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Reliance Steel (RS - Free Report) is a leading metals service centre company engaged in value-added materials management and metals processing services. It distributes metal products including stainless steel, aluminum, brass, copper, titanium and alloy steel to customers across a vast spectrum of industries.
Reliance Steel is well placed to leverage the strong momentum across a number of end markets, including automotive and aerospace. Strategic acquisitions and expansion of existing operations should also support its results.
Let’s have a quick look at this metal processor’s second-quarter 2016 release.
Estimate Trend & Surprise History
Investors should note that the earnings estimate for Reliance Steel for the second quarter has seen an uptrend over the past one month. Reliance Steel has beat the Zacks Consensus Estimate in all of the trailing 4 quarters with an average positive surprise of 10.95%.
Reliance Steel logged adjusted earnings of $1.36 per share for the quarter that beat the Zacks Consensus Estimate of $1.31.
Revenues
Reliance Steel recorded net sales of $2,203.9 million, down around 9% year over year, missing the Zacks Consensus Estimate of $2,337 million.
Key Stats/Developments to Note
Overall sales volume inched up 0.7% year over year in the quarter with average prices per ton going down 10.1% year over year.
Management expects overall sales volumes to be down 1%-3% in the third quarter compared with the second due to normal seasonal factors. Reliance Steel also anticipates its average selling price in the third quarter to be up 1% to 3% sequentially. The company expects adjusted earnings for the third quarter in the band of $1.25 to $1.35 per share.
Zacks Rank
Reliance Steel currently has a Zacks Rank #2 (Buy), but that could change following the company’s earnings report which was just released.
Market Reaction
Reliance Steel’s shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on Reliance Steel’s earnings report!
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Reliance Steel's (RS) Q2 Earnings Beat, Sales Lag
Reliance Steel (RS - Free Report) is a leading metals service centre company engaged in value-added materials management and metals processing services. It distributes metal products including stainless steel, aluminum, brass, copper, titanium and alloy steel to customers across a vast spectrum of industries.
Reliance Steel is well placed to leverage the strong momentum across a number of end markets, including automotive and aerospace. Strategic acquisitions and expansion of existing operations should also support its results.
Let’s have a quick look at this metal processor’s second-quarter 2016 release.
Estimate Trend & Surprise History
Investors should note that the earnings estimate for Reliance Steel for the second quarter has seen an uptrend over the past one month. Reliance Steel has beat the Zacks Consensus Estimate in all of the trailing 4 quarters with an average positive surprise of 10.95%.
RELIANCE STEEL Price and EPS Surprise
RELIANCE STEEL Price and EPS Surprise | RELIANCE STEEL Quote
Earnings
Reliance Steel logged adjusted earnings of $1.36 per share for the quarter that beat the Zacks Consensus Estimate of $1.31.
Revenues
Reliance Steel recorded net sales of $2,203.9 million, down around 9% year over year, missing the Zacks Consensus Estimate of $2,337 million.
Key Stats/Developments to Note
Overall sales volume inched up 0.7% year over year in the quarter with average prices per ton going down 10.1% year over year.
Management expects overall sales volumes to be down 1%-3% in the third quarter compared with the second due to normal seasonal factors. Reliance Steel also anticipates its average selling price in the third quarter to be up 1% to 3% sequentially. The company expects adjusted earnings for the third quarter in the band of $1.25 to $1.35 per share.
Zacks Rank
Reliance Steel currently has a Zacks Rank #2 (Buy), but that could change following the company’s earnings report which was just released.
Market Reaction
Reliance Steel’s shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on Reliance Steel’s earnings report!
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>