Designs and manufactures industrial powertrain solutions. Produces power transmission components. Now — the numbers.
Revenue is spread across several lines; no single product carries the company.
This is an established company with proven profits.
Average growth of 12% a year over the last 4 years. Red columns mark years that ended in a loss.
The gap is $4.5B. In times of high interest rates, a gap like that can squeeze a company.
The market pays 38.7× for every dollar this company earns in a year — a price that already assumes things go well.
Against companies in its own sector, it looks cheaper than 61% of them.
Analysts' average target sits 59% above today's price.
The stock trades 32% below its peak. The market has trimmed its expectations for the company.
Over the last 4 years, sales grew about 12% a year on average.
Over the last 12 months, company executives reported 110 buys and 73 sells. Management buying with its own money is usually read as a good sign.
It pays out $1.40 per share each year — regular cash for whoever holds the stock.
The company’s market value is 39 times its annual profit. Even a small disappointment could hit the price hard.
Buyers haven’t stepped back in yet; the price hasn’t found its footing. Report-card grade: 38/100. For a turnaround signal, the stock first needs to close the gap with the market.
Costs swallow the gains that sales growth brings in.
On our five-subject report card, RRX sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: RRX is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.