Is Reliance Steel Stock a Good Investment?
Reliance Steel Investment Advice | RS |
- Examine Reliance Steel's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Reliance Steel's leadership team and their track record. Good management can help Reliance Steel navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Metals & Mining space and any emerging trends that could impact Reliance Steel's business and its evolving consumer preferences.
- Compare Reliance Steel's performance and market position to its competitors. Analyze how Reliance Steel is positioned in terms of product offerings, innovation, and market share.
- Check if Reliance Steel pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Reliance Steel's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Reliance Steel Aluminum stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Reliance Steel Aluminum is a good investment.
Sell | Buy |
Strong Hold
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Hyperactively responds to market trends | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Reliance Steel Stock
Researching Reliance Steel's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 83.0% of the company shares are owned by institutional investors. The book value of Reliance Steel was at this time reported as 135.82. The company has Price/Earnings To Growth (PEG) ratio of 1.2. Reliance Steel Aluminum recorded earning per share (EPS) of 18.26. The entity last dividend was issued on the 22nd of November 2024. The firm had 2:1 split on the 20th of July 2006.
To determine if Reliance Steel is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Reliance Steel's research are outlined below:
| Over 83.0% of the company shares are owned by institutional investors | |
| Latest headline from zerohedge.com: Mapping Europes Reliance On Foreign Doctors |
Reliance Steel Quarterly Good Will |
|
Reliance Steel uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Reliance Steel Aluminum. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Reliance Steel's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 15th of February 2024 Upcoming Quarterly Report | View | |
| 25th of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 15th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Reliance Steel's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Reliance Steel's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2003-04-17 | 2003-03-31 | 0.08 | 0.09 | 0.01 | 12 | ||
2002-04-18 | 2002-03-31 | 0.1 | 0.12 | 0.02 | 20 | ||
2002-02-21 | 2001-12-31 | 0.05 | 0.07 | 0.02 | 40 | ||
2001-10-18 | 2001-09-30 | 0.11 | 0.13 | 0.02 | 18 | ||
1998-04-23 | 1998-03-31 | 0.19 | 0.21 | 0.02 | 10 | ||
1998-02-19 | 1997-12-31 | 0.18 | 0.2 | 0.02 | 11 | ||
1996-04-25 | 1996-03-31 | 0.13 | 0.15 | 0.02 | 15 | ||
2003-02-20 | 2002-12-31 | 0.06 | 0.03 | -0.03 | 50 |
Know Reliance Steel's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Reliance Steel is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Reliance Steel Aluminum backward and forwards among themselves. Reliance Steel's institutional investor refers to the entity that pools money to purchase Reliance Steel's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Royal London Asset Management Ltd | 2024-06-30 | 879.3 K | Norges Bank | 2024-06-30 | 717.8 K | Boston Partners Global Investors, Inc | 2024-09-30 | 665.8 K | Bank Of New York Mellon Corp | 2024-06-30 | 531.1 K | T. Rowe Price Investment Management,inc. | 2024-09-30 | 512.5 K | Principal Financial Group Inc | 2024-09-30 | 472.7 K | Northern Trust Corp | 2024-09-30 | 450.3 K | Ubs Asset Mgmt Americas Inc | 2024-09-30 | 429.1 K | Fmr Inc | 2024-09-30 | 405.9 K | Vanguard Group Inc | 2024-09-30 | 6.5 M | Blackrock Inc | 2024-06-30 | 6.4 M |
Reliance Steel's market capitalization trends
The company currently falls under 'Large-Cap' category with a market capitalization of 17.28 B.Market Cap |
|
Reliance Steel's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.18 | 0.19 | |
| Return On Capital Employed | 0.18 | 0.11 | |
| Return On Assets | 0.13 | 0.13 | |
| Return On Equity | 0.17 | 0.10 |
Determining Reliance Steel's profitability involves analyzing its financial statements and using various financial metrics to determine if Reliance Steel is a good buy. For example, gross profit margin measures Reliance Steel's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Reliance Steel's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Reliance Steel's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Reliance Steel Aluminum. Check Reliance Steel's Beneish M Score to see the likelihood of Reliance Steel's management manipulating its earnings.
Evaluate Reliance Steel's management efficiency
Reliance Steel Aluminum has Return on Asset (ROA) of 0.0811 % which means that for every $100 of assets, it generated a profit of $0.0811. This is way below average. Likewise, it shows a return on total equity (ROE) of 0.1385 %, which means that it produced $0.1385 on every 100 dollars invested by current stockholders. Reliance Steel's management efficiency ratios could be used to measure how well Reliance Steel manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Reliance Steel's Return On Tangible Assets are comparatively stable compared to the past year. Return On Assets is likely to gain to 0.13 in 2024, whereas Return On Capital Employed is likely to drop 0.11 in 2024. At this time, Reliance Steel's Return On Assets are comparatively stable compared to the past year. Asset Turnover is likely to gain to 1.73 in 2024, whereas Other Assets are likely to drop 0.95 in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 132.57 | 139.20 | |
| Tangible Book Value Per Share | 79.56 | 83.54 | |
| Enterprise Value Over EBITDA | 8.37 | 5.96 | |
| Price Book Value Ratio | 2.11 | 1.13 | |
| Enterprise Value Multiple | 8.37 | 5.96 | |
| Price Fair Value | 2.11 | 1.13 | |
| Enterprise Value | 6.5 B | 6.8 B |
Leadership at Reliance Steel emphasizes sustainable growth and financial prudence. Our analysis evaluates how these priorities impact the stock's performance in the market.
Dividend Yield 0.0138 | Forward Dividend Yield 0.0138 | Forward Dividend Rate 4.4 | Beta 0.843 |
Basic technical analysis of Reliance Stock
As of the 25th of November, Reliance Steel holds the Risk Adjusted Performance of 0.0885, coefficient of variation of 934.44, and Semi Deviation of 1.51. Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Reliance Steel, as well as the relationship between them. Please check Reliance Steel Aluminum standard deviation, value at risk, as well as the relationship between the Value At Risk and kurtosis to decide if Reliance Steel Aluminum is priced some-what accurately, providing market reflects its current price of 323.08 per share. Given that Reliance Steel has jensen alpha of (0.02), we recommend you to check out Reliance Steel Aluminum's recent market performance to make sure the company can sustain itself at a future point.Reliance Steel's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Reliance Steel insiders, such as employees or executives, is commonly permitted as long as it does not rely on Reliance Steel's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Reliance Steel insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
James Hoffman over a month ago Disposition of 1784 shares by James Hoffman of Reliance Steel at 293.46 subject to Rule 16b-3 | ||
Arthur Ajemyan over two months ago Disposition of tradable shares by Arthur Ajemyan of Reliance Steel subject to Rule 16b-3 | ||
Arthur Ajemyan over six months ago Acquisition by Arthur Ajemyan of 11 shares of Reliance Steel subject to Rule 16b-3 | ||
Leslie Waite over a year ago Sale by Leslie Waite of 900 shares of Reliance Steel |
Reliance Steel's Outstanding Corporate Bonds
Reliance Steel issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Reliance Steel Aluminum uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Reliance bonds can be classified according to their maturity, which is the date when Reliance Steel Aluminum has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| US75951AAN81 Corp BondUS75951AAN81 | View | |
| US75951AAL26 Corp BondUS75951AAL26 | View | |
| TOMARI 1512 28 SEP 26 Corp BondUS75951AAQ13 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| RELIANCE STL ALUM Corp BondUS759509AB87 | View | |
| US759509AG74 Corp BondUS759509AG74 | View | |
| US759509AF91 Corp BondUS759509AF91 | View |
Understand Reliance Steel's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Reliance Steel's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.0885 | |||
| Market Risk Adjusted Performance | 0.1204 | |||
| Mean Deviation | 1.34 | |||
| Semi Deviation | 1.51 | |||
| Downside Deviation | 1.66 | |||
| Coefficient Of Variation | 934.44 | |||
| Standard Deviation | 2.16 | |||
| Variance | 4.65 | |||
| Information Ratio | 0.0464 | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.12) | |||
| Sortino Ratio | 0.0602 | |||
| Treynor Ratio | 0.1104 | |||
| Maximum Drawdown | 14.02 | |||
| Value At Risk | (2.16) | |||
| Potential Upside | 3.26 | |||
| Downside Variance | 2.76 | |||
| Semi Variance | 2.27 | |||
| Expected Short fall | (1.49) | |||
| Skewness | 2.35 | |||
| Kurtosis | 12.66 |
| Risk Adjusted Performance | 0.0885 | |||
| Market Risk Adjusted Performance | 0.1204 | |||
| Mean Deviation | 1.34 | |||
| Semi Deviation | 1.51 | |||
| Downside Deviation | 1.66 | |||
| Coefficient Of Variation | 934.44 | |||
| Standard Deviation | 2.16 | |||
| Variance | 4.65 | |||
| Information Ratio | 0.0464 | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.12) | |||
| Sortino Ratio | 0.0602 | |||
| Treynor Ratio | 0.1104 | |||
| Maximum Drawdown | 14.02 | |||
| Value At Risk | (2.16) | |||
| Potential Upside | 3.26 | |||
| Downside Variance | 2.76 | |||
| Semi Variance | 2.27 | |||
| Expected Short fall | (1.49) | |||
| Skewness | 2.35 | |||
| Kurtosis | 12.66 |
Consider Reliance Steel's intraday indicators
Reliance Steel intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Reliance Steel stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Reliance Steel Corporate Filings
13A | 14th of November 2024 The form used by investors holding more than 5% of a company's stock, to report their beneficial ownership pursuant to Rule 13d-1 or Rule 13d-2 under the Securities Exchange Act of 1934 | ViewVerify |
F4 | 7th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10Q | 31st of October 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
8K | 24th of October 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
Reliance Stock media impact
Far too much social signal, news, headlines, and media speculation about Reliance Steel that are available to investors today. That information is available publicly through Reliance media outlets and privately through word of mouth or via Reliance internal channels. However, regardless of the origin, that massive amount of Reliance data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Reliance Steel news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Reliance Steel relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Reliance Steel's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Reliance Steel alpha.
Reliance Steel Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Reliance Steel can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Reliance Steel Aluminum Historical Investor Sentiment
Investor biases related to Reliance Steel's public news can be used to forecast risks associated with an investment in Reliance. The trend in average sentiment can be used to explain how an investor holding Reliance can time the market purely based on public headlines and social activities around Reliance Steel Aluminum. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Reliance Steel's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Reliance Steel and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Reliance Steel news discussions. The higher the estimate score, the more favorable the investor's outlook on Reliance Steel.
Reliance Steel Corporate Directors
| Andrew Sharkey | Independent Director | Profile | |
| Robert McEvoy | Independent Director | Profile | |
| John Figueroa | Independent Director | Profile | |
| Douglas Stotlar | Independent Director | Profile |
Additional Tools for Reliance Stock Analysis
When running Reliance Steel's price analysis, check to measure Reliance Steel's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Reliance Steel is operating at the current time. Most of Reliance Steel's value examination focuses on studying past and present price action to predict the probability of Reliance Steel's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Reliance Steel's price. Additionally, you may evaluate how the addition of Reliance Steel to your portfolios can decrease your overall portfolio volatility.