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RBC vs. TXT: A Head-to-Head Stock Comparison

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Here’s a clear look at RBC and TXT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolRBCTXT
Company NameRBC Bearings IncorporatedTextron Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryMachineryAerospace & Defense
Market Capitalization12.15 billion USD15.18 billion USD
ExchangeNYSENYSE
Listing DateAugust 10, 2005February 21, 1973
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of RBC and TXT by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

RBC vs. TXT: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolRBCTXT
5-Day Price Return3.10%2.09%
13-Week Price Return1.43%5.23%
26-Week Price Return17.43%12.40%
52-Week Price Return30.15%-3.72%
Month-to-Date Return0.08%5.40%
Year-to-Date Return30.47%10.46%
10-Day Avg. Volume0.20M1.47M
3-Month Avg. Volume0.18M1.49M
3-Month Volatility21.07%23.76%
Beta1.751.14

Profitability

Return on Equity (TTM)

RBC

8.46%

Machinery Industry

Max
33.68%
Q3
20.05%
Median
12.37%
Q1
8.67%
Min
-7.69%

RBC’s Return on Equity of 8.46% is in the lower quartile for the Machinery industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

TXT

11.31%

Aerospace & Defense Industry

Max
37.11%
Q3
20.14%
Median
11.72%
Q1
6.30%
Min
-6.24%

TXT’s Return on Equity of 11.31% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

RBC vs. TXT: A comparison of their Return on Equity (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Net Profit Margin (TTM)

RBC

15.20%

Machinery Industry

Max
19.72%
Q3
11.07%
Median
7.62%
Q1
5.05%
Min
-1.52%

A Net Profit Margin of 15.20% places RBC in the upper quartile for the Machinery industry, signifying strong profitability and more effective cost management than most of its peers.

TXT

5.80%

Aerospace & Defense Industry

Max
13.66%
Q3
8.61%
Median
6.59%
Q1
4.92%
Min
1.01%

TXT’s Net Profit Margin of 5.80% is aligned with the median group of its peers in the Aerospace & Defense industry. This indicates its ability to convert revenue into profit is typical for the sector.

RBC vs. TXT: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Operating Profit Margin (TTM)

RBC

22.18%

Machinery Industry

Max
26.63%
Q3
15.99%
Median
11.27%
Q1
7.72%
Min
-0.51%

An Operating Profit Margin of 22.18% places RBC in the upper quartile for the Machinery industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

TXT

5.50%

Aerospace & Defense Industry

Max
22.35%
Q3
12.83%
Median
9.29%
Q1
6.38%
Min
-2.15%

TXT’s Operating Profit Margin of 5.50% is in the lower quartile for the Aerospace & Defense industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

RBC vs. TXT: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Profitability at a Glance

SymbolRBCTXT
Return on Equity (TTM)8.46%11.31%
Return on Assets (TTM)5.37%4.85%
Net Profit Margin (TTM)15.20%5.80%
Operating Profit Margin (TTM)22.18%5.50%
Gross Profit Margin (TTM)44.26%19.73%

Financial Strength

Current Ratio (MRQ)

RBC

3.33

Machinery Industry

Max
3.13
Q3
2.12
Median
1.72
Q1
1.34
Min
0.77

RBC’s Current Ratio of 3.33 is exceptionally high, placing it well outside the typical range for the Machinery industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

TXT

1.70

Aerospace & Defense Industry

Max
3.35
Q3
2.03
Median
1.24
Q1
1.04
Min
0.77

TXT’s Current Ratio of 1.70 aligns with the median group of the Aerospace & Defense industry, indicating that its short-term liquidity is in line with its sector peers.

RBC vs. TXT: A comparison of their Current Ratio (MRQ) against their respective Machinery and Aerospace & Defense industry benchmarks.

Debt-to-Equity Ratio (MRQ)

RBC

0.30

Machinery Industry

Max
1.56
Q3
0.79
Median
0.44
Q1
0.27
Min
0.00

RBC’s Debt-to-Equity Ratio of 0.30 is typical for the Machinery industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

TXT

0.50

Aerospace & Defense Industry

Max
1.72
Q3
0.96
Median
0.63
Q1
0.37
Min
0.03

TXT’s Debt-to-Equity Ratio of 0.50 is typical for the Aerospace & Defense industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

RBC vs. TXT: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Aerospace & Defense industry benchmarks.

Interest Coverage Ratio (TTM)

RBC

6.22

Machinery Industry

Max
81.58
Q3
37.68
Median
13.76
Q1
7.97
Min
-1.43

In the lower quartile for the Machinery industry, RBC’s Interest Coverage Ratio of 6.22 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

TXT

10.72

Aerospace & Defense Industry

Max
36.57
Q3
19.08
Median
7.25
Q1
2.65
Min
-7.63

TXT’s Interest Coverage Ratio of 10.72 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

RBC vs. TXT: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Financial Strength at a Glance

SymbolRBCTXT
Current Ratio (MRQ)3.331.70
Quick Ratio (MRQ)1.260.71
Debt-to-Equity Ratio (MRQ)0.300.50
Interest Coverage Ratio (TTM)6.2210.72

Growth

Revenue Growth

RBC vs. TXT: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

RBC vs. TXT: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

RBC

0.09%

Machinery Industry

Max
4.55%
Q3
2.66%
Median
1.90%
Q1
1.23%
Min
0.00%

RBC’s Dividend Yield of 0.09% is in the lower quartile for the Machinery industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

TXT

0.07%

Aerospace & Defense Industry

Max
2.72%
Q3
1.45%
Median
0.48%
Q1
0.08%
Min
0.00%

TXT’s Dividend Yield of 0.07% is in the lower quartile for the Aerospace & Defense industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

RBC vs. TXT: A comparison of their Dividend Yield (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Dividend Payout Ratio (TTM)

RBC

9.74%

Machinery Industry

Max
198.34%
Q3
101.42%
Median
62.79%
Q1
29.85%
Min
0.00%

RBC’s Dividend Payout Ratio of 9.74% is in the lower quartile for the Machinery industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

TXT

1.85%

Aerospace & Defense Industry

Max
110.40%
Q3
50.43%
Median
17.11%
Q1
0.46%
Min
0.00%

TXT’s Dividend Payout Ratio of 1.85% is within the typical range for the Aerospace & Defense industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

RBC vs. TXT: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Dividend at a Glance

SymbolRBCTXT
Dividend Yield (TTM)0.09%0.07%
Dividend Payout Ratio (TTM)9.74%1.85%

Valuation

Price-to-Earnings Ratio (TTM)

RBC

48.21

Machinery Industry

Max
47.95
Q3
30.11
Median
22.35
Q1
16.56
Min
6.48

At 48.21, RBC’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Machinery industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

TXT

18.47

Aerospace & Defense Industry

Max
67.20
Q3
55.74
Median
33.28
Q1
27.49
Min
15.02

In the lower quartile for the Aerospace & Defense industry, TXT’s P/E Ratio of 18.47 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

RBC vs. TXT: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Price-to-Sales Ratio (TTM)

RBC

7.33

Machinery Industry

Max
4.97
Q3
2.76
Median
1.65
Q1
1.04
Min
0.04

With a P/S Ratio of 7.33, RBC trades at a valuation that eclipses even the highest in the Machinery industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

TXT

1.07

Aerospace & Defense Industry

Max
9.06
Q3
4.87
Median
2.47
Q1
1.61
Min
0.33

In the lower quartile for the Aerospace & Defense industry, TXT’s P/S Ratio of 1.07 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

RBC vs. TXT: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Aerospace & Defense industry benchmarks.

Price-to-Book Ratio (MRQ)

RBC

3.89

Machinery Industry

Max
7.29
Q3
4.06
Median
2.67
Q1
1.54
Min
0.52

RBC’s P/B Ratio of 3.89 is within the conventional range for the Machinery industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

TXT

1.95

Aerospace & Defense Industry

Max
14.90
Q3
8.93
Median
4.70
Q1
3.03
Min
0.83

TXT’s P/B Ratio of 1.95 is in the lower quartile for the Aerospace & Defense industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

RBC vs. TXT: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Aerospace & Defense industry benchmarks.

Valuation at a Glance

SymbolRBCTXT
Price-to-Earnings Ratio (TTM)48.2118.47
Price-to-Sales Ratio (TTM)7.331.07
Price-to-Book Ratio (MRQ)3.891.95
Price-to-Free Cash Flow Ratio (TTM)47.0220.39