RS Stock Fair Value – Raymond James & Associates Increases Stake in Reliance Steel & Aluminum by Over 26% in Q3 Filing
November 1, 2024
🌥️Trending News
Reliance Steel & Aluminum ($NYSE:RS) is a leading metals service center and processing company that serves a diverse range of industries including aerospace, construction, automotive, energy, and more. This significant increase in ownership signals confidence in the company’s performance and potential for growth. As a result, many industries are turning to companies like Reliance Steel & Aluminum to fulfill their metal needs. This positive performance can be attributed to the company’s strategic investments in technology and its commitment to providing exceptional customer service.
With its strong financial position, diverse product offerings, and a global presence, Reliance Steel & Aluminum is well-positioned for continued growth and success in the metals industry. As a leader in the metals industry, Reliance Steel & Aluminum is well-equipped to meet the increasing demand for metal products and drive value for its shareholders.
Analysis – RS Stock Fair Value
After conducting our analysis of RELIANCE STEEL & ALUMINUM’s financials, we have determined that the fair value of their share is around $218.1. This was calculated using our proprietary Valuation Line, which takes into account various financial metrics and market data. Currently, RELIANCE STEEL & ALUMINUM’s stock is being traded at $283.54, which means it is overvalued by approximately 30.0%. This indicates that investors are currently paying more for the stock than its fair value, making it a potentially risky investment. While the company may have strong financials and a solid track record, the significant overvaluation of its stock could lead to potential losses for investors. It is important to carefully evaluate a company’s financials and market trends before making any investment decisions. Our analysis serves as a guide for investors to make informed choices and avoid overpaying for stocks. We will continue to monitor RELIANCE STEEL & ALUMINUM’s financials and provide updates on any changes to its fair value. More…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for RS. More…
| Total Revenues | Net Income | Net Margin |
| 14.81k | 1.34k | 9.0% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for RS. More…
| Operations | Investing | Financing |
| 1.67k | -483.9 | -1.28k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for RS. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 10.48k | 2.75k | 134.37 |
Key Ratios Snapshot
Some of the financial key ratios for RS are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 18.9% | 38.1% | 12.0% |
| FCF Margin | ROE | ROA |
| 8.1% | 14.4% | 10.6% |
Peers
Reliance Steel & Aluminum Co., Universal Stainless & Alloy Products Inc., Jiangsu Shagang Co Ltd, and Xinjiang Ba Yi Iron & Steel Co Ltd are all steel and aluminum companies. They all have their own unique offerings, but they compete with each other in the market.
– Universal Stainless & Alloy Products Inc ($NASDAQ:USAP)
Universal Stainless & Alloy Products Inc is a company that manufactures and sells stainless steel and nickel alloy mill products. The company has a market cap of 65.99M as of 2022 and a Return on Equity of -1.12%. Universal Stainless & Alloy Products Inc is a publicly traded company on the NASDAQ Stock Market under the ticker symbol “USAP”.
– Jiangsu Shagang Co Ltd ($SZSE:002075)
Jiangsu Shagang Co., Ltd. is a Chinese state-owned steel producer. The company is based in Zhangjiagang, Jiangsu Province, and is listed on the Shanghai Stock Exchange. Jiangsu Shagang is one of the largest private steel companies in China, with an annual output of over 20 million tons of steel. The company produces a wide range of steel products, including hot and cold rolled coils, galvanized sheets, and stainless steel products. In addition to its steel operations, Jiangsu Shagang also has businesses in coal mining, power generation, and real estate development.
– Xinjiang Ba Yi Iron & Steel Co Ltd ($SHSE:600581)
Xinjiang Ba Yi Iron & Steel Co Ltd has a market cap of 5.58B as of 2022, a Return on Equity of -24.16%. The company is engaged in the production and sale of iron and steel products. It is one of the largest iron and steel companies in China. The company’s products are used in a variety of industries, including construction, automotive, machinery manufacturing, and shipbuilding.
Summary
Raymond James & Associates increased its holdings in Reliance Steel & Aluminum by 26.1% during the third quarter, according to their latest filing. This suggests that they have confidence in the company’s future performance.
However, on the same day, the stock price of Reliance went down. This could indicate that the market has a different perception of the company’s prospects. Investors should carefully consider both the increase in holdings by Raymond James & Associates and the decrease in stock price before making any investment decisions. It is important to thoroughly analyze a company’s financials and market trends before making any investment decisions.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
