This Overlooked Grid-Technology Stock Could Be Your Ticket to Millionaire Status
Jeff Siegel, The Motley Fool
Fri, September 18, 2026 at 9:25 AM GMT+3 3 min read
Grid technology company Hubbell (NYSE: HUBB) has delivered a total return of 425% over the past 10 years, assuming dividends were reinvested. That's an annualized return of roughly 18%.
Put another way, $10,000 invested in Hubbell a decade ago would be worth more than $52,000 today. And Hubbell could have plenty of runway left.
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If you're unfamiliar, the company makes equipment that keeps electricity moving through the grid, including connectors, insulators, arresters, switches, and other components used in transmission, substations, and distribution networks. Its Utility Solutions business generated about $3.7 billion in sales last year. This puts Hubbell directly in the path of one of the biggest infrastructure investment cycles in decades.
More electricity requires a bigger grid
Data centers, AI, manufacturing, and electrification are pushing electricity demand higher. Utilities have to connect that new demand while replacing aging infrastructure and expanding transmission and distribution networks. And Hubbell is already seeing the impact.
Q2 sales increased 15%, including 10% organic growth. Management specifically pointed to grid modernization, load growth, and data center investment as major drivers. Utility Solutions sales increased 10% to $1.03 billion, including roughly 12% growth in Grid Infrastructure.
The company also generated $875 million in free cash flow in 2025, up from $811 million in 2024, while adjusted earnings per share increased 10% to $18.21. For 2026, management recently raised its adjusted earnings guidance to $20.25-$20.55 per share.
Here's the math
Hubbell's historical returns make the "millionaire status" thesis far more realistic than it might initially sound. The stock has compounded at approximately 18% annually over the past decade, including reinvested dividends.
If you invested $25,000 today and Hubbell repeated that annualized performance for another 20 years, the initial investment alone would grow to roughly $685,000. But add another $250 per month, and the ending value would climb to approximately $1.16 million.
Of course, there are no guarantees. Maintaining an 18% annual return for another two decades would be extremely difficult, and Hubbell could deliver considerably lower returns. But Hubbell doesn't need another decade exactly like the last one to create substantial wealth.
The company is selling essential equipment to an electrical grid that requires an enormous investment. It has also shown it can turn that demand into earnings and cash flow growth.
Make no mistake: Hubbell isn't a speculative AI stock promising massive future revenue. It generated $5.8 billion in sales last year, has been around since 1888, and has increased its dividend for 18 consecutive years. If Hubbell can continue to compound earnings while grid investment accelerates, its next decade could offer long-term investors another opportunity to turn patience into serious wealth.
Should you buy stock in Hubbell right now?
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Jeff Siegel has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
This Overlooked Grid-Technology Stock Could Be Your Ticket to Millionaire Status was originally published by The Motley Fool
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