RBC Valuation

RBC Bearings Inc

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428.400

-0.13(-0.030%)1D

RBC Relative Valuation

RBC's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, RBC is overvalued; if below, it's undervalued.

Historical Valuation

RBC Bearings Inc (RBC) is now in the Fair zone, suggesting that its current forward PE ratio of 33.54 is considered Fairly compared with the five-year average of 33.44. The fair price of RBC Bearings Inc (RBC) is between 327.32 to 475.65 according to relative valuation methord.

Relative Value

Fair Zone

327.32-475.65

Current Price：428.53

Fair

33.54

Trailing

Forward

22.80

EV/EBITDA

RBC Bearings Inc. (RBC) has a current EV/EBITDA of 22.80. The 5-year average EV/EBITDA is 19.61. The thresholds are as follows: Strongly Undervalued below 11.11, Undervalued between 11.11 and 15.36, Fairly Valued between 23.86 and 15.36, Overvalued between 23.86 and 28.11, and Strongly Overvalued above 28.11. The current Forward EV/EBITDA of 22.80 falls within the Historic Trend Line -Fairly Valued range.

30.57

EV/EBIT

RBC Bearings Inc. (RBC) has a current EV/EBIT of 30.57. The 5-year average EV/EBIT is 26.54. The thresholds are as follows: Strongly Undervalued below 17.53, Undervalued between 17.53 and 22.03, Fairly Valued between 31.04 and 22.03, Overvalued between 31.04 and 35.55, and Strongly Overvalued above 35.55. The current Forward EV/EBIT of 30.57 falls within the Historic Trend Line -Fairly Valued range.

428.53

RBC Bearings Inc. (RBC) has a current PS of 428.53. The 5-year average PS is 6.48. The thresholds are as follows: Strongly Undervalued below -40.10, Undervalued between -40.10 and -16.81, Fairly Valued between 29.77 and -16.81, Overvalued between 29.77 and 53.06, and Strongly Overvalued above 53.06. The current Forward PS of 428.53 falls within the Strongly Overvalued range.

30.61

P/OCF

RBC Bearings Inc. (RBC) has a current P/OCF of 30.61. The 5-year average P/OCF is 25.43. The thresholds are as follows: Strongly Undervalued below 12.51, Undervalued between 12.51 and 18.97, Fairly Valued between 31.90 and 18.97, Overvalued between 31.90 and 38.36, and Strongly Overvalued above 38.36. The current Forward P/OCF of 30.61 falls within the Historic Trend Line -Fairly Valued range.

33.38

P/FCF

RBC Bearings Inc. (RBC) has a current P/FCF of 33.38. The 5-year average P/FCF is 30.76. The thresholds are as follows: Strongly Undervalued below -0.26, Undervalued between -0.26 and 15.25, Fairly Valued between 46.27 and 15.25, Overvalued between 46.27 and 61.78, and Strongly Overvalued above 61.78. The current Forward P/FCF of 33.38 falls within the Historic Trend Line -Fairly Valued range.

RBC Bearings Inc (RBC) has a current Price-to-Book (P/B) ratio of 4.23. Compared to its 3-year average P/B ratio of 3.03 , the current P/B ratio is approximately 39.53% higher. Relative to its 5-year average P/B ratio of 3.07, the current P/B ratio is about 37.78% higher. RBC Bearings Inc (RBC) has a Forward Free Cash Flow (FCF) yield of approximately 2.26%. Compared to its 3-year average FCF yield of 2.69%, the current FCF yield is approximately -15.92% lower. Relative to its 5-year average FCF yield of 2.72% , the current FCF yield is about -16.75% lower.

4.23

P/B

Median3y

3.03

Median5y

3.07

2.26

FCF Yield

Median3y

2.69

Median5y

2.72

Competitors Valuation Multiple

The average P/S ratio for RBC's competitors is 172.60, providing a benchmark for relative valuation. RBC Bearings Inc Corp (RBC) exhibits a P/S ratio of 428.53, which is 148.29% above the industry average. Given its robust revenue growth of 14.43%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Mueller Industries Inc

Valmont Industries Inc

Gibraltar Industries Inc

Algoma Steel Group Inc

5.90

-12.73%

441.77M

Performance Decomposition

Market capitalization of RBC increased by 27.84% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 44.80 to 52.26.

The secondary factor is the Revenue Growth, contributed 14.43%to the performance.

Overall, the performance of RBC in the past 1 year is driven by P/E Change. Which is more unsustainable.

14.43%

397.90M → 455.30M

Revenue Growth

-3.23%

13.62 → 13.18

Margin Expansion

16.64%

44.80 → 52.26

P/E Change

27.84%