Latest Ratios: P/E Ratio 50.1x · EV/EBITDA 15.7x · ROE 4.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $14.1B | $9.3B | $10.3B | $9.8B | $8.1B | $8.1B | $5.0B | $3.6B | $3.1B | $3.4B | $3.1B |
| Enterprise Value | $18.6B | $13.9B | $15.6B | $15.8B | $9.5B | $9.5B | $5.5B | $4.5B | $4.1B | $4.4B | $4.2B |
| P/E Ratio → | 50.15 | 33.25 | 52.77 | — | 16.46 | 35.38 | 26.47 | 15.13 | 13.29 | 16.16 | 15.32 |
| P/S Ratio | 2.37 | 1.57 | 1.71 | 1.57 | 1.54 | 2.13 | 1.72 | 1.12 | 0.84 | 1.02 | 0.97 |
| P/B Ratio | 2.06 | 1.36 | 1.65 | 1.54 | 1.25 | 1.27 | 1.94 | 1.52 | 1.32 | 1.46 | 1.50 |
| P/FCF | 15.77 | 10.46 | 20.70 | 16.46 | 22.85 | 26.77 | 12.92 | 11.43 | 10.79 | 15.17 | 8.32 |
| P/OCF | 14.22 | 9.43 | 16.98 | 13.72 | 18.46 | 22.69 | 11.51 | 8.84 | 8.48 | 11.78 | 7.09 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.34 | 2.58 | 2.53 | 1.82 | 2.49 | 1.91 | 1.39 | 1.13 | 1.32 | 1.32 |
| EV / EBITDA | 15.70 | 11.70 | 13.01 | 13.88 | 8.98 | 17.11 | 11.17 | 8.90 | 8.11 | 9.29 | 8.17 |
| EV / EBIT | 27.17 | 19.78 | 23.82 | 36.27 | 13.53 | 25.59 | 19.04 | 12.50 | 11.84 | 13.44 | 13.25 |
| EV / FCF | — | 15.54 | 31.13 | 26.48 | 26.96 | 31.27 | 14.30 | 14.21 | 14.50 | 19.59 | 11.33 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 37.4% | 37.4% | 36.4% | 33.7% | 32.6% | 28.2% | 28.5% | 27.0% | 26.3% | 26.9% | 28.3% |
| Operating Margin | 11.5% | 11.5% | 11.3% | 9.6% | 13.8% | 9.2% | 11.7% | 10.5% | 10.1% | 10.1% | 11.3% |
| Net Profit Margin | 4.7% | 4.7% | 3.3% | -0.9% | 9.4% | 6.0% | 6.5% | 7.4% | 6.3% | 6.3% | 6.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 4.3% | 4.3% | 3.1% | -0.9% | 7.6% | 5.1% | 7.6% | 10.1% | 9.9% | 9.6% | 10.0% |
| ROA | 2.0% | 2.0% | 1.3% | -0.4% | 4.7% | 3.1% | 4.2% | 5.3% | 5.1% | 4.9% | 4.6% |
| ROIC | 4.5% | 4.5% | 4.3% | 4.5% | 6.9% | 4.8% | 8.0% | 7.7% | 8.2% | 7.8% | 8.2% |
| ROCE | 5.4% | 5.4% | 5.1% | 5.1% | 7.8% | 5.4% | 8.9% | 8.7% | 9.7% | 9.3% | 9.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.74 | 0.74 | 0.89 | 1.03 | 0.33 | 0.32 | 0.45 | 0.51 | 0.56 | 0.48 | 0.68 |
| Debt / EBITDA | 4.26 | 4.26 | 4.69 | 5.76 | 2.02 | 3.67 | 2.31 | 2.40 | 2.56 | 2.39 | 2.72 |
| Net Debt / Equity | — | 0.66 | 0.83 | 0.94 | 0.23 | 0.21 | 0.21 | 0.37 | 0.45 | 0.43 | 0.54 |
| Net Debt / EBITDA | 3.82 | 3.82 | 4.36 | 5.25 | 1.37 | 2.46 | 1.08 | 1.74 | 2.08 | 2.09 | 2.17 |
| Debt / FCF | — | 5.08 | 10.43 | 10.02 | 4.11 | 4.49 | 1.38 | 2.78 | 3.71 | 4.42 | 3.01 |
| Interest Coverage | 2.01 | 2.01 | 1.61 | 1.00 | 7.94 | 6.17 | 7.16 | 6.48 | 6.14 | 6.20 | 5.94 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.15 | 2.15 | 2.26 | 2.55 | 2.99 | 2.56 | 2.25 | 2.87 | 2.66 | 2.21 | 2.18 |
| Quick Ratio | 1.10 | 1.10 | 1.25 | 1.59 | 1.66 | 1.48 | 1.41 | 1.66 | 1.54 | 1.15 | 1.24 |
| Cash Ratio | 0.41 | 0.41 | 0.32 | 0.43 | 0.69 | 0.61 | 0.74 | 0.59 | 0.36 | 0.20 | 0.41 |
| Asset Turnover | — | 0.43 | 0.43 | 0.41 | 0.51 | 0.37 | 0.63 | 0.73 | 0.79 | 0.77 | 0.74 |
| Inventory Turnover | 2.81 | 2.81 | 3.13 | 3.25 | 2.63 | 2.29 | 3.01 | 3.48 | 3.50 | 3.24 | 3.50 |
| Days Sales Outstanding | — | 32.24 | 50.98 | 53.82 | 55.78 | 75.28 | 54.24 | 52.02 | 55.26 | 55.01 | 52.32 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.7% | 1.0% | 0.9% | 0.9% | 1.1% | 4.1% | 1.0% | 1.4% | 1.5% | 1.3% | 1.4% |
| Payout Ratio | 33.3% | 33.3% | 47.4% | — | 18.6% | 146.2% | 25.7% | 20.5% | 20.4% | 20.9% | 20.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.0% | 3.0% | 1.9% | — | 6.1% | 2.8% | 3.8% | 6.6% | 7.5% | 6.2% | 6.5% |
| FCF Yield | 6.3% | 9.6% | 4.8% | 6.1% | 4.4% | 3.7% | 7.7% | 8.7% | 9.3% | 6.6% | 12.0% |
| Buyback Yield | 0.0% | 0.0% | 0.5% | 0.0% | 3.0% | 0.3% | 0.5% | 4.6% | 4.2% | 1.3% | 0.0% |
| Total Shareholder Yield | 0.7% | 1.0% | 1.4% | 0.9% | 4.1% | 4.5% | 1.5% | 5.9% | 5.7% | 2.6% | 1.4% |
| Shares Outstanding | — | $67M | $67M | $66M | $67M | $48M | $41M | $42M | $44M | $45M | $45M |
Integration and cyclical volatility
Based on current market data, RRX trades at a forward P/E of 20.68, which appears to discount the company relative to pure-play motion control peers, suggesting investors remain cautious about the firm's ability to successfully harmonize its diverse industrial portfolio following recent large-scale acquisitions.
The valuation gap between RRX and higher-multiple peers like AME or ROK implies that the market is applying a conglomerate discount due to the complexity of the legacy motor segments. While the forward multiple suggests a more attractive entry point, this valuation is contingent upon management's ability to prove that the integrated powertrain strategy can drive sustainable margin expansion over the next cycle.
As reported in financial statements, ROIC has hovered near 1.0% over the last ten quarters, a figure that warrants further investigation as it suggests the company is currently struggling to generate returns on invested capital that exceed its likely cost of capital following significant M&A activity.
The persistent low ROIC indicates that the massive capital outlays for the PMC and Altra deals have yet to yield the expected synergistic returns. Investors should monitor whether this is a temporary byproduct of integration-related accounting charges or a structural issue where the acquired assets are failing to meet their required hurdle rates.
According to quarterly data, the cash conversion cycle has remained elevated, peaking at 124 days in 2025Q1, which suggests that RRX is facing challenges in optimizing its inventory and receivables management compared to more streamlined industrial peers in the motion control space.
The high DIO, which consistently exceeds 120 days, points to potential inefficiencies in inventory management or a strategic decision to hold higher safety stocks to mitigate supply chain risks. This working capital intensity ties up significant liquidity, limiting the company's ability to deploy cash toward debt reduction or shareholder returns.
Based on reported figures, the interest coverage ratio has fluctuated between 1.29 and 2.12 over the last ten quarters, indicating that the company's ability to service its debt remains sensitive to operating margin volatility in the current high-interest rate environment.
While the D/E ratio has trended downward to 0.71, the low interest coverage ratio suggests that the debt load remains a material risk factor. Any further contraction in operating margins could tighten the company's financial flexibility, potentially forcing management to prioritize debt service over strategic growth initiatives.
The P/E ratio is frequently misapplied to RRX, as it obscures the significant impact of non-cash amortization and restructuring charges that arise from the company's aggressive acquisition strategy, thereby failing to reflect the true underlying cash-generating capacity of the business.
Analysts should instead focus on EV/EBITDA or FCF-based metrics to better assess the company's operational performance, as these measures are less distorted by the accounting noise inherent in a firm undergoing a major portfolio transformation. Relying solely on P/E risks misinterpreting the company's earnings power during this critical integration phase.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying RRX stock.
Regal Rexnord Corporation's current P/E ratio is 50.1x. The historical average is 22.5x. This places it at the 93th percentile of its historical range.
Regal Rexnord Corporation's current EV/EBITDA is 15.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 9.4x.
Regal Rexnord Corporation's return on equity (ROE) is 4.3%. The historical average is 10.0%.
Based on historical data, Regal Rexnord Corporation is trading at a P/E of 50.1x. This is at the 93th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Regal Rexnord Corporation's current dividend yield is 0.66% with a payout ratio of 33.3%.
Regal Rexnord Corporation has 37.4% gross margin and 11.5% operating margin. Operating margin between 10-20% is typical for established companies.
Regal Rexnord Corporation's Debt/EBITDA ratio is 4.3x, indicating high leverage. A ratio above 4x may signal elevated financial risk.