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Regal Rexnord Corp (RRX)

Fair Value
IndustrialsSpecialty Industrial MachineryUnited States

Fundamental

65

Price

$155.11

Market Cap

$10.42B

Part 1 · What the company is worth

Overview

Regal Rexnord Corporation provides sustainable solutions for power, transmit, and control motion products in the North America, Asia, Europe, and internationally. The company operates through Automation & Motion Control, Industrial Powertrain Solutions, and Power Efficiency Solutions. The Automation & Motion Control segment provides conveyor products, conveying automation subsystems, aerospace components, precision motion control solutions, miniature servo motors, controls, drives, and linear actuators, as well as power management products that include automatic transfer switches, paralleling switchgear, and customized modular electric pod solutions that comprise relevant power and thermal management content. The Industrial Powertrain Solutions segment offers mounted and unmounted bearings, couplings, mechanical power transmission drives and components, gearboxes and gear motors, clutches, brakes, and industrial powertrain components and solutions, as well as industrial powertrain solutions. The Power Efficiency Solutions segment produces fractional to approximately 5 horsepower AC and DC motors, electronic variable speed controls, electronic drives, fans and blowers, as well as integrated air moving subsystems. It serves factory automation, food and beverage, aerospace, general industrial, medical, data center, general industrial, metals and mining, energy, discrete automation, commercial HVAC, and general commercial applications. The company was formerly known as Regal Beloit Corporation. Regal Rexnord Corporation was founded in 1955 and is based in Milwaukee, Wisconsin.

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Direct competitors

Who this company fights with for the same customers

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No competitor list for this company yet.

Balance Sheet & Liquidity

Revenue

$6.06B

Trailing 12 months (through 6/30/2026)

Net Income

$324M

Trailing 12 months (through 6/30/2026)

Free Cash Flow

$893M

Total Equity

$6.84B

Total Liabilities

$7.07B

Current Ratio

2.28

Interest Coverage

2.13

Debt/EBITDA

3.99

Earnings Per Share

Revenue & Net Income

Free Cash Flow

Income Breakdown

Historical statement

Margins over time

Debt over time

How heavy the debt is

Growth grid

Growth — Revenue

Fair Value Estimation

General caseFairly Valued

Fair Value

$148.91

Current Price

$155.11

Margin of Safety

-4.2%

Fair Value Range

$96.79 - $201.03

Spread across the valuation methods used, not a statistically calibrated confidence interval.

Estimation Methods

Analyst price target:$248.20
Discounted cash flow (DCF):$166.36
Earnings multiple (P/E):$59.81
Graham growth formula:$36.35
Earnings power value (EPV):$79.27
Justified P/B:$22.03
Dividend discount (Gordon):$19.60
P/FFO, funds from operations:Not enough data to compute it
Mid-cycle earnings:$188.95
Revenue multiple:$257.51
Analyst Consensus:Strong Buy (14B / 2H / 0S)
Last Earnings Surprise:+14.58%

Valuation Metrics

P/E Ratio

31.98

ROE

4.1%

P/B Ratio

1.49

P/FCF

22.15

Gross Margin

37.8%

ROIC

4.5%

Profitability Radar

Value Creation (Economic Moat)

ROIC

4.5%

WACC

9.0%

ROIC − WACC

-4.5 pp

ROIC is below the cost of capital — the company is destroying value for every dollar invested.

Fundamental Analysis Criteria

Passed (20)

  • EPS shows upward trend
  • Price CAGR 8.89%
  • Gross Margin 37.8%
  • P/FCF 22.15
  • P/B Ratio 1.49
  • Debt/Equity ratio
  • Operating Margin 11.7%
  • Positive Free Cash Flow
  • CapEx intensity
  • Current Ratio
  • Interest Coverage
  • Debt/EBITDA
  • Return on Tangible Assets
  • Revenue Growth 5Y 15.3%
  • Analyst Consensus 88% Buy
  • Earnings Surprise avg 3.6%
  • Earnings Quality (OCF/NI) 1.72
  • Share Dilution -0.3%
  • Net Margin Trend 5.3% vs 4.3%
  • Piotroski F-Score 7/9

Failed (6)

  • EPS CAGR 0.59%
  • ROIC 4.5%
  • Low reliance on intangibles
  • Price below Graham Number
  • DCF valuation (Overvalued)
  • ROE 4.7%

Unavailable (2)

  • Dividend Payout NaN%
  • PEG Ratio (need PE > 0 and growth > 0)

Piotroski F-Score

7/9

Strong financial health

score
criteria

Earnings Quality

1.72

High quality: earnings backed by cash

Share Dilution

-0.3%

Buying back shares. Shareholder friendly

Institutional Holdings

No institutional filings reported for this company.

Governance

Executive Team

NameTitleAge
Mr. Robert J. RehardExecutive VP & CFO56
Mr. Jerrald R. MortonExecutive Vice President63
Mr. Brooke Edmund LangExecutive VP & President of Power Efficiency Solutions Segment53
Mr. Aamir PaulCEO & Director47
Mr. Alexander P. ScarpelliSenior VP, Chief Accounting Officer & Corporate Controller-
Mr. Timothy A. DicksonSenior VP and Chief Digital & Information Officer53
Mr. Robert Douglas BarryVice President of Investor Relations-
Mr. Hugo Dubovoy Jr.Executive VP, General Counsel & Corporate Secretary45
Ms. Cheryl A. LewisExecutive VP & Chief Human Resource Officer55
Mr. Scott Douglas BrownGroup President of Commercial Systems Segment65

Audit Risk

2

Board Risk

1

Compensation Risk

3

Shareholder Rights Risk

1

Part 2 · The price and when to enter

This part won't tell you whether the company is worth owning: it helps you choose when to buy it, once the fundamentals have convinced you. Inside: technical analysis, potential, historical drawdowns, gamma exposure.

Documents

  • Annual Report (10-K)

    A yearly overview of the business, its financial results, and the risks it faces.

    Filed on 2026-02-20

    View document
  • Quarterly Report (10-Q)

    A snapshot of financial performance for the most recent three-month period.

    Filed on 2026-08-05

    View document
  • Current Report (8-K)

    An announcement of a major event, such as a leadership change or big news.

    Filed on 2026-08-05

    View document

via SEC EDGAR

Income History

via SEC EDGAR

Latest News

Recent headlines for RRX, sourced from Markets Gazette.

No recent news for RRX.