Is Reliance, Inc. overvalued or undervalued?

As of 17 October 2025, Reliance, Inc. has moved from very expensive to fair in its valuation grade. The company appears to be fairly valued based on its current 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, peers such as Nucor Corp. and Steel Dynamics, Inc. have higher P/E ratios of 27.41 and 27.44, respectively, indicating that Reliance is positioned more attractively within its industry.
Despite its fair valuation, Reliance has underperformed against the S&P 500 in the short term, with a 1-year return of -8.31% compared to the S&P 500's 14.08%. However, over a 5-year period, it has shown a strong return of 139.93%, outperforming the S&P 500's 91.29%. This suggests that while the company is currently fairly valued, its long-term growth potential remains robust.