Canada Pension Plan Investment Board Takes Position in Reliance, Inc. $RS

Key Points

• Canada Pension Plan Investment Board acquired 7,400 Reliance shares worth approximately $2.8 million, while institutional investors collectively own 79.26% of the company.
• Reliance reported quarterly earnings of $6.27 per share, exceeding estimates of $5.47, with revenue up 26.5% year over year to $4.63 billion. The company guided for third-quarter EPS of $6.40–$6.60.
• Analyst sentiment remains mixed, with an average “Hold” rating and a $377.50 target price. Reliance also maintains a quarterly dividend of $1.25 per share, equivalent to a 1.3% yield.

Canada Pension Plan Investment Board acquired a new stake in shares of Reliance, Inc. (NYSE:RS - Free Report) during the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 7,400 shares of the industrial products company's stock, valued at approximately $2,765,000.

Other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Arjuna Capital bought a new stake in shares of Reliance in the fourth quarter worth $1,838,000. PFA Pension Forsikringsaktieselskab bought a new position in Reliance in the fourth quarter valued at about $61,317,000. Forsta AP Fonden bought a new position in Reliance in the fourth quarter valued at about $2,022,000. Fulcrum Wealth Advisors LLC purchased a new position in Reliance in the fourth quarter worth about $2,529,000. Finally, Versor Investments LP purchased a new position in Reliance in the fourth quarter worth about $399,000. Hedge funds and other institutional investors own 79.26% of the company's stock.

Insider Buying and Selling

In other Reliance news, CFO Arthur Ajemyan sold 2,200 shares of Reliance stock in a transaction that occurred on Friday, July 31st. The shares were sold at an average price of $410.11, for a total transaction of $902,242.00. Following the transaction, 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 Securities & Exchange Commission, which is available through the SEC website. Also, SVP William A. Smith II sold 2,353 shares of the company's stock in a transaction that occurred 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 completion of the transaction, the senior vice president owned 19,394 shares of the company's stock, valued at approximately $8,033,188.74. The trade was a 10.82% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.40% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on RS. KeyCorp upped their price target on shares of Reliance from $378.00 to $418.00 and gave the company an "overweight" rating in a research report on Wednesday, June 24th. BMO Capital Markets raised their price objective on shares of Reliance from $390.00 to $415.00 and gave the stock a "market perform" rating in a report on Monday, July 27th. Wall Street Zen lowered shares of Reliance from a "strong-buy" rating to a "buy" rating in a research report on Monday. Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Reliance in a report on Thursday, August 13th. Finally, Wells Fargo & Company decreased their price target on shares of Reliance from $398.00 to $391.00 and set an "equal weight" rating on the stock in a research report on Monday, August 24th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the company currently has an average rating of "Hold" and an average target price of $377.50.

Reliance Stock Performance

Shares of RS opened at $387.57 on Monday. The company has a quick ratio of 2.27, a current ratio of 4.30 and a debt-to-equity ratio of 0.22. The business has a 50-day simple moving average of $397.24 and a two-hundred day simple moving average of $362.31. The stock has a market cap of $19.79 billion, a price-to-earnings ratio of 22.53, a PEG ratio of 1.00 and a beta of 0.96. Reliance, Inc. has a 52 week low of $260.31 and a 52 week high of $433.02.

Reliance (NYSE:RS - Get Free Report) last posted its quarterly earnings data on Wednesday, July 22nd. The industrial products company reported $6.27 EPS for the quarter, topping the consensus estimate of $5.47 by $0.80. Reliance had a return on equity of 12.51% and a net margin of 5.65%.The firm had revenue of $4.63 billion for the quarter, compared to the consensus estimate of $4.26 billion. During the same quarter last year, the company earned $4.43 earnings per share. The business's revenue for the quarter was up 26.5% compared to the same quarter last year. Reliance has set its Q3 2026 guidance at 6.400-6.600 EPS. On average, analysts expect that Reliance, Inc. will post 22.23 EPS for the current year.

Reliance Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Friday, August 28th. Shareholders of record on Friday, August 14th were paid a dividend of $1.25 per share. The ex-dividend date was Friday, August 14th. This represents a $5.00 dividend on an annualized basis and a yield of 1.3%. Reliance's dividend payout ratio (DPR) is presently 29.07%.

Reliance Company Profile

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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