
626.11 USD (+25.0%)
9 analysts
What does it do?
RBC Bearings manufactures precision bearings, engineered components, and high-tolerance products for the aerospace, defense, industrial, and energy sectors, with a business model focused on critical applications where reliability is essential.
Key points
from its scores- ✓Strong growth8.5
- ✓Very solid balance sheet8.0
- ✓Good share-price trend8.0
- ✕Little or no dividend1.5
- ✕Demanding valuation2.4
AI analysis
bottom line, main risk, context and newsStrong growth and a healthy balance sheet do not compensate for a valuation that already discounts much of the good news; wait for a better entry point or an upward revision of estimates.
RBC Bearings combines strong growth (revenue +19.20%, earnings +47.50%) with a healthy balance sheet (Net Debt/EBITDA of 1.23, current ratio of 2.53), but its valuation is very demanding (P/E 49.48, EV/EBITDA 26.98) and its return on equity is modest (ROE 9.75%), which limits the appeal despite the good operating momentum.
The main risk is the demanding valuation (P/E 49.48, EV/EBITDA 26.98) in a cyclical business: if earnings growth (47.50%) decelerates or the industrial cycle cools, the multiple could compress sharply.
Context and risks
No recent relevant news and no material exposure to current macro factors: the rise in long-term US rates and dollar strength do not directly affect a precision bearings and components manufacturer with Net Debt/EBITDA of 1.23 and an operating margin of 27.18%. The business does not depend on traded commodities or conflict-affected shipping routes.
Is RBC Bearings stock cheap or expensive?
at the analysis dateOn P/E and EV / EBITDA, it trades 90% above the Industrials median on average.
| Multiple | Company | Sector | Difference |
|---|---|---|---|
| P/E | 49.5 | 25.4 | +95% |
| EV / EBITDA | 27.0 | 14.5 | +86% |
| Price / book | 4.6 | 4.1 | +13% |
| Price / sales | 8.1 | 2.1 | +294% |
Sector: median of the 388 Industrials companies analysed. In bold, the multiples used for the comparison.
Valuation score: 2.4 out of 10 (median for Industrials: 5.0).
Average analyst target: 626.11 USD, +25.0% versus the price.
A premium can be justified if the company is of higher quality or grows faster than its sector: Quality / Moat 5.7 (sector 5.8), Growth 8.5 (sector 6.6).
Classic formulas with standard assumptions (10.0% growth, 8-9% discount rate). Indicative only: they change a lot with the assumptions and are not a recommendation.
Work out its fair value yourself →How much would you have made investing every month? →
Comparing it with its sector does not say whether it is a good buy: this is not investment advice.
Score by category
0 to 10 · hover overtap each one to see what it measuresKey metrics
at the analysis date · compared with the Industrials medianValuation
- P/E
- 49.5
- Forward P/E
- 30.1
- EV / EBITDA
- 27.0
- Price / book
- 4.6
- Price / sales
- 8.1
- PEG
- 1.70
- Market cap
- 15.9B USD
- Enterprise value
- 16.6B USD
Profitability
- ROE
- 9.7%
- ROA
- 6.0%
- ROIC (approx.)
- 12.2%
- Gross margin
- 46.0%
- Operating margin
- 27.2%
- Net margin
- 16.4%
- Free cash flow
- 283.2M USD
- FCF yield
- 1.8%
- Cash conversion
- 46%
Solvency
- Total debt
- 878.1M USD
- Net debt
- 753.6M USD
- Cash
- 124.5M USD
- EBITDA
- 613.7M USD
- Net debt / EBITDA
- 1.23
- Debt / equity
- 25.36
- Current ratio
- 2.53
- Quick ratio
- 0.92
Growth
- Revenue growth
- +19.2%
- Earnings growth
- +47.5%
- EPS (TTM)
- 10.12 USD
- EPS (forward)
- 16.64 USD
Dividend
- Dividend yield
- 0.0%
- Payout
- 0.0%
Risk and market
- Beta
- 1.38
- Analyst consensus
- Buy (9)
- Target price
- 626.11 USD
- 52-week range
- 364.50 – 667.69
Recent news
All RBC news →Compare it with its sector
All 388 in Industrials →Frequently asked questions about RBC Bearings
Is RBC Bearings stock cheap or expensive?
On P/E and EV / EBITDA, it trades 90% above the Industrials median on average. Valuation score: 2.4 out of 10 (median for Industrials: 5.0). Average analyst target: 626.11 USD, +25.0% versus the price. This is not investment advice.
What score does RBC Bearings get on MeridIAn Screener?
It scores 5.2 out of 10, rank 1,605 of 2,130 (better than 24% of the companies analysed). Its strongest category is Growth (8.5) and its weakest, Dividend (1.5). Analysis of 08/10/2026.
What is RBC Bearings's P/E ratio?
Its P/E is 49.5: the share price equals 49.5 times earnings per share over the last 12 months. The Industrials median is 25.4. Based on the earnings analysts expect, the forward P/E is 30.1.
How much is RBC Bearings worth on the stock market?
Its market capitalisation is 15.9B USD and its enterprise value, debt included, is 16.6B USD.
How much debt does RBC Bearings have?
Its net debt (debt minus cash) is 753.6M USD. That is 1.23 times its EBITDA; the Industrials median is 1.58.
Does RBC Bearings pay a dividend?
It pays no dividend, or almost none.
How has RBC Bearings stock performed over the last year?
It has risen 34.4% over the last year, excluding dividends. Over the last 52 weeks it has traded between 364.50 and 667.69 USD. Past performance does not guarantee future results.
What do analysts think of RBC Bearings?
9 analysts cover it; their average recommendation is “Buy” and their average target is 626.11 USD (+25.0% versus the price). It is an estimate, not market data.
