Reliance (NYSE:RS) Cut to “Buy” at Wall Street Zen

Wall Street Zen lowered shares of Reliance (NYSE:RS) from a strong-buy rating to a buy rating in a research note issued to investors on Sunday morning,Wall Street Zen reports.

Other analysts have also recently issued reports about the company. Citigroup reissued a “neutral” rating on shares of Reliance in a research note on Wednesday, July 29th. Zacks Research raised shares of Reliance from a “hold” rating to a “strong-buy” rating in a research note on Monday, August 3rd. JPMorgan Chase & Co. upped their price target on shares of Reliance from $390.00 to $400.00 and gave the company a “neutral” rating in a report on Friday, October 9th. BMO Capital Markets upped their price target on shares of Reliance from $390.00 to $415.00 and gave the company a “market perform” rating in a report on Monday, July 27th. Finally, Wells Fargo & Company lowered their price objective on shares of Reliance from $398.00 to $391.00 and set an “equal weight” rating for the company in a research report on Monday, August 24th. One investment analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Hold” and an average target price of $382.00.

Reliance Trading Up 0.8%

Shares of NYSE RS opened at $404.45 on Friday. Reliance has a twelve month low of $260.31 and a twelve month high of $433.02. The company has a quick ratio of 2.27, a current ratio of 4.30 and a debt-to-equity ratio of 0.22. The stock has a market cap of $20.65 billion, a price-to-earnings ratio of 23.51, a P/E/G ratio of 0.92 and a beta of 0.95. The company’s fifty day moving average is $399.16 and its 200-day moving average is $379.94.

Reliance (NYSE:RS) last announced its quarterly earnings results on Wednesday, July 22nd. The industrial products company reported $6.27 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.47 by $0.80. Reliance had a return on equity of 12.51% and a net margin of 5.65%. The company had revenue of $4.63 billion during the quarter, compared to the consensus estimate of $4.26 billion. During the same period in the prior year, the company earned $4.43 earnings per share. The company’s revenue for the quarter was up 26.5% compared to the same quarter last year. Reliance has set its Q3 2026 guidance at 6.400-6.600 EPS. Equities research analysts predict that Reliance will post 23.70 EPS for the current year.

Reliance Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, August 28th. Stockholders of record on Friday, August 14th were issued a $1.25 dividend. This represents a $5.00 dividend on an annualized basis and a dividend yield of 1.2%. The ex-dividend date was Friday, August 14th. Reliance’s payout ratio is 29.07%.

Insider Activity

In related news, CFO Arthur Ajemyan sold 2,200 shares of the stock in a transaction dated Friday, July 31st. The stock was sold at an average price of $410.11, for a total transaction of $902,242.00. Following the completion of the transaction, the chief financial officer directly owned 14,640 shares in the company, valued at approximately $6,004,010.40. This trade represents a 13.06% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, SVP William Smith, II sold 2,353 shares of the stock in a transaction dated Tuesday, July 28th. The stock was sold at an average price of $414.21, for a total value of $974,636.13. Following the transaction, the senior vice president owned 19,394 shares of the company’s stock, valued at approximately $8,033,188.74. The trade was a 10.82% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.40% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Reliance

Several hedge funds have recently made changes to their positions in RS. BlackRock Inc. bought a new stake in shares of Reliance in the second quarter worth $2,171,081,000. Bank of New York Mellon Corp bought a new position in Reliance in the second quarter valued at $176,913,000. William Blair Investment Management LLC acquired a new stake in Reliance in the 2nd quarter valued at $142,900,000. Corient Private Wealth LP acquired a new stake in Reliance in the 2nd quarter valued at $129,799,000. Finally, XXEC Inc. bought a new stake in Reliance during the 2nd quarter worth about $127,493,000. 79.26% of the stock is owned by institutional investors.

More Reliance News

Here are the key news stories impacting Reliance this week:

• Positive Sentiment: Reliance Jio reportedly attracted more than $20 billion in investor bids ahead of what could become India’s largest IPO. Strong demand and a potential valuation of roughly ₹11 lakh crore could highlight the value of Reliance Industries’ digital and telecom assets, though the benefit does not directly accrue to Reliance, Inc. (NYSE: RS). Strong buzz! Reliance Jio said to see over $20 billion bids as investors line up for India’s biggest IPO
• Positive Sentiment: Analyst commentary suggests the Jio Platforms IPO could trigger a re-rating of Reliance Industries, with Religare reportedly seeing as much as 47% upside. This is relevant to India’s Reliance Industries—not the similarly named NYSE-listed RS. Jio Platforms IPO: Why Religare sees re-rating in Reliance Industries
• Positive Sentiment: Reports that Jio’s grey-market premium already reflects an “Ambani premium” reinforce expectations for strong IPO demand and favorable sentiment around Reliance Industries. Reliance Jio IPO: GMP already seeing Ambani premium ahead of record issue launch
• Neutral Sentiment: Cheaper Venezuelan crude could potentially add up to ₹12,600 crore to Reliance Industries’ EBITDA, but this relates to its refining business and has no direct read-through to Reliance, Inc. (NYSE: RS). Cheap Venezuelan crude could add to RIL’s EBITDA
• Negative Sentiment: Coverage for Reliance, Inc. (NYSE: RS) remains cautious: nine analysts have a consensus “Hold” rating, while the reported average price target of $382 is below the stock’s recent trading level. This may limit near-term upside unless earnings or industry conditions improve. Reliance, Inc. Stock Rated Hold by Sell-Side Brokerages Reliance, Inc. Stock Has Average Price Target of $382

Reliance Company Profile

Reliance, operating as Reliance Steel & Aluminum Co (NYSE: RS), is a diversified metals service center company. It distributes a broad range of metals, including carbon steel, stainless steel, aluminum, copper, brass, titanium and specialty steel products, serving manufacturers, fabricators, construction companies and other industrial customers.

The company provides value-added services designed to prepare metals for customer use. These services include cutting, leveling, slitting, sawing, machining, forming, coating, welding and other fabrication processes.