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Reliance, Inc.. (RS) Stock Fundamental Analysis & AI Rating 2026

RS NYSE Wholesale-Metals Service Centers & of fices DE CIK: 0000861884
Recently Updated • Analysis: Apr 15, 2026 • SEC Data: 2025-12-31
HOLD
68% Conf
Pending
Analysis scheduled

📊 RS Key Takeaways

Revenue: $14.3B
Net Margin: 5.2%
Free Cash Flow: $502.5M
Current Ratio: 4.88x
Debt/Equity: 0.20x
EPS: $13.98
AI Rating: HOLD with 68% confidence
Reliance, Inc.. (RS) receives a HOLD rating with 68% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $14.3B, net profit margin of 5.2%, and return on equity (ROE) of 10.3%, Reliance, Inc.. demonstrates mixed fundamentals in the Materials sector. Below is our complete RS stock analysis for 2026.

Is Reliance, Inc.. (RS) a Good Investment?

Claude

Reliance demonstrates excellent financial health with a fortress balance sheet (0.20x Debt/Equity, 4.88x current ratio) and generates strong free cash flow ($502.5M), providing substantial financial security. However, the company faces growth stagnation with flat net income (+0.0% YoY) despite 3.3% revenue growth and declining diluted EPS (-10.2%), indicating margin compression in a mature, commodity-dependent metals distribution business with limited earnings expansion catalysts.

Why Buy Reliance, Inc.. Stock? RS Key Strengths

Claude
  • + Fortress balance sheet with minimal leverage (0.20x D/E) and exceptional liquidity (4.88x current ratio), providing strategic flexibility and downside protection
  • + Robust free cash flow generation of $502.5M with solid operating cash conversion ($831.4M OCF) supporting capital returns amid thin industry margins
  • + Healthy profitability metrics (7.1% operating margin, 5.2% net margin, 7.1% ROA) well-positioned relative to competitive metals distribution sector dynamics

RS Stock Risks: Reliance, Inc.. Investment Risks

Claude
  • ! Earnings stagnation with net income flat YoY (+0.0%) despite 3.3% revenue growth, indicating margin compression and deteriorating operational leverage
  • ! Declining diluted EPS (-10.2% YoY) despite flat net income signals shareholder value erosion through weighted average share increases or per-share profit deterioration
  • ! Thin gross margins (4.9%) and modest revenue growth (3.3%) reflect limited pricing power in mature, cyclical wholesale metals business vulnerable to commodity volatility

Key Metrics to Watch

Claude
  • * Gross margin trend analysis - watch for further compression indicating lost pricing power
  • * Net income growth trajectory - critical to achieving positive earnings leverage on incremental revenue
  • * Free cash flow sustainability and operating cash flow margins through business cycles

Reliance, Inc.. (RS) Financial Metrics & Key Ratios

Revenue
$14.3B
Net Income
$739.4M
EPS (Diluted)
$13.98
Free Cash Flow
$502.5M
Total Assets
$10.4B
Cash Position
$216.6M

💡 AI Analyst Insight

The relatively thin 3.5% FCF margin may limit capital allocation flexibility. Strong liquidity with a 4.88x current ratio provides a solid financial cushion.

RS Profit Margin, ROE & Profitability Analysis

Gross Margin 4.9%
Operating Margin 7.1%
Net Margin 5.2%
ROE 10.3%
ROA 7.1%
FCF Margin 3.5%

RS vs Materials Sector: How Reliance, Inc.. Compares

How Reliance, Inc.. compares to Materials sector averages

Net Margin
RS 5.2%
vs
Sector Avg 10.0%
RS Sector
ROE
RS 10.3%
vs
Sector Avg 14.0%
RS Sector
Current Ratio
RS 4.9x
vs
Sector Avg 1.6x
RS Sector
Debt/Equity
RS 0.2x
vs
Sector Avg 0.6x
RS Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is Reliance, Inc.. Stock Overvalued? RS Valuation Analysis 2026

Based on fundamental analysis, Reliance, Inc.. has mixed fundamental signals relative to the Materials sector in 2026.

Return on Equity
10.3%
Sector avg: 14%
Net Profit Margin
5.2%
Sector avg: 10%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.20x
Sector avg: 0.6x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

Reliance, Inc.. Balance Sheet: RS Debt, Cash & Liquidity

Current Ratio
4.88x
Quick Ratio
2.30x
Debt/Equity
0.20x
Debt/Assets
30.8%
Interest Coverage
104.40x
Long-term Debt
$1.4B

RS Revenue & Earnings Growth: 5-Year Financial Trend

RS 5-year financial data: Year 2021: Revenue $14.1B, Net Income N/A, EPS $10.34. Year 2022: Revenue $17.0B, Net Income N/A, EPS $5.66. Year 2023: Revenue $17.0B, Net Income N/A, EPS $21.97. Year 2024: Revenue $17.0B, Net Income N/A, EPS $29.92. Year 2025: Revenue $14.8B, Net Income $1.3B, EPS $22.64.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Reliance, Inc..'s revenue has shown modest growth of 5% over the 5-year period. The most recent EPS of $22.64 reflects profitable operations.

RS Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
3.5%
Free cash flow / Revenue

RS Quarterly Earnings & Performance

Quarterly financial performance data for Reliance, Inc.. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $3.4B $189.5M $3.59
Q2 2025 $3.6B N/A $4.42
Q1 2025 $3.5B N/A $3.74
Q3 2024 $3.4B N/A $3.61
Q2 2024 $3.6B N/A $4.67
Q1 2024 $3.6B N/A $5.23
Q3 2023 $3.6B N/A $4.99
Q2 2023 $3.9B N/A $6.49

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

Reliance, Inc.. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$831.4M
Cash generated from operations
Stock Buybacks
$594.1M
Shares repurchased (TTM)
Capital Expenditures
$328.9M
Investment in assets
Dividends Paid
$125.7M
Returned to shareholders

RS SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for Reliance, Inc.. (CIK: 0000861884)

📋 Recent SEC Filings

Date Form Document Action
Apr 2, 2026 DEF 14A tm2531976-2_def14a.htm View →
Mar 10, 2026 4 xslF345X05/form4.xml View →
Mar 6, 2026 4 xslF345X05/form4.xml View →
Mar 6, 2026 4 xslF345X05/form4.xml View →
Mar 6, 2026 4 xslF345X05/form4.xml View →

Frequently Asked Questions about RS

What is the AI rating for RS?

Reliance, Inc.. (RS) has an AI rating of HOLD with 68% confidence, based on fundamental analysis of SEC EDGAR filings.

What are RS's key strengths?

Claude: Fortress balance sheet with minimal leverage (0.20x D/E) and exceptional liquidity (4.88x current ratio), providing strategic flexibility and downside protection. Robust free cash flow generation of $502.5M with solid operating cash conversion ($831.4M OCF) supporting capital returns amid thin industry margins.

What are the risks of investing in RS?

Claude: Earnings stagnation with net income flat YoY (+0.0%) despite 3.3% revenue growth, indicating margin compression and deteriorating operational leverage. Declining diluted EPS (-10.2% YoY) despite flat net income signals shareholder value erosion through weighted average share increases or per-share profit deterioration.

What is RS's revenue and growth?

Reliance, Inc.. reported revenue of $14.3B.

Does RS pay dividends?

Reliance, Inc.. pays dividends, with $125.7M distributed to shareholders in the trailing twelve months.

Where can I find RS SEC filings?

Official SEC filings for Reliance, Inc.. (CIK: 0000861884) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is RS's EPS?

Reliance, Inc.. has a diluted EPS of $13.98.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is RS a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, Reliance, Inc.. has a HOLD rating with 68% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is RS stock overvalued or undervalued?

Valuation metrics for RS: ROE of 10.3% (sector avg: 14%), net margin of 5.2% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.

Should I buy RS stock in 2026?

Our dual AI analysis gives Reliance, Inc.. a combined HOLD rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is RS's free cash flow?

Reliance, Inc..'s operating cash flow is $831.4M, with capital expenditures of $328.9M. FCF margin is 3.5%.

How does RS compare to other Materials stocks?

Vs Materials sector averages: Net margin 5.2% (avg: 10%), ROE 10.3% (avg: 14%), current ratio 4.88 (avg: 1.6).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 15, 2026 | Data as of: 2025-12-31 | Powered by Claude AI