the United States. Hubbell has one of the most complete offerings across the entire electrical supply chain, from power generation to the end user. In our view, it has wisely chosen to competitively position itself in the highly differentiated approximately $58 billion electrical components market, avoiding larger-scale global players that focus on the apparatus markets as well as highly fragmented, commoditized portions of the market that sell easily replicable products, such as wires and cables.