Regal Beloit Corporation is a manufacturer of electric motors, mechanical and electrical motion controls and power generation products. The company was founded in 1955 and is based in Beloit, Wisconsin.
RBC Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for RBC, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Regal Beloit Corp ranked in the 53th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 31% on a DCF basis. The most interesting components of our discounted cash flow analysis for Regal Beloit Corp ended up being:
The company's debt burden, as measured by earnings divided by interest payments, is 6.24 -- which is good for besting 62.46% of its peer stocks (US stocks in the Industrials sector with positive cash flow).
Regal Beloit Corp's weighted average cost of capital (WACC) is 8%; for context, that number is higher than merely 20.87% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Regal Beloit Corp? See RRD, ECHO, WNS, JBHT, and KEX.
Regal Beloit Corporation (RBC) Q2 2020 Earnings Conference Call July 04, 2020 10:00 AM ET Company Participants Robert Barry – Vice President of Investor Relations Louis Pinkham – Chief Executive Officer Robert Rehard – Chief Financial Officer Conference Call Participants Julian Mitchell – Barclays Mike Halloran – Baird Christopher Glynn...