RRX
Regal Rexnord Corporation

Regal Rexnord CorporationRRX

Industrials · Specialty Industrial Machinery
152.42USD
+1.12%
Sep 24, 2026
RRX overview ready
Modular power-management and thermal solutions enabling AI data center infrastructure
Regal Rexnord is a direct equipment supplier to AI-data-center buildouts through modular electrical power-management systems, including automatic transfer switches, paralleling switchgear, and E-Pods with power and thermal-management content, alongside air-moving and motion products.
Strong narrative exposure
Exposed to the AI Compute Infrastructure Buildout narrative through AI Data Center Power and Thermal Systems — infrastructure supplier.
Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of distribution pressure.
The tactical setup reads distribution pressure, but the weekly structure is broken.
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 demand fluctuations.
Market Sep 23Filing Jun 30Price action Sep 23Research Sep 7

Conviction Level

NarrativeHeat9.5ThemeHeat9.3PriceAction5.4Valuation5.8CompanyPosition7.3
Price
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Price Action

Price trend is broken
Longer-term context reads trend under pressure, with a near-term setup of distribution pressure.
The tactical setup reads distribution pressure, but the weekly structure is broken.
EntryConstructive

Structure is constructive on both timeframes without excessive extension — a reasonable entry location.

Key Financials

Market Cap
$10.1B
Avg Volume (60D)
1.3M
60 sessions
Revenue Growth YoY
-1.6%
FY2025 vs FY2024
Gross Margin
+37.8%
Trailing twelve months
Operating Margin
+11.7%
Trailing twelve months
Free Cash Flow Yield
+4.6%
Distance from 200DMA
-18.9%
Next Earnings
2026-10-28
P/E
31.3x
EV / EBITDA
11.7x
EV / Sales
2.4x
Market metrics as of Sep 23, 2026
Financial results for the period ended Jun 30, 2026
Filed balance-sheet data as of Jun 30, 2026

Fundamentals & Valuation

Both valuation perspectives agree this company is 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 is a direct equipment supplier to AI-data-center buildouts through modular electrical power-management systems, including automatic transfer switches, paralleling switchgear, and E-Pods with power and thermal-management content, alongside air-moving and motion 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 demand fluctuations.

Narrative & Theme

AI Compute Infrastructure Buildout
Part of AI Data Center Power and Thermal Systems, with strong fit.
RRX is not merely an industrial adjacency: its Automation & Motion Control segment sells modular E-Pod systems, switchgear, transfer switches, and related thermal-management content into data centers.
Narrative HeatHot9.5 / 10
Theme HeatHot9.3 / 10
This reading is no longer current (last measured 2026-07-22). It is kept until the next scheduled measurement replaces it.

Business & Markets

Industrials · Specialty Industrial Machinery
What they do

Regal Rexnord Corporation designs, manufactures, and sells motion control and power transmission 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 motion control products.

Products & services
Conveyor products
Conveying automation subsystems
Aerospace components
Precision motion control solutions
Miniature servo motors
Controls and drives
Linear actuators
Power management products including automatic transfer switches
Customers & end markets
Industrial manufacturers
Aerospace industry
Automation and material handling sectors
Market position

Regal Rexnord is a leader in specialty industrial machinery with a broad product portfolio across multiple motion control and power transmission segments.

Demand drivers
Medium cyclicality

Business is influenced by industrial capital spending cycles and demand in manufacturing and aerospace sectors.

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