What's Next: Regal Rexnord's Earnings Preview
Regal Rexnord (NYSE:RRX) will release its quarterly earnings report on Tuesday, 2025-08-05. Here's a brief overview for investors ahead of the announcement.
Analysts anticipate Regal Rexnord to report an earnings per share (EPS) of $2.43.
The market awaits Regal Rexnord's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.
It's important for new investors to understand that guidance can be a significant driver of stock prices.
Earnings History Snapshot
Last quarter the company beat EPS by $0.32, which was followed by a 13.57% increase in the share price the next day.
Here's a look at Regal Rexnord's past performance and the resulting price change:
| Quarter | Q1 2025 | Q4 2024 | Q3 2024 | Q2 2024 |
|---|---|---|---|---|
| EPS Estimate | 1.83 | 2.47 | 2.48 | 2.13 |
| EPS Actual | 2.15 | 2.34 | 2.49 | 2.29 |
| Price Change % | 14.000000000000002% | -8.0% | -1.0% | 1.0% |
Stock Performance
Shares of Regal Rexnord were trading at $149.19 as of August 01. Over the last 52-week period, shares are down 0.77%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.
Analyst Opinions on Regal Rexnord
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Regal Rexnord.
Regal Rexnord has received a total of 7 ratings from analysts, with the consensus rating as Outperform. With an average one-year price target of $168.86, the consensus suggests a potential 13.18% upside.
Comparing Ratings with Peers
In this analysis, we delve into the analyst ratings and average 1-year price targets of Acuity, Nextracker and Generac Hldgs, three key industry players, offering insights into their relative performance expectations and market positioning.
- Analysts currently favor an Neutral trajectory for Acuity, with an average 1-year price target of $324.0, suggesting a potential 117.17% upside.
- Analysts currently favor an Outperform trajectory for Nextracker, with an average 1-year price target of $68.72, suggesting a potential 53.94% downside.
- Analysts currently favor an Neutral trajectory for Generac Hldgs, with an average 1-year price target of $182.18, suggesting a potential 22.11% upside.
Overview of Peer Analysis
The peer analysis summary presents essential metrics for Acuity, Nextracker and Generac Hldgs, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Regal Rexnord | Outperform | -8.37% | $527.60M | 0.90% |
| Acuity | Neutral | 21.74% | $570.20M | 3.86% |
| Nextracker | Outperform | -6.50% | $305.69M | 9.15% |
| Generac Hldgs | Neutral | 12.64% | $371.99M | 2.94% |
Key Takeaway:
Regal Rexnord ranks at the bottom for Revenue Growth and Gross Profit, while it ranks in the middle for Return on Equity among its peers.
Delving into Regal Rexnord's Background
Regal Rexnord Corp is in the engineering and manufacturing of industrial powertrain solutions, power transmission components, electric motors, electronic controls, air-moving products, and specialty electrical components and systems, serving customers around the world. The four operating segments include Commercial Systems, Industrial Systems, Climate Solutions, and Motion Control Solutions.
Understanding the Numbers: Regal Rexnord's Finances
Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.
Revenue Growth: Regal Rexnord's revenue growth over a period of 3 months has faced challenges. As of 31 March, 2025, the company experienced a revenue decline of approximately -8.37%. This indicates a decrease in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Industrials sector.
Net Margin: Regal Rexnord's net margin excels beyond industry benchmarks, reaching 4.04%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): Regal Rexnord's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 0.9%, the company may face hurdles in generating optimal returns for shareholders.
Return on Assets (ROA): Regal Rexnord's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.41%, the company may encounter challenges in delivering satisfactory returns from its assets.
Debt Management: Regal Rexnord's debt-to-equity ratio surpasses industry norms, standing at 0.85. This suggests the company carries a substantial amount of debt, posing potential financial challenges.
To track all earnings releases for Regal Rexnord visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
