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Rbc Bearings (RBC)
NYSE:RBC
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RBC Bearings (RBC) AI Stock Analysis

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RBC

RBC Bearings

(NYSE:RBC)

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Outperform 79 (OpenAI - 5.2)
Rating:79Outperform
Price Target:
$659.00
▲(11.74% Upside)
Action:Reiterated
Date:06/25/26
The score is driven primarily by strong financial performance (profitability and balance-sheet improvement) and a constructive earnings outlook supported by backlog and positive guidance. Technicals also support the trend, though short-term indicators look extended. The main drag is valuation, with a high P/E and no dividend yield provided.
Positive Factors
Multi-year revenue and margin expansion
Sustained revenue growth alongside meaningful gross and operating margin expansion indicates durable pricing power and better operational execution. This mix of top-line scale and higher margins supports longer-term profitability resilience across aerospace/defense and industrial end markets.
Negative Factors
Elevated SG&A run rate
A persistently elevated SG&A base can restrain operating leverage as revenue growth moderates. Higher personnel and comp costs may be structural if headcount and incentive programs remain elevated, reducing the margin benefit from future revenue and pressuring long‑term profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Multi-year revenue and margin expansion
Sustained revenue growth alongside meaningful gross and operating margin expansion indicates durable pricing power and better operational execution. This mix of top-line scale and higher margins supports longer-term profitability resilience across aerospace/defense and industrial end markets.
Read all positive factors

RBC Bearings (RBC) vs. SPDR S&P 500 ETF (SPY)

RBC Bearings Business Overview & Revenue Model

Company Description
RBC Bearings Incorporated (RBC) is a global enterprise specializing in the design, production, and distribution of precisely engineered bearings and a wide array of related mechanical components. The company strategically operates through two core...
How the Company Makes Money
RBC primarily makes money by manufacturing and selling engineered bearings and related precision components to customers in two main end markets: industrial and aerospace/defense. Revenue is generated from product sales that are typically specifie...

RBC Bearings Earnings Call Summary

Earnings Call Date:May 15, 2026
(Q4-2026)
|
% Change Since: |
Next Earnings Date:Jul 31, 2026
Earnings Call Sentiment Positive
The call was broadly positive: the company reported strong top‑line growth, solid margin and profitability expansion, robust free cash flow, significant backlog (particularly in defense/space), and clear de‑leveraging progress. Notable execution and integration efforts (VACCO), capacity investments for submarine ramps, supply‑chain risks (titanium/high‑alloy inputs), elevated SG&A and remaining contract repricing exposure are meaningful headwinds but appear manageable against strong operating cash flow and healthy guidance. Overall, positives materially outweigh the headwinds.
Positive Updates
Strong Quarterly and Annual Revenue Growth
Q4 net sales increased 18.3% year‑over‑year to $518.0M; full year sales up 32.0% with 19.1% organic growth.
Negative Updates
Elevated SG&A and Compensation Timing
SG&A totaled $86.9M (16.8% of net sales) in the quarter with personnel costs and stock‑based compensation noted as primary drivers; management indicated SG&A may trend a bit above $80M per quarter going forward.
Read all updates
Q4-2026 Updates
Negative
Strong Quarterly and Annual Revenue Growth
Q4 net sales increased 18.3% year‑over‑year to $518.0M; full year sales up 32.0% with 19.1% organic growth.
Read all positive updates
Company Guidance
Management guided fiscal 2027 revenue of $500.0–$510.0 million (implying year‑over‑year growth of ~14.7%–17.0%), an adjusted gross margin of 45.25%–45.50%, SG&A of 16.5%–16.75% of sales, and expects to expand consolidated gross margin roughly 50 basis points for the full year; they reiterated a capital intensity run rate of roughly 3.5%–4% of sales and remain on track to pay off the remainder of the term loan by November 2026, while noting A&D margin improvement should continue gradually as efficiencies, volume and new contracts flow through.

RBC Bearings Financial Statement Overview

Summary
Strong multi-year revenue expansion with meaningful margin improvement (gross margin ~44% and operating margin ~22–23%) and solid free-cash-flow generation. Balance sheet strength stands out with debt-to-equity reduced to ~0.07. Main offsets are growth volatility and periodic operating cash-flow timing headwinds versus net income.
Income Statement
86
Very Positive
Balance Sheet
88
Very Positive
Cash Flow
82
Very Positive
BreakdownMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue1.87B1.64B1.56B1.47B942.90M
Gross Profit830.20M726.10M670.50M604.80M357.10M
EBITDA547.90M491.70M459.80M401.80M185.70M
Net Income287.60M246.20M209.90M166.70M54.70M
Balance Sheet
Total Assets5.12B4.69B4.68B4.69B4.85B
Cash, Cash Equivalents and Short-Term Investments57.30M36.80M63.50M65.40M182.86M
Total Debt991.40M1.03B1.29B1.49B1.78B
Total Liabilities1.76B1.65B1.93B2.15B2.47B
Stockholders Equity3.36B3.03B2.75B2.54B2.37B
Cash Flow
Free Cash Flow342.60M243.80M241.50M178.60M150.50M
Operating Cash Flow415.70M293.60M274.70M220.60M180.30M
Investing Cash Flow-349.70M-49.80M-52.20M-14.00M-2.85B
Financing Cash Flow-43.30M-270.40M-223.50M-322.80M2.70B

RBC Bearings Technical Analysis

Technical Analysis Sentiment
Negative
Last Price589.77
Price Trends
50DMA
599.81
Negative
100DMA
584.58
Negative
200DMA
519.60
Positive
Market Momentum
MACD
-6.63
Positive
RSI
37.52
Neutral
STOCH
16.85
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RBC, the sentiment is Negative. The current price of 589.77 is below the 20-day moving average (MA) of 612.68, below the 50-day MA of 599.81, and above the 200-day MA of 519.60, indicating a neutral trend. The MACD of -6.63 indicates Positive momentum. The RSI at 37.52 is Neutral, neither overbought nor oversold. The STOCH value of 16.85 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RBC.

RBC Bearings Risk Analysis

RBC Bearings disclosed 27 risk factors in its most recent earnings report. RBC Bearings reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 3 New Risks
1.
Goodwill and indefinite-lived intangibles comprise a significant portion of our total assets, and if we determine that goodwill and indefinite-lived intangibles have become impaired in the future, our results of operations and financial condition in such years may be materially and adversely affected. Q1, 2026
2.
We may not be able to continue to make the acquisitions necessary for us to realize our growth strategy. Q1, 2026
3.
Use of artificial intelligence could expose us to operational, compliance, and data-related risk. Q1, 2026

RBC Bearings Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
$18.20B63.008.90%14.34%18.07%
78
Outperform
$21.29B20.8817.48%2.52%2.99%1.23%
70
Outperform
$13.85B25.8437.29%1.22%7.72%19.51%
66
Neutral
$9.57B31.179.77%1.61%3.31%-5.18%
64
Neutral
$14.02B36.954.12%4.42%-0.06%3.45%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
63
Neutral
$2.57B18.8510.46%2.74%7.16%28.79%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
RBC
RBC Bearings
575.22
183.24
46.75%
KMT
Kennametal
33.74
9.90
41.55%
LECO
Lincoln Electric Holdings
252.74
37.27
17.30%
SNA
Snap-on
410.99
91.41
28.60%
SWK
Stanley Black & Decker
90.17
23.63
35.52%
TKR
Timken Company
137.78
60.11
77.38%

RBC Bearings Corporate Events

Business Operations and StrategyExecutive/Board Changes
RBC Bearings Updates CEO and COO Employment Agreements
Positive
Jun 24, 2026
On June 23, 2026, RBC Bearings amended and restated the employment agreement with its President, Chief Executive Officer and Chairman, Dr. Michael J. Hartnett, formalizing updated terms for the company’s top executive. On the same date, the ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 25, 2026