RBC BEARINGS INC (RBC) Stock Fundamental Analysis
USA - NYSE:RBC - US75524B1044 - Common Stock
373.99 USD
-1 (-0.27%)
373.99 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to RBC. RBC was compared to 129 industry peers in the Machinery industry. RBC gets an excellent profitability rating and is at the same time showing great financial health properties. While showing a medium growth rate, RBC is valued expensive at the moment. This makes RBC very considerable for quality investing!
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.
RBC had positive earnings in each of the past 5 years.
RBC had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of 5.15%, RBC perfoms like the industry average, outperforming 56.59% of the companies in the same industry.
With a Return On Equity value of 7.91%, RBC perfoms like the industry average, outperforming 49.61% of the companies in the same industry.
RBC has a Return On Invested Capital (6.73%) which is in line with its industry peers.
RBC had an Average Return On Invested Capital over the past 3 years of 6.19%. This is below the industry average of 10.00%.
The last Return On Invested Capital (6.73%) for RBC is above the 3 year average (6.19%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.15% | ||
| ROE | 7.91% | ||
| ROIC | 6.73% |
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's Profit Margin of 14.80% is amongst the best of the industry. RBC outperforms 88.37% of its industry peers.
RBC's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 22.58%, RBC belongs to the best of the industry, outperforming 96.12% of the companies in the same industry.
In the last couple of years the Operating Margin of RBC has remained more or less at the same level.
RBC has a Gross Margin of 44.26%. This is amongst the best in the industry. RBC outperforms 82.95% of its industry peers.
RBC's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.58% | ||
| PM (TTM) | 14.8% | ||
| GM | 44.26% |
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.
RBC has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 5.49 indicates that RBC is not in any danger for bankruptcy at the moment.
RBC has a better Altman-Z score (5.49) than 80.62% of its industry peers.
The Debt to FCF ratio of RBC is 3.55, which is a good value as it means it would take RBC, 3.55 years of fcf income to pay off all of its debts.
RBC's Debt to FCF ratio of 3.55 is fine compared to the rest of the industry. RBC outperforms 63.57% of its industry peers.
A Debt/Equity ratio of 0.29 indicates that RBC is not too dependend on debt financing.
RBC has a better Debt to Equity ratio (0.29) than 62.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.55 | ||
| Altman-Z | 5.49 |
ROIC/WACC0.69
WACC9.7%
2.3 Liquidity
A Current Ratio of 3.33 indicates that RBC has no problem at all paying its short term obligations.
Looking at the Current ratio, with a value of 3.33, RBC belongs to the top of the industry, outperforming 82.17% of the companies in the same industry.
RBC has a Quick Ratio of 1.33. 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 (1.33) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.33 | ||
| Quick Ratio | 1.33 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 14.06% over the past year.
RBC shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 14.51% yearly.
RBC shows a small growth in Revenue. In the last year, the Revenue has grown by 5.48%.
The Revenue has been growing by 17.60% on average over the past years. This is quite good.
EPS 1Y (TTM)14.06%
EPS 3Y36.99%
EPS 5Y14.51%
EPS Q2Q%11.81%
Revenue 1Y (TTM)5.48%
Revenue growth 3Y20.17%
Revenue growth 5Y17.6%
Sales Q2Q%7.31%
3.2 Future
RBC is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.27% yearly.
RBC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.18% yearly.
EPS Next Y16.34%
EPS Next 2Y15.29%
EPS Next 3Y14.27%
EPS Next 5YN/A
Revenue Next Year12.68%
Revenue Next 2Y11.56%
Revenue Next 3Y10.18%
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
The Price/Earnings ratio is 36.31, which means the current valuation is very expensive for RBC.
Based on the Price/Earnings ratio, RBC is valued a bit more expensive than the industry average as 65.89% of the companies are valued more cheaply.
RBC's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.86.
With a Price/Forward Earnings ratio of 28.14, RBC can be considered very expensive at the moment.
Based on the Price/Forward Earnings ratio, RBC is valued a bit more expensive than the industry average as 64.34% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.32, RBC is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.31 | ||
| Fwd PE | 28.14 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RBC is valued a bit more expensive than 71.32% of the companies in the same industry.
RBC's Price/Free Cash Flow ratio is a bit more expensive when compared to the industry. RBC is more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.45 | ||
| EV/EBITDA | 25.46 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates RBC does not grow enough to justify the current Price/Earnings ratio.
RBC has a very decent profitability rating, which may justify a higher PE ratio.
RBC's earnings are expected to grow with 14.27% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.22
PEG (5Y)2.5
EPS Next 2Y15.29%
EPS Next 3Y14.27%
5. Dividend
5.1 Amount
No dividends for RBC!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
373.99
-1 (-0.27%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners102.55%
Inst Owner Change3.45%
Ins Owners1.63%
Ins Owner Change-0.38%
Market Cap11.80B
Analysts76.36
Price Target455.77 (21.87%)
Short Float %1.18%
Short Ratio2.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.56
Dividend Growth(5Y)N/A
DP4.66%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)3.11%
Min EPS beat(2)2.5%
Max EPS beat(2)3.72%
EPS beat(4)3
Avg EPS beat(4)2.56%
Min EPS beat(4)-1.24%
Max EPS beat(4)5.24%
EPS beat(8)6
Avg EPS beat(8)2.14%
EPS beat(12)9
Avg EPS beat(12)2.71%
EPS beat(16)12
Avg EPS beat(16)4.38%
Revenue beat(2)0
Avg Revenue beat(2)-0.84%
Min Revenue beat(2)-1.57%
Max Revenue beat(2)-0.11%
Revenue beat(4)0
Avg Revenue beat(4)-1.23%
Min Revenue beat(4)-2.6%
Max Revenue beat(4)-0.11%
Revenue beat(8)0
Avg Revenue beat(8)-1.67%
Revenue beat(12)2
Avg Revenue beat(12)-1.23%
Revenue beat(16)4
Avg Revenue beat(16)-0.86%
PT rev (1m)0%
PT rev (3m)10.82%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.54%
EPS NY rev (1m)0.12%
EPS NY rev (3m)1.74%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)4.21%
Revenue NY rev (1m)0.65%
Revenue NY rev (3m)4.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.31 | ||
| Fwd PE | 28.14 | ||
| P/S | 7.08 | ||
| P/FCF | 45.45 | ||
| P/OCF | 37.33 | ||
| P/B | 3.79 | ||
| P/tB | N/A | ||
| EV/EBITDA | 25.46 |
EPS(TTM)10.3
EY2.75%
EPS(NY)13.29
Fwd EY3.55%
FCF(TTM)8.23
FCFY2.2%
OCF(TTM)10.02
OCFY2.68%
SpS52.79
BVpS98.75
TBVpS-2.24
PEG (NY)2.22
PEG (5Y)2.5
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.15% | ||
| ROE | 7.91% | ||
| ROCE | 8.46% | ||
| ROIC | 6.73% | ||
| ROICexc | 6.94% | ||
| ROICexgc | 26.53% | ||
| OM | 22.58% | ||
| PM (TTM) | 14.8% | ||
| GM | 44.26% | ||
| FCFM | 15.59% |
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%
ROICexcg growth 3Y25.95%
ROICexcg 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-Score8
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 3.55 | ||
| Debt/EBITDA | 1.84 | ||
| Cap/Depr | 47.24% | ||
| Cap/Sales | 3.39% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 63.78% | ||
| Profit Quality | 105.31% | ||
| Current Ratio | 3.33 | ||
| Quick Ratio | 1.33 | ||
| Altman-Z | 5.49 |
F-Score8
WACC9.7%
ROIC/WACC0.69
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)14.06%
EPS 3Y36.99%
EPS 5Y14.51%
EPS Q2Q%11.81%
EPS Next Y16.34%
EPS Next 2Y15.29%
EPS Next 3Y14.27%
EPS Next 5YN/A
Revenue 1Y (TTM)5.48%
Revenue growth 3Y20.17%
Revenue growth 5Y17.6%
Sales Q2Q%7.31%
Revenue Next Year12.68%
Revenue Next 2Y11.56%
Revenue Next 3Y10.18%
Revenue Next 5YN/A
EBIT growth 1Y5.08%
EBIT growth 3Y34.37%
EBIT growth 5Y18.7%
EBIT Next Year54.45%
EBIT Next 3Y24.98%
EBIT Next 5YN/A
FCF growth 1Y42.3%
FCF growth 3Y17.44%
FCF growth 5Y15.56%
OCF growth 1Y41.6%
OCF growth 3Y17.65%
OCF growth 5Y13.54%