Reliance Steel Valuation
| RS Stock | USD 296.04 3.17 1.06% |
At this time, the company appears to be undervalued. Reliance Steel Aluminum holds a recent Real Value of $308.94 per share. The prevailing price of the company is $296.04. Our model determines the value of Reliance Steel Aluminum from analyzing the company fundamentals such as Shares Outstanding of 53.72 M, operating margin of 0.05 %, and Return On Equity of 0.12 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Reliance Steel's valuation include:
Price Book 2.2262 | Enterprise Value | Enterprise Value Ebitda 11.8518 | Price Sales 1.1494 | Forward PE 20.3252 |
Undervalued
Today
Please note that Reliance Steel's price fluctuation is very steady at this time. Calculation of the real value of Reliance Steel Aluminum is based on 3 months time horizon. Increasing Reliance Steel's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Reliance stock is determined by what a typical buyer is willing to pay for full or partial control of Reliance Steel Aluminum. Since Reliance Steel is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Reliance Stock. However, Reliance Steel's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 296.04 | Real 308.94 | Target 323.1 | Hype 295.84 | Naive 312.86 |
The intrinsic value of Reliance Steel's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Reliance Steel's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Reliance Steel Aluminum helps investors to forecast how Reliance stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Reliance Steel more accurately as focusing exclusively on Reliance Steel's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Reliance Steel's intrinsic value based on its ongoing forecasts of Reliance Steel's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Reliance Steel's closest peers.
Reliance Steel Cash |
|
Reliance Valuation Trend
Reliance Steel's real value is important for investors to make better decisions and a more accurate overall view of Reliance Steel's financial worth over time. Using both Reliance Steel's enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.
Reliance Revenue by Product
Reliance Steel Total Value Analysis
Reliance Steel Aluminum is at this time projected to have takeover value of 17.17 B with market capitalization of 15.9 B, debt of 1.38 B, and cash on hands of 1.17 B. Please note that takeover value may be misleading and is a subject to accounting mistakes. We encourage investors to methodically examine all of the Reliance Steel fundamentals before making investment evaluation based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
17.17 B | 15.9 B | 1.38 B | 1.17 B |
Reliance Steel Investor Information
About 85.0% of the company shares are owned by institutional investors. The book value of Reliance Steel was at this time reported as 134.41. The company has Price/Earnings To Growth (PEG) ratio of 1.2. Reliance Steel Aluminum recorded earning per share (EPS) of 15.57. The entity last dividend was issued on the 7th of March 2025. The firm had 2:1 split on the 20th of July 2006. Reliance Steel Aluminum is not in a good financial situation at the present time. It has a very high likelihood of going through financial trouble in March.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Operating Profit Margin | 0.061 | 0.0838 |
|
| |||||
| Total Cash From Operating Activities | 1.5 B | 1.4 B |
|
| |||||
| Operating Income | 626.8 M | 1.2 B |
|
|
Reliance Steel Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Reliance Steel has an asset utilization ratio of 132.01 percent. This implies that the Company is making $1.32 for each dollar of assets. An increasing asset utilization means that Reliance Steel Aluminum is more efficient with each dollar of assets it utilizes for everyday operations.Reliance Steel Ownership Allocation
Reliance Steel owns a total of 53.72 Million outstanding shares. The majority of Reliance Steel Aluminum outstanding shares are owned by third-party entities. These institutional holders are usually referred to as non-private investors looking to secure positions in Reliance Steel Aluminum to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Reliance Steel. Please pay attention to any change in the institutional holdings of Reliance Steel Aluminum as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company maintains, if the real value of the company is less than the current market value, you may not be able to make money on it.Reliance Steel Profitability Analysis
The company generated the yearly revenue of 13.84 B. Reported Net Income was 878 M with gross profit of 4.11 B.Reliance Steel Past Distributions to stockholders
About Reliance Steel Valuation
The stock valuation mechanism determines Reliance Steel's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Reliance Steel Aluminum based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Reliance Steel. We calculate exposure to Reliance Steel's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Reliance Steel's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 13.8 B | 14.5 B | |
| Pretax Profit Margin | 0.08 | 0.06 | |
| Operating Profit Margin | 0.08 | 0.06 | |
| Net Profit Margin | 0.06 | 0.04 | |
| Gross Profit Margin | 0.26 | 0.22 |
Reliance Steel Quarterly Retained Earnings |
|
A single share of Reliance Steel represents a small ownership stake in the entity. As a stockholder of Reliance, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Reliance Steel Dividends Analysis For Valuation
At this time, Reliance Steel's Dividends Paid is comparatively stable compared to the past year. Dividend Payout Ratio is likely to gain to 0.30 in 2025, whereas Dividend Yield is likely to drop 0.01 in 2025. . At this time, Reliance Steel's Retained Earnings are comparatively stable compared to the past year. Earnings Yield is likely to gain to 0.10 in 2025, whereas Retained Earnings Total Equity is likely to drop slightly above 4.3 B in 2025.
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 249.7 M | 262.2 M | |
| Dividend Yield | 0.02 | 0.01 | |
| Dividend Payout Ratio | 0.29 | 0.30 | |
| Dividend Paid And Capex Coverage Ratio | 2.10 | 1.98 |
There are various types of dividends Reliance Steel can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Reliance shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Reliance Steel Aluminum directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Reliance pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Reliance Steel by the value of the dividends paid out.
Reliance Steel Growth Indicators
Investing in growth stocks can be very risky. If the company such as Reliance Steel does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 56.2 M | |
| Quarterly Earnings Growth Y O Y | -0.589 | |
| Forward Price Earnings | 20.3252 |
Reliance Steel Current Valuation Indicators
Reliance Steel's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Reliance Steel's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Reliance Steel, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Reliance Steel's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Reliance Steel's worth.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.