RBC BEARINGS INC (RBC) Stock Fundamental Analysis
USA - NYSE:RBC - US75524B1044 - Common Stock
426.16 USD
-1.65 (-0.39%)
426.16 USD
0 (0%)
Taking everything into account, RBC scores 5 out of 10 in our fundamental rating. RBC was compared to 130 industry peers in the Machinery industry. While RBC has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, RBC is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year RBC was profitable.
In the past year RBC had a positive cash flow from operations.
RBC had positive earnings in each of the past 5 years.
Each year in the past 5 years RBC had a positive operating cash flow.
1.2 Ratios
RBC has a Return On Assets (5.05%) which is in line with its industry peers.
With a Return On Equity value of 8.10%, RBC perfoms like the industry average, outperforming 51.54% of the companies in the same industry.
RBC has a Return On Invested Capital (6.57%) which is in line with its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for RBC is below the industry average of 10.24%.
The last Return On Invested Capital (6.57%) for RBC is above the 3 year average (6.19%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 8.1% | ||
| ROIC | 6.57% |
ROA(3y)4.02%
ROA(5y)3.84%
ROE(3y)6.72%
ROE(5y)5.86%
ROIC(3y)6.19%
ROIC(5y)5.66%
1.3 Margins
RBC has a Profit Margin of 14.98%. This is amongst the best in the industry. RBC outperforms 88.46% of its industry peers.
RBC's Profit Margin has declined in the last couple of years.
The Operating Margin of RBC (22.68%) is better than 96.15% of its industry peers.
RBC's Operating Margin has been stable in the last couple of years.
RBC's Gross Margin of 44.34% is amongst the best of the industry. RBC outperforms 83.08% of its industry peers.
RBC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.68% | ||
| PM (TTM) | 14.98% | ||
| GM | 44.34% |
OM growth 3Y11.81%
OM growth 5Y0.94%
PM growth 3Y46.67%
PM growth 5Y-3.77%
GM growth 3Y5.42%
GM growth 5Y2.23%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so RBC is destroying value.
Compared to 1 year ago, RBC has more shares outstanding
RBC has more shares outstanding than it did 5 years ago.
The debt/assets ratio for RBC has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 5.43 indicates that RBC is not in any danger for bankruptcy at the moment.
With an excellent Altman-Z score value of 5.43, RBC belongs to the best of the industry, outperforming 83.08% of the companies in the same industry.
RBC has a debt to FCF ratio of 3.54. This is a good value and a sign of high solvency as RBC would need 3.54 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 3.54, RBC is in the better half of the industry, outperforming 66.15% of the companies in the same industry.
RBC has a Debt/Equity ratio of 0.34. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.34, RBC is in the better half of the industry, outperforming 60.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 3.54 | ||
| Altman-Z | 5.43 |
ROIC/WACC0.7
WACC9.39%
2.3 Liquidity
A Current Ratio of 3.18 indicates that RBC has no problem at all paying its short term obligations.
RBC's Current ratio of 3.18 is fine compared to the rest of the industry. RBC outperforms 80.00% of its industry peers.
A Quick Ratio of 1.13 indicates that RBC should not have too much problems paying its short term obligations.
RBC has a Quick ratio of 1.13. This is comparable to the rest of the industry: RBC outperforms 43.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.18 | ||
| Quick Ratio | 1.13 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 19.02% over the past year.
The Earnings Per Share has been growing by 14.51% on average over the past years. This is quite good.
Looking at the last year, RBC shows a quite strong growth in Revenue. The Revenue has grown by 8.27% in the last year.
The Revenue has been growing by 17.60% on average over the past years. This is quite good.
EPS 1Y (TTM)19.02%
EPS 3Y36.99%
EPS 5Y14.51%
EPS Q2Q%25.76%
Revenue 1Y (TTM)8.27%
Revenue growth 3Y20.17%
Revenue growth 5Y17.6%
Sales Q2Q%14.43%
3.2 Future
The Earnings Per Share is expected to grow by 14.43% on average over the next years. This is quite good.
Based on estimates for the next years, RBC will show a quite strong growth in Revenue. The Revenue will grow by 10.33% on average per year.
EPS Next Y17.16%
EPS Next 2Y15.73%
EPS Next 3Y14.43%
EPS Next 5YN/A
Revenue Next Year12.92%
Revenue Next 2Y11.88%
Revenue Next 3Y10.33%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
RBC is valuated quite expensively with a Price/Earnings ratio of 39.13.
RBC's Price/Earnings ratio is a bit more expensive when compared to the industry. RBC is more expensive than 67.69% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 25.45, RBC is valued quite expensively.
The Price/Forward Earnings ratio is 31.82, which means the current valuation is very expensive for RBC.
Based on the Price/Forward Earnings ratio, RBC is valued a bit more expensive than 69.23% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 34.46, RBC is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.13 | ||
| Fwd PE | 31.82 |
4.2 Price Multiples
RBC's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. RBC is more expensive than 72.31% of the companies in the same industry.
63.85% of the companies in the same industry are cheaper than RBC, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.15 | ||
| EV/EBITDA | 28.23 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of RBC may justify a higher PE ratio.
A more expensive valuation may be justified as RBC's earnings are expected to grow with 14.43% in the coming years.
PEG (NY)2.28
PEG (5Y)2.7
EPS Next 2Y15.73%
EPS Next 3Y14.43%
5. Dividend
5.1 Amount
RBC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
426.16
-1.65 (-0.39%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners102.55%
Inst Owner Change4.14%
Ins Owners1.63%
Ins Owner Change-0.79%
Market Cap13.45B
Revenue(TTM)1.72B
Net Income(TTM)258.10M
Analysts76.36
Price Target456.28 (7.07%)
Short Float %1.03%
Short Ratio1.45
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.56
Dividend Growth(5Y)N/A
DP2.21%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.39%
Min EPS beat(2)2.5%
Max EPS beat(2)4.29%
EPS beat(4)4
Avg EPS beat(4)3.94%
Min EPS beat(4)2.5%
Max EPS beat(4)5.24%
EPS beat(8)6
Avg EPS beat(8)2.05%
EPS beat(12)9
Avg EPS beat(12)2.55%
EPS beat(16)13
Avg EPS beat(16)5.56%
Revenue beat(2)1
Avg Revenue beat(2)0%
Min Revenue beat(2)-0.11%
Max Revenue beat(2)0.11%
Revenue beat(4)1
Avg Revenue beat(4)-0.55%
Min Revenue beat(4)-1.57%
Max Revenue beat(4)0.11%
Revenue beat(8)1
Avg Revenue beat(8)-1.37%
Revenue beat(12)2
Avg Revenue beat(12)-1.31%
Revenue beat(16)5
Avg Revenue beat(16)-0.84%
PT rev (1m)0.11%
PT rev (3m)2.21%
EPS NQ rev (1m)1.4%
EPS NQ rev (3m)1.36%
EPS NY rev (1m)0.71%
EPS NY rev (3m)2.46%
Revenue NQ rev (1m)0.63%
Revenue NQ rev (3m)0.42%
Revenue NY rev (1m)0.21%
Revenue NY rev (3m)3.83%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.13 | ||
| Fwd PE | 31.82 | ||
| P/S | 7.8 | ||
| P/FCF | 44.15 | ||
| P/OCF | 37.19 | ||
| P/B | 4.22 | ||
| P/tB | N/A | ||
| EV/EBITDA | 28.23 |
EPS(TTM)10.89
EY2.56%
EPS(NY)13.39
Fwd EY3.14%
FCF(TTM)9.65
FCFY2.26%
OCF(TTM)11.46
OCFY2.69%
SpS54.61
BVpS100.99
TBVpS-6.73
PEG (NY)2.28
PEG (5Y)2.7
Graham Number157.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 8.1% | ||
| ROCE | 8.25% | ||
| ROIC | 6.57% | ||
| ROICexc | 6.7% | ||
| ROICexgc | 24.98% | ||
| OM | 22.68% | ||
| PM (TTM) | 14.98% | ||
| GM | 44.34% | ||
| FCFM | 17.67% |
ROA(3y)4.02%
ROA(5y)3.84%
ROE(3y)6.72%
ROE(5y)5.86%
ROIC(3y)6.19%
ROIC(5y)5.66%
ROICexc(3y)6.27%
ROICexc(5y)6.03%
ROICexgc(3y)25.51%
ROICexgc(5y)20.72%
ROCE(3y)7.78%
ROCE(5y)7.11%
ROICexgc growth 3Y25.95%
ROICexgc growth 5Y6.95%
ROICexc growth 3Y34.53%
ROICexc growth 5Y-9.52%
OM growth 3Y11.81%
OM growth 5Y0.94%
PM growth 3Y46.67%
PM growth 5Y-3.77%
GM growth 3Y5.42%
GM growth 5Y2.23%
F-Score6
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 3.54 | ||
| Debt/EBITDA | 2.08 | ||
| Cap/Depr | 46.61% | ||
| Cap/Sales | 3.31% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 70.46% | ||
| Profit Quality | 118.02% | ||
| Current Ratio | 3.18 | ||
| Quick Ratio | 1.13 | ||
| Altman-Z | 5.43 |
F-Score6
WACC9.39%
ROIC/WACC0.7
Cap/Depr(3y)35.24%
Cap/Depr(5y)37.46%
Cap/Sales(3y)2.68%
Cap/Sales(5y)2.63%
Profit Quality(3y)119.23%
Profit Quality(5y)173.26%
High Growth Momentum
Growth
EPS 1Y (TTM)19.02%
EPS 3Y36.99%
EPS 5Y14.51%
EPS Q2Q%25.76%
EPS Next Y17.16%
EPS Next 2Y15.73%
EPS Next 3Y14.43%
EPS Next 5YN/A
Revenue 1Y (TTM)8.27%
Revenue growth 3Y20.17%
Revenue growth 5Y17.6%
Sales Q2Q%14.43%
Revenue Next Year12.92%
Revenue Next 2Y11.88%
Revenue Next 3Y10.33%
Revenue Next 5YN/A
EBIT growth 1Y9.65%
EBIT growth 3Y34.37%
EBIT growth 5Y18.7%
EBIT Next Year54.45%
EBIT Next 3Y25.01%
EBIT Next 5YN/A
FCF growth 1Y42.4%
FCF growth 3Y17.44%
FCF growth 5Y15.56%
OCF growth 1Y46.4%
OCF growth 3Y17.65%
OCF growth 5Y13.54%
RBC BEARINGS INC / RBC FAQ
Can you provide the ChartMill fundamental rating for RBC BEARINGS INC?
ChartMill assigns a fundamental rating of 5 / 10 to RBC.
Can you provide the valuation status for RBC BEARINGS INC?
ChartMill assigns a valuation rating of 1 / 10 to RBC BEARINGS INC (RBC). This can be considered as Overvalued.
What is the profitability of RBC stock?
RBC BEARINGS INC (RBC) has a profitability rating of 7 / 10.
What is the valuation of RBC BEARINGS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for RBC BEARINGS INC (RBC) is 39.13 and the Price/Book (PB) ratio is 4.22.
Can you provide the financial health for RBC stock?
The financial health rating of RBC BEARINGS INC (RBC) is 6 / 10.