RBC Bearings (NYSE:RBC) Issues Earnings Results

RBC Bearings (NYSE:RBC) issued its quarterly earnings results on Thursday. The industrial products company reported $3.04 earnings per share for the quarter, beating the consensus estimate of $2.83 by $0.21, Briefing.com reports. The business had revenue of $461.60 million for the quarter, compared to the consensus estimate of $460.69 million. RBC Bearings had a net margin of 15.03% and a return on equity of 10.47%. The company’s revenue for the quarter was up 17.0% on a year-over-year basis. During the same quarter in the previous year, the firm earned $2.34 earnings per share.

Here are the key takeaways from RBC Bearings’ conference call:

• $461 million in Q3 sales (up 17%), adjusted EPS of $3.04 (up 30%), adjusted EBITDA of $149.6M (up 22%), and $99.1M of free cash flow, while the company paid down $81M of debt this quarter.
• Aerospace & Defense momentum is robust — A&D sales rose 41.5% YoY (defense +86.2%, commercial aerospace +21.5%) and backlog modestly exceeds $2 billion with another $500M–$1B of potential contracted work if R&D orders are included; the company is adding capacity under a five?year per?site plan.
• Industrial revenue grew 3.1% (OEM +7%), with a semiconductor rebound and new products from the Dodge acquisition plus a new Midwest service center expected to accelerate industrial growth into FY2027.
• Management guided Q4 revenue of $495M–$505M (13.1%–15.4% YoY), adjusted gross margins ~45% and SG&A ~16% of sales, while keeping capex targeted around 3.5%–4% of sales and prioritizing continued deleveraging (term loan expected paid off by Nov 2026).
• More than 90% of backlog is concentrated in A&D, creating revenue sensitivity to program timing and lumpiness (e.g., VACO quarter-to-quarter variability), which raises execution and timing risk despite strong demand.

RBC Bearings Price Performance

NYSE RBC traded up $6.81 during trading on Thursday, hitting $523.59. 188,165 shares of the stock traded hands, compared to its average volume of 203,147. The company has a quick ratio of 1.13, a current ratio of 3.18 and a debt-to-equity ratio of 0.34. RBC Bearings has a 12-month low of $297.28 and a 12-month high of $528.74. The firm has a 50-day simple moving average of $471.44 and a 200-day simple moving average of $424.05. The company has a market capitalization of $16.55 billion, a P/E ratio of 63.92, a price-to-earnings-growth ratio of 3.44 and a beta of 1.52.

Wall Street Analyst Weigh In

A number of research analysts recently weighed in on the stock. Deutsche Bank Aktiengesellschaft set a $527.00 target price on shares of RBC Bearings and gave the company a “buy” rating in a research note on Wednesday, December 17th. Bank of America raised RBC Bearings from a “neutral” rating to a “buy” rating and raised their price target for the company from $390.00 to $500.00 in a report on Thursday, November 6th. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of RBC Bearings in a research note on Monday, December 22nd. KeyCorp increased their target price on RBC Bearings from $475.00 to $535.00 and gave the stock an “overweight” rating in a research report on Tuesday, January 6th. Finally, Truist Financial set a $542.00 target price on RBC Bearings in a research note on Friday, January 9th. Six equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, RBC Bearings has a consensus rating of “Moderate Buy” and an average target price of $489.17.

Insider Activity

In other news, Director Steven H. Kaplan sold 700 shares of the stock in a transaction that occurred on Wednesday, November 12th. The stock was sold at an average price of $443.00, for a total transaction of $310,100.00. Following the completion of the transaction, the director directly owned 1,999 shares in the company, valued at approximately $885,557. This represents a 25.94% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 1.90% of the stock is owned by company insiders.

Hedge Funds Weigh In On RBC Bearings

Several institutional investors have recently bought and sold shares of the business. Advisors Asset Management Inc. bought a new stake in RBC Bearings in the first quarter worth about $26,000. AQR Capital Management LLC lifted its stake in shares of RBC Bearings by 27.8% during the 1st quarter. AQR Capital Management LLC now owns 1,297 shares of the industrial products company’s stock worth $417,000 after acquiring an additional 282 shares during the last quarter. Integrated Wealth Concepts LLC boosted its holdings in RBC Bearings by 32.7% during the 1st quarter. Integrated Wealth Concepts LLC now owns 1,229 shares of the industrial products company’s stock valued at $395,000 after acquiring an additional 303 shares during the period. Jones Financial Companies Lllp grew its position in RBC Bearings by 64.1% in the 1st quarter. Jones Financial Companies Lllp now owns 1,111 shares of the industrial products company’s stock valued at $357,000 after acquiring an additional 434 shares during the last quarter. Finally, Goldman Sachs Group Inc. grew its position in RBC Bearings by 2.0% in the 1st quarter. Goldman Sachs Group Inc. now owns 211,744 shares of the industrial products company’s stock valued at $68,133,000 after acquiring an additional 4,253 shares during the last quarter.

RBC Bearings Company Profile

RBC Bearings Incorporated is a global designer, manufacturer and marketer of highly engineered precision bearings and components for extreme applications. The company’s product portfolio includes cylindrical roller bearings, spherical plain bearings, ball bearings, track rollers, and engineered components such as metal-to-metal and polymer bearings. These products are tailored to meet the demanding requirements of aerospace, defense and industrial customers where reliability under severe conditions is critical.

The company’s bearings and components find application in aircraft engines, auxiliary power units, landing gear systems, space and missile programs, industrial gas turbines, oil and gas drilling equipment, and heavy machinery.