Regal Rexnord Corporation logo RRX - Regal Rexnord Corporation

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY
0
BUY 14
HOLD 8
SELL 0
STRONG
SELL
0
| PRICE TARGET: $242.00 DETAILS
HIGH: $286.00
LOW: $200.00
MEDIAN: $245.00
CONSENSUS: $242.00
UPSIDE: 60.82%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Platform & Compounding FCF 85% confidence

Primary model: Two-stage FCF DCF

Valuation Signal Undervalued Strong
Trading 62.5% below fair value
Current Price $150.48
Bear Case $248.66 65.2% upside ($248.66 - $150.48) / $150.48 = 65.2% 8% stage 1 growth, 11% discount
Fair Value $401.45 166.8% upside ($401.45 - $150.48) / $150.48 = 166.8% 13% stage 1 growth, 11% discount
Bull Case $564.07 274.8% upside ($564.07 - $150.48) / $150.48 = 274.8% 17% stage 1 growth, 11% discount

Adjust Assumptions

13.2%
11.0%
3.0%

Key Value Driver

FCF growth rate (13% base case)

Terminal Value % of EV 41%
Implied Market Multiple 12.7x
Market is pricing in (growth) 2.8% vs our 13.2% base

Plain-Language Summary

Using a two-stage FCF DCF with 13% growth decelerating over 15 years, discounted at 11%, the base-case intrinsic value is $401.45 per share.

Analyst Consensus (External Reference)

Never blended into the bear/base/bull estimates above -- shown only as an outside comparison.

Average Target (22 analysts) $242.00
Analyst Range $200.00 – $286.00
Divergence from AlphaVal 66%

Warnings

ℹ Wall Street's average price target is $242.00 (from 22 analysts). Our estimate is 66% above the consensus -- consider that gap carefully.

Key Risks

  • P/E alone misleads — earnings depressed by growth investment
  • Cyclical or commodity businesses may be misclassified as platforms
  • Terminal value dominance suggests sensitivity to long-run assumptions