Is Reliance, Inc. overvalued or undervalued?

As of 30 June 2025, the valuation grade for Reliance, Inc. moved from expensive to fair, indicating a more favorable assessment of its market position. The company appears fairly valued based on its metrics, with a P/E ratio of 21, an EV to EBITDA of 13.19, and a Price to Book Value of 2.29. In comparison to peers, Reliance's P/E ratio of 20.81 is lower than Nucor Corp.'s 27.41 and Steel Dynamics, Inc.'s 27.44, suggesting it is competitively priced within the industry.
Despite recent underperformance against the S&P 500, with a 1-week return of -3.11% compared to the index's 1.05%, Reliance has shown strong long-term growth, achieving a 5-year return of 169.79%, significantly outperforming the S&P 500's 96.61%. This long-term performance, combined with its fair valuation, positions Reliance, Inc. as a potentially attractive investment in the ferrous metals sector.