RS Stock Analysis: Reliance Steel & Aluminum | NYSE
Steel | NYSE, USA | Market Cap: 18.991m USD | 12M Return: 16.7% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 154M
EPS Trend: -92.7%
Qual. Beats: 1
Rev. Trend: -57.8%
Qual. Beats: 1
Warnings
No concerns identified
Tailwinds
Seasonality 10.5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Reliance, Inc. (NYSE: RS) is a diversified metal solutions provider and one of the largest metals service center companies in North America, operating primarily in the United States and Canada. Founded in 1939 and headquartered in Phoenix, Arizona, the company distributes a broad range of metal products-including alloy, aluminum, brass, copper, carbon steel, stainless steel, titanium, and other specialty steels-and offers metals processing services to a diverse set of end markets such as aerospace, transportation, energy, electronics and semiconductor fabrication, non-residential construction, and heavy industry.
The company sells primarily directly to original equipment manufacturers (OEMs), with a customer base largely composed of small machine shops and fabricators. Notably, the company was renamed from Reliance Steel & Aluminum Co. to Reliance, Inc. in February 2024, reflecting its evolution beyond traditional steel and aluminum distribution into a broader metal solutions provider. As a metals service center, Reliance occupies a critical intermediate position in the metals supply chain, purchasing mill products in bulk and reselling them in smaller, processed quantities to manufacturers, which provides value-added processing services (such as cutting, forming, and machining) rather than competing on raw material production.
- Carbon steel pricing trends drive gross margin recovery
- Non-residential construction backlog lifts shipment volumes
- Aerospace and energy demand boosts higher-margin specialty metal mix
| Net Income: 806.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.06 > 0.02 and ΔFCF/TA -3.59 > 1.0 |
| NWC/Revenue: 23.80% < 20% (prev 21.07%; Δ 2.73% < -1%) |
| CFO/TA 0.08 > 3% & CFO 918.3m > Net Income 806.0m |
| Net Debt (2.11b) to EBITDA (1.39b): 1.52 < 3 |
| Current Ratio: 4.39 > 1.5 & < 3 |
| Outstanding Shares: last quarter (52.0m) vs 12m ago -2.67% < -2% |
| Gross Margin: 27.22% > 18% (prev 27.33%; Δ -0.12% > 0.5%) |
| Asset Turnover: 140.1% > 50% (prev 131.9%; Δ 8.19% > 0%) |
| Interest Coverage Ratio: 18.72 > 6 (EBIT TTM 1.12b / Interest Expense TTM 59.6m) |
| A: 0.33 (Total Current Assets 4.57b - Total Current Liabilities 1.04b) / Total Assets 10.8b |
| B: 0.67 (Retained Earnings 7.22b / Total Assets 10.8b) |
| C: 0.11 (EBIT TTM 1.12b / Avg Total Assets 10.6b) |
| D: 1.94 (Book Value of Equity 7.12b / Total Liabilities 3.68b) |
| Altman-Z'' = 7.06 = AAA |
| DSRI: 1.07 (Receivables 1.95b/1.68b, Revenue 14.8b/13.7b) |
| GMI: 1.00 (GM 27.33% / 27.22%) |
| AQI: 0.95 (AQ_t 0.30 / AQ_t-1 0.32) |
| SGI: 1.08 (Revenue 14.8b / 13.7b) |
| TATA: -0.01 (NI 806.0m - CFO 918.3m) / TA 10.8b) |
| Beneish M = -2.93 (Cap -4..+1) = A |
As of July 10, 2026, the stock is trading at USD 376.50 with a total of 159,641 shares traded. Over the past week, the price has changed by +1.10%, over one month by -6.30%, over three months by +17.26% and over the past year by +16.68%.
Current recommended Stop Loss: 356.40 (which is 5.3% or 2 ATR below the current price).
Reliance Steel & Aluminum has received a consensus analysts rating of 3.63. Therefore, it is recommended to hold RS.
- StrongBuy: 2
- Buy: 1
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 382.6 | 1.6% |
P/E Trailing = 24.2668
P/E Forward = 20.79
P/S = 1.2801
P/B = 2.6661
P/EG = 2.2909
Revenue TTM = 14.8b USD
EBIT TTM = 1.12b USD
EBITDA TTM = 1.39b USD
Long Term Debt = 1.69b USD (from longTermDebt, last quarter)
Short Term Debt = 69.2m USD (from shortTermDebt, last quarter)
Debt = 2.36b USD (from shortLongTermDebtTotal, last quarter) + Leases 335.5m
Net Debt = 2.11b USD (calculated: Debt 2.36b - CCE 249.7m)
Enterprise Value = 21.1b USD (19.0b + Debt 2.36b - CCE 249.7m)
Interest Coverage Ratio = 18.72 (Ebit TTM 1.12b / Interest Expense TTM 59.6m)
EV/FCF = 34.48x (Enterprise Value 21.1b / FCF TTM 612.1m)
FCF Yield = 2.90% (FCF TTM 612.1m / Enterprise Value 21.1b)
FCF Margin = 4.13% (FCF TTM 612.1m / Revenue TTM 14.8b)
Net Margin = 5.43% (Net Income TTM 806.0m / Revenue TTM 14.8b)
Gross Margin = 27.22% ((Revenue TTM 14.8b - Cost of Revenue TTM 10.8b) / Revenue TTM)
Gross Margin QoQ = 27.39% (prev 25.31%)
Tobins Q-Ratio = 1.95 (Enterprise Value 21.1b / Total Assets 10.8b)
Interest Expense / Debt = 2.52% (Interest Expense 59.6m / Debt 2.36b)
Taxrate = 23.63% (249.6m / 1.06b)
NOPAT = 852.2m (EBIT 1.12b * (1 - 23.63%))
Current Ratio = 4.39 (Total Current Assets 4.57b / Total Current Liabilities 1.04b)
Debt / Equity = 0.33 (Debt 2.36b / totalStockholderEquity, last quarter 7.12b)
Debt / EBITDA = 1.52 (Net Debt 2.11b / EBITDA 1.39b)
Debt / FCF = 3.45 (Net Debt 2.11b / FCF TTM 612.1m)
Total Stockholder Equity = 7.21b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.61% (Net Income 806.0m / Total Assets 10.8b)
RoE = 11.18% (Net Income TTM 806.0m / Total Stockholder Equity 7.21b)
RoCE = 12.54% (EBIT 1.12b / Capital Employed (Equity 7.21b + L.T.Debt 1.69b))
RoIC = 8.89% (NOPAT 852.2m / Invested Capital 9.59b)
WACC = 8.24% (E(19.0b)/V(21.4b) * Re(9.03%) + D(2.36b)/V(21.4b) * Rd(2.52%) * (1-Tc(0.24)))
Discount Rate = 9.03% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -88.32 | Cagr: -5.46%
[DCF] Terminal Value 73.10% ; FCFF base≈750.9m ; Y1≈658.5m ; Y5≈532.1m
[DCF] Fair Price = 125.9 (EV 8.54b - Net Debt 2.11b = Equity 6.43b / Shares 51.0m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: -92.69 | EPS CAGR: -20.51% | SUE: 2.51 | # QB: 1
Revenue Correlation: -57.83 | Revenue CAGR: -2.70% | SUE: 1.72 | # QB: 1
EPS current Quarter (2026-06-30): EPS=5.41 | Chg30d=+1.24% | Revisions=+25% | Analysts=8
EPS next Quarter (2026-09-30): EPS=5.29 | Chg30d=+4.90% | Revisions=+50% | Analysts=7
EPS current Year (2026-12-31): EPS=20.13 | Chg30d=+2.78% | Revisions=+50% | GrowthEPS=+41.1% | GrowthRev=+13.1%
EPS next Year (2027-12-31): EPS=21.31 | Chg30d=+2.17% | Revisions=+17% | GrowthEPS=+5.9% | GrowthRev=+0.1%
[Analyst] Revisions Ratio: +62% (up=9, down=1)