RBC Bearings (NYSE:RBC) +2.7% in Friday's trading to an all-time high as KeyBanc upgrades to Overweight from Sector Weight with a $375 price target, saying short-cycle industrials likely are close to a bottom following five quarters of negative organic growth.

Even as RBC (RBC) shares have surged in recent weeks, KeyBanc believes commercial aerospace build rates likely will "accelerate meaningfully" over the next several years, RBC's diversified Defense business will remain high-growth and high-margin, and the aftermarket-heavy Industrial business could show outgrowth relative to other short-cycle names due to favorable market exposure and restocking.

Even with such favorable traits, KeyBanc notes RBC's (RBC) multiple has compressed into its historical range following the DODGE acquisition.

Meanwhile, KeyBanc also cuts Timken (TKR) to Sector Weight from Overweight, saying it is a relative call based on the firm's overall shift toward stocks with more immediate catalysts rather than a company-specific negative thesis.