Reliance (NYSE:RS) Issues Quarterly Earnings Results

Key Points

• Reliance exceeded quarterly expectations: The company reported earnings of $8.02 per share versus the $6.83 consensus estimate, while revenue reached $5.21 billion compared with expectations of $4.74 billion.
• Shares rose to $419.26 in midday trading, near the company’s 12-month high of $433.02. Despite several analysts raising price targets, the overall analyst consensus remains a “Hold,” with an average target of $387.43.
• Insiders sold shares: CFO Arthur Ajemyan and SVP William Smith each reduced their holdings in recent transactions, while insiders collectively own just 0.40% of the company.

Reliance (NYSE:RS - Get Free Report) issued its quarterly earnings results on Wednesday. The industrial products company reported $8.02 earnings per share for the quarter, topping analysts' consensus estimates of $6.83 by $1.19, FiscalAI reports. The business had revenue of $5.21 billion for the quarter, compared to analyst estimates of $4.74 billion. Reliance had a return on equity of 12.51% and a net margin of 5.65%.

Reliance Price Performance

Shares of NYSE:RS traded up $1.99 during midday trading on Wednesday, hitting $419.26. The company's stock had a trading volume of 477,022 shares, compared to its average volume of 341,322. The business's 50 day simple moving average is $398.07 and its 200 day simple moving average is $383.80. The company has a debt-to-equity ratio of 0.22, a quick ratio of 2.27 and a current ratio of 4.30. The company has a market cap of $21.41 billion, a P/E ratio of 24.38, a price-to-earnings-growth ratio of 0.95 and a beta of 0.95. Reliance has a 12-month low of $260.31 and a 12-month high of $433.02.

Insider Activity

In other Reliance news, CFO Arthur Ajemyan sold 2,200 shares of the stock in a transaction dated Friday, July 31st. The shares were sold at an average price of $410.11, for a total value of $902,242.00. Following the completion of the sale, the chief financial officer owned 14,640 shares in the company, valued at approximately $6,004,010.40. This represents a 13.06% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP William Smith, II sold 2,353 shares of the stock in a transaction that occurred on Tuesday, July 28th. The shares were sold at an average price of $414.21, for a total value of $974,636.13. Following the completion of the sale, the senior vice president directly owned 19,394 shares of the company's stock, valued at approximately $8,033,188.74. This represents a 10.82% decrease in their position. The SEC filing for this sale provides additional information. 0.40% of the stock is currently owned by corporate insiders.

Analysts Set New Price Targets

Several analysts have recently commented on RS shares. Wall Street Zen downgraded shares of Reliance from a "strong-buy" rating to a "buy" rating in a report on Sunday, October 11th. KeyCorp boosted their target price on shares of Reliance from $418.00 to $421.00 and gave the company an "overweight" rating in a research report on Monday, October 5th. JPMorgan Chase & Co. upped their price target on shares of Reliance from $390.00 to $400.00 and gave the company a "neutral" rating in a report on Friday, October 9th. Zacks Research raised Reliance from a "hold" rating to a "strong-buy" rating in a research report on Monday, August 3rd. Finally, BMO Capital Markets lifted their price objective on Reliance from $390.00 to $415.00 and gave the company a "market perform" rating in a research note on Monday, July 27th. One analyst has rated the stock with a Strong Buy rating, two have given a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $387.43.

Key Reliance News

Here are the key news stories impacting Reliance this week:

• Positive Sentiment: Record sales and earnings beat estimates: Reliance reported quarterly revenue of $5.21 billion, up 42.8% year over year and above the $4.74 billion consensus estimate. Reported diluted EPS was $7.84, while the company’s earnings release cited EPS of approximately $8.02, exceeding the $6.83 analyst estimate. Reliance Third Quarter 2026 Financial Results
• Positive Sentiment: Operating momentum strengthened: Tons sold increased 15.6% from a year earlier and 4.3% sequentially. Pretax income more than doubled year over year to $531.9 million, while net income attributable to Reliance reached $402.9 million. Reliance Reports Record Third-Quarter Sales and EPS
• Positive Sentiment: More capital returned to shareholders: Reliance distributed approximately $109 million through dividends and share repurchases, and its board increased the share-repurchase authorization to $2.5 billion. This could support per-share earnings and investor sentiment. Reliance Capital Returns
• Neutral Sentiment: Mixed institutional positioning: Recent filings showed some large investors, including JPMorgan, adding shares, while others reduced their holdings. These moves provide limited near-term direction.
• Negative Sentiment: Insider selling is a cautionary signal: Company insiders reported six open-market sales and no purchases over the past six months. While these transactions may reflect personal financial planning, the absence of insider buying could temper enthusiasm.

About Reliance

Reliance, Inc NYSE: RS is a diversified metals service center company that supplies processed metal products and related services to industrial manufacturers, fabricators, and other commercial customers. Its product offerings include carbon steel, stainless steel, aluminum, copper, brass, and other specialty metals.

The company provides value-added processing services such as cutting, slitting, leveling, blanking, machining, forming, and precision sawing. These services allow customers to purchase metals in customized sizes and specifications, helping reduce their need for in-house processing and inventory management.

Founded in 1939, Reliance serves a broad range of industries, including nonresidential construction, transportation, aerospace and defense, energy, electronics, machinery, and general manufacturing.

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