RBC BEARINGS INC (RBC)
US75524B1044 - Common Stock
Taking everything into account, RBC scores 5 out of 10 in our fundamental rating. RBC was compared to 131 industry peers in the Machinery industry. RBC has an excellent profitability rating, but there are some minor concerns on its financial health. RBC is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
RBC had positive earnings in the past year.
In the past year RBC had a positive cash flow from operations.
Each year in the past 5 years RBC has been profitable.
Each year in the past 5 years RBC had a positive operating cash flow.
1.2 Ratios
RBC has a Return On Assets (4.26%) which is comparable to the rest of the industry.
RBC has a Return On Equity of 6.97%. This is comparable to the rest of the industry: RBC outperforms 48.82% of its industry peers.
RBC has a Return On Invested Capital of 6.44%. This is comparable to the rest of the industry: RBC outperforms 49.61% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RBC is significantly below the industry average of 11.01%.
The last Return On Invested Capital (6.44%) for RBC is above the 3 year average (4.85%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.26% | ||
| ROE | 6.97% | ||
| ROIC | 6.44% |
ROA(3y)2.65%
ROA(5y)4.75%
ROE(3y)4.75%
ROE(5y)6.57%
ROIC(3y)4.85%
ROIC(5y)6.38%
1.3 Margins
With an excellent Profit Margin value of 12.62%, RBC belongs to the best of the industry, outperforming 84.25% of the companies in the same industry.
In the last couple of years the Profit Margin of RBC has declined.
The Operating Margin of RBC (22.40%) is better than 92.91% of its industry peers.
In the last couple of years the Operating Margin of RBC has remained more or less at the same level.
Looking at the Gross Margin, with a value of 43.60%, RBC belongs to the top of the industry, outperforming 81.89% of the companies in the same industry.
RBC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.4% | ||
| PM (TTM) | 12.62% | ||
| GM | 43.6% |
OM growth 3Y4.35%
OM growth 5Y0.9%
PM growth 3Y-6.8%
PM growth 5Y-4.37%
GM growth 3Y3.79%
GM growth 5Y1.76%
2. Health
2.1 Basic Checks
RBC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
RBC has more shares outstanding than it did 1 year ago.
The number of shares outstanding for RBC has been increased compared to 5 years ago.
Compared to 1 year ago, RBC has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.51 indicates that RBC is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 4.51, RBC is doing good in the industry, outperforming 72.44% of the companies in the same industry.
The Debt to FCF ratio of RBC is 4.32, which is a neutral value as it means it would take RBC, 4.32 years of fcf income to pay off all of its debts.
RBC has a Debt to FCF ratio (4.32) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.38 indicates that RBC is not too dependend on debt financing.
RBC has a Debt to Equity ratio (0.38) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 4.32 | ||
| Altman-Z | 4.51 |
ROIC/WACC0.71
WACC9.03%
2.3 Liquidity
RBC has a Current Ratio of 3.48. This indicates that RBC is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of RBC (3.48) is better than 82.68% of its industry peers.
RBC has a Quick Ratio of 1.28. This is a normal value and indicates that RBC is financially healthy and should not expect problems in meeting its short term obligations.
RBC has a Quick ratio of 1.28. This is comparable to the rest of the industry: RBC outperforms 49.61% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.48 | ||
| Quick Ratio | 1.28 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 13.38% over the past year.
Measured over the past years, RBC shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.19% on average per year.
RBC shows a small growth in Revenue. In the last year, the Revenue has grown by 4.81%.
RBC shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 17.30% yearly.
EPS 1Y (TTM)13.38%
EPS 3Y30.71%
EPS 5Y12.19%
EPS Q2Q%5.53%
Revenue 1Y (TTM)4.81%
Revenue growth 3Y36.83%
Revenue growth 5Y17.3%
Sales Q2Q%3.2%
3.2 Future
Based on estimates for the next years, RBC will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.43% on average per year.
The Revenue is expected to grow by 6.53% on average over the next years.
EPS Next Y15%
EPS Next 2Y12.33%
EPS Next 3Y11.43%
EPS Next 5YN/A
Revenue Next Year5.52%
Revenue Next 2Y6.43%
Revenue Next 3Y6.53%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
RBC is valuated quite expensively with a Price/Earnings ratio of 35.46.
66.93% of the companies in the same industry are cheaper than RBC, based on the Price/Earnings ratio.
The average S&P500 Price/Earnings ratio is at 28.96. RBC is valued slightly more expensive when compared to this.
With a Price/Forward Earnings ratio of 29.83, RBC can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, RBC is valued a bit more expensive than 62.99% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of RBC to the average of the S&P500 Index (23.82), we can say RBC is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.46 | ||
| Fwd PE | 29.83 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RBC indicates a slightly more expensive valuation: RBC is more expensive than 66.14% of the companies listed in the same industry.
RBC's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.79 | ||
| EV/EBITDA | 23.53 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
RBC has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)2.36
PEG (5Y)2.91
EPS Next 2Y12.33%
EPS Next 3Y11.43%
5. Dividend
5.1 Amount
RBC does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
RBC BEARINGS INC
NYSE:RBC (11/21/2024, 8:04:00 PM)
After market: 324.45 0 (0%)324.45
-0.01 (0%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap10.19B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
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Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.46 | ||
| Fwd PE | 29.83 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)2.36
PEG (5Y)2.91
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.26% | ||
| ROE | 6.97% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 22.4% | ||
| PM (TTM) | 12.62% | ||
| GM | 43.6% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 3.48 | ||
| Quick Ratio | 1.28 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)13.38%
EPS 3Y30.71%
EPS 5Y
EPS Q2Q%
EPS Next Y15%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)4.81%
Revenue growth 3Y36.83%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y