Reliance, Inc. $RS Stock Holdings Lifted by Asset Management One Co. Ltd.

Key Points

• Institutional ownership increased: Asset Management One raised its Reliance stake by 9.3% to 41,580 shares, while institutional investors and hedge funds collectively own 79.26% of the company.
• Strong quarterly performance: Reliance reported EPS of $8.02 versus the $6.83 consensus estimate, with revenue rising 42.8% year over year to $5.21 billion.
• Valuation and outlook remain mixed: Shares were trading near their 52-week high, while analysts maintained a consensus “Hold” rating with an average price target of $400.29. The company also announced a quarterly dividend of $1.25 per share.

Asset Management One Co. Ltd. lifted its stake in Reliance, Inc. (NYSE:RS - Free Report) by 9.3% in the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm owned 41,580 shares of the industrial products company's stock after buying an additional 3,522 shares during the period. Asset Management One Co. Ltd. owned approximately 0.08% of Reliance worth $16,001,000 as of its most recent SEC filing.

Other large investors have also modified their holdings of the company. PensionDanmark Pensionsforsikringsaktieselskab boosted its stake in shares of Reliance by 542.5% in the second quarter. PensionDanmark Pensionsforsikringsaktieselskab now owns 9,766 shares of the industrial products company's stock valued at $3,649,000 after purchasing an additional 8,246 shares during the period. Cornerstone Capital Inc. acquired a new stake in Reliance during the 2nd quarter valued at $23,725,000. The Manufacturers Life Insurance Company acquired a new stake in Reliance during the 2nd quarter valued at $8,808,000. Bank of America Corp DE increased its stake in Reliance by 4.9% during the 1st quarter. Bank of America Corp DE now owns 263,191 shares of the industrial products company's stock worth $79,989,000 after buying an additional 12,282 shares during the period. Finally, NewEdge Advisors LLC increased its stake in Reliance by 189.2% during the 2nd quarter. NewEdge Advisors LLC now owns 6,423 shares of the industrial products company's stock worth $2,399,000 after buying an additional 4,202 shares during the period. Institutional investors and hedge funds own 79.26% of the company's stock.

Reliance Stock Performance

RS opened at $437.28 on Friday. The business has a 50 day moving average price of $400.34 and a two-hundred day moving average price of $368.21. The company has a debt-to-equity ratio of 0.21, a current ratio of 4.12 and a quick ratio of 2.22. The company has a market capitalization of $22.28 billion, a price-to-earnings ratio of 20.39, a price-to-earnings-growth ratio of 0.93 and a beta of 0.95. Reliance, Inc. has a 1-year low of $263.12 and a 1-year high of $442.94.

Reliance (NYSE:RS - Get Free Report) last issued its quarterly earnings results on Wednesday, October 21st. The industrial products company reported $8.02 earnings per share (EPS) for the quarter, beating the consensus estimate of $6.83 by $1.19. Reliance had a return on equity of 15.31% and a net margin of 6.38%. The company had revenue of $5.21 billion for the quarter, compared to analysts' expectations of $4.74 billion. During the same period last year, the firm earned $3.64 EPS. The firm's revenue for the quarter was up 42.8% on a year-over-year basis. Research analysts predict that Reliance, Inc. will post 24.99 EPS for the current fiscal year.

Reliance Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, December 4th. Stockholders of record on Friday, November 20th will be given a dividend of $1.25 per share. The ex-dividend date is Friday, November 20th. This represents a $5.00 annualized dividend and a dividend yield of 1.1%. Reliance's dividend payout ratio (DPR) is 23.31%.

Wall Street Analyst Weigh In

RS has been the subject of a number of analyst reports. Weiss Ratings cut shares of Reliance from a "buy (b)" rating to a "hold (c)" rating in a research report on Wednesday. Zacks Research upgraded Reliance from a "hold" rating to a "strong-buy" rating in a research note on Monday, August 3rd. Wall Street Zen raised shares of Reliance from a "buy" rating to a "strong-buy" rating in a report on Saturday. Barclays increased their price target on Reliance from $420.00 to $445.00 and gave the stock an "equal weight" rating in a research report on Monday. Finally, Wells Fargo & Company raised their price target on Reliance from $391.00 to $420.00 and gave the stock an "equal weight" rating in a report on Thursday, October 22nd. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Hold" and an average price target of $400.29.

Insider Activity

In other news, COO Stephen Koch sold 8,334 shares of Reliance stock in a transaction that occurred on Tuesday, October 27th. The shares were sold at an average price of $430.87, for a total value of $3,590,870.58. Following the transaction, the chief operating officer owned 8,209 shares of the company's stock, valued at $3,537,011.83. The trade was a 50.38% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. 0.40% of the stock is owned by corporate insiders.

Reliance News Roundup

Here are the key news stories impacting Reliance this week:

• Positive Sentiment: Quarterly earnings beat expectations: Reliance’s third-quarter earnings surged 120.3% year over year, supported by higher steel prices, record shipments and contributions from border-wall projects. The strong sales and profit growth reinforces the company’s favorable earnings momentum. Reliance third-quarter earnings report
• Positive Sentiment: Analyst sees additional upside: A JPMorgan analyst reportedly expects Reliance stock to rise, providing a supportive signal for investor sentiment. However, the broader analyst consensus remains cautious, with several firms maintaining neutral or equal-weight ratings. JPMorgan Reliance stock outlook
• Neutral Sentiment: Strong fundamentals are already reflected in the valuation: Reliance recently reported quarterly EPS of $8.02 versus a $6.83 consensus estimate, while revenue rose 42.8% year over year to $5.21 billion. The results are favorable, but the stock is trading near its 52-week high, increasing the risk of profit-taking and limiting the impact of additional good news.
• Negative Sentiment: COO sells a substantial stake: COO Stephen Koch sold 8,334 shares for approximately $3.59 million, reducing his ownership by about 50%. The sale may weigh on sentiment because it occurred near recent highs, although insider transactions can be routine and do not necessarily indicate deteriorating business conditions. Reliance COO insider sale
• Neutral Sentiment: Indian Reliance headlines are unrelated: Reports about Reliance Industries, Jio Platforms, and Reliance Retail—including strong consolidated profit growth and Jio’s listing—concern the separate Indian conglomerate, not Reliance, Inc. NYSE: RS. They should not be treated as direct catalysts for RS.

Reliance Company Profile

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.

Want to see what other hedge funds are holding RS? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Reliance, Inc. (NYSE:RS - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.