Here’s Why RBC Bearings (RBC) Rose in Q3

Conestoga Capital Advisors, an asset management company, released its “SMid Cap Growth Strategy” third-quarter 2023 investor letter. A copy of the same can be downloaded here. The Conestoga Smid Cap Growth Composite returned -6.36% net of fees in the third quarter, compared to the Russell 2500 Growth Index’s -6.84% return. Stock selection in the Industrials, Health Care, and Basic Materials sectors was positive but offset by a lack of exposure to the Energy sector and negative selection in Technology. In addition, please check the fund’s top five holdings to know its best picks in 2023.

Conestoga SMid Cap Composite highlighted stocks like RBC Bearings Incorporated (NYSE:RBC) in the third quarter 2023 investor letter. Headquartered in Oxford, Connecticut, RBC Bearings Incorporated (NYSE:RBC) is an engineered precision bearings and components manufacturer. On November 15, 2023, RBC Bearings Incorporated (NYSE:RBC) stock closed at $243.22 per share. One-month return of RBC Bearings Incorporated (NYSE:RBC) was 10.52%, and its shares gained 2.85% of their value over the last 52 weeks. RBC Bearings Incorporated (NYSE:RBC) has a market capitalization of $7.074 billion.

Conestoga SMid Cap Composite made the following comment about RBC Bearings Incorporated (NYSE:RBC) in its Q3 2023 investor letter:

“Another positive contributor to the portfolio came from the Basic Materials sector, where RBC Bearings Incorporated (NYSE:RBC) beat EBITDA estimates on the upside due to a record level of gross margins. This was driven by better volumes and better-than-expected synergies from its Dodge acquisition.”

A skilled machinist operating a precision lathe for the company’s manufacturing components.

RBC Bearings Incorporated (NYSE:RBC) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 30 hedge fund portfolios held RBC Bearings Incorporated (NYSE:RBC) at the end of second quarter which was 16 in the previous quarter.

We discussed RBC Bearings Incorporated (NYSE:RBC) in another article and shared Conestoga Capital Advisors’ views on the company in the previous quarter. In addition, please check out our hedge fund investor letters Q3 2023 page for more investor letters from hedge funds and other leading investors.

Suggested Articles:

Disclosure: None. This article is originally published at Insider Monkey.