RBC Bearings, Inc. (NASDAQ:ROLL)

CAPS Rating: 4 out of 5

The Company is a well-known international manufacturer of highly engineered precision plain, roller and ball bearings.

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Player Avatar DeathStarFunds (31.14) Submitted: 10/8/2007 1:26:08 PM : Outperform Start Price: $36.79 ROLL Score: +28.35

* Shifting production towards higher price point, higher margin large industrial ball bearings. Generally, there are shortages of ball bearings in certain verticals/applications, which is driving pricing power.
* Deep backlog due to strong demand from aerospace industry over next 2-3 years, mainly Boeing (top client) and Airbus production of Dreamliner and A800.
* Valuation reasonable, especially against closest comp Kaydon.

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