Regal Rexnord (RRX) Lags Q4 Earnings and Revenue Estimates

Financial Performance - Regal Rexnord reported quarterly earnings of $2.34 per share, missing the Zacks Consensus Estimate of $2.46 per share, but showing an increase from $2.28 per share a year ago, resulting in an earnings surprise of -4.88% [1] - The company posted revenues of $1.46 billion for the quarter ended December 2024, missing the Zacks Consensus Estimate by 2.01%, and down from $1.61 billion year-over-year [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $2.15 on revenues of $1.43 billion, and for the current fiscal year, it is $10.35 on revenues of $6.06 billion [7] - The estimate revisions trend for Regal Rexnord is currently unfavorable, leading to a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Industry Context - Regal Rexnord operates within the Zacks Manufacturing - General Industrial industry, which is currently ranked in the bottom 30% of over 250 Zacks industries, suggesting potential challenges ahead [8] - The performance of Regal Rexnord's stock may be influenced by the overall outlook for the industry, as empirical research indicates that the top 50% of Zacks-ranked industries outperform the bottom 50% by more than 2 to 1 [8]