Regal Rexnord: Risky, But Guidance, And Secular Growth Imply Undervaluation

May 25, 2023 11:48 AM ETRegal Rexnord Corporation (RRX) StockRRX

Summary

  • Regal Rexnord Corporation is a global engineer and manufacturer of industrial power and mobility solutions.
  • I believe that Regal Rexnord will be able to get more exposure to markets with secular growth as it is one of the number one initiatives of management.
  • It is also worth noting that Regal Rexnord recently reported a re-segmentation process, which significantly reduced the number of business units.

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Regal Rexnord Corporation (NYSE:RRX) recently reported an increase in the guidance for the year 2023 as a result of the acquisition of Altra. I am optimistic about the outcome of the merger integration. I also believe that further investments

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I am an ex-trader. Used to work for a large investment bank, I do growth stocks, and I live out of my investments.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of RRX either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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