Regal Rexnord (RRX) Reports Q3: Everything You Need To Know Ahead Of Earnings

November 03, 2024 at 02:07 AM EST

RRX Cover Image

Industrials products and automation company Regal Rexnord (NYSE: RRX). will be reporting earnings tomorrow after market close. Here’s what to expect.

Regal Rexnord beat analysts’ revenue expectations by 2.7% last quarter, reporting revenues of $1.55 billion, down 12.5% year on year. Despite the top line sales decline, it was still a strong quarter for the company, with an impressive beat of analysts’ operating margin estimates and a solid beat of analysts’ organic revenue estimates.

Is Regal Rexnord a buy or sell going into earnings? Read our full analysis here, it’s free.

This quarter, analysts are expecting Regal Rexnord’s revenue to decline 7.8% year on year to $1.52 billion, a reversal from the 24.5% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.48 per share.

The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Regal Rexnord has missed Wall Street’s revenue estimates five times over the last two years.

Looking at Regal Rexnord’s peers in the engineered components and systems segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Gates Industrial Corporation’s revenues decreased 4.8% year on year, meeting analysts’ expectations, and Applied Industrial reported flat revenue, topping estimates by 1.5%. Gates Industrial Corporation traded up 6% following the results while Applied Industrial was also up 3.4%.

Read our full analysis of Gates Industrial Corporation’s results here and Applied Industrial’s results here.

Investors in the engineered components and systems segment have had steady hands going into earnings, with share prices flat over the last month. Regal Rexnord’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $197.56 (compared to the current share price of $169.02).

Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we’ve identified a relatively under-the-radar profitable growth stock benefitting from the rise of AI, available to you FREE via this link.

About Us

Additional Information

Website & Technical Help

Regal Rexnord (RRX) Reports Q3: Everything You Need To Know Ahead Of Earnings

More News