Regal Rexnord (NYSE:RRX) Announces Earnings Results, Beats Estimates By $0.04 EPS

Regal Rexnord (NYSE:RRX) posted its quarterly earnings data on Wednesday. The company reported $2.51 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.47 by $0.04, Zacks reports. Regal Rexnord had a return on equity of 9.64% and a net margin of 4.38%.The firm had revenue of $1.52 billion for the quarter, compared to the consensus estimate of $1.54 billion. During the same quarter in the previous year, the company earned $2.34 EPS. The business’s revenue for the quarter was up 4.3% compared to the same quarter last year. Regal Rexnord updated its FY 2026 guidance to 10.200-11.000 EPS.

Regal Rexnord Stock Up 14.3%

Shares of Regal Rexnord stock traded up $25.52 during trading on Thursday, hitting $203.82. 1,907,353 shares of the stock traded hands, compared to its average volume of 858,009. The stock has a market cap of $13.53 billion, a P/E ratio of 52.67, a PEG ratio of 1.59 and a beta of 1.13. The company has a fifty day moving average price of $150.85 and a two-hundred day moving average price of $146.57. Regal Rexnord has a twelve month low of $90.56 and a twelve month high of $204.99. The company has a debt-to-equity ratio of 0.71, a quick ratio of 0.97 and a current ratio of 2.05.

Regal Rexnord Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, April 14th. Stockholders of record on Tuesday, March 31st will be paid a dividend of $0.35 per share. The ex-dividend date of this dividend is Tuesday, March 31st. This represents a $1.40 dividend on an annualized basis and a dividend yield of 0.7%. Regal Rexnord’s dividend payout ratio (DPR) is 36.18%.

More Regal Rexnord News

Here are the key news stories impacting Regal Rexnord this week:

• Positive Sentiment: Large data‑center win and backlog expansion — management disclosed ~ $735M of data‑center E‑Pod orders, saying initial shipments begin in early 2027; backlog exiting 2025 rose ~50%, signaling multi‑year revenue visibility and upside from new product traction. PR Newswire: Regal Rexnord Reports Strong Fourth Quarter 2025 Financial Results
• Positive Sentiment: Q4 EPS beat and improving profitability — adjusted EPS of $2.51 topped estimates ($2.47) and rose vs. year‑ago; gross margin improved ~50 bps and adjusted EBITDA increased year‑over‑year, supporting longer‑term earnings power. Zacks: Regal Rexnord Q4 Earnings Surpass Estimates
• Neutral Sentiment: Analyst/peer comparisons available — recent write‑ups compare RRX to industrial peers (e.g., Atlas Copco) which may inform relative valuation and long‑term positioning but are not direct catalysts. American Banking News: Regal Rexnord & Atlas Copco Critical Comparison
• Negative Sentiment: Revenue slightly missed estimates — Q4 sales were ~$1.52B vs. analyst expectations of ~$1.54B, which may temper near‑term sentiment despite the EPS beat. MSN: Regal Rexnord Misses Q4 Revenue Estimates
• Negative Sentiment: FY‑2026 guidance mixed vs. consensus — RRX set EPS guidance of $10.20–$11.00 (consensus ~ $10.76), leaving room for upside but with a midpoint slightly below Street expectations, which could cap immediate multiple expansion. PR Newswire: Regal Rexnord Q4 Results & Guidance

Wall Street Analyst Weigh In

Several research firms have recently weighed in on RRX. JPMorgan Chase & Co. dropped their target price on shares of Regal Rexnord from $200.00 to $190.00 and set an “overweight” rating on the stock in a research report on Friday, October 31st. Jefferies Financial Group cut shares of Regal Rexnord from a “buy” rating to a “hold” rating and lowered their price objective for the stock from $170.00 to $160.00 in a research report on Wednesday, December 10th. Barclays restated an “overweight” rating and issued a $165.00 target price on shares of Regal Rexnord in a report on Monday, November 3rd. Citigroup lifted their price target on Regal Rexnord from $175.00 to $180.00 and gave the company a “buy” rating in a report on Thursday, December 11th. Finally, KeyCorp set a $200.00 price target on Regal Rexnord in a research report on Thursday. Seven analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $183.38.

Insider Buying and Selling

In related news, CEO Louis V. Pinkham sold 35,935 shares of the firm’s stock in a transaction that occurred on Tuesday, November 25th. The shares were sold at an average price of $146.20, for a total transaction of $5,253,697.00. Following the transaction, the chief executive officer owned 103,262 shares of the company’s stock, valued at approximately $15,096,904.40. This trade represents a 25.82% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Corporate insiders own 0.82% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of RRX. Geneos Wealth Management Inc. lifted its stake in shares of Regal Rexnord by 135.1% in the 1st quarter. Geneos Wealth Management Inc. now owns 221 shares of the company’s stock valued at $25,000 after purchasing an additional 127 shares during the last quarter. Advisory Services Network LLC bought a new position in Regal Rexnord during the third quarter valued at about $35,000. Johnson Financial Group Inc. acquired a new stake in shares of Regal Rexnord in the third quarter worth about $60,000. Jones Financial Companies Lllp lifted its position in shares of Regal Rexnord by 91.6% in the first quarter. Jones Financial Companies Lllp now owns 617 shares of the company’s stock worth $70,000 after buying an additional 295 shares during the last quarter. Finally, Wilmington Savings Fund Society FSB boosted its stake in shares of Regal Rexnord by 629.9% during the 3rd quarter. Wilmington Savings Fund Society FSB now owns 562 shares of the company’s stock worth $81,000 after acquiring an additional 485 shares in the last quarter. Institutional investors and hedge funds own 99.72% of the company’s stock.

Regal Rexnord Company Profile

Regal Rexnord Corporation (NYSE: RRX) is a global industrial manufacturer specializing in electric motors, power generation equipment and automated motion control systems. The company designs, engineers and produces a broad portfolio of products that includes energy-efficient electric motors, variable frequency drives, gearboxes, couplings, bearings and power transmission components. These offerings support critical applications in industries such as heating, ventilation and air conditioning (HVAC), refrigeration, data centers, water treatment, food and beverage processing, mining, oil and gas, and material handling.

The company’s operations are organized into multiple business segments that address distinct customer needs.