RRX
Regal Rexnord Corporation

Regal Rexnord CorporationRRX

Industrials · Specialty Industrial Machinery
169.07USD
+5.47%
Nov 09, 2026
RRX overview ready
Supplier of power management and motion control for AI data centers
Regal Rexnord remains a diversified industrial motion-and-power-management manufacturer, selling automation and motion-control products, industrial power-transmission systems, motors and power-efficiency products.
Primary theme is improving
Diversified Industrials is improving (+8.5pp vs SPY over 21 sessions; 16 of 24 members ahead of SPY).
Price trend is broken
Longer-term context reads early trend, with a near-term setup of reclaim attempt.
Fair valuation
The price broadly reflects how its multiples compare with businesses of the same kind, with upside and risk reasonably balanced.
Solid fundamentals
Free cash flow yield is strong.
Primary risk
Exposure to cyclical industrial capital spending.
Market Nov 6Filing Sep 30Price action Nov 8Research Oct 8

Conviction Level

PriceAction8.6BusinessPerformance5.0BusinessQuality6.2Valuation5.9ThemeMomentum7.0Mixed — Revenue is growing at a steady pace (+6.1% year over year). Earnings turned negative: a diluted loss of -$0.19 against EPS of $1.20 a year earlier. — From filed financial statements. Describes the recent trajectory of the business, not the stock. 20 of the 100 Conviction points.

Conviction uses Price Action, Business Performance, Business Quality, Valuation. Theme Momentum is research context, not an input.

Theme momentumPrimary theme · group context, not entry timing
vs SPY
+8.5pp
Theme return
+3.5%
Beating SPY
16 of 24
21 sessions to Nov 6, 2026 · Theme Leadership V2
Price
Loading price history…

Price Action

Price trend is broken
Longer-term context reads early trend, with a near-term setup of reclaim attempt.
EntryBreakout + retest

Price broke through the weekly SMA200, then retested it constructively and recovered — a fresh structural entry rather than a chase.

Key Financials

Market Cap
$11.3B
Avg Volume (60D)
1.2M
60 sessions
Revenue Growth YoY
-1.6%
FY2025 vs FY2024
Gross Margin
+37.8%
Trailing twelve months
Operating Margin
+10.0%
Trailing twelve months
Free Cash Flow Yield
+4.3%
Distance from 200DMA
-10.8%
Next Earnings
2027-02-03
P/E
48.5x
EV / Sales
2.5x
Market metrics as of Nov 6, 2026
Financial results for the period ended Sep 30, 2026
Filed balance-sheet data as of Sep 30, 2026

Business Performance

Mixed

Revenue is growing at a steady pace (+6.1% year over year). Earnings turned negative: a diluted loss of -$0.19 against EPS of $1.20 a year earlier.

Latest reported: Q3 FY2026, ended Sep 30
Revenue growthGrowing
+6.1%
$1.59B in Q3 FY2026 · YoY
YoY growth, last 4 quarters
  1. +4.3%
  2. +4.3%
  3. +4.2%
  4. +6.1%
Earnings growthTurned to a loss
-$0.19
Diluted EPS -$0.19 vs $1.20 a year earlier · GAAP
Diluted EPS YoY (GAAP), last 4 quarters
  1. +53%
  2. +12%
  3. +46%
  4. n/a
Operating marginContracting
5.1%
-6.5 pp YoY · gross margin 37.2% (+0.1 pp)

Business Quality

6.2 / 10

How well the business earns on its assets, converts earnings to cash and funds itself — read from its SEC filings.

Fundamentals & Valuation

Only one valuation perspective could be built for this company, and it reads fair.
Regal Rexnord Corporation has a Fair valuation stance because the price broadly reflects how its multiples compare with businesses of the same kind, with upside and risk reasonably balanced.

Company Research

Thesis
Regal Rexnord remains a diversified industrial motion-and-power-management manufacturer, selling automation and motion-control products, industrial power-transmission systems, motors and power-efficiency products.
Opportunity
High opportunity
Hyperscaler and colocation capital spending on high-density AI data-center electrical and liquid-cooling infrastructure.
Key risk
Exposure to cyclical industrial capital spending.

Economic classification

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Business & Markets

Industrials · Specialty Industrial Machinery
What they do

Regal Rexnord Corporation manufactures and sells motion control, power transmission, and power management products globally through its Automation & Motion Control, Industrial Powertrain Solutions, and Power Efficiency Solutions segments.

How it earns

The company generates revenue primarily through transactional sales of industrial machinery and power management equipment.

Products & services
Conveyor products and automation subsystems
Aerospace components
Precision motion control solutions
Miniature servo motors
Controls and drives
Linear actuators
Power management products including automatic transfer switches and paralleling equipment
Customers & end markets
Industrial manufacturers
Aerospace companies
Data center operators
Automation and power management end users
Market position

A diversified industrial machinery manufacturer with a broad product portfolio serving multiple end markets, positioned as a leader in motion and power management solutions.

Demand drivers
Medium cyclicality

Business is tied to industrial capital spending cycles and data center infrastructure investments, which can fluctuate with economic conditions.