Reliance (NYSE:RS) Trading Up 6% on Earnings Beat

Key Points

• Reliance shares jumped 6% after the company reported stronger-than-expected quarterly results, with EPS of $6.27 beating estimates by $0.80 and revenue of $4.63 billion topping forecasts.
• The company also delivered 26.5% year-over-year revenue growth and provided Q3 2026 EPS guidance of $6.40-$6.60, signaling continued momentum ahead.
• Reliance announced a quarterly dividend of $1.25 per share, while analysts remain mixed overall with a consensus Hold rating despite several recent target-price increases.

Reliance, Inc. (NYSE:RS - Get Free Report)'s stock price rose 6% during trading on Thursday following a better than expected earnings announcement. The company traded as high as $413.96 and last traded at $409.2840. 92,942 shares traded hands during mid-day trading, a decline of 74% from the average daily volume of 352,614 shares. The stock had previously closed at $386.21.

The industrial products company reported $6.27 earnings per share for the quarter, beating analysts' consensus estimates of $5.47 by $0.80. The business had revenue of $4.63 billion during the quarter, compared to analyst estimates of $4.26 billion. Reliance had a net margin of 5.42% and a return on equity of 11.37%. The company's quarterly revenue was up 26.5% compared to the same quarter last year. During the same period in the previous year, the business earned $4.43 EPS. Reliance has set its Q3 2026 guidance at 6.400-6.600 EPS.

Reliance Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 28th. Investors of record on Friday, August 14th will be given a dividend of $1.25 per share. This represents a $5.00 annualized dividend and a yield of 1.2%. The ex-dividend date is Friday, August 14th. Reliance's payout ratio is 32.62%.

Key Stories Impacting Reliance

Here are the key news stories impacting Reliance this week:

• Positive Sentiment: Reliance delivered a strong Q2 beat on both earnings and revenue, with higher sales volumes and significantly improved profitability. Reliance, Inc. Reports Second Quarter 2026 Financial Results
• Positive Sentiment: The company issued third-quarter EPS guidance of $6.40-$6.60, above analyst expectations, which suggests management sees continued strength ahead. Reliance, Inc. Reports Second Quarter 2026 Financial Results
• Neutral Sentiment: Reliance declared a quarterly dividend of $1.25 per share, reinforcing its shareholder return profile, though this is unlikely to be the main driver of the stock move. Benzinga dividend note
• Neutral Sentiment: Wells Fargo raised its price target on Reliance to $398 from $372, but kept an equal weight rating and the new target still sits below the current share price, limiting the bullish signal. Benzinga price target update

Analyst Ratings Changes

Several research firms recently issued reports on RS. BMO Capital Markets increased their target price on shares of Reliance from $320.00 to $350.00 and gave the stock a "market perform" rating in a report on Monday, April 27th. Seaport Research Partners boosted their price target on shares of Reliance from $340.00 to $390.00 and gave the stock a "buy" rating in a research report on Tuesday, April 28th. Wall Street Zen upgraded Reliance from a "hold" rating to a "buy" rating in a research report on Saturday, April 11th. Wells Fargo & Company lifted their price objective on Reliance from $372.00 to $398.00 and gave the company an "equal weight" rating in a report on Thursday. Finally, Weiss Ratings raised Reliance from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Monday, May 18th. Two equities research analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Hold" and a consensus price target of $367.83.

Insider Buying and Selling at Reliance

In other news, CFO Arthur Ajemyan sold 3,500 shares of the business's stock in a transaction that occurred on Monday, April 27th. The stock was sold at an average price of $358.12, for a total transaction of $1,253,420.00. Following the transaction, the chief financial officer directly owned 16,840 shares in the company, valued at $6,030,740.80. The trade was a 17.21% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Corporate insiders own 0.40% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Fulton Bank N.A. boosted its holdings in Reliance by 4.9% in the 2nd quarter. Fulton Bank N.A. now owns 3,124 shares of the industrial products company's stock valued at $1,167,000 after purchasing an additional 147 shares during the last quarter. Hennion & Walsh Asset Management Inc. acquired a new position in shares of Reliance in the second quarter valued at approximately $418,000. PensionDanmark Pensionsforsikringsaktieselskab lifted its holdings in Reliance by 542.5% during the 2nd quarter. PensionDanmark Pensionsforsikringsaktieselskab now owns 9,766 shares of the industrial products company's stock worth $3,649,000 after buying an additional 8,246 shares in the last quarter. Apella Capital LLC acquired a new position in shares of Reliance in the second quarter worth $640,000. Finally, Mirador Capital Partners LP purchased a new stake in shares of Reliance during the second quarter worth $364,000. Hedge funds and other institutional investors own 79.26% of the company's stock.

Reliance Stock Performance

The stock has a market capitalization of $20.85 billion, a PE ratio of 26.60, a price-to-earnings-growth ratio of 1.18 and a beta of 0.97. The company has a quick ratio of 2.24, a current ratio of 4.39 and a debt-to-equity ratio of 0.24. The stock has a fifty day moving average of $385.48 and a 200-day moving average of $346.33.

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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