Reliance Steel & Aluminum (RS) Rating Increased to Buy at Zacks Investment Research

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Reliance Steel & Aluminum (NYSE:RS) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research report issued on Wednesday. The firm currently has a $98.00 price objective on the industrial products company’s stock. Zacks Investment Research‘s price target indicates a potential upside of 11.05% from the stock’s previous close.

According to Zacks, “Reliance Steel has outperformed the industry it belongs to over a year. The company is seeing continued momentum across aerospace and automotive markets. Aerospace remains a strong market as manifested by solid demand. Reliance Steel should also benefit from its aggressive acquisition strategy, broad and diversified product base and wide geographic footprint. Higher metal pricing is also expected to support its margins in third-quarter 2018.”

Other analysts have also issued research reports about the company. ValuEngine upgraded Reliance Steel & Aluminum from a “hold” rating to a “buy” rating in a research note on Saturday, June 2nd. Jefferies Financial Group upgraded Reliance Steel & Aluminum from a “hold” rating to a “buy” rating and set a $72.00 price objective on the stock in a research note on Tuesday, July 10th. JPMorgan Chase & Co. upped their price objective on Reliance Steel & Aluminum from $100.00 to $105.00 and gave the company a “neutral” rating in a research note on Friday, July 27th. Finally, KeyCorp upped their price objective on Reliance Steel & Aluminum from $97.00 to $100.00 and gave the company an “overweight” rating in a research note on Thursday, June 14th. Three analysts have rated the stock with a hold rating and eight have given a buy rating to the company’s stock. The stock presently has an average rating of “Buy” and a consensus price target of $98.13.

Shares of NYSE RS opened at $88.25 on Wednesday. Reliance Steel & Aluminum has a 52 week low of $71.17 and a 52 week high of $97.41. The company has a quick ratio of 1.76, a current ratio of 4.06 and a debt-to-equity ratio of 0.39. The company has a market cap of $6.36 billion, a P/E ratio of 16.22, a P/E/G ratio of 0.99 and a beta of 1.16.

Reliance Steel & Aluminum (NYSE:RS) last issued its quarterly earnings results on Thursday, July 26th. The industrial products company reported $3.10 EPS for the quarter, beating the consensus estimate of $2.75 by $0.35. The firm had revenue of $2.99 billion during the quarter. Reliance Steel & Aluminum had a return on equity of 12.29% and a net margin of 7.55%. The business’s revenue for the quarter was up 20.8% on a year-over-year basis. During the same period last year, the company posted $1.40 earnings per share. equities research analysts anticipate that Reliance Steel & Aluminum will post 9.85 EPS for the current year.

In other news, Director David H. Hannah sold 25,000 shares of the stock in a transaction that occurred on Wednesday, August 1st. The stock was sold at an average price of $90.04, for a total transaction of $2,251,000.00. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 3.24% of the stock is currently owned by company insiders.

Several hedge funds and other institutional investors have recently made changes to their positions in the company. BlackRock Inc. increased its stake in Reliance Steel & Aluminum by 1.7% during the 2nd quarter. BlackRock Inc. now owns 6,880,203 shares of the industrial products company’s stock worth $602,292,000 after acquiring an additional 115,704 shares during the period. Dimensional Fund Advisors LP increased its stake in Reliance Steel & Aluminum by 0.7% during the 2nd quarter. Dimensional Fund Advisors LP now owns 2,581,731 shares of the industrial products company’s stock worth $226,010,000 after acquiring an additional 18,241 shares during the period. Acadian Asset Management LLC increased its stake in Reliance Steel & Aluminum by 13.7% during the 2nd quarter. Acadian Asset Management LLC now owns 1,637,282 shares of the industrial products company’s stock worth $143,324,000 after acquiring an additional 196,890 shares during the period. LSV Asset Management increased its stake in Reliance Steel & Aluminum by 8.8% during the 2nd quarter. LSV Asset Management now owns 963,374 shares of the industrial products company’s stock worth $84,333,000 after acquiring an additional 77,756 shares during the period. Finally, Luminus Management LLC increased its stake in Reliance Steel & Aluminum by 13.1% during the 2nd quarter. Luminus Management LLC now owns 934,905 shares of the industrial products company’s stock worth $81,842,000 after acquiring an additional 108,400 shares during the period. Institutional investors own 84.08% of the company’s stock.

About Reliance Steel & Aluminum

Reliance Steel & Aluminum Co operates as a metals service center company in the United States and internationally. The company provides steel, aluminum, stainless, and specialty metals and related processing services to customers in various industries, such as infrastructure and energy; fabricates steel and aluminum products; and provides various precision fabrication services, including laser cutting, shearing, computer numerated control (CNC) punching, and CNC forming and rolling, as well as welding, assembly, painting, inventory management, and engineering expertise.

See Also: Price to Earnings Ratio (PE)

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