RBC Bearings Incorporated
RBC Bearings Incorporated Fundamental Analysis
RBC Bearings Incorporated (ROLL) shows weak financial fundamentals with a PE ratio of 26.00, profit margin of 14.38%, and ROE of 8.18%. The company generates $1.6B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 77.7/100 based on profitability, valuation, growth, and balance sheet metrics. The B grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze ROLL's fundamental strength across five key dimensions:
Efficiency Score
WeakROLL struggles to generate sufficient returns from assets.
Valuation Score
WeakROLL trades at a premium to fair value.
Growth Score
ModerateROLL shows steady but slowing expansion.
Financial Health Score
ExcellentROLL maintains a strong and stable balance sheet.
Profitability Score
WeakROLL struggles to sustain strong margins.
Key Financial Metrics
Is ROLL Expensive or Cheap?
P/E Ratio
ROLL trades at 26.00 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ROLL's PEG of 2.64 indicates potential overvaluation.
Price to Book
The market values RBC Bearings Incorporated at 2.05 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 12.75 times EBITDA. This signals the market has high growth expectations.
How Well Does ROLL Make Money?
Net Profit Margin
For every $100 in sales, RBC Bearings Incorporated keeps $14.38 as profit after all expenses.
Operating Margin
Core operations generate 22.12 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $8.18 in profit for every $100 of shareholder equity.
ROA
RBC Bearings Incorporated generates $5.01 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
RBC Bearings Incorporated produces operating cash flow of $367.99M, showing steady but balanced cash generation.
Free Cash Flow
RBC Bearings Incorporated generates strong free cash flow of $303.91M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $10.47 in free cash annually.
FCF Yield
ROLL converts 5.36% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
26.00
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.64
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.05
vs 25 benchmark
P/S Ratio
Price to sales ratio
3.44
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.86
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.08
vs 25 benchmark
ROA
Return on assets percentage
0.05
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How ROLL Stacks Against Its Sector Peers
| Metric | ROLL Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 26.00 | 25.24 | Neutral |
| ROE | 8.18% | 1281.00% | Weak |
| Net Margin | 14.38% | -44434.00% (disorted) | Strong |
| Debt/Equity | 0.11 | 0.75 | Strong (Low Leverage) |
| Current Ratio | 1.86 | 10.59 | Neutral |
| ROA | 5.01% | -1528290.00% (disorted) | Weak |
ROLL outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews RBC Bearings Incorporated's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
EPS CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure
FCF CAGR
N/A
Industry Style: Cyclical, Value, Infrastructure