RBC Bearings (NYSE:RBC) Posts Quarterly Earnings Results, Beats Estimates By $0.31 EPS

RBC Bearings (NYSE:RBC) issued its quarterly earnings data on Friday. The industrial products company reported $3.62 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.31 by $0.31, Briefing.com reports. The business had revenue of $518.00 million during the quarter, compared to the consensus estimate of $505.90 million. RBC Bearings had a return on equity of 10.86% and a net margin of 15.00%.The business’s revenue was up 18.3% on a year-over-year basis. During the same period in the previous year, the firm posted $2.83 earnings per share.

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

• RBC Bearings reported a strong fiscal Q4, with net sales up 18.3% to $518 million and adjusted diluted EPS up to $3.62 from $2.83 a year ago. Adjusted EBITDA also rose 21% year over year, and free cash flow remained solid at $67.5 million.
• The A&D segment continued to outpace the rest of the business, with revenue up 41.2% in the quarter and full-year A&D growth of 32%. Management highlighted a record backlog of about $2.3 billion, supported by defense, space, and commercial aircraft demand.
• Management said missile, marine, and space programs remain major growth drivers, with the company expanding capacity to support submarine-related work and broader missile production. They also noted increasing exposure to both legacy and new-space customers, including SpaceX and Blue Origin.
• For fiscal Q1 2027, RBC guided to $500 million-$510 million in revenue, implying 14.7%-17% growth, with adjusted gross margin expected at 45.25%-45.5%. Management said consolidated gross margin should expand about 50 basis points for the full year, though A&D growth will dilute the mix somewhat.
• The company remains focused on deleveraging, paying down another $116 million of debt in the quarter and another $27 million after quarter-end. Management said it expects to pay off the remainder of the term loan by November 2026.

RBC Bearings Price Performance

RBC Bearings stock traded down $41.88 during mid-day trading on Friday, hitting $570.05. The company’s stock had a trading volume of 525,479 shares, compared to its average volume of 209,155. The company has a quick ratio of 0.67, a current ratio of 1.86 and a debt-to-equity ratio of 0.22. The stock has a market capitalization of $18.02 billion, a P/E ratio of 67.06, a P/E/G ratio of 2.92 and a beta of 1.47. RBC Bearings has a twelve month low of $350.58 and a twelve month high of $632.00. The stock’s fifty day moving average price is $573.65 and its two-hundred day moving average price is $512.45.

RBC Bearings News Summary

Here are the key news stories impacting RBC Bearings this week:

• Positive Sentiment: RBC Bearings beat quarterly earnings and revenue estimates, with especially strong growth in aerospace and defense sales, which is supporting investor optimism. RBC Bearings Incorporated Announces Fiscal Fourth Quarter and Full Year 2026 Results
• Positive Sentiment: The company issued first-quarter FY2027 revenue guidance of $500 million to $510 million, above the market’s expectation of about $497.3 million, suggesting management sees continued demand momentum. RBC Bearings forecasts $500m-$510m Q1 FY2027 revenue while targeting marine revenue doubling in 24-36 months
• Positive Sentiment: Management said it is targeting a doubling of marine revenue over the next 24–36 months, pointing to a longer-term growth opportunity beyond the current quarter. RBC Bearings forecasts $500m-$510m Q1 FY2027 revenue while targeting marine revenue doubling in 24-36 months

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on RBC shares. Wall Street Zen downgraded RBC Bearings from a “buy” rating to a “hold” rating in a research report on Sunday, April 12th. Zacks Research upgraded RBC Bearings from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, February 11th. KeyCorp increased their price target on RBC Bearings from $595.00 to $680.00 and gave the company an “overweight” rating in a research note on Monday, March 2nd. The Goldman Sachs Group reissued a “neutral” rating and issued a $542.00 price objective on shares of RBC Bearings in a research note on Monday, February 9th. Finally, Truist Financial upgraded RBC Bearings to a “strong-buy” rating in a report on Friday, May 1st. Two analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of “Buy” and a consensus price target of $574.67.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Advisors Asset Management Inc. acquired a new position in RBC Bearings in the 1st quarter worth approximately $26,000. Larson Financial Group LLC boosted its stake in RBC Bearings by 148.5% in the 3rd quarter. Larson Financial Group LLC now owns 82 shares of the industrial products company’s stock worth $32,000 after purchasing an additional 49 shares during the period. EverSource Wealth Advisors LLC boosted its stake in RBC Bearings by 123.3% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 96 shares of the industrial products company’s stock worth $37,000 after purchasing an additional 53 shares during the period. Measured Wealth Private Client Group LLC acquired a new position in RBC Bearings in the 3rd quarter worth approximately $55,000. Finally, Danske Bank A S acquired a new position in RBC Bearings in the 3rd quarter worth approximately $78,000.

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.