Earnings Preview For Reliance
Reliance (NYSE:RS) is set to give its latest quarterly earnings report on Wednesday, 2025-04-23. Here's what investors need to know before the announcement.
Analysts estimate that Reliance will report an earnings per share (EPS) of $3.62.
Investors in Reliance are eagerly awaiting the company's announcement, hoping for news of surpassing estimates and positive guidance for the next quarter.
It's worth noting for new investors that stock prices can be heavily influenced by future projections rather than just past performance.
Historical Earnings Performance
During the last quarter, the company reported an EPS missed by $0.50, leading to a 3.08% increase in the share price on the subsequent day.
Here's a look at Reliance's past performance and the resulting price change:
| Quarter | Q4 2024 | Q3 2024 | Q2 2024 | Q1 2024 |
|---|---|---|---|---|
| EPS Estimate | 2.72 | 3.66 | 4.73 | 5.55 |
| EPS Actual | 2.22 | 3.64 | 4.65 | 5.30 |
| Price Change % | 3.0% | -3.0% | -1.0% | -1.0% |
Reliance Share Price Analysis
Shares of Reliance were trading at $271.85 as of April 21. Over the last 52-week period, shares are down 12.19%. Given that these returns are generally negative, long-term shareholders are likely unhappy going into this earnings release.
Analyst Views on Reliance
For investors, staying informed about market sentiments and expectations in the industry is paramount. This analysis provides an exploration of the latest insights on Reliance.
A total of 2 analyst ratings have been received for Reliance, with the consensus rating being Outperform. The average one-year price target stands at $324.0, suggesting a potential 19.18% upside.
Understanding Analyst Ratings Among Peers
The following analysis focuses on the analyst ratings and average 1-year price targets of Steel Dynamics, United States Steel and Carpenter Tech, three prominent industry players, providing insights into their relative performance expectations and market positioning.
- Analysts currently favor an Neutral trajectory for Steel Dynamics, with an average 1-year price target of $146.5, suggesting a potential 46.11% downside.
- Analysts currently favor an Neutral trajectory for United States Steel, with an average 1-year price target of $42.17, suggesting a potential 84.49% downside.
- Analysts currently favor an Outperform trajectory for Carpenter Tech, with an average 1-year price target of $237.5, suggesting a potential 12.64% downside.
Insights: Peer Analysis
The peer analysis summary offers a detailed examination of key metrics for Steel Dynamics, United States Steel and Carpenter Tech, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.
| Company | Consensus | Revenue Growth | Gross Profit | Return on Equity |
|---|---|---|---|---|
| Reliance | Outperform | -6.31% | $886.10M | 1.45% |
| Steel Dynamics | Neutral | -8.53% | $441.73M | 2.30% |
| United States Steel | Neutral | -15.32% | $191M | -0.78% |
| Carpenter Tech | Outperform | 8.44% | $177.50M | 4.97% |
Key Takeaway:
Reliance underperforms in revenue growth compared to its peers. It has the highest gross profit among the group. Reliance has the second highest return on equity.
About Reliance
Reliance Inc is a diversified metal solutions provider and metals service center company. It provides value-added metals processing services and distributes.
Reliance: A Financial Overview
Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.
Decline in Revenue: Over the 3 months period, Reliance faced challenges, resulting in a decline of approximately -6.31% in revenue growth as of 31 December, 2024. This signifies a reduction in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Materials sector.
Net Margin: Reliance's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 3.37%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 1.45%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): Reliance's ROA excels beyond industry benchmarks, reaching 1.04%. This signifies efficient management of assets and strong financial health.
Debt Management: With a below-average debt-to-equity ratio of 0.2, Reliance adopts a prudent financial strategy, indicating a balanced approach to debt management.
To track all earnings releases for Reliance visit their earnings calendar on our site.
This article was generated by Benzinga's automated content engine and reviewed by an editor.