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Ryerson Holding (RYI) Stock Sinks As Market Gains: What You Should Know

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Ryerson Holding (RYI - Free Report) closed at $42.31 in the latest trading session, marking a -0.14% move from the prior day. This move lagged the S&P 500's daily gain of 0.85%. Elsewhere, the Dow gained 0.14%, while the tech-heavy Nasdaq added 5.61%.

Prior to today's trading, shares of the metal products distributor and processor had gained 7.18% over the past month. This has outpaced the Basic Materials sector's gain of 3.91% and the S&P 500's gain of 3.18% in that time.

Investors will be hoping for strength from Ryerson Holding as it approaches its next earnings release, which is expected to be July 31, 2023. In that report, analysts expect Ryerson Holding to post earnings of $1.30 per share. This would mark a year-over-year decline of 75.52%. Our most recent consensus estimate is calling for quarterly revenue of $1.38 billion, down 20.9% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $3.70 per share and revenue of $5.14 billion, which would represent changes of -64.9% and -18.73%, respectively, from the prior year.

Any recent changes to analyst estimates for Ryerson Holding should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Ryerson Holding is holding a Zacks Rank of #3 (Hold) right now.

Looking at its valuation, Ryerson Holding is holding a Forward P/E ratio of 11.45. This represents a premium compared to its industry's average Forward P/E of 9.21.

The Steel - Producers industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 114, putting it in the top 46% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow RYI in the coming trading sessions, be sure to utilize Zacks.com.


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