Reliance Steel & Aluminum
Reliance Steel & Aluminum Co. operates as a metals service center company. The last earnings update was 18 days ago. More info.
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RS Share Price and Events
7 Day Returns
1 Year Returns
RS Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Reliance Steel & Aluminum (RS) | 0.8% | -2.5% | 3.9% | -7.1% | 20.8% | 21.3% |
| US Metals and Mining | -1.1% | -10.7% | -6.8% | -28.1% | 8.5% | -18.9% |
| US Market | -0.7% | -2% | 2.4% | 3% | 39.2% | 42% |
1 Year Return vs Industry and Market
- RS outperformed the Metals and Mining industry which returned -28.1% over the past year.
- RS underperformed the Market in United States of America which returned 3% over the past year.
Value
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Reliance Steel & Aluminum
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Reliance Steel & Aluminum.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 8 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 9.8% |
| Perpetual Growth Rate | 10-Year US Government Bond Rate | 2.7% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year US Govt Bond Rate | 2.7% |
| Equity Risk Premium | S&P Global | 6% |
| Metals and Mining Unlevered Beta | Simply Wall St/ S&P Global | 0.97 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.97 (1 + (1- 21%) (40.25%)) |
1.187 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
1.19 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.187 * 5.96%) |
9.8% |
Discounted Cash Flow Calculation for NYSE:RS using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Reliance Steel & Aluminum is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (USD, Millions) | Source |
Present Value Discounted (@ 9.8%) |
|
|---|---|---|---|
| 2019 | 715.00 | Analyst x6 | 651.16 |
| 2020 | 641.67 | Analyst x6 | 532.21 |
| 2021 | 491.67 | Analyst x3 | 371.39 |
| 2022 | 515.50 | Analyst x2 | 354.62 |
| 2023 | 530.00 | Analyst x1 | 332.05 |
| 2024 | 513.13 | Est @ -3.18% | 292.78 |
| 2025 | 505.90 | Est @ -1.41% | 262.88 |
| 2026 | 505.06 | Est @ -0.17% | 239.01 |
| 2027 | 508.60 | Est @ 0.7% | 219.20 |
| 2028 | 515.27 | Est @ 1.31% | 202.25 |
| Present value of next 10 years cash flows | $3,457.56 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2028
× (1 + g) ÷ (Discount Rate – g)
= $515.27 × (1 + 2.73%) ÷ (9.8% – 2.73%) |
$7,483.69 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= $7,483.69 ÷ (1 + 9.8%)10 |
$2,937.42 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= $3,457.56 + $2,937.42 |
$6,394.98 |
| Equity Value per Share (USD) |
= Total value / Shares Outstanding
= $6,394.98 / 67.24 |
$95.11 |
| Calculation | Result | |
|---|---|---|
| Value per share (USD) | From above. | $95.11 |
| Current discount | Discount to share price of
$87.72
= -1 x ($87.72 - $95.11) / $95.11 |
7.8% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Reliance Steel & Aluminum's share price is below the future cash flow value, but not at a moderate discount (< 20%).
- Reliance Steel & Aluminum's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Reliance Steel & Aluminum's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Reliance Steel & Aluminum's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2019-03-31) in USD | $9.33 |
| NYSE:RS Share Price ** | NYSE (2019-05-17) in USD | $87.72 |
| United States of America Metals and Mining Industry PE Ratio | Median Figure of 46 Publicly-Listed Metals and Mining Companies | 9.72x |
| United States of America Market PE Ratio | Median Figure of 3,088 Publicly-Listed Companies | 17.89x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Reliance Steel & Aluminum.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = NYSE:RS Share Price ÷ EPS (both in USD) = 87.72 ÷ 9.33 |
9.4x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Reliance Steel & Aluminum is good value based on earnings compared to the US Metals and Mining industry average.
- Reliance Steel & Aluminum is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does
Reliance Steel & Aluminum's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 9.4x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts |
-5.8%per year |
| United States of America Metals and Mining Industry PEG Ratio | Median Figure of 25 Publicly-Listed Metals and Mining Companies | 0.62x |
| United States of America Market PEG Ratio | Median Figure of 2,117 Publicly-Listed Companies | 1.56x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 9.4x ÷ -5.8% |
-1.61x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Reliance Steel & Aluminum earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
Reliance Steel & Aluminum's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2019-03-31) in USD | $71.83 |
| NYSE:RS Share Price * | NYSE (2019-05-17) in USD | $87.72 |
| United States of America Metals and Mining Industry PB Ratio | Median Figure of 103 Publicly-Listed Metals and Mining Companies | 1.46x |
| United States of America Market PB Ratio | Median Figure of 5,195 Publicly-Listed Companies | 1.83x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = NYSE:RS Share Price ÷ Book Value per Share (both in USD) = 87.72 ÷ 71.83 |
1.22x |
* Primary Listing of Reliance Steel & Aluminum.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Reliance Steel & Aluminum is good value based on assets compared to the US Metals and Mining industry average.
Value checks
We assess Reliance Steel & Aluminum's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Metals and Mining industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Metals and Mining industry average (and greater than 0)? (1 check) Reliance Steel & Aluminum has a total score of 3/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Reliance Steel & Aluminum's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Growth vs Market Checks
- Reliance Steel & Aluminum's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
- Reliance Steel & Aluminum's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| NYSE:RS Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 8 Analysts | -5.8% |
| NYSE:RS Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 8 Analysts | -0.4% |
| United States of America Metals and Mining Industry Earnings Growth Rate | Market Cap Weighted Average | 20.2% |
| United States of America Metals and Mining Industry Revenue Growth Rate | Market Cap Weighted Average | 5.2% |
| United States of America Market Earnings Growth Rate | Market Cap Weighted Average | 13.9% |
| United States of America Market Revenue Growth Rate | Market Cap Weighted Average | 7.3% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 8 Analyst Estimates (S&P Global) | See Below |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 11,705 | 760 | 1 | |
| 2022-12-31 | 11,515 | 770 | 1 | |
| 2021-12-31 | 11,157 | 821 | 573 | 5 |
| 2020-12-31 | 11,340 | 907 | 580 | 8 |
| 2019-12-31 | 11,469 | 870 | 628 | 8 |
| Date (Data in USD Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2019-03-31 | 11,734 | 769 | 655 |
| 2018-12-31 | 11,535 | 665 | 634 |
| 2018-09-30 | 11,097 | 434 | 850 |
| 2018-06-30 | 10,573 | 481 | 799 |
| 2018-03-31 | 10,059 | 433 | 671 |
| 2017-12-31 | 9,721 | 399 | 613 |
| 2017-09-30 | 9,406 | 437 | 374 |
| 2017-06-30 | 9,141 | 437 | 326 |
| 2017-03-31 | 8,870 | 450 | 324 |
| 2016-12-31 | 8,613 | 627 | 304 |
| 2016-09-30 | 8,578 | 696 | 311 |
| 2016-06-30 | 8,679 | 766 | 313 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (1 month ago) | See Below |
| Future Estimates | Average of up to 8 Analyst Estimates (S&P Global) | See Below |
All data from Reliance Steel & Aluminum Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | ||||
| 2022-12-31 | ||||
| 2021-12-31 | 8.44 | 8.44 | 8.44 | 1.00 |
| 2020-12-31 | 8.45 | 9.20 | 7.62 | 5.00 |
| 2019-12-31 | 9.23 | 9.50 | 8.75 | 6.00 |
| Date (Data in USD Millions) | EPS * |
|---|---|
| 2019-03-31 | 9.33 |
| 2018-12-31 | 8.85 |
| 2018-09-30 | 11.72 |
| 2018-06-30 | 10.98 |
| 2018-03-31 | 9.21 |
| 2017-12-31 | 8.42 |
| 2017-09-30 | 5.13 |
| 2017-06-30 | 4.48 |
| 2017-03-31 | 4.46 |
| 2016-12-31 | 4.21 |
| 2016-09-30 | 4.31 |
| 2016-06-30 | 4.33 |
*GAAP earnings excluding extraordinary items.
Performance in 3 years
In the same way as past performance we look at the future estimated return
(profit) compared to the available
funds. We do this looking forward 3 years.
- Reliance Steel & Aluminum is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Future performance checks
We assess Reliance Steel & Aluminum's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Reliance Steel & Aluminum has a total score of 0/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has Reliance Steel & Aluminum performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Reliance Steel & Aluminum's year on year earnings growth rate has been positive over the past 5 years.
- Reliance Steel & Aluminum's 1-year earnings growth is negative, it can't be compared to the 5-year average.
- Reliance Steel & Aluminum's 1-year earnings growth is negative, it can't be compared to the US Metals and Mining industry average.
Earnings and Revenue History
All data from Reliance Steel & Aluminum Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in USD Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2019-03-31 | 11,734.00 | 654.80 | 2,104.10 | |
| 2018-12-31 | 11,534.50 | 633.70 | 2,091.40 | |
| 2018-09-30 | 11,096.90 | 849.50 | 2,072.30 | |
| 2018-06-30 | 10,572.50 | 798.50 | 2,012.80 | |
| 2018-03-31 | 10,058.80 | 670.70 | 1,952.80 | |
| 2017-12-31 | 9,721.00 | 613.40 | 1,909.60 | |
| 2017-09-30 | 9,406.20 | 373.70 | 1,867.90 | |
| 2017-06-30 | 9,141.30 | 325.90 | 1,847.80 | |
| 2017-03-31 | 8,870.00 | 323.80 | 1,827.10 | |
| 2016-12-31 | 8,613.40 | 304.30 | 1,800.40 | |
| 2016-09-30 | 8,578.00 | 311.20 | 1,776.10 | |
| 2016-06-30 | 8,679.00 | 313.10 | 1,753.90 | |
| 2016-03-31 | 8,898.80 | 302.40 | 1,739.50 | |
| 2015-12-31 | 9,350.50 | 311.50 | 1,727.50 | |
| 2015-09-30 | 9,901.00 | 335.20 | 1,747.60 | |
| 2015-06-30 | 10,319.90 | 379.30 | 1,779.10 | |
| 2015-03-31 | 10,513.00 | 385.60 | 1,782.00 | |
| 2014-12-31 | 10,451.60 | 371.50 | 1,766.60 | |
| 2014-09-30 | 10,181.60 | 341.00 | 1,757.80 | |
| 2014-06-30 | 9,920.00 | 340.60 | 1,723.70 | |
| 2014-03-31 | 9,751.50 | 325.10 | 1,697.70 | |
| 2013-12-31 | 9,223.80 | 321.60 | 1,627.00 | |
| 2013-09-30 | 8,806.10 | 340.20 | 1,544.00 | |
| 2013-06-30 | 8,417.90 | 343.20 | 1,464.10 | |
| 2013-03-31 | 8,179.30 | 371.00 | 1,393.10 | |
| 2012-12-31 | 8,442.30 | 403.50 | 1,396.20 | |
| 2012-09-30 | 8,587.20 | 391.00 | 1,378.10 | |
| 2012-06-30 | 8,670.50 | 377.80 | 1,352.30 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Reliance Steel & Aluminum has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
- Reliance Steel & Aluminum used its assets more efficiently than the US Metals and Mining industry average last year based on Return on Assets.
- Reliance Steel & Aluminum has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Reliance Steel & Aluminum's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Metals and Mining industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Reliance Steel & Aluminum has a total score of 3/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
How is Reliance Steel & Aluminum's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Reliance Steel & Aluminum's finances.
The net worth of a company is the difference between its assets and liabilities.
- Reliance Steel & Aluminum is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
- Reliance Steel & Aluminum's cash and other short term assets cover its long term commitments.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is covered by short term assets, assets are 1.5x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Reliance Steel & Aluminum Company Filings, last reported 1 month ago.
| Date (Data in USD Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2019-03-31 | 4,839.20 | 2,373.90 | 133.60 |
| 2018-12-31 | 4,679.50 | 2,203.70 | 128.20 |
| 2018-09-30 | 5,030.30 | 2,070.20 | 112.10 |
| 2018-06-30 | 4,980.80 | 2,037.10 | 124.30 |
| 2018-03-31 | 4,783.60 | 2,048.30 | 145.40 |
| 2017-12-31 | 4,699.90 | 1,901.40 | 154.40 |
| 2017-09-30 | 4,445.90 | 1,975.70 | 170.20 |
| 2017-06-30 | 4,362.30 | 2,069.00 | 146.50 |
| 2017-03-31 | 4,276.00 | 2,023.20 | 133.80 |
| 2016-12-31 | 4,179.10 | 1,929.20 | 122.80 |
| 2016-09-30 | 4,153.20 | 2,105.90 | 143.30 |
| 2016-06-30 | 4,129.40 | 2,169.40 | 116.50 |
| 2016-03-31 | 4,040.40 | 2,134.10 | 120.50 |
| 2015-12-31 | 3,942.70 | 1,928.70 | 104.30 |
| 2015-09-30 | 3,950.50 | 2,095.50 | 94.10 |
| 2015-06-30 | 4,062.30 | 2,201.40 | 131.90 |
| 2015-03-31 | 4,010.60 | 2,368.70 | 101.60 |
| 2014-12-31 | 4,127.90 | 2,302.00 | 106.20 |
| 2014-09-30 | 4,119.60 | 2,322.00 | 100.70 |
| 2014-06-30 | 4,054.20 | 2,132.40 | 113.50 |
| 2014-03-31 | 3,950.00 | 2,127.80 | 113.60 |
| 2013-12-31 | 3,884.40 | 2,109.00 | 83.60 |
| 2013-09-30 | 3,831.00 | 2,152.20 | 104.90 |
| 2013-06-30 | 3,722.80 | 2,334.50 | 100.80 |
| 2013-03-31 | 3,655.90 | 1,150.40 | 100.10 |
| 2012-12-31 | 3,567.40 | 1,207.40 | 97.60 |
| 2012-09-30 | 3,485.50 | 1,367.60 | 120.60 |
| 2012-06-30 | 3,375.20 | 1,531.20 | 93.60 |
- Reliance Steel & Aluminum's level of debt (49.1%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has been reduced over the past 5 years (53.9% vs 49.1% today).
- Debt is well covered by operating cash flow (32.4%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 11.1x coverage).
Financial health checks
We assess Reliance Steel & Aluminum's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Reliance Steel & Aluminum has a total score of 5/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is Reliance Steel & Aluminum's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
$2,000 of
Reliance Steel & Aluminum
shares you are expected to receive
$50
in your first year as a dividend.
Dividend Amount
- Reliance Steel & Aluminum's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.44%).
- Reliance Steel & Aluminum's dividend is below the markets top 25% of dividend payers in United States of America (3.69%).
Upcoming dividend payment
Purchase Reliance Steel & Aluminum before the 'Buy Limit' to receive their next dividend payment.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 8 Analyst Estimates (S&P Global) | See Below |
| United States of America Metals and Mining Industry Average Dividend Yield | Market Cap Weighted Average of 31 Stocks | 2.7% |
| United States of America Market Average Dividend Yield | Market Cap Weighted Average of 2000 Stocks | 2.5% |
| United States of America Minimum Threshold Dividend Yield | 10th Percentile | 0.8% |
| United States of America Bottom 25% Dividend Yield | 25th Percentile | 1.4% |
| United States of America Top 25% Dividend Yield | 75th Percentile | 3.7% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in $) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | 2.43 | 1.00 |
| 2022-12-31 | 2.38 | 1.00 |
| 2021-12-31 | 2.30 | 6.00 |
| 2020-12-31 | 2.26 | 9.00 |
| 2019-12-31 | 2.20 | 9.00 |
| Date (Data in $) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-05-02 | 2.200 | 2.452 |
| 2019-04-25 | 2.200 | 2.414 |
| 2019-02-27 | 2.200 | 2.449 |
| 2019-02-21 | 2.200 | 2.445 |
| 2018-11-01 | 2.000 | 2.561 |
| 2018-10-25 | 2.000 | 2.574 |
| 2018-04-26 | 2.000 | 2.250 |
| 2018-02-28 | 2.000 | 2.266 |
| 2018-02-15 | 2.000 | 2.168 |
| 2017-07-27 | 1.800 | 2.294 |
| 2017-05-03 | 1.800 | 2.452 |
| 2017-04-27 | 1.800 | 2.303 |
| 2017-02-24 | 1.800 | 2.245 |
| 2017-02-16 | 1.800 | 2.092 |
| 2016-10-31 | 1.700 | 2.122 |
| 2016-10-20 | 1.700 | 2.490 |
| 2016-08-01 | 1.700 | 2.358 |
| 2016-07-21 | 1.700 | 2.204 |
| 2016-05-02 | 1.600 | 2.112 |
| 2016-04-21 | 1.600 | 2.193 |
| 2016-02-26 | 1.600 | 2.345 |
| 2016-02-18 | 1.600 | 2.673 |
| 2015-10-30 | 1.600 | 2.801 |
| 2015-10-22 | 1.600 | 2.668 |
| 2015-07-31 | 1.600 | 2.777 |
| 2015-07-23 | 1.600 | 2.637 |
| 2015-02-19 | 1.600 | 2.613 |
| 2014-07-24 | 1.400 | 2.222 |
| 2014-04-24 | 1.400 | 1.925 |
| 2014-02-27 | 1.400 | 1.993 |
| 2014-02-20 | 1.400 | 2.016 |
| 2013-10-24 | 1.320 | 1.799 |
| 2013-07-25 | 1.320 | 1.851 |
| 2013-04-25 | 1.200 | 1.807 |
| 2013-02-26 | 1.200 | 1.777 |
| 2013-02-21 | 1.200 | 1.799 |
| 2012-10-25 | 1.000 | 1.644 |
| 2012-07-26 | 1.000 | 1.904 |
| 2012-04-26 | 0.600 | 1.214 |
| 2012-02-16 | 0.600 | 1.093 |
| 2011-10-27 | 0.480 | 0.977 |
| 2011-07-28 | 0.480 | 1.229 |
| 2011-04-28 | 0.480 | 0.963 |
| 2011-02-17 | 0.480 | 0.865 |
| 2010-07-22 | 0.400 | 0.892 |
| 2010-02-18 | 0.400 | 0.892 |
| 2009-10-22 | 0.400 | 0.950 |
| 2009-07-23 | 0.400 | 1.032 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Reliance Steel & Aluminum's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (4.6x coverage).
- Dividends after 3 years are expected to be well covered by earnings (3.5x coverage).
Income/ dividend checks
We assess Reliance Steel & Aluminum's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Reliance Steel & Aluminum afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Reliance Steel & Aluminum has a total score of 5/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| COMPENSATION | $4,988,218 |
| AGE | 59 |
| TENURE AS CEO | 0.3 years |
CEO Bio
Mr. James D. Hoffman, also known as Jim, has been the President and Chief Executive Officer of Reliance Steel & Aluminum Co. since January 1, 2019 and was its Chief Operating Officer since March 2016 until January 1, 2019. Mr. Hoffman serves as Chief Executive Officer at Sunbelt Steel Texas, Inc. He serves as the Chief Executive Officer and Manager at Continental Alloys & Services (Delaware) LLC. Mr. Hoffman was an Executive Vice President of Reliance Steel & Aluminum Co. since March 2016 until January 1, 2019. Mr. Hoffman served as Executive Vice President of Operations at Reliance Steel & Aluminum Co. since May 2015 until February 29, 2016 and Senior Vice President of Operations since October 2008. Mr. Hoffman joined Reliance’s executive management team in 2008. He served as the Chief Operating Officer of Earle M. Jorgensen Company, Inc., a subsidiary of Reliance Steel & Aluminum Co. since April 3, 2006 and Executive Vice President since January 17, 2006. He served as a Vice President of Earle M. Jorgensen Company from March 2001 to January 17, 2006. He was responsible for operations of Cleveland, Indianapolis and Cincinnati facilities since March 2001. Before that, he served as Jorgensen Earle M Co.'s Vice President Eastern Region since July 1996. He served as District Manager of Jorgensen Earle M Co.'s Cleveland and Buffalo operations since June 1992. He held various sales and operational positions since joining EMJ in 1991. From 1980 to 1991, he worked at various positions at United States Steel Corporation. He serves as a Director At Large of Metals Service Center Institute. Mr. Hoffman graduated from West Virginia University with a BS degree in Advertising and Marketing.
CEO Compensation
- Jim's compensation has increased by more than 20% in the past year.
- Jim's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure
Average tenure and age of the Reliance Steel & Aluminum management team in years:
- The tenure for the Reliance Steel & Aluminum management team is about average.
Management Team
Jim Hoffman
President & CEO
$5M
59
0.3 yrs
Karla Lewis
Senior EVP & CFO
$4M
52
20.3 yrs
Bill Sales
Executive Vice President of Operations
$4M
61
4 yrs
Gregg Mollins
Senior Advisor to the CEO & Director
$13M
63
0.3 yrs
Michael Shanley
Senior Vice President of Operations
$3M
60
4.1 yrs
Jeffrey Durham
Senior Vice President of Operations
55
0.3 yrs
Will Smith
Senior VP
50
6 yrs
Don Prebola
Vice President of Health
63
3.9 yrs
Steve Koch
Senior Vice President of Operations
$3M
51
9.1 yrs
Arthur Ajemyan
VP & Corporate Controller
42
6.8 yrs
Board of Directors Tenure
Average tenure and age of the Reliance Steel & Aluminum board of directors in years:
- The average tenure for the Reliance Steel & Aluminum board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors
Mark Kaminski
Non-Executive Chairman of the Board
$410K
62
2.8 yrs
Gregg Mollins
Senior Advisor to the CEO & Director
$13M
63
21.7 yrs
John Figueroa
Independent Director
$277K
55
8.6 yrs
Sally Anderson
Independent Director
$282K
67
6.8 yrs
Doug Stotlar
Independent Director
$260K
57
2.6 yrs
David Hannah
Director
$260K
66
27.3 yrs
Thomas Gimbel
Independent Director
$260K
66
20.3 yrs
Doug Hayes
Independent Director
$260K
74
21.7 yrs
Andrew Sharkey
Independent Director
$272K
71
11.8 yrs
Rob McEvoy
Independent Director
$260K
52
3.6 yrs
Who owns this company?
Recent Insider Trading
- Reliance Steel & Aluminum insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price ($) | Value ($) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 06. May 19 | Sell | Jeffrey Durham | Individual | 03. May 19 | 03. May 19 | -2,675 | $92.29 | $-246,876 | ||
| 06. May 19 | Sell | Gregg Mollins | Individual | 03. May 19 | 03. May 19 | -25,000 | $91.81 | $-2,295,250 | ||
| 01. May 19 | Sell | Stephen Koch | Individual | 30. Apr 19 | 30. Apr 19 | -11,333 | $91.62 | $-1,038,329 | ||
| 01. May 19 | Sell | Michael Shanley | Individual | 29. Apr 19 | 29. Apr 19 | -7,385 | $91.55 | $-676,097 | ||
| 05. Mar 19 | Sell | Gregg Mollins | Individual | 01. Mar 19 | 04. Mar 19 | -49,290 | $89.51 | $-4,403,521 | ||
| 05. Mar 19 | Sell | Karla McDowell | Individual | 01. Mar 19 | 01. Mar 19 | -8,652 | $90.01 | $-776,651 | ||
| 01. Mar 19 | Sell | William Smith | Individual | 28. Feb 19 | 28. Feb 19 | -5,899 | $89.20 | $-526,191 | ||
| 27. Feb 19 | Sell | Gregg Mollins | Individual | 26. Feb 19 | 26. Feb 19 | -9,478 | $90.05 | $-853,494 | ||
| 27. Feb 19 | Sell | William Smith | Individual | 25. Feb 19 | 25. Feb 19 | -3,025 | $90.63 | $-274,156 | ||
| 27. Feb 19 | Sell | Michael Shanley | Individual | 26. Feb 19 | 26. Feb 19 | -8,870 | $90.62 | $-803,799 | ||
| 26. Nov 18 | Sell | David Hannah | Individual | 21. Nov 18 | 21. Nov 18 | -28,080 | $80.00 | $-2,246,400 | ||
| 21. Nov 18 | Sell | William Smith | Individual | 20. Nov 18 | 20. Nov 18 | -5,582 | $78.98 | $-440,866 | ||
| 02. Aug 18 | Sell | David Hannah | Individual | 01. Aug 18 | 01. Aug 18 | -25,000 | $90.04 | $-2,251,000 | ||
| 07. Jun 18 | Sell | Michael Shanley | Individual | 06. Jun 18 | 06. Jun 18 | -4,069 | $96.50 | $-392,659 | ||
Management checks
We assess Reliance Steel & Aluminum's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Reliance Steel & Aluminum has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
What Does Reliance Steel & Aluminum Co.'s (NYSE:RS) P/E Ratio Tell You?
Reliance Steel & Aluminum has a price to earnings ratio of 9.58, based on the last twelve months. … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Reliance Steel & Aluminum: P/E of 9.58 = $89.34 ÷ $9.33 (Based on the year to March 2019.) Is A High Price-to-Earnings Ratio Good? … NYSE:RS Price Estimation Relative to Market, May 16th 2019 Its P/E ratio suggests that Reliance Steel & Aluminum shareholders think that in the future it will perform about the same as other companies in its industry classification.
Simply Wall St - – Full articleShould You Consider Reliance Steel & Aluminum Co. (NYSE:RS)?
Help shape the future of investing tools and you could win a $250 gift card! … (NYSE:RS) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects.
Simply Wall St - – Full articleReliance Steel & Aluminum Co.'s (NYSE:RS) 2.5% Dividend Yield Looks Pretty Interesting
While Reliance Steel & Aluminum's 2.5% dividend yield is not the highest, we think its lengthy payment history is quite interesting. … Some simple analysis can offer a lot of insight when buying a company for its dividend, and we'll go through these below. … Click the interactive chart for our full dividend analysis
Simply Wall St - – Full articleIf You Had Bought Reliance Steel & Aluminum (NYSE:RS) Shares Five Years Ago You'd Have Made 35%
(NYSE:RS) share price is up 35% in the last five years, that's less than the market return. … Over half a decade, Reliance Steel & Aluminum managed to grow its earnings per share at 16% a year. … Dive deeper into the earnings by checking this interactive graph of Reliance Steel & Aluminum's earnings, revenue and cash flow.
Simply Wall St - – Full articleWhat does Reliance Steel & Aluminum Co.'s (NYSE:RS) Balance Sheet Tell Us About Its Future?
Mid-caps stocks, like Reliance Steel & Aluminum Co. … (NYSE:RS) with a market capitalization of US$6.1b, aren’t the focus of most investors who prefer to direct their investments towards either large-cap or small-cap stocks. … Check out our latest analysis for Reliance Steel & Aluminum
Simply Wall St - – Full articleWhat Kind Of Shareholders Own Reliance Steel & Aluminum Co. (NYSE:RS)?
A look at the shareholders of Reliance Steel & Aluminum Co. … Generally speaking, as a company grows, institutions will increase their ownership. … Reliance Steel & Aluminum has a market capitalization of US$6.0b, so it's too big to fly under the radar.
Simply Wall St - – Full articleOnly 4 Days Left To Cash In On Reliance Steel & Aluminum Co. (NYSE:RS) Dividend
On the 29 March 2019, Reliance Steel & Aluminum Co. … (NYSE:RS) will be paying shareholders an upcoming dividend amount of US$0.55 per share. … Will the company be able to keep paying dividend based on the future earnings growth
Simply Wall St - – Full articleWho Has Been Selling Reliance Steel & Aluminum Co. (NYSE:RS) Shares?
So we'll take a look at whether insiders have been buying or selling shares in Reliance Steel & Aluminum Co. … The Last 12 Months Of Insider Transactions At Reliance Steel & Aluminum. … In total, Reliance Steel & Aluminum insiders sold more than they bought over the last year
Simply Wall St - – Full articleIs Reliance Steel & Aluminum Co. (NYSE:RS) Better Than Average At Deploying Capital?
Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … What is Return On Capital Employed (ROCE)? … Analysts use this formula to calculate return on capital employed:
Simply Wall St - – Full articleReliance Steel & Aluminum Co. (NYSE:RS): Secrets For Long Term Investors
High quality stocks such as Reliance Steel & Aluminum Co. … See our latest analysis for Reliance Steel & Aluminum. … Reliance Steel & Aluminum Co.
Simply Wall St - – Full articleCompany Info
Description
Reliance Steel & Aluminum Co. operates as a metals service center company. The company provides alloy, aluminum, brass, copper, carbon steel, stainless steel, titanium, and specialty steel products and related processing services to general manufacturing, non-residential construction, transportation, aerospace and defense, energy, electronics and semiconductor fabrication, auto, and heavy industries. It also offers precision sheet metal fabrication services, including laser cutting, stamping, turret punching, machining, powder coating, shearing, computer numerated control (CNC) punching, and CNC forming and rolling, as well as welding, assembly, painting, inventory management, and engineering expertise. In addition, the company manufactures metal parts that have applications in various end markets, including industrial machinery, automotive, aerospace, sugar products, and consumer electronics manufacturers; and distributes and processes tubing and bar products. Further, it provides toll processing and logistics services. The company sells directly to large original equipment manufacturer customers, as well as to small machine shops and fabricators. It operates in the United States, Australia, Belgium, Canada, China, France, India, Malaysia, Mexico, Singapore, South Korea, Turkey, the United Arab Emirates, and the United Kingdom. Reliance Steel & Aluminum Co. was founded in 1939 and is headquartered in Los Angeles, California.
Details
| Name: | Reliance Steel & Aluminum Co. |
| RS | |
| Exchange: | NYSE |
| Founded: | 1939 |
| $5,897,887,709 | |
| 67,235,382 | |
| Website: | http://www.rsac.com |
| Address: |
Reliance Steel & Aluminum Co. 350 South Grand Avenue, Suite 5100, Los Angeles, California, 90071, United States |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| NYSE | RS | Common Stock | New York Stock Exchange | US | USD | 16. Sep 1994 | |
| DB | RS6 | Common Stock | Deutsche Boerse AG | DE | EUR | 16. Sep 1994 |
Number of employees
Current staff
Industry
| Steel | |
| Materials |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/05/20 01:40 |
| End of day share price update: | 2019/05/17 00:00 |
| Last estimates confirmation: | 2019/05/18 |
| Last earnings filing: | 2019/05/02 |
| Last earnings reported: | 2019/03/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
