RS Stock Analysis: Reliance Steel & Aluminum | NYSE
Steel | NYSE, USA | Market Cap: 20.437m USD | 12M Return: 46.2% | US7595091023 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 102M
EPS Trend: -78.6%
Qual. Beats: 2
Rev. Trend: 6.8%
Qual. Beats: 2
Warnings
No concerns identified
Tailwinds
Seasonality 11.7 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 large-cap diversified metal solutions provider and one of the largest metals service center operators in North America, distributing a broad range of alloy, aluminum, brass, copper, carbon steel, stainless steel, titanium, and specialty steel products. The company serves a wide array of end markets, including general manufacturing, non-residential construction, transportation, aerospace, energy, electronics and semiconductor fabrication, industrial machinery, and heavy industries, selling primarily to original equipment manufacturers such as small machine shops and fabricators.
The metals service center model involves purchasing metal from primary mills and reselling it to end users after performing value-added processing services such as cutting, sawing, and plate processing, which allows customers to receive ready-to-use materials and reduces their inventory and processing costs. The company rebranded from Reliance Steel & Aluminum Co. to Reliance, Inc. in February 2024, is headquartered in Phoenix, Arizona, and was founded in 1939.
- Carbon steel pricing trends pressure service center margins
- Aerospace and energy demand lifts high-margin product mix
- Non-residential construction backlog supports metal shipment volumes
| Net Income: 895.2m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.05 > 0.02 and ΔFCF/TA -3.10 > 1.0 |
| NWC/Revenue: 23.90% < 20% (prev 21.51%; Δ 2.39% < -1%) |
| CFO/TA 0.08 > 3% & CFO 851.5m > Net Income 895.2m |
| Net Debt (2.09b) to EBITDA (1.52b): 1.38 < 3 |
| Current Ratio: 4.30 > 1.5 & < 3 |
| Outstanding Shares: last quarter (51.7m) vs 12m ago -2.80% < -2% |
| Gross Margin: 26.89% > 18% (prev 27.29%; Δ -0.40% > 0.5%) |
| Asset Turnover: 146.0% > 50% (prev 130.5%; Δ 15.46% > 0%) |
| Interest Coverage Ratio: 19.56 > 6 (EBIT TTM 1.24b / Interest Expense TTM 63.5m) |
| A: 0.34 (Total Current Assets 4.92b - Total Current Liabilities 1.15b) / Total Assets 11.2b |
| B: 0.67 (Retained Earnings 7.48b / Total Assets 11.2b) |
| C: 0.11 (EBIT TTM 1.24b / Avg Total Assets 10.8b) |
| D: 1.97 (Book Value of Equity 7.40b / Total Liabilities 3.75b) |
| Altman-Z'' = 7.24 = AAA |
| DSRI: 1.15 (Receivables 2.21b/1.67b, Revenue 15.8b/13.7b) |
| GMI: 1.01 (GM 27.29% / 26.89%) |
| AQI: 0.93 (AQ_t 0.29 / AQ_t-1 0.31) |
| SGI: 1.15 (Revenue 15.8b / 13.7b) |
| TATA: 0.00 (NI 895.2m - CFO 851.5m) / TA 11.2b) |
| Beneish M = -2.82 (Cap -4..+1) = A |
As of October 12, 2026, the stock is trading at USD 402.45 with a total of 172,825 shares traded. Over the past week, the price has changed by +0.53%, over one month by +1.89%, over three months by +7.21% and over the past year by +46.24%.
Current recommended Stop Loss: 389.90 (which is 3.1% or 1.2 ATR below the current price).
Reliance Steel & Aluminum has received a consensus analysts rating of 3.38. Therefore, it is recommended to hold RS.
- StrongBuy: 2
- Buy: 0
- Hold: 5
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 408.9 | 1.6% |
P/E Trailing = 23.2603
P/E Forward = 16.4474
P/S = 1.293
P/B = 2.6531
P/EG = 2.2909
Revenue TTM = 15.8b USD
EBIT TTM = 1.24b USD
EBITDA TTM = 1.52b USD
Long Term Debt = 1.66b USD (from longTermDebt, last quarter)
Short Term Debt = 67.3m USD (from shortTermDebt, last quarter)
Debt = 2.33b USD (from shortLongTermDebtTotal, last quarter) + Leases 331.3m
Net Debt = 2.09b USD (calculated: Debt 2.33b - CCE 235.4m)
Enterprise Value = 22.5b USD (20.4b + Debt 2.33b - CCE 235.4m)
Interest Coverage Ratio = 19.56 (Ebit TTM 1.24b / Interest Expense TTM 63.5m)
EV/FCF = 41.76x (Enterprise Value 22.5b / FCF TTM 539.5m)
FCF Yield = 2.39% (FCF TTM 539.5m / Enterprise Value 22.5b)
FCF Margin = 3.41% (FCF TTM 539.5m / Revenue TTM 15.8b)
Net Margin = 5.66% (Net Income TTM 895.2m / Revenue TTM 15.8b)
Gross Margin = 26.89% ((Revenue TTM 15.8b - Cost of Revenue TTM 11.6b) / Revenue TTM)
Gross Margin QoQ = 26.59% (prev 27.39%)
Tobins Q-Ratio = 2.02 (Enterprise Value 22.5b / Total Assets 11.2b)
Interest Expense / Debt = 2.73% (Interest Expense 63.5m / Debt 2.33b)
Taxrate = 24.17% (285.7m / 1.18b)
NOPAT = 941.7m (EBIT 1.24b * (1 - 24.17%))
Current Ratio = 4.30 (Total Current Assets 4.92b / Total Current Liabilities 1.15b)
Debt / Equity = 0.31 (Debt 2.33b / totalStockholderEquity, last quarter 7.40b)
Debt / EBITDA = 1.38 (Net Debt 2.09b / EBITDA 1.52b)
Debt / FCF = 3.88 (Net Debt 2.09b / FCF TTM 539.5m)
Total Stockholder Equity = 7.25b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.27% (Net Income 895.2m / Total Assets 11.2b)
RoE = 12.35% (Net Income TTM 895.2m / Total Stockholder Equity 7.25b)
RoCE = 13.93% (EBIT 1.24b / Capital Employed (Equity 7.25b + L.T.Debt 1.66b))
RoIC = 9.56% (NOPAT 941.7m / Invested Capital 9.85b)
WACC = 8.10% (E(20.4b)/V(22.8b) * Re(8.79%) + D(2.33b)/V(22.8b) * Rd(2.73%) * (1-Tc(0.24)))
Discount Rate = 8.79% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -95.23 | Cagr: -4.92%
[DCF] Terminal Value 73.10% ; FCFF base≈656.7m ; Y1≈575.9m ; Y5≈465.3m
[DCF] Fair Price = 105.3 (EV 7.47b - Net Debt 2.09b = Equity 5.38b / Shares 51.1m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: -78.60 | EPS CAGR: -15.63% | SUE: 2.84 | # QB: 2
Revenue Correlation: 6.85 | Revenue CAGR: 0.33% | SUE: 4.0 | # QB: 2
EPS current Quarter (2026-09-30): EPS=6.81 | Chg30d=+2.53% | Revisions=+50% | Analysts=7
EPS current Year (2026-12-31): EPS=23.54 | Chg30d=+1.71% | Revisions=+57% | GrowthEPS=+65.1% | GrowthRev=+23.6%
EPS next Year (2027-12-31): EPS=23.61 | Chg30d=+2.03% | Revisions=+40% | GrowthEPS=+0.3% | GrowthRev=-1.3%
[Analyst] Revisions Ratio: +75% (up=9, down=0)