Reliance Steel Aluminum Stock Performance

RS Stock  USD 334.18  2.72  0.81%   
On a scale of 0 to 100, Reliance Steel holds a performance score of 12. The company holds a Beta of 1.97, which implies a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Reliance Steel will likely underperform. Please check Reliance Steel's value at risk, as well as the relationship between the kurtosis and price action indicator , to make a quick decision on whether Reliance Steel's historical price patterns will revert.

Risk-Adjusted Performance

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Compared to the overall equity markets, risk-adjusted returns on investments in Reliance Steel Aluminum are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively conflicting basic indicators, Reliance Steel unveiled solid returns over the last few months and may actually be approaching a breakup point. ...more
 
Reliance Steel dividend paid on 22nd of March 2024
03/22/2024
Begin Period Cash Flow1.2 B
  

Reliance Steel Relative Risk vs. Return Landscape

If you would invest  27,873  in Reliance Steel Aluminum on December 29, 2023 and sell it today you would earn a total of  5,545  from holding Reliance Steel Aluminum or generate 19.89% return on investment over 90 days. Reliance Steel Aluminum is generating 0.3116% of daily returns and assumes 1.9905% volatility on return distribution over the 90 days horizon. Put differently, 17% of stocks are less risky than Reliance on the basis of their historical return distribution, and some 94% of all equities are expected to be superior in generating returns on investments over the next 90 days.
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Allowing for the 90-day total investment horizon Reliance Steel is expected to generate 3.5 times more return on investment than the market. However, the company is 3.5 times more volatile than its market benchmark. It trades about 0.16 of its potential returns per unit of risk. The NYSE Composite is currently generating roughly 0.24 per unit of risk.

Reliance Steel Market Risk Analysis

Today, many novice investors tend to focus exclusively on investment returns with little concern for Reliance Steel's investment risk. Standard deviation is the most common way to measure market volatility of stocks, such as Reliance Steel Aluminum, and traders can use it to determine the average amount a Reliance Steel's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.

Sharpe Ratio = 0.1565

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Estimated Market Risk

 1.99
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83% of assets are more volatile

Expected Return

 0.31
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94% of assets have higher returns

Risk-Adjusted Return

 0.16
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12
88% of assets perform better
Based on monthly moving average Reliance Steel is performing at about 12% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Reliance Steel by adding it to a well-diversified portfolio.

Reliance Steel Fundamentals Growth

Reliance Stock prices reflect investors' perceptions of the future prospects and financial health of Reliance Steel, and Reliance Steel fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Reliance Stock performance.

About Reliance Steel Performance

To evaluate Reliance Steel Aluminum Stock as a possible investment, you need to clearly understand its upside potential, downside risk, and overall future performance outlook. You may be satisfied when Reliance Steel generates a 15% return over the last few months, but what if the market is generating 25% over the same period? In this case, it makes sense to compare Reliance Stock's performance with different market indexes, such as the Dow or NASDAQ Composite. These indexes can act as benchmarks that will help you to understand Reliance Steel Aluminum market performance in a much more refined way. The Macroaxis performance score is an integer between 0 and 100 that represents Reliance's market performance from a risk-adjusted return perspective. Generally speaking, the higher the score, the better is overall performance as compared to other investors. The score is normalized against the average investing universe (the best we can interpret from the data available). Within this methodology, scores of individual equity instruments will always be inferior to the scores of portfolios of equities as portfolios typically diversify a lot of unsystematic risks away. The formula to derive the Macroaxis score bases on multiple unequally-weighted factors. For more information, refer to our portfolio performance evaluation section.
Please also refer to our technical analysis and fundamental analysis pages.
Reliance Steel Aluminum Co. operates as a diversified metal solutions provider and the metals service center company in the United States, Canada, and internationally. The company was founded in 19 and is headquartered in Los Angeles, California. Reliance Steel operates under Steel classification in the United States and is traded on New York Stock Exchange. It employs 13700 people.

Things to note about Reliance Steel Aluminum performance evaluation

Checking the ongoing alerts about Reliance Steel for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Reliance Steel Aluminum help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
Over 81.0% of the company shares are owned by institutional investors
On 22nd of March 2024 Reliance Steel paid $ 1.1 per share dividend to its current shareholders
Evaluating Reliance Steel's performance can involve analyzing a variety of financial metrics and factors. Some of the key considerations to evaluate Reliance Steel's stock performance include:
  • Analyzing Reliance Steel's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
  • Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Reliance Steel's stock is overvalued or undervalued compared to its peers.
  • Examining Reliance Steel's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
  • Evaluating Reliance Steel's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Reliance Steel's management team can help you assess the Company's leadership.
  • Pay attention to analyst opinions and ratings of Reliance Steel's stock. These opinions can provide insight into Reliance Steel's potential for growth and whether the stock is currently undervalued or overvalued.
It's essential to remember that evaluating Reliance Steel's stock performance is not an exact science, and many factors can impact Reliance Steel's stock market price. Therefore, it's also important to diversify your portfolio and not rely solely on one company or stock for your investments.
When determining whether Reliance Steel Aluminum is a strong investment it is important to analyze Reliance Steel's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Reliance Steel's future performance. For an informed investment choice regarding Reliance Stock, refer to the following important reports:
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Reliance Steel Aluminum. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in state.
You can also try the Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.

Complementary Tools for Reliance Stock analysis

When running Reliance Steel's price analysis, check to measure Reliance Steel's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Reliance Steel is operating at the current time. Most of Reliance Steel's value examination focuses on studying past and present price action to predict the probability of Reliance Steel's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Reliance Steel's price. Additionally, you may evaluate how the addition of Reliance Steel to your portfolios can decrease your overall portfolio volatility.
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Is Reliance Steel's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Reliance Steel. If investors know Reliance will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Reliance Steel listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Reliance Steel Aluminum is measured differently than its book value, which is the value of Reliance that is recorded on the company's balance sheet. Investors also form their own opinion of Reliance Steel's value that differs from its market value or its book value, called intrinsic value, which is Reliance Steel's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Reliance Steel's market value can be influenced by many factors that don't directly affect Reliance Steel's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Reliance Steel's value and its price as these two are different measures arrived at by different means. Investors typically determine if Reliance Steel is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Reliance Steel's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.