Brokerages Expect Reliance Steel & Aluminum Co. (NYSE:RS) Will Post Earnings of $4.98 Per Share

Wall Street analysts expect Reliance Steel & Aluminum Co. (NYSE:RS) to post earnings per share (EPS) of $4.98 for the current quarter, Zacks Investment Research reports. Four analysts have issued estimates for Reliance Steel & Aluminum’s earnings. The lowest EPS estimate is $4.62 and the highest is $5.17. Reliance Steel & Aluminum reported earnings of $2.01 per share in the same quarter last year, which would indicate a positive year over year growth rate of 147.8%. The firm is expected to report its next earnings report on Thursday, February 17th.

On average, analysts expect that Reliance Steel & Aluminum will report full-year earnings of $20.24 per share for the current year, with EPS estimates ranging from $19.90 to $20.46. For the next financial year, analysts anticipate that the business will report earnings of $14.19 per share, with EPS estimates ranging from $12.94 to $16.30. Zacks’ earnings per share calculations are an average based on a survey of analysts that cover Reliance Steel & Aluminum.

Reliance Steel & Aluminum (NYSE:RS) last posted its earnings results on Wednesday, October 27th. The industrial products company reported $6.15 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $5.95 by $0.20. The firm had revenue of $3.85 billion for the quarter, compared to analysts’ expectations of $3.75 billion. Reliance Steel & Aluminum had a return on equity of 20.36% and a net margin of 9.16%. The business’s revenue was up 84.5% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.87 earnings per share.

A number of equities research analysts have recently commented on the stock. The Goldman Sachs Group upgraded shares of Reliance Steel & Aluminum from a “neutral” rating to a “buy” rating and increased their price target for the company from $162.00 to $190.00 in a report on Wednesday, November 3rd. Wolfe Research assumed coverage on shares of Reliance Steel & Aluminum in a report on Tuesday, November 16th. They issued an “underperform” rating and a $158.00 price objective on the stock. Zacks Investment Research cut shares of Reliance Steel & Aluminum from a “strong-buy” rating to a “hold” rating and set a $152.00 target price for the company. in a report on Friday, September 24th. Seaport Res Ptn reissued a “buy” rating on shares of Reliance Steel & Aluminum in a report on Monday, August 23rd. Finally, KeyCorp raised their target price on shares of Reliance Steel & Aluminum from $165.00 to $175.00 and gave the company an “overweight” rating in a research note on Tuesday. One analyst has rated the stock with a sell rating, two have assigned a hold rating and six have issued a buy rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Buy” and a consensus target price of $172.89.

In other news, SVP William A. Smith II sold 5,598 shares of the stock in a transaction that occurred on Tuesday, November 9th. The shares were sold at an average price of $164.93, for a total value of $923,278.14. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO James Donald Hoffman sold 5,000 shares of the business’s stock in a transaction that occurred on Wednesday, October 6th. The shares were sold at an average price of $141.43, for a total transaction of $707,150.00. The disclosure for this sale can be found here. 3.43% of the stock is owned by insiders.

A number of institutional investors have recently made changes to their positions in RS. FMR LLC raised its position in Reliance Steel & Aluminum by 249.2% in the 1st quarter. FMR LLC now owns 227,173 shares of the industrial products company’s stock valued at $20,504,000 after purchasing an additional 162,118 shares in the last quarter. Ameritas Investment Company LLC purchased a new stake in shares of Reliance Steel & Aluminum in the 1st quarter valued at approximately $25,000. Eaton Vance Management raised its holdings in shares of Reliance Steel & Aluminum by 2.7% in the 1st quarter. Eaton Vance Management now owns 9,161 shares of the industrial products company’s stock valued at $1,395,000 after purchasing an additional 242 shares in the last quarter. Colony Group LLC increased its holdings in Reliance Steel & Aluminum by 110.9% in the first quarter. Colony Group LLC now owns 6,294 shares of the industrial products company’s stock valued at $959,000 after buying an additional 3,310 shares during the last quarter. Finally, Principal Financial Group Inc. lifted its holdings in Reliance Steel & Aluminum by 20.7% during the 1st quarter. Principal Financial Group Inc. now owns 258,507 shares of the industrial products company’s stock worth $39,368,000 after buying an additional 44,399 shares during the last quarter. Institutional investors own 81.57% of the company’s stock.

Shares of RS traded down $2.20 during mid-day trading on Thursday, reaching $161.78. The company had a trading volume of 192,116 shares, compared to its average volume of 363,832. Reliance Steel & Aluminum has a 52 week low of $114.26 and a 52 week high of $181.21. The company has a market capitalization of $10.14 billion, a price-to-earnings ratio of 9.32 and a beta of 1.01. The firm has a 50-day moving average price of $151.08 and a 200 day moving average price of $154.87. The company has a debt-to-equity ratio of 0.28, a quick ratio of 2.39 and a current ratio of 4.25.

The company also recently disclosed a quarterly dividend, which will be paid on Friday, December 3rd. Stockholders of record on Friday, November 19th will be paid a dividend of $0.688 per share. The ex-dividend date of this dividend is Thursday, November 18th. This represents a $2.75 dividend on an annualized basis and a dividend yield of 1.70%. Reliance Steel & Aluminum’s payout ratio is 15.84%.

About Reliance Steel & Aluminum

Reliance Steel & Aluminum Co engages in the provision of metals processing services and distribution of metal products. It offers alloy, aluminum, brass, copper, carbon steel, stainless steel, titanium and specialty steel products. The company was founded by Thomas J. Neilan on February 3, 1939 and is headquartered in Los Angeles, CA.

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