Quarterly earnings results are a good time to check in on a company’s progress, especially compared to its peers in the same sector. Today we are looking at Regal Rexnord (NYSE: RRX) and the best and worst performers in the engineered components and systems industry.

Engineered components and systems companies possess technical know-how in sometimes narrow areas such as metal forming or intelligent robotics. Lately, automation and connected equipment collecting analyzable data have been trending, creating new demand. On the other hand, like the broader industrials sector, engineered components and systems companies are at the whim of economic cycles. Consumer spending and interest rates, for example, can greatly impact the industrial production that drives demand for these companies’ offerings.

The 13 engineered components and systems stocks we track reported a mixed Q4. As a group, revenues beat analysts’ consensus estimates by 2.2% while next quarter’s revenue guidance was 0.5% below.

In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results.

Regal Rexnord (NYSE: RRX)

Headquartered in Milwaukee, Regal Rexnord (NYSE: RRX) provides power transmission and industrial automation products.

Regal Rexnord reported revenues of $1.52 billion, up 4.3% year on year. This print fell short of analysts’ expectations by 1.2%. Overall, it was a slower quarter for the company with a slight miss of analysts’ revenue estimates and full-year EPS guidance missing analysts’ expectations.

CEO Louis Pinkham commented, "We continued to gain significant momentum in the fourth quarter, most notably by achieving strong acceleration in our orders. The highlight was success with our recently launched E-Pod offering for the data center market, where we secured orders worth approximately $735 million for multiple projects, further cementing our position as an emerging scale player in data center power management. Our success in data center is driven by our strategy of making growth investments in secular markets. We are pursuing the same growth strategy in robotics for humanoids, cobots, and surgical robots; in aerospace and defense, with our electromechanical actuation solutions for eVTOLs, along with other sub-system opportunities; and in air moving for thermal management and for air filtration in clean rooms."

The market was likely pricing in the results, and the stock is flat since reporting. It currently trades at $180.00.

Read our full report on Regal Rexnord here, it’s free.

Best Q4: Arrow Electronics (NYSE: ARW)

Founded as a single retail store, Arrow Electronics (NYSE: ARW) provides electronic components and enterprise computing solutions to businesses globally.

Arrow Electronics reported revenues of $8.75 billion, up 20.1% year on year, outperforming analysts’ expectations by 6.6%. The business had an incredible quarter with EPS guidance for next quarter exceeding analysts’ expectations and an impressive beat of analysts’ EBITDA estimates.

The market seems content with the results as the stock is up 4.3% since reporting. It currently trades at $147.17.

Is now the time to buy Arrow Electronics? Access our full analysis of the earnings results here, it’s free.

Weakest Q4: Mayville Engineering (NYSE: MEC)

Originally founded solely on tool and die manufacturing, Mayville Engineering Company (NYSE: MEC) specializes in metal fabrication, tube bending, and welding to be used in various industries.

Mayville Engineering reported revenues of $134.3 million, up 10.7% year on year, in line with analysts’ expectations. It was a disappointing quarter as it posted full-year EBITDA guidance missing analysts’ expectations significantly and a significant miss of analysts’ adjusted operating income estimates.

As expected, the stock is down 14% since the results and currently trades at $18.17.

Read our full analysis of Mayville Engineering’s results here.

Enpro (NYSE: NPO)

Holding a Guinness World Record for creating the world's largest gasket, Enpro (NYSE: NPO) designs, manufactures, and sells products used for machinery in various industries.

Enpro reported revenues of $295.4 million, up 14.3% year on year. This result beat analysts’ expectations by 5.1%. Overall, it was a very strong quarter as it also produced a solid beat of analysts’ revenue estimates and full-year EBITDA guidance slightly topping analysts’ expectations.

The stock is down 5.9% since reporting and currently trades at $253.46.

Read our full, actionable report on Enpro here, it’s free.

Gates Industrial Corporation (NYSE: GTES)

Helping create one of the most memorable moments for the iconic “Jurassic Park” film, Gates (NYSE: GTES) offers power transmission and fluid transfer equipment for various industries.

Gates Industrial Corporation reported revenues of $856.2 million, up 3.2% year on year. This number met analysts’ expectations. Aside from that, it was a slower quarter as it logged a significant miss of analysts’ adjusted operating income estimates.

The stock is down 15.1% since reporting and currently trades at $22.51.

Read our full, actionable report on Gates Industrial Corporation here, it’s free.

Market Update

Late in 2025 into early 2026, there was hand wringing around artificial intelligence. For software companies, the fear was that AI would erode pricing power and compress margins as new tools made it easier to replicate what once required expensive enterprise platforms. Crypto investors had their own version of the same anxiety: if AI agents could trade, allocate capital, and manage wallets autonomously, what exactly was the long-term value of today’s crypto infrastructure?

These concerns triggered a noticeable rotation away from these sectors and into safer havens. But markets rarely dwell on one narrative for long. Spring 2026 came, and the focus shifted abruptly from technological disruption to geopolitical risk. The US’ conflict with Iran became the dominant driver of market psychology, and when geopolitics takes center stage, the script changes quickly. Investors stop debating growth rates and start worrying about oil supply, inflation, and global stability.

Want to invest in winners with rock-solid fundamentals? Check out our Hidden Gem Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.