RS PE Ratio & Valuation,Is RS Overvalued

RS Relative Valuation

RS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, RS is overvalued; if below, it's undervalued.

Historical Valuation

Reliance Inc (RS) is now in the Overvalued zone, suggesting that its current forward PE ratio of 17.47 is considered Overvalued compared with the five-year average of 12.82. The fair price of Reliance Inc (RS) is between 166.80 to 284.98 according to relative valuation methord. Compared to the current price of 291.53 USD , Reliance Inc is Overvalued By 2.3%.

Relative Value

Fair Zone

166.80-284.98

Current Price：291.53

2.3%

Overvalued

17.47

11.65

EV/EBITDA

Reliance Inc. (RS) has a current EV/EBITDA of 11.65. The 5-year average EV/EBITDA is 8.56. The thresholds are as follows: Strongly Undervalued below 3.37, Undervalued between 3.37 and 5.97, Fairly Valued between 11.16 and 5.97, Overvalued between 11.16 and 13.76, and Strongly Overvalued above 13.76. The current Forward EV/EBITDA of 11.65 falls within the Overvalued range.

15.10

EV/EBIT

Reliance Inc. (RS) has a current EV/EBIT of 15.10. The 5-year average EV/EBIT is 10.22. The thresholds are as follows: Strongly Undervalued below 3.41, Undervalued between 3.41 and 6.82, Fairly Valued between 13.62 and 6.82, Overvalued between 13.62 and 17.03, and Strongly Overvalued above 17.03. The current Forward EV/EBIT of 15.10 falls within the Overvalued range.

1.04

Reliance Inc. (RS) has a current PS of 1.04. The 5-year average PS is 0.95. The thresholds are as follows: Strongly Undervalued below 0.53, Undervalued between 0.53 and 0.74, Fairly Valued between 1.17 and 0.74, Overvalued between 1.17 and 1.38, and Strongly Overvalued above 1.38. The current Forward PS of 1.04 falls within the Historic Trend Line -Fairly Valued range.

12.57

P/OCF

Reliance Inc. (RS) has a current P/OCF of 12.57. The 5-year average P/OCF is 9.31. The thresholds are as follows: Strongly Undervalued below 3.81, Undervalued between 3.81 and 6.56, Fairly Valued between 12.06 and 6.56, Overvalued between 12.06 and 14.80, and Strongly Overvalued above 14.80. The current Forward P/OCF of 12.57 falls within the Overvalued range.

21.34

P/FCF

Reliance Inc. (RS) has a current P/FCF of 21.34. The 5-year average P/FCF is 13.17. The thresholds are as follows: Strongly Undervalued below 4.11, Undervalued between 4.11 and 8.64, Fairly Valued between 17.70 and 8.64, Overvalued between 17.70 and 22.24, and Strongly Overvalued above 22.24. The current Forward P/FCF of 21.34 falls within the Overvalued range.

Reliance Inc (RS) has a current Price-to-Book (P/B) ratio of 2.09. Compared to its 3-year average P/B ratio of 2.10 , the current P/B ratio is approximately -0.50% higher. Relative to its 5-year average P/B ratio of 1.95, the current P/B ratio is about 7.33% higher. Reliance Inc (RS) has a Forward Free Cash Flow (FCF) yield of approximately 4.34%. Compared to its 3-year average FCF yield of 7.88%, the current FCF yield is approximately -44.85% lower. Relative to its 5-year average FCF yield of 7.97% , the current FCF yield is about -45.52% lower.

2.09

P/B

Median3y

2.10

Median5y

1.95

4.34

FCF Yield

Median3y

7.88

Median5y

7.97

Competitors Valuation Multiple

The average P/S ratio for RS's competitors is 0.79, providing a benchmark for relative valuation. Reliance Inc Corp (RS) exhibits a P/S ratio of 1.04, which is 31.11% above the industry average. Given its robust revenue growth of 6.75%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of RS increased by 8.27% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 19.02 to 21.39.

The secondary factor is the Revenue Growth, contributed 6.75%to the performance.

Overall, the performance of RS in the past 1 year is driven by P/E Change. Which is more unsustainable.

6.75%

3.42B → 3.65B

Revenue Growth

-10.96%

5.84 → 5.20

Margin Expansion

12.48%

19.02 → 21.39

P/E Change

8.27%

269.26 → 291.53

Mkt Cap Growth

People Also Watch

Frequently Asked Questions

Is Reliance Inc (RS) currently overvalued or undervalued?

What is Reliance Inc (RS) fair value?

RS's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Reliance Inc (RS) is between 166.80 to 284.98 according to relative valuation methord.

How does RS's valuation metrics compare to the industry average?

What is the current P/B ratio for Reliance Inc (RS) as of Dec 15 2025?

As of Dec 15 2025, Reliance Inc (RS) has a P/B ratio of 2.09. This indicates that the market values RS at 2.09 times its book value.

What is the current FCF Yield for Reliance Inc (RS) as of Dec 15 2025?

As of Dec 15 2025, Reliance Inc (RS) has a FCF Yield of 4.34%. This means that for every dollar of Reliance Inc’s market capitalization, the company generates 4.34 cents in free cash flow.

What is the current Forward P/E ratio for Reliance Inc (RS) as of Dec 15 2025?

As of Dec 15 2025, Reliance Inc (RS) has a Forward P/E ratio of 17.47. This means the market is willing to pay $17.47 for every dollar of Reliance Inc’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for Reliance Inc (RS) as of Dec 15 2025?

As of Dec 15 2025, Reliance Inc (RS) has a Forward P/S ratio of 1.04. This means the market is valuing RS at $1.04 for every dollar of expected revenue over the next 12 months.

RS Valuation