At Current Price, Is It Too Late To Buy RBC Bearings Incorporated (ROLL)?

On Wednesday, shares of RBC Bearings Incorporated (NASDAQ:ROLL) marked $124.06 per share versus a previous $122.24 closing price. With having a 1.49% gain, an insight into the fundamental values of RBC Bearings Incorporated, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. ROLL showed a fall of -21.65% within its YTD performance, with highs and lows between $77.63 – $185.05 during the period of 52 weeks, compared to the simple moving average of -14.96% in the period of the last 200 days.

SunTrust equity researchers changed the status of RBC Bearings Incorporated (NASDAQ: ROLL) shares from “Hold” to a “Sell” rating in the report published on July 15th, 2020. Other analysts, including Alembic Global Advisors, also published their reports on ROLL shares. Alembic Global Advisors repeated the rating from the previous report, marking ROLL under “Neutral” rating, in the report published on May 21st, 2020. Additionally, ROLL shares got another “Underweight” rating from Alembic Global Advisors. On the other hand, BofA/Merrill Downgrade the “Underperform” rating for ROLL shares, as published in the report on November 14th, 2019. BofA/Merrill seems to be going bullish on the price of ROLL shares, based on the price prediction for ROLL. Another “Hold” rating came from SunTrust, providing a prediction for price target according to the report published in June 20th, 2018.

RBC Bearings Incorporated (ROLL) Analysis

The present dividend yield for ROLL owners is set at 0, marking the return investors will get regardless of the company’s performance in the upcoming period. However, in order for the company to be able to pay its dividends, just like it is the case with RBC Bearings Incorporated, the company needs to provide a healthy cash flow, currently at the value of 26.51. In addition, the growth of sales from quarter to quarter is recording 2.00%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of RBC Bearings Incorporated (ROLL) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of 11.90% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 2.40 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while ROLL is currently recording an average of 144.24K in volumes. The volatility of the stock on monthly basis is set at 3.73%, while the weekly volatility levels are marked at 2.76%with -2.30% of loss in the last seven days. Additionally, long-term investors are predicting the target price of $102.00, indicating growth from the present price of $124.06, which can represent yet another valuable research and analysis points that can help you decide whether to invest in ROLL or pass.

What to Look for When Analyzing RBC Bearings Incorporated Shares?

RBC Bearings Incorporated (ROLL) is based in the USA and it represents one of the well-known company operating with Industrials sector. If you wish to compare ROLL shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 24.51 for RBC Bearings Incorporated, while the value 27.11 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value 5.06 is supported by the yearly EPS growth of 18.90%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 2.50%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 98.90% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in ROLL Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in ROLL in the recent period. That is how The Vanguard Group, Inc. now has an increase position in ROLL by 0.54% in the first quarter, owning 2.16 million shares of ROLL stocks, with the value of $289.45 million after the purchase of an additional 11,654 shares during the last quarter. In the meanwhile, Wasatch Advisors, Inc. also increased their stake in ROLL shares changed 5.78% in the first quarter, which means that the company now owns 1.87 million shares of company, all valued at $250.57 million after the acquisition of additional 102,170 shares during the last quarter.

T. Rowe Price Associates, Inc. acquired a new position in RBC Bearings Incorporated during the first quarter, with the value of $223.39 million, and Neuberger Berman Investment Advis increased their stake in the company’s shares by 4.19% in the first quarter, now owning 57,711 shares valued at $192.21 million after the acquisition of the additional 1.43 million shares during the last quarter. In the end, JPMorgan Investment Management, I increased their position by 0.36% during the first quarter, now owning 938091 ROLL shares, now holding the value of $125.74 million in ROLL with the purchase of the additional 8,537 shares during the period of the last quarter. At the present, 98.90% of ROLL shares are in the ownership of institutional investors.