RUSSEL METALS INC (RUS.CA) Stock Fundamental Analysis
Canada - TSX:RUS - CA7819036046 - Common Stock
40.28 CAD
-0.55 (-1.35%)
We assign a fundamental rating of 7 out of 10 to RUS. RUS was compared to 12 industry peers in the Trading Companies & Distributors industry. RUS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. RUS is not valued too expensively and it also shows a decent growth rate. Finally RUS also has an excellent dividend rating. These ratings could make RUS a good candidate for dividend and quality investing.
1. Profitability
1.1 Basic Checks
In the past year RUS was profitable.
In the past year RUS had a positive cash flow from operations.
Each year in the past 5 years RUS has been profitable.
In the past 5 years RUS always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 6.27%, RUS is doing good in the industry, outperforming 75.00% of the companies in the same industry.
RUS has a better Return On Equity (10.26%) than 66.67% of its industry peers.
The Return On Invested Capital of RUS (8.34%) is better than 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RUS is significantly above the industry average of 7.67%.
The 3 year average ROIC (13.01%) for RUS is well above the current ROIC(8.34%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.27% | ||
| ROE | 10.26% | ||
| ROIC | 8.34% |
ROA(3y)10.69%
ROA(5y)10.46%
ROE(3y)16.61%
ROE(5y)17.46%
ROIC(3y)13.01%
ROIC(5y)14.34%
1.3 Margins
With a Profit Margin value of 3.65%, RUS perfoms like the industry average, outperforming 58.33% of the companies in the same industry.
In the last couple of years the Profit Margin of RUS has grown nicely.
RUS has a Operating Margin (5.15%) which is in line with its industry peers.
RUS's Operating Margin has improved in the last couple of years.
RUS has a Gross Margin (21.30%) which is in line with its industry peers.
RUS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.15% | ||
| PM (TTM) | 3.65% | ||
| GM | 21.3% |
OM growth 3Y-28.49%
OM growth 5Y5.93%
PM growth 3Y-28.35%
PM growth 5Y12.64%
GM growth 3Y-10.17%
GM growth 5Y3.7%
2. Health
2.1 Basic Checks
RUS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for RUS has been reduced compared to 1 year ago.
RUS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for RUS has been reduced compared to a year ago.
2.2 Solvency
RUS has an Altman-Z score of 4.41. This indicates that RUS is financially healthy and has little risk of bankruptcy at the moment.
RUS has a Altman-Z score of 4.41. This is in the better half of the industry: RUS outperforms 66.67% of its industry peers.
RUS has a debt to FCF ratio of 2.19. This is a good value and a sign of high solvency as RUS would need 2.19 years to pay back of all of its debts.
RUS has a Debt to FCF ratio of 2.19. This is amongst the best in the industry. RUS outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 0.28 indicates that RUS is not too dependend on debt financing.
RUS has a better Debt to Equity ratio (0.28) than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 2.19 | ||
| Altman-Z | 4.41 |
ROIC/WACC0.99
WACC8.4%
2.3 Liquidity
A Current Ratio of 3.47 indicates that RUS has no problem at all paying its short term obligations.
RUS has a Current ratio of 3.47. This is amongst the best in the industry. RUS outperforms 100.00% of its industry peers.
RUS has a Quick Ratio of 1.52. This is a normal value and indicates that RUS is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of RUS (1.52) is better than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.47 | ||
| Quick Ratio | 1.52 |
3. Growth
3.1 Past
The earnings per share for RUS have decreased strongly by -11.35% in the last year.
The Earnings Per Share has been growing by 12.28% on average over the past years. This is quite good.
RUS shows a small growth in Revenue. In the last year, the Revenue has grown by 5.82%.
The Revenue has been growing slightly by 3.00% on average over the past years.
EPS 1Y (TTM)-11.35%
EPS 3Y-26.66%
EPS 5Y12.28%
EPS Q2Q%27.38%
Revenue 1Y (TTM)5.82%
Revenue growth 3Y0.42%
Revenue growth 5Y3%
Sales Q2Q%12.67%
3.2 Future
Based on estimates for the next years, RUS will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.29% on average per year.
RUS is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 8.71% yearly.
EPS Next Y28.44%
EPS Next 2Y19.29%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year9%
Revenue Next 2Y8.44%
Revenue Next 3Y8.71%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 13.94, RUS is valued correctly.
RUS's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.40, RUS is valued a bit cheaper.
Based on the Price/Forward Earnings ratio of 10.37, the valuation of RUS can be described as reasonable.
Based on the Price/Forward Earnings ratio, RUS is valued a bit cheaper than 66.67% of the companies in the same industry.
RUS's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.94 | ||
| Fwd PE | 10.37 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of RUS is on the same level as its industry peers.
RUS's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.36 | ||
| EV/EBITDA | 7.89 |
4.3 Compensation for Growth
RUS's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
RUS has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as RUS's earnings are expected to grow with 19.29% in the coming years.
PEG (NY)0.49
PEG (5Y)1.14
EPS Next 2Y19.29%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.21%, RUS is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 8.33, RUS pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.36, RUS pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
5.2 History
The dividend of RUS has a limited annual growth rate of 1.78%.
RUS has been paying a dividend for at least 10 years, so it has a reliable track record.
RUS has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.78%
Div Incr Years2
Div Non Decr Years15
5.3 Sustainability
RUS pays out 58.62% of its income as dividend. This is a bit on the high side, but may be sustainable.
RUS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP58.62%
EPS Next 2Y19.29%
EPS Next 3YN/A
TSX:RUS (10/17/2025, 7:00:00 PM)
40.28
-0.55 (-1.35%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners27.5%
Inst Owner ChangeN/A
Ins Owners0.94%
Ins Owner ChangeN/A
Market Cap2.25B
Analysts78
Price Target51.85 (28.72%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.21% |
Yearly Dividend1.66
Dividend Growth(5Y)1.78%
DP58.62%
Div Incr Years2
Div Non Decr Years15
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.67%
Min EPS beat(2)2.69%
Max EPS beat(2)30.66%
EPS beat(4)2
Avg EPS beat(4)5.44%
Min EPS beat(4)-11.45%
Max EPS beat(4)30.66%
EPS beat(8)5
Avg EPS beat(8)2.59%
EPS beat(12)9
Avg EPS beat(12)8.42%
EPS beat(16)13
Avg EPS beat(16)13.59%
Revenue beat(2)1
Avg Revenue beat(2)-1.37%
Min Revenue beat(2)-4.26%
Max Revenue beat(2)1.52%
Revenue beat(4)1
Avg Revenue beat(4)-1.33%
Min Revenue beat(4)-4.26%
Max Revenue beat(4)1.52%
Revenue beat(8)1
Avg Revenue beat(8)-2.01%
Revenue beat(12)2
Avg Revenue beat(12)-1.85%
Revenue beat(16)6
Avg Revenue beat(16)1.28%
PT rev (1m)-0.33%
PT rev (3m)-1.29%
EPS NQ rev (1m)-18.41%
EPS NQ rev (3m)-31.01%
EPS NY rev (1m)-2.44%
EPS NY rev (3m)-9.32%
Revenue NQ rev (1m)-0.5%
Revenue NQ rev (3m)-4.1%
Revenue NY rev (1m)-0.61%
Revenue NY rev (3m)-3.92%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.94 | ||
| Fwd PE | 10.37 | ||
| P/S | 0.5 | ||
| P/FCF | 10.36 | ||
| P/OCF | 7.39 | ||
| P/B | 1.4 | ||
| P/tB | 1.53 | ||
| EV/EBITDA | 7.89 |
EPS(TTM)2.89
EY7.17%
EPS(NY)3.89
Fwd EY9.65%
FCF(TTM)3.89
FCFY9.65%
OCF(TTM)5.45
OCFY13.53%
SpS80.83
BVpS28.8
TBVpS26.36
PEG (NY)0.49
PEG (5Y)1.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.27% | ||
| ROE | 10.26% | ||
| ROCE | 11% | ||
| ROIC | 8.34% | ||
| ROICexc | 9.19% | ||
| ROICexgc | 9.89% | ||
| OM | 5.15% | ||
| PM (TTM) | 3.65% | ||
| GM | 21.3% | ||
| FCFM | 4.81% |
ROA(3y)10.69%
ROA(5y)10.46%
ROE(3y)16.61%
ROE(5y)17.46%
ROIC(3y)13.01%
ROIC(5y)14.34%
ROICexc(3y)16.12%
ROICexc(5y)16.7%
ROICexgc(3y)17.51%
ROICexgc(5y)18.2%
ROCE(3y)17.19%
ROCE(5y)18.93%
ROICexcg growth 3Y-32.42%
ROICexcg growth 5Y5.5%
ROICexc growth 3Y-32.26%
ROICexc growth 5Y5.68%
OM growth 3Y-28.49%
OM growth 5Y5.93%
PM growth 3Y-28.35%
PM growth 5Y12.64%
GM growth 3Y-10.17%
GM growth 5Y3.7%
F-Score5
Asset Turnover1.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.28 | ||
| Debt/FCF | 2.19 | ||
| Debt/EBITDA | 1.41 | ||
| Cap/Depr | 98.98% | ||
| Cap/Sales | 1.93% | ||
| Interest Coverage | 23.21 | ||
| Cash Conversion | 94.97% | ||
| Profit Quality | 131.61% | ||
| Current Ratio | 3.47 | ||
| Quick Ratio | 1.52 | ||
| Altman-Z | 4.41 |
F-Score5
WACC8.4%
ROIC/WACC0.99
Cap/Depr(3y)95.77%
Cap/Depr(5y)75.63%
Cap/Sales(3y)1.52%
Cap/Sales(5y)1.23%
Profit Quality(3y)129.68%
Profit Quality(5y)373.1%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.35%
EPS 3Y-26.66%
EPS 5Y12.28%
EPS Q2Q%27.38%
EPS Next Y28.44%
EPS Next 2Y19.29%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.82%
Revenue growth 3Y0.42%
Revenue growth 5Y3%
Sales Q2Q%12.67%
Revenue Next Year9%
Revenue Next 2Y8.44%
Revenue Next 3Y8.71%
Revenue Next 5YN/A
EBIT growth 1Y-11.88%
EBIT growth 3Y-28.19%
EBIT growth 5Y9.11%
EBIT Next Year60.81%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-44.57%
FCF growth 3Y-2.73%
FCF growth 5Y3.38%
OCF growth 1Y-31.88%
OCF growth 3Y4.14%
OCF growth 5Y6.61%