Huber+Suhner HUBN.SW
What does Huber+Suhner do?
Huber+Suhner is a Swiss provider of components and system solutions for electrical and optical connectivity. The range includes coaxial and fiber optic cables, connectors, adapters, assembled cable systems, antennas, and products for fiber cable management such as modules and distribution frames. It also offers connection systems for electric vehicles.
The business is divided into the Industry, Communication and Transportation segments. Customers include network operators and equipment makers in telecommunications, data centers, manufacturers of test and measurement and medical technology, aerospace and defense companies, and the rail and vehicle industries. Revenue arises predominantly from project-based and serial deliveries to industrial customers. Competitive advantages lie in development expertise, vertical integration, quality under demanding operating conditions and proximity to customers through international locations. In the market, the company competes with globally active connectivity specialists as well as regional providers, especially in more standardized product areas.
Score profile
Rank vs. Communication Equipment (17 companies). 10 = top of the group, 5 = middle. Calculated from the metrics below, without AI.
Metrics compared with the industry
On profitability and quality, Huber+Suhner ranks in the middle in the group Communication Equipment (4.9/10). On growth, the company ranks in the bottom fifth in the group Communication Equipment (0.6/10). On valuation (higher = cheaper), the stock ranks below average in the group Communication Equipment (3.2/10). On financial strength, Huber+Suhner ranks above average in the group Communication Equipment (6.2/10).
| Metric | Stock | Group median | Ranking |
|---|---|---|---|
| Forward P/E | 23.0x | 15.4x | better than 18 % |
| Trailing P/E | 41.9x | 35.7x | better than 46 % |
| EV/EBITDA | 23.8x | 21.7x | better than 34 % |
| Price/sales | 3.5x | 2.7x | better than 44 % |
| Price/book | 4.6x | 4.3x | better than 44 % |
| Revenue growth | 2.6% | 29.0% | better than 3 % |
| Earnings growth | -4.6% | 50.1% | better than 9 % |
| Gross margin | 37.3% | 48.9% | better than 32 % |
| Operating margin | 9.0% | 12.6% | better than 44 % |
| Net margin | 8.3% | 6.4% | better than 68 % |
| Return on equity | 11.2% | 11.2% | better than 50 % |
| Debt/equity | 0.0% | 76.5% | better than 97 % |
| Current ratio | 2.8x | 1.7x | better than 79 % |
| Free cash flow yield | -0.3% | 2.9% | better than 9 % |
| Dividend yield | 1.2% | 1.2% | – |
| Payout ratio | 50.8% | 38.9% | – |
| Beta | 0.85 | 1.33 | – |
Valuation: what is Huber+Suhner worth?
Two valuation approaches – a discounted cash flow model and a valuation at the industry’s median multiples – give Huber+Suhner a model range of 110.96 CHF to 150.85 CHF per share.
5 analysts, average rating “Buy”, average price target 248.20 CHF (+50.4%).
The full DCF matrix, the reverse DCF (what growth the price implies) and scenarios are part of the Pro analysis.
What the business depends on
- The expansion of mobile, fiber optic and data center networks determines demand in the Communication segment.
- Demanding applications in industry, rail, aerospace and test and measurement support demand for specialized, durable connectivity solutions.
- Technological development expertise and manufacturing efficiency determine whether products can be placed at adequate margins.
Risks
- Investment cycles of network operators and industrial customers lead to fluctuating demand and can weigh on utilization and profitability.
- Price pressure from international competitors, particularly in standardized products, can constrain margins.
- Currency fluctuations, raw material prices and supply chains affect costs and earnings, as production and sales are internationally distributed.
What to look for with Huber+Suhner
The operating margin (EBIT margin) shows whether the company keeps its value creation and cost structure under control despite cyclical demand and price pressure.