Stock Analysis

Will Analyst Optimism for Regal Rexnord (RRX) Hold Up as Growth Moves Beyond Acquisitions?

  • Regal Rexnord Corporation recently announced it will release its third quarter 2025 financial results after market close on October 29, 2025, with a conference call to follow the next morning.
  • Investor enthusiasm has been fueled by analyst upgrades and strong positioning in energy-efficient and automation markets, as well as recent acquisitions and a growing backlog.
  • We'll explore how renewed analyst optimism and Regal Rexnord's expansion in energy-efficient solutions affect the company's investment narrative.

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Regal Rexnord Investment Narrative Recap

To be a Regal Rexnord shareholder, you have to believe that growth in energy-efficient and automation markets will sustain demand for the company's solutions, driving long-term revenue and margin expansion. The latest announcement of third quarter results coming on October 29, 2025 is a short-term focus for the market, but unless guidance or delivery changes substantially, the event is unlikely to alter the main catalysts or biggest risks like supply chain volatility and competitive pressure.

The most relevant announcement to this news event is the collaboration with ABB Robotics integrating Regal Rexnord’s GoFa™ cobots into a broader ecosystem. This supports Regal Rexnord’s positioning in automation, which is vital for future backlog conversion and margin expansion as adoption of energy-efficient solutions accelerates.

But while these advances are important, investors should also be mindful of the risk that rare earth magnet supply chain pressures could quickly disrupt...

Read the full narrative on Regal Rexnord (it's free!)

Regal Rexnord's outlook forecasts $6.5 billion in revenue and $695.5 million in earnings by 2028. This implies 3.5% annual revenue growth and an earnings increase of $445.1 million from the current $250.4 million level.

Uncover how Regal Rexnord's forecasts yield a $180.40 fair value, a 24% upside to its current price.

Exploring Other Perspectives

RRX Community Fair Values as at Oct 2025
RRX Community Fair Values as at Oct 2025

Two Simply Wall St Community fair value estimates for Regal Rexnord range from US$175.84 to US$180.40 per share. While views differ, many recognize that the adoption of energy-efficient solutions could have broader implications for future growth, challenge your perspective by exploring these alternative viewpoints.

Explore 2 other fair value estimates on Regal Rexnord - why the stock might be worth just $175.84!

Build Your Own Regal Rexnord Narrative

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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