Reliance (NYSE:RS) Hits New 52-Week High - What's Next?

Key Points

• Reliance shares reached a new 52-week high of $423.83, well above the 50-day and 200-day moving averages of $392.97 and $352.73, respectively.
• The company posted quarterly EPS of $6.27, beating estimates by $0.80, while revenue rose 26.5% year over year to $4.63 billion. Reliance guided for third-quarter EPS of $6.40–$6.60.
• Analyst sentiment remains mixed: Reliance has a consensus “Hold” rating and an average price target of $378.67, below its current trading level. The company also declared a $1.25 quarterly dividend, equivalent to a 1.2% yield.

Reliance, Inc. (NYSE:RS - Get Free Report)'s share price reached a new 52-week high during mid-day trading on Wednesday . The company traded as high as $423.83 and last traded at $423.81, with a volume of 13982 shares. The stock had previously closed at $414.91.

Analysts Set New Price Targets

RS has been the topic of a number of research reports. Weiss Ratings raised shares of Reliance from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Monday, May 18th. JPMorgan Chase & Co. dropped their price target on Reliance from $378.00 to $376.00 and set a "neutral" rating for the company in a research report on Wednesday, July 15th. Zacks Research raised Reliance from a "hold" rating to a "strong-buy" rating in a report on Monday. Seaport Research Partners lifted their price objective on Reliance from $340.00 to $390.00 and gave the stock a "buy" rating in a research report on Tuesday, April 28th. Finally, Bank of America lowered 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. One equities 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, Reliance currently has a consensus rating of "Hold" and an average price target of $378.67.

Reliance Price Performance

The stock has a market cap of $21.31 billion, a PE ratio of 24.27, a P/E/G ratio of 1.10 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. The company has a fifty day moving average of $392.97 and a 200-day moving average of $352.73.

Reliance (NYSE:RS - Get Free Report) last issued its quarterly 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. Reliance had a net margin of 5.65% and a return on equity of 12.51%. The company had revenue of $4.63 billion for the quarter, compared to analyst estimates of $4.26 billion. During the same period in the prior year, the firm 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. Sell-side analysts expect that Reliance, Inc. will post 21.33 EPS for the current fiscal year.

Reliance Announces Dividend

The firm 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 $1.25 dividend. This represents a $5.00 annualized dividend and a yield of 1.2%. The ex-dividend date of this dividend is Friday, August 14th. Reliance's dividend payout ratio (DPR) is currently 29.07%.

Insider Buying and Selling at Reliance

In other news, CFO Arthur Ajemyan sold 2,200 shares of the company's stock in a transaction on Friday, July 31st. The stock was sold at an average price of $410.11, for a total transaction of $902,242.00. Following the sale, the chief financial officer owned 14,640 shares of the company's stock, valued at approximately $6,004,010.40. This represents a 13.06% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, 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 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 owned 19,394 shares in the company, valued at approximately $8,033,188.74. The trade was a 10.82% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders own 0.40% of the company's stock.

Hedge Funds Weigh In On Reliance

Several hedge funds and other institutional investors have recently made changes to their positions in RS. ProCore Advisors LLC purchased a new stake in shares of Reliance in the 4th quarter valued at approximately $18,787,000. Arjuna Capital purchased a new stake in shares of Reliance during the 4th quarter worth $1,838,000. PFA Pension Forsikringsaktieselskab acquired a new position in shares of Reliance during the fourth quarter worth $61,317,000. Forsta AP Fonden purchased a new position in Reliance in the fourth quarter valued at $2,022,000. Finally, Fulcrum Wealth Advisors LLC purchased a new position in Reliance in the fourth quarter valued at $2,529,000. Hedge funds and other institutional investors own 79.26% of the company's stock.

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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