Is RBC Bearings, Inc. overvalued or undervalued?

As of 17 October 2025, the valuation grade for RBC Bearings, Inc. moved from expensive to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued, with a P/E ratio of 50, a Price to Book Value of 4.07, and an EV to EBITDA of 26.77. In comparison, peers such as Mueller Industries, Inc. have a much lower P/E ratio of 18.16 and EV to EBITDA of 13.35, highlighting the disparity in valuation within the industry.
Despite a strong year-to-date return of 24.64%, which outperformed the S&P 500's 13.30%, the long-term perspective shows RBC Bearings lagging behind with a 3-year return of 70.20% compared to the S&P 500's 81.19%. This underperformance, combined with its very expensive valuation metrics, reinforces the conclusion that RBC Bearings, Inc. is currently overvalued.