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Why Reliance Steel & Aluminum (RS) Stock Might be a Great Pick

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One stock that might be an intriguing choice for investors right now is Reliance Steel & Aluminum Co. (RS - Free Report) . This is because this security in the Metal Products - Distribution space is seeing solid earnings estimate revision activity, and is in great company from a Zacks Industry Rank perspective.

This is important because, often times, a rising tide will lift all boats in an industry, as there can be broad trends taking place in a segment that are boosting securities across the board. This is arguably taking place in the Metal Products - Distribution space as it currently has a Zacks Industry Rank of 56 out of more than 250 industries, suggesting it is well-positioned from this perspective, especially when compared to other segments out there.

Meanwhile, Reliance Steel & Aluminum is actually looking pretty good on its own too. The firm has seen solid earnings estimate revision activity over the past two months, suggesting analysts are becoming a bit more bullish on the firm’s prospects in both the short and long term.

In fact, over the past two months, current quarter estimates have risen from $3.84 per share to $5.89 per share, while current year estimates have risen from $17.12 per share to $19.1 per share.  This has helped RS to earn a Zacks Rank #2 (Buy), further underscoring the company’s solid position.  You can see the complete list of today’s Zacks #1(Strong Buy) Rank stocks here.

So, if you are looking for a decent pick in a strong industry, consider Reliance Steel & Aluminum. Not only is its industry currently in the top third, but it is seeing solid estimate revisions as of late, suggesting it could be a very interesting choice for investors seeking a name in this great industry segment.
 


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