Bank of Nova Scotia Invests $15.92 Million in Reliance, Inc. $RS

Key Points

• Bank of Nova Scotia purchased 42,615 Reliance shares worth approximately $15.92 million, while institutional investors collectively own 79.26% of the company.
• Reliance reported stronger-than-expected quarterly results, with EPS of $6.27 versus the $5.47 consensus estimate and revenue of $4.63 billion, up 26.5% year over year.
• The company declared a quarterly dividend of $1.25 per share, equivalent to an annualized $5.00 dividend and a 1.3% yield. Analysts maintain a consensus “Hold” rating with an average price target of $377.50.

Bank of Nova Scotia purchased a new stake in shares of Reliance, Inc. (NYSE:RS - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor purchased 42,615 shares of the industrial products company's stock, valued at approximately $15,921,000. Bank of Nova Scotia owned 0.08% of Reliance as of its most recent SEC filing.

Several other hedge funds have also added to or reduced their stakes in the company. XXEC Inc. bought a new position in Reliance in the second quarter valued at approximately $127,493,000. BlackRock Inc. acquired a new stake in shares of Reliance during the second quarter worth $2,171,081,000. State Street Corp grew its stake in shares of Reliance by 4.5% during the fourth quarter. State Street Corp now owns 2,715,764 shares of the industrial products company's stock worth $784,503,000 after purchasing an additional 118,009 shares during the period. Boston Partners increased its holdings in Reliance by 27.5% in the third quarter. Boston Partners now owns 2,247,603 shares of the industrial products company's stock valued at $631,224,000 after purchasing an additional 484,286 shares during the last quarter. Finally, Wellington Management Group LLP increased its holdings in Reliance by 25.2% in the third quarter. Wellington Management Group LLP now owns 1,708,756 shares of the industrial products company's stock valued at $479,870,000 after purchasing an additional 343,598 shares during the last quarter. Institutional investors own 79.26% of the company's stock.

Insider Activity at Reliance

In other news, CFO Arthur Ajemyan sold 2,200 shares of the business's stock in a transaction on Friday, July 31st. The shares were sold at an average price of $410.11, for a total value of $902,242.00. Following the sale, the chief financial officer owned 14,640 shares of the company's stock, valued at $6,004,010.40. The trade was a 13.06% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, SVP William A. Smith II sold 2,353 shares of the stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $414.21, for a total transaction of $974,636.13. Following the transaction, the senior vice president owned 19,394 shares of the company's stock, valued at $8,033,188.74. The trade was a 10.82% decrease in their position. The SEC filing for this sale provides additional information. 0.40% of the stock is owned by company insiders.

Reliance Trading Down 1.5%

RS opened at $382.26 on Tuesday. The stock has a market capitalization of $19.52 billion, a P/E ratio of 22.22, a P/E/G ratio of 1.00 and a beta of 0.96. The company has a current ratio of 4.30, a quick ratio of 2.27 and a debt-to-equity ratio of 0.22. Reliance, Inc. has a 12 month low of $260.31 and a 12 month high of $433.02. The firm's fifty day simple moving average is $398.33 and its 200 day simple moving average is $361.18.

Reliance (NYSE:RS - Get Free Report) last released its earnings results on Wednesday, July 22nd. The industrial products company reported $6.27 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $5.47 by $0.80. The firm had revenue of $4.63 billion during the quarter, compared to analysts' expectations of $4.26 billion. Reliance had a return on equity of 12.51% and a net margin of 5.65%.The company's revenue was up 26.5% on a year-over-year basis. During the same quarter in the prior year, the company earned $4.43 EPS. Reliance has set its Q3 2026 guidance at 6.400-6.600 EPS. As a group, research analysts anticipate that Reliance, Inc. will post 22.23 EPS for the current fiscal year.

Reliance Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, August 28th. Shareholders of record on Friday, August 14th will be given a dividend of $1.25 per share. The ex-dividend date of this dividend is Friday, August 14th. This represents a $5.00 dividend on an annualized basis and a yield of 1.3%. Reliance's dividend payout ratio is 29.07%.

Wall Street Analyst Weigh In

RS has been the topic of a number of recent analyst reports. KeyCorp raised their target price on Reliance from $378.00 to $418.00 and gave the stock an "overweight" rating in a report on Wednesday, June 24th. Wall Street Zen raised Reliance from a "buy" rating to a "strong-buy" rating in a research note on Sunday. Zacks Research upgraded shares of Reliance from a "hold" rating to a "strong-buy" rating in a research report on Monday, August 3rd. Bank of America lowered shares of Reliance from a "neutral" rating to an "underperform" rating and set a $365.00 price objective on the stock. in a research note on Thursday, April 30th. Finally, Wells Fargo & Company decreased their price objective on shares of Reliance from $398.00 to $391.00 and set an "equal weight" rating for the company in a report on Monday. One research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $377.50.

About Reliance

Reliance Steel & Aluminum Co NYSE: RS is a leading metals service center company that distributes and processes a broad array of metal products. The company offers cut-to-length, shearing, blanking, sawing, bending, machining and value-added services for carbon and alloy steel, stainless steel, aluminum, brass, titanium and specialty metal alloys. Its products serve diverse end markets, including energy, infrastructure, general manufacturing, transportation, aerospace and defense.

Founded in 1939 in Los Angeles, Reliance Steel & Aluminum has grown through a combination of organic expansion and strategic acquisitions.

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