RBC Bearings (RBC) AI Stock Analysis

• Market Cap: $11.86B
• Dividend Yield: N/A
• Average Volume (3M): 157.34K
• Price to Earnings (P/E): 48.9
• Beta (1Y): 0.99
• Revenue Growth: 4.87%
• EPS Growth: 19.66%
• Country: US
• Employees: 5,302
• Sector: Industrials
• Sector Strength: 88
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): 2.83
• Shares Outstanding: 31,478,058
• 10 Day Avg. Volume: 168,047
• 30 Day Avg. Volume: 157,337
• PEG Ratio: 0.19
• Price to Book (P/B): 2.64
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 37.48
• Enterprise Value/Market Cap: 0.29
• Enterprise Value/Revenue: 0.54
• Enterprise Value/Gross Profit: 4.75
• Enterprise Value/Ebitda: 1.80
• 1Y Price Target: $405.00
• Price Target Upside: 7.83% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 77 Outperform
• Price Target: $408.00 ▲(8.63%Upside)

RBC Bearings scores well overall due to strong financial performance and strategic corporate actions. While technical indicators suggest bullish momentum, valuation remains a concern with a high P/E ratio. Nonetheless, the company's positive earnings outlook and strategic acquisition plans support a favorable stock assessment.

Positive Factors

Contract Quality

RBC's renegotiated contracts with Boeing and ongoing discussions with Airbus highlight upgraded contract quality and potential content wins in the aerospace sector.

Debt Management

RBC has de-levered to ~1.7x net debt to EBITDA, with expectations for further reduction.

M&A Strategy

The acquisition of VACCO is seen as a strategic move to create attractive opportunities, such as expanding the company's presence on naval defense platforms and within the commercial space market.

Negative Factors

Acquisition Impact

VACCO's current profitability is uncertain and noted to be highly dilutive to its segment's adjusted EBITDA margins, representing a drag on RBC's company level.

Operating Cash Flow

RBC reported operating cash flow of $69mn, below consensus of $160mn and below MSe of $117mn.

RBC Bearings Business Overview & Revenue Model

Company Description

RBC Bearings (RBC) is a leading international manufacturer and marketer of highly engineered precision bearings and essential components. Serving a range of sectors including aerospace, defense, industrial, and commercial markets, RBC's core products include plain, roller, and ball bearings, as well as highly specialized components. The company is recognized for its commitment to quality, innovation, and customer-centric solutions that enhance performance and reliability across various applications.

How the Company Makes Money

RBC Bearings generates revenue through the manufacturing and sale of its precision bearings and components, which are integral to the function of a broad spectrum of machinery and equipment. The company's key revenue streams include sales to original equipment manufacturers (OEMs) and aftermarket clients across diverse industries such as aerospace, defense, and industrial machinery. RBC's strategic partnerships and long-term contracts with leading industry players also significantly contribute to its earnings. By focusing on high-performance products and maintaining strong relationships with its clients, RBC is able to secure a stable revenue base in both domestic and international markets.

RBC Bearings Financial Statement Overview

Summary

RBC Bearings has shown remarkable financial performance with substantial revenue and profit growth, improved margins, and a strengthened balance sheet. The company has effectively managed its leverage, enhancing profitability and cash flow generation.

Income Statement

RBC Bearings has demonstrated strong revenue growth over the past few years, with a notable increase from $942.9 million in 2022 to $1.64 billion in 2025. The gross profit margin has shown stability around 44%, indicating effective cost management. Net profit margin increased from 4.5% in 2022 to 15.0% in 2025, reflecting improved profitability. The EBIT margin also improved significantly from 6.8% in 2022 to 22.6% in 2025. These metrics reflect solid financial performance and operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has decreased from 0.73 in 2022 to 0.34 in 2025, indicating a reduction in leverage and a more stable financial position. Return on equity improved from 1.8% in 2022 to 8.1% in 2025, showcasing better profitability relative to shareholder equity. However, the equity ratio has decreased slightly, suggesting a moderate increase in liabilities relative to assets. Overall, RBC has strengthened its balance sheet with lower leverage and improved returns for shareholders.

Cash Flow

RBC Bearings has shown strong cash flow performance, with free cash flow growing consistently from $150.5 million in 2022 to $243.8 million in 2025. The operating cash flow to net income ratio has remained healthy, indicating efficient conversion of net income to cash. The free cash flow to net income ratio also improved, highlighting effective cash management and reinvestment strategies. These metrics demonstrate robust cash flow generation and financial flexibility.

Breakdown
TTM	Mar 2025	Mar 2024	Jun 2023	Mar 2022	Mar 2021
Income Statement		Total Revenue
1.35B	1.64B	1.56B	1.47B	942.94M	608.98M
	Gross Profit
505.78M	726.10M	670.50M	604.75M	357.07M	234.11M
	EBIT
187.87M	369.90M	342.20M	170.97M	63.70M	78.75M
	EBITDA
313.37M	491.70M	459.80M	409.00M	185.79M	144.23M
	Net Income Common Stockholders
96.19M	246.20M	209.90M	166.70M	42.70M	90.10M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
82.04M	36.80M	63.50M	65.40M	182.86M	241.34M
	Total Assets
4.69B	4.69B	4.68B	4.69B	4.85B	1.43B
	Total Debt
1.51B	1.03B	1.29B	1.44B	1.74B	51.81M
	Net Debt
1.43B	992.10M	1.22B	1.38B	1.55B	-99.27M
	Total Liabilities
2.21B	1.65B	1.93B	2.15B	2.47B	204.31M
	Stockholders Equity
2.48B	3.03B	2.75B	2.54B	2.37B	1.23B
Cash Flow		Free Cash Flow
129.32M	243.80M	241.50M	178.60M	150.53M	140.68M
	Operating Cash Flow
175.25M	293.60M	274.70M	220.60M	180.29M	152.45M
	Investing Cash Flow
-2.93B	-49.80M	-52.20M	-14.00M	-2.85B	-101.52M
	Financing Cash Flow
1.47B	-270.40M	-223.50M	-322.80M	2.70B	-3.36M

RBC Bearings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 375.59
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RBC, the sentiment is Positive. The current price of 375.59 is above the 20-day moving average (MA) of 370.85, above the 50-day MA of 347.23, and above the 200-day MA of 324.53, indicating a bullish trend. The MACD of 8.22 indicates Positive momentum. The RSI at 61.36 is Neutral, neither overbought nor oversold. The STOCH value of 72.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RBC.

RBC Bearings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RBC	77 Outperform	$11.86B	48.90	8.51%	―	4.87%	19.66%
LECO	77 Outperform	$11.39B	25.18	34.83%	1.47%	-2.29%	-14.49%
SNA	74 Outperform	$16.84B	16.86	19.15%	2.66%	-0.88%	0.04%
TKR	74 Outperform	$5.12B	15.79	11.85%	1.89%	-3.69%	-11.76%
KMT	71 Outperform	$1.71B	16.18	8.69%	3.61%	-2.93%	2.74%
SWK	66 Neutral	$10.70B	29.38	4.03%	4.74%	-3.04%	―
Sector *	66 Neutral	$4.51B	12.29	5.40%	3.67%	4.15%	-12.21%

RBC Bearings Corporate Events

RBC Bearings to Acquire VACCO Industries for $310M

RBC Bearings Incorporated has announced a definitive agreement to acquire VACCO Industries from ESCO Technologies for $310 million in cash. VACCO, based in South El Monte, California, specializes in manufacturing valves, manifolds, regulators, filters, and other precision components for space and naval defense applications. The acquisition, expected to close in the summer of 2025 pending regulatory approval, will be financed through RBC’s existing credit agreement and cash on hand. This strategic move aims to expand RBC’s product breadth and capacity in its rapidly growing space and naval defense channels, enhancing its design, engineering, and manufacturing capabilities to better serve customer needs.

The most recent analyst rating on (RBC) stock is a Hold with a $276.00 price target. To see the full list of analyst forecasts on RBC Bearings stock, see the RBC Stock Forecast page.