Reliance, Inc. (RS)
Basic Materials · NYQ · US
Fundamentals
Valuation and ratings
Reliance, Inc. trades at USD396.02, which is 49% below the USD591.36 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 50 out of 100, which is a moat, but not a deep one. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 25.1 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Reliance, Inc.
Reliance, Inc. operates as a diversified metal solutions provider and metals service center company primarily in the United States and Canada. The company distributes metal products, including alloy, aluminum, brass, copper, carbon steel, stainless steel, titanium, and other specialty steel products; and provides metals processing services to consumer products, general manufacturing, non-residential construction, transportation, aerospace, energy, electronics and semiconductor fabrication, industrial machinery, and heavy industries. It sells its products directly to original equipment manufacturers, which primarily include small machine shops and fabricators. The company was formerly known as Reliance Steel & Aluminum Co. and changed its name to Reliance, Inc. in February 2024. Reliance, Inc. was founded in 1939 and is based in Phoenix, Arizona.
RS passes 2 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Smart money ownership
9 of the funds we track reported a position in their latest SEC 13F filing. Largest first:
- Yacktman Asset Management, YACKTMAN ASSET MANAGEMENT LP$210.65M · 2.8% of book
- Cliff Asness, AQR CAPITAL MANAGEMENT LLC$31.57M · 0.0% of book
- Joel Greenblatt, Gotham Asset Management, LLC$25.84M · 0.1% of book
- Two Sigma, TWO SIGMA INVESTMENTS, LP$23.83M · 0.0% of book
- Ken Griffin, CITADEL ADVISORS LLC$12.55M · 0.0% of book
A word of warning on reading these figures: a 13F reports the market value of a holding, so a fund that traded nothing at all still appears to have sold when the price fell. We found 102 companies where the standard reading gives the opposite answer. Only the share count is honest.
Common questions
Is Reliance, Inc. (RS) undervalued?
Against our discounted cash flow estimate of USD591.36, RS at USD396.02 is 49% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
Which funds own RS?
9 of the institutions we track reported a position in RS in their most recent SEC 13F filing. A 13F is filed up to 45 days after quarter end, so it tells you what a fund held then, not what it holds now.
What is RS's P/E ratio?
RS trades at 25.1 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
The full research page for RS, with financial statements, ownership detail, peer comparison and alerts, is free inside the app.
Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.