| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 17 | 47.2x | 17.3x | Bottom tier | |
Growth | 71 | 17.3% | 7.1% | Top tier | |
Quality | 67 | 8.8% | 4.5% | Top tier | |
Safety | 82 | 1.3x | 2.6x | Top tier | |
Capital Return | 45 | 0.00% | 0.06% | Around median | |
Momentum | 45 | 36.3% | -1.6% | Around median | |
Sentiment | 69 | 6 | 3 | Top tier |
The floor: what the company is worth if growth stopped today
83% of today's price is what a buyer pays for growth that has not happened yet.
10-year US Treasury yield 4.96% as of 2026-10-22. Estimates computed from company data and analyst targets, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
RBC Bearings operates through two main segments: Industrial, and Aerospace and Defense. The company generates revenue by supplying specialized engineered products deeply embedded in aircraft, engine, defense, space, and marine applications, in addition to industrial markets including aggregates, cement, food and beverage, warehousing, semiconductors, and grain. Some of its aerospace and defense relationships rely on contractual commitments lasting three or five years, and some customers may request ten-year contracts, while distribution operations and original equipment manufacturer sales provide additional channels for industrial revenue.
In quarter 1 of fiscal 2027, net sales increased 19.2% year over year to $519.5 million, while net income according to EDGAR data reached approximately $101.5 million and earnings per share were $3.20. Gross profit was $247.8 million, consistent with a reported gross margin of 47.7%, while adjusted earnings before interest, taxes, depreciation, and amortization reached $181.2 million, or 34.9% of sales, and adjusted earnings per share rose 36.6% to $3.88.
The Industrial segment accounted for approximately 57% of revenue in quarter 1 of fiscal 2027, compared with 43% for Aerospace and Defense. Aerospace and Defense sales grew 36.9%, or 16.6% organically excluding VACCO, and the segment margin reached 44.5%; Industrial sales increased 8.4%, with a margin of 50.2%. Within Aerospace and Defense, commercial aerospace grew 21.8% and defense grew 64.6%, while the space business generated $25 million during the quarter compared with approximately $70 million in all of fiscal 2026.
The analyst consensus is "Buy," with an average price target of $643 and a range between $600 and $686. The average target is below the 52-week range high of $667.69, while the highest target is slightly above that high, and the $86 difference between the lowest and highest targets reveals divergent assessments of the impact of Aerospace and Defense growth versus margin normalization and production-capacity constraints. The 52-week range extends from $364.50 to $667.69, reflecting a wide range in the valuation the market has assigned to the earnings trajectory.
Figures in the text are as of 2026-09-15; the live price is shown at the top of the page.
Net sales increased 19.2% year over year to $519.5 million, led by Aerospace and Defense, followed by Industrial. Aerospace and Defense sales grew 36.9%, or 16.6% organically excluding VACCO, while Industrial sales rose 8.4%. Within Aerospace and Defense, commercial aerospace grew 21.8% and defense grew 64.6%, alongside increased requests for quotations, contracts, and production capacity.
The space business generated $25 million in revenue in quarter 1 of fiscal 2027, compared with approximately $70 million in all of fiscal 2026. The company serves more than 12 customers in this field and named SpaceX, Blue Origin, and Amazon among the relationships and projects supporting the business. Management said on the July 31, 2026 call that demand includes commercial and government markets and that meeting this demand will require additional production capacity.
Gross margin reached 47.7% in quarter 1 of fiscal 2027, but it benefited from nonrecurring items. Tariff recoveries added approximately 100 basis points, and contractual settlements added approximately 50 to 60 basis points, alongside the impact of volume, mix, and operating efficiency. The company therefore targets an adjusted gross margin of between 45.5% and 45.75% in quarter 2 of fiscal 2027, while management expects an annual improvement of approximately 1.5 percentage points between the end of fiscal 2026 and the end of fiscal 2027.
Automated analysis for informational purposes only — not investment advice.
Backlog reached $2.3 billion in quarter 1 of fiscal 2027, with a large portion attributable to the marine business. Management explained that some long-term airframe and engine contracts are not fully reflected in this figure and therefore believes actual demand visibility exceeds the reported backlog. Conversely, the figure was sequentially flat, while increased marine shipments depend on continued progress in resolving supply-chain bottlenecks during the second half of fiscal 2027.
The company generated free cash flow of $146.9 million in quarter 1 of fiscal 2027, equivalent to 144.7% of net income. It repaid $77 million of debt during the quarter and then an additional $50 million of the term loan after quarter-end. Interest expense declined 17.2% year over year to $10.1 million, while management aims to repay the remaining term-loan balance by November 2026.
The main risk is that demand exceeds available production capacity, requiring the company to prioritize customers with long-term commitments and avoid overloading its factories. Management also described the supply chain as fragile, particularly when components require specialized metallurgical expertise or a key supplier exits the business. Additional risks include the expected decline in the quarter 2 margin to 45.5%–45.75% and the expected slowdown in revenue growth to 10.9%–13.1% compared with the results of quarter 1 of fiscal 2027.