Regal Rexnord price target raised to $265 from $255 at KeyBanc

KeyBanc analyst Jeffrey Hammond raised the firm’s price target on Regal Rexnord (RRX) to $265 from $255 and keeps an Overweight rating on the shares. Following the company’s Q1 earnings release, although lower margins partially held back the beat, the firm was encouraged by the broadening demand momentum evident in the strong IPS and AMC order growth. With margins positioned to improve moving forward, KeyBanc feels this provides further confirmation of its view that Regal short-cycle end markets are poised to inflect more meaningfully, which should support shares moving higher long-term in addition to underappreciated Data Center tailwinds.