RBC Bearings (NYSE:RBC) Issues Earnings Results, Beats Estimates By $0.21 EPS

RBC Bearings (NYSE:RBC) posted its quarterly earnings results on Thursday. The industrial products company reported $3.04 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.83 by $0.21, Briefing.com reports. The firm had revenue of $461.60 million during the quarter, compared to the consensus estimate of $460.69 million. RBC Bearings had a return on equity of 10.47% and a net margin of 15.03%.The firm’s quarterly revenue was up 17.0% compared to the same quarter last year. During the same quarter in the previous year, the business 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 Stock Up 1.3%

Shares of NYSE:RBC traded up $6.83 during trading on Thursday, hitting $523.61. The company’s stock had a trading volume of 167,185 shares, compared to its average volume of 201,567. The company has a market capitalization of $16.55 billion, a PE ratio of 63.54, a PEG ratio of 3.44 and a beta of 1.52. RBC Bearings has a fifty-two week low of $297.28 and a fifty-two week high of $528.74. The company has a debt-to-equity ratio of 0.34, a quick ratio of 1.13 and a current ratio of 3.18. The stock’s 50-day moving average price is $471.44 and its two-hundred day moving average price is $424.05.

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 filing with the SEC, which can be accessed through this hyperlink. 1.90% of the stock is currently owned by insiders.

Institutional Trading of RBC Bearings

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

Analyst Upgrades and Downgrades

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

About RBC Bearings

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.