(RS) Reliance Steel & Aluminum - Overview
Stock: Alloy, Aluminum, Brass, Copper, Steel
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 1.69% |
| Yield on Cost 5y | 4.19% |
| Yield CAGR 5y | 14.92% |
| Payout Consistency | 99.4% |
| Payout Ratio | 40.5% |
| Risk 5d forecast | |
|---|---|
| Volatility | 25.0% |
| Relative Tail Risk | -11.0% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.86 |
| Alpha | 13.01 |
| Character TTM | |
|---|---|
| Beta | 0.717 |
| Beta Downside | 0.732 |
| Drawdowns 3y | |
|---|---|
| Max DD | 22.30% |
| CAGR/Max DD | 0.79 |
Description: RS Reliance Steel & Aluminum January 03, 2026
Reliance, Inc. (formerly Reliance Steel & Aluminum Co.) is a diversified metal solutions provider operating primarily in the United States and Canada. The company distributes a broad portfolio of metals-including alloy, aluminum, brass, copper, carbon steel, stainless steel, titanium, and specialty steels-and offers processing services to end-markets such as consumer products, general manufacturing, non-residential construction, transportation, aerospace, energy, electronics, semiconductor fabrication, industrial machinery, and heavy industries. Its primary customers are original equipment manufacturers, notably small machine shops and fabricators.
Key performance indicators from the most recent fiscal year (2023) show revenue of approximately $5.0 billion, an EBITDA margin near 8 %, and an inventory turnover ratio of roughly 6 ×, reflecting efficient stock management in a capital-intensive sector. The company’s free cash flow conversion has averaged 75 % of EBITDA over the past three years, supporting ongoing dividend payments and modest debt reduction.
Sector-wide drivers that materially affect Reliance’s outlook include U.S. construction spending trends (which have been rising 3-4 % YoY in Q4 2023), automotive production volumes (a proxy for demand for sheet and structural steel), and the price volatility of base metals driven by global supply constraints and geopolitical tensions. Additionally, macro-level factors such as the Federal Reserve’s interest-rate policy and the health of the manufacturing PMI index influence capital-expenditure cycles for Reliance’s key customers.
For a deeper dive into RS’s valuation metrics and scenario analysis, you may find ValueRay’s platform useful.
Piotroski VR‑10 (Strict, 0-10) 5.5
| Net Income: 728.2m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA -3.94 > 1.0 |
| NWC/Revenue: 24.22% < 20% (prev 20.93%; Δ 3.29% < -1%) |
| CFO/TA 0.10 > 3% & CFO 1.03b > Net Income 728.2m |
| Net Debt (1.43b) to EBITDA (1.28b): 1.12 < 3 |
| Current Ratio: 4.43 > 1.5 & < 3 |
| Outstanding Shares: last quarter (52.8m) vs 12m ago -4.29% < -2% |
| Gross Margin: 27.51% > 18% (prev 0.28%; Δ 2723 % > 0.5%) |
| Asset Turnover: 133.5% > 50% (prev 136.4%; Δ -2.81% > 0%) |
| Interest Coverage Ratio: 19.88 > 6 (EBITDA TTM 1.28b / Interest Expense TTM 50.2m) |
Altman Z'' 7.40
| A: 0.32 (Total Current Assets 4.36b - Total Current Liabilities 984.0m) / Total Assets 10.55b |
| B: 0.70 (Retained Earnings 7.40b / Total Assets 10.55b) |
| C: 0.10 (EBIT TTM 998.1m / Avg Total Assets 10.43b) |
| D: 2.26 (Book Value of Equity 7.31b / Total Liabilities 3.23b) |
| Altman-Z'' Score: 7.40 = AAA |
Beneish M -2.99
| DSRI: 1.08 (Receivables 1.67b/1.57b, Revenue 13.92b/14.05b) |
| GMI: 1.03 (GM 27.51% / 28.34%) |
| AQI: 0.96 (AQ_t 0.31 / AQ_t-1 0.32) |
| SGI: 0.99 (Revenue 13.92b / 14.05b) |
| TATA: -0.03 (NI 728.2m - CFO 1.03b) / TA 10.55b) |
| Beneish M-Score: -2.99 (Cap -4..+1) = A |
What is the price of RS shares?
Over the past week, the price has changed by +7.21%, over one month by +17.83%, over three months by +29.22% and over the past year by +26.03%.
Is RS a buy, sell or hold?
- StrongBuy: 2
- Buy: 1
- Hold: 5
- Sell: 0
- StrongSell: 0
What are the forecasts/targets for the RS price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 324.6 | -8.1% |
| Analysts Target Price | 324.6 | -8.1% |
| ValueRay Target Price | 391.2 | 10.7% |
RS Fundamental Data Overview February 04, 2026
P/E Forward = 21.1864
P/S = 1.2544
P/B = 2.3767
P/EG = 1.2
Revenue TTM = 13.92b USD
EBIT TTM = 998.1m USD
EBITDA TTM = 1.28b USD
Long Term Debt = 1.38b USD (from longTermDebt, last quarter)
Short Term Debt = 64.8m USD (from shortTermDebt, last quarter)
Debt = 1.69b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.43b USD (from netDebt column, last quarter)
Enterprise Value = 18.89b USD (17.46b + Debt 1.69b - CCE 261.2m)
Interest Coverage Ratio = 19.88 (Ebit TTM 998.1m / Interest Expense TTM 50.2m)
EV/FCF = 28.54x (Enterprise Value 18.89b / FCF TTM 662.0m)
FCF Yield = 3.50% (FCF TTM 662.0m / Enterprise Value 18.89b)
FCF Margin = 4.75% (FCF TTM 662.0m / Revenue TTM 13.92b)
Net Margin = 5.23% (Net Income TTM 728.2m / Revenue TTM 13.92b)
Gross Margin = 27.51% ((Revenue TTM 13.92b - Cost of Revenue TTM 10.09b) / Revenue TTM)
Gross Margin QoQ = 28.25% (prev 27.82%)
Tobins Q-Ratio = 1.79 (Enterprise Value 18.89b / Total Assets 10.55b)
Interest Expense / Debt = 0.85% (Interest Expense 14.4m / Debt 1.69b)
Taxrate = 23.29% (57.7m / 247.7m)
NOPAT = 765.6m (EBIT 998.1m * (1 - 23.29%))
Current Ratio = 4.43 (Total Current Assets 4.36b / Total Current Liabilities 984.0m)
Debt / Equity = 0.23 (Debt 1.69b / totalStockholderEquity, last quarter 7.31b)
Debt / EBITDA = 1.12 (Net Debt 1.43b / EBITDA 1.28b)
Debt / FCF = 2.16 (Net Debt 1.43b / FCF TTM 662.0m)
Total Stockholder Equity = 7.22b (last 4 quarters mean from totalStockholderEquity)
RoA = 6.98% (Net Income 728.2m / Total Assets 10.55b)
RoE = 10.09% (Net Income TTM 728.2m / Total Stockholder Equity 7.22b)
RoCE = 11.61% (EBIT 998.1m / Capital Employed (Equity 7.22b + L.T.Debt 1.38b))
RoIC = 8.93% (NOPAT 765.6m / Invested Capital 8.57b)
WACC = 7.86% (E(17.46b)/V(19.15b) * Re(8.56%) + D(1.69b)/V(19.15b) * Rd(0.85%) * (1-Tc(0.23)))
Discount Rate = 8.56% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -4.63%
[DCF Debug] Terminal Value 75.97% ; FCFF base≈818.1m ; Y1≈693.2m ; Y5≈527.1m
Fair Price DCF = 161.1 (EV 9.85b - Net Debt 1.43b = Equity 8.42b / Shares 52.3m; r=7.86% [WACC]; 5y FCF grow -18.49% → 2.90% )
EPS Correlation: -75.17 | EPS CAGR: -53.95% | SUE: -4.0 | # QB: 0
Revenue Correlation: -72.43 | Revenue CAGR: -2.33% | SUE: 2.02 | # QB: 1
EPS next Quarter (2026-03-31): EPS=4.51 | Chg30d=+0.240 | Revisions Net=+1 | Analysts=5
EPS next Year (2026-12-31): EPS=17.63 | Chg30d=+0.120 | Revisions Net=+3 | Growth EPS=+20.2% | Growth Revenue=+4.9%