RBC Bearings (RBC) AI Stock Analysis

• Market Cap: $11.95B
• Dividend Yield: N/A
• Average Volume (3M): 180.47K
• Price to Earnings (P/E): 47.7
• Beta (1Y): 0.96
• Revenue Growth: 5.48%
• EPS Growth: 16.88%
• Country: US
• Employees: 5,302
• Sector: Industrials
• Sector Strength: 72
• Industry: Manufacturing - Tools & Accessories
• EPS (TTM): 2.84
• Shares Outstanding: 31,562,597
• 10 Day Avg. Volume: 204,332
• 30 Day Avg. Volume: 180,471
• PEG Ratio: 1.98
• Price to Book (P/B): 3.24
• Price to Sales (P/S): 6.00
• P/FCF Ratio: 40.25
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 7.73
• Enterprise Value/Gross Profit: 17.47
• Enterprise Value/Ebitda: 26.07
• 1Y Price Target: $446.67
• Price Target Upside: 17.72% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 74 Outperform
• Price Target: $424.00 ▲(11.74% Upside)

RBC Bearings' strong financial performance and positive earnings call sentiment are the primary drivers of its stock score. However, technical indicators suggest potential short-term bearish momentum, and the high P/E ratio indicates overvaluation, which tempers the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong demand and effective market penetration, particularly in Aerospace and Defense, supporting long-term business expansion.

Cash Flow Management

Record free cash flow demonstrates efficient cash management, enhancing financial flexibility and supporting strategic investments and acquisitions.

Backlog Milestone

A substantial backlog ensures future revenue streams and reflects robust demand, providing visibility and stability for long-term planning and growth.

Negative Factors

Gross Margin Decline

A decline in gross margin can pressure profitability, indicating potential cost management challenges that may affect long-term financial performance.

Market Weakness

Sector-specific weaknesses can limit growth opportunities and revenue diversification, potentially impacting overall business resilience and market adaptability.

Short-term Margin Dilution

Short-term margin dilution from acquisitions can affect profitability, requiring careful integration and cost management to achieve anticipated synergies.

RBC Bearings Business Overview & Revenue Model

Company Description

RBC Bearings Incorporated manufactures and markets engineered precision bearings and components in the United States and internationally. It operates through two segments, Aerospace/Defense and Industrial. The company produces plain bearings with self-lubricating or metal-to-metal designs, including rod end bearings, spherical plain bearings, and journal bearings; roller bearings, such as tapered roller bearings, needle roller bearings, and needle bearing track rollers and cam followers, which are anti-friction products that are used in industrial applications and military aircraft platforms; and ball bearings include high precision aerospace, airframe control, thin section, and industrial ball bearings that utilize high precision ball elements to reduce friction in high-speed applications. It also offers mounted bearing products include mounted ball bearings, mounted roller bearings, and mounted plain bearings; and enclosed gearing product lines, including quantis gearmotor, torque arm, tigear, magnagear & maxum, and controlled start transmission. In addition, the company produces power transmission components include mechanical drive components, couplings, and conveyor components; engineered hydraulics and valves for aircraft and submarine applications, and aerospace and defense aftermarket services; fasteners; precision mechanical components, which are used in various general industrial applications; and machine tool collets that are used for holding circulars or rod-like pieces. It serves automotive, tool holding, agricultural and semiconductor machinery, commercial and defense aerospace, ground defense, construction and mining, oil and natural resource extraction, heavy truck, marine, rail and train, packaging, food and beverage, packaging and canning, wind, and general industrial markets through its direct sales force, as well as a network of industrial and aerospace distributors. The company was founded in 1919 and is headquartered in Oxford, Connecticut.

How the Company Makes Money

RBC Bearings generates revenue primarily through the sale of its precision bearing products and components. The company operates on a business-to-business model, supplying its products to a wide range of clients in the aerospace, defense, and industrial sectors. Key revenue streams include direct sales to manufacturers and OEMs (original equipment manufacturers), as well as aftermarket sales for maintenance and repair services. RBC Bearings also benefits from long-term contracts and partnerships with large aerospace and defense clients, which provide a stable and recurring revenue base. Additionally, the company invests in research and development to innovate and improve its product offerings, enabling it to maintain competitive pricing and expand its market share.

RBC Bearings Financial Statement Overview

Summary

RBC Bearings shows strong financial health with robust revenue and profit growth. The company maintains a solid balance sheet with low debt levels and strong cash flow generation, supporting continued investment and debt reduction.

Income Statement

RBC Bearings demonstrates strong revenue growth, with a TTM increase of 8.85% from the previous annual report. Gross Profit Margin is stable at approximately 44.26%. Net Profit Margin has improved to 15.2% TTM, indicating enhanced profitability. EBIT and EBITDA margins are healthy, reflecting strong operational efficiency.

Balance Sheet

The company's debt-to-equity ratio is low, with a notable reduction in total debt, improving financial stability. Stockholders' equity covers 65.06% of total assets, indicating a solid equity base. Return on Equity of 8.13% TTM shows reasonable profitability on shareholder investments.

Cash Flow

Free Cash Flow has grown by 6.52% over the last year, showcasing efficient cash management. The operating cash flow to net income ratio of 1.25 TTM suggests effective operational cash generation. Free cash flow to net income ratio of 1.03 indicates strong cash conversion.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.67B	1.64B	1.56B	1.47B	942.90M	609.00M
Gross Profit	737.30M	726.10M	670.50M	604.80M	357.10M	234.10M
EBITDA	494.10M	491.70M	459.80M	401.80M	185.70M	146.80M
Net Income	253.30M	246.20M	209.90M	166.70M	54.70M	90.10M
Balance Sheet
Total Assets	4.79B	4.69B	4.68B	4.69B	4.85B	1.43B
Cash, Cash Equivalents and Short-Term Investments	132.90M	36.80M	63.50M	65.40M	182.86M	241.34M
Total Debt	981.20M	1.03B	1.29B	1.49B	1.78B	51.81M
Total Liabilities	1.67B	1.65B	1.93B	2.15B	2.47B	202.16M
Stockholders Equity	3.12B	3.03B	2.75B	2.54B	2.37B	1.23B
Cash Flow
Free Cash Flow	259.70M	243.80M	241.50M	178.60M	150.53M	140.68M
Operating Cash Flow	316.20M	293.60M	274.70M	220.60M	180.29M	152.45M
Investing Cash Flow	-56.50M	-49.80M	-52.20M	-14.00M	-2.85B	-101.52M
Financing Cash Flow	-203.60M	-270.40M	-223.50M	-322.80M	2.70B	-3.36M

RBC Bearings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 379.44
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• 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 379.44 is below the 20-day moving average (MA) of 382.52, below the 50-day MA of 390.84, and above the 200-day MA of 356.54, indicating a neutral trend. The MACD of -2.67 indicates Negative momentum. The RSI at 49.73 is Neutral, neither overbought nor oversold. The STOCH value of 46.37 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
SNA	78 Outperform	17.71B	18.09	17.50%	2.54%	-0.76%	-2.62%
LECO	78 Outperform	12.89B	26.28	36.45%	1.25%	0.24%	0.05%
RBC	74 Outperform	$11.95B	47.72	8.56%	―	5.48%	16.88%
TKR	69 Neutral	5.27B	17.21	9.47%	1.86%	-2.01%	-9.95%
SWK	64 Neutral	11.62B	23.81	4.45%	4.48%	-2.71%	―
KMT	63 Neutral	1.59B	17.45	7.25%	3.84%	-3.91%	-12.49%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%

RBC Bearings Corporate Events

RBC Bearings Stockholders Approve Key Governance Decisions

At the annual meeting of stockholders on September 4, 2025, RBC Bearings‘ stockholders elected all nominees for director, ratified Ernst & Young LLP as the independent registered public accounting firm for fiscal year 2026, and approved the compensation for the company’s named executive officers. These decisions reflect the company’s ongoing commitment to maintaining strong corporate governance and ensuring transparency in its financial practices, which are crucial for its stakeholders.

RBC Bearings Acquires VACCO Industries for $275 Million

On July 18, 2025, RBC Bearings completed the acquisition of VACCO Industries from ESCO Technologies Inc. for $275 million, utilizing both borrowing and available cash. VACCO, based in South El Monte, California, specializes in producing precision components for space and naval defense, potentially enhancing RBC Bearings’ market position in these sectors.