WallStSmart

Reliance Steel & Aluminum Co (RS)vsSteel Dynamics Inc (STLD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Steel Dynamics Inc generates 27% more annual revenue ($18.18B vs $14.29B). STLD leads profitability with a 6.5% profit margin vs 5.2%. RS appears more attractively valued with a PEG of 2.29. STLD earns a higher WallStSmart Score of 61/100 (C+).

RS

Buy

59

out of 100

Grade: C

Growth: 5.3Profit: 5.5Value: 9.3Quality: 8.5
Piotroski: 3/9Altman Z: 4.41

STLD

Buy

61

out of 100

Grade: C+

Growth: 6.0Profit: 5.5Value: 7.3Quality: 8.5
Piotroski: 3/9Altman Z: 3.80
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RSUndervalued (+15.5%)

Margin of Safety

+15.5%

Fair Value

$426.32

Current Price

$290.56

$135.76 discount

UndervaluedFair: $426.32Overvalued
STLDUndervalued (+44.9%)

Margin of Safety

+44.9%

Fair Value

$373.46

Current Price

$163.95

$209.51 discount

UndervaluedFair: $373.46Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RS3 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
4.4110/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.289/10

Conservative balance sheet, low leverage

Price/BookValuation
2.1x8/10

Reasonable price relative to book value

STLD3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.8010/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

EPS GrowthGrowth
34.7%8/10

Earnings expanding 34.7% YoY

Areas to Watch

RS3 concerns · Avg: 3.3/10
PEG RatioValuation
2.294/10

Expensive relative to growth rate

Profit MarginProfitability
5.2%3/10

5.2% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

STLD3 concerns · Avg: 2.7/10
Profit MarginProfitability
6.5%3/10

6.5% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
10.912/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : RS

The strongest argument for RS centers on Altman Z-Score, Debt/Equity, Price/Book. Revenue growth of 11.9% demonstrates continued momentum.

Bull Case : STLD

The strongest argument for STLD centers on Altman Z-Score, Price/Book, EPS Growth. Revenue growth of 14.0% demonstrates continued momentum.

Bear Case : RS

The primary concerns for RS are PEG Ratio, Profit Margin, Piotroski F-Score.

Bear Case : STLD

The primary concerns for STLD are Profit Margin, Piotroski F-Score, PEG Ratio.

Key Dynamics to Monitor

STLD carries more volatility with a beta of 1.40 — expect wider price swings.

STLD is growing revenue faster at 14.0% — sustainability is the question.

RS generates stronger free cash flow (203M), providing more financial flexibility.

Monitor STEEL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

STLD scores higher overall (61/100 vs 59/100) and 14.0% revenue growth. RS offers better value entry with a 15.5% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Reliance Steel & Aluminum Co

BASIC MATERIALS · STEEL · USA

Reliance Steel & Aluminum Co. is a metal service center company. The company is headquartered in Los Angeles, California.

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Steel Dynamics Inc

BASIC MATERIALS · STEEL · USA

Steel Dynamics, Inc., is a steel producer and metal recycler in the United States.

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