TSE:RUS

Russel Metals (RUS.TO)

62.07
-1.88 (2.94%)
as of Jun 5, 2026, 8:00:00 pm Market Open.
253 watching
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Investor Insights
star iconJun 5, 2026, 12:00 am

This summary was created by AI, based on 5 opinions in the last 12 months.

Russel Metals (RUS-T) is capturing attention as it benefits from the ongoing shift towards hard assets and significant infrastructure development in Canada. Experts note its solid history and reputation for navigating economic downturns with resilience, despite a past dividend cut. The company boasts a decent dividend yield exceeding 4% and has showcased improving cash flow and balance sheet conditions, although tariff uncertainties pose potential risks. Analysts highlight its expanded presence in the U.S., which mitigates tariff impacts, and praise its management and capital allocation strategies. Price targets suggest there's further upside potential as the stock nears critical resistance levels.

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Consensus
Positive
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Valuation
Fair Value
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HOLD
The balance sheet is tremendous. Management is really good. Debt-free. They will continue to cover the dividend through cash flow. Yield is over 9%. Not overly exposed to the US.
DON'T BUY
Would still wait a little while on this one. He would like to see an improving tone on the economy. Don't be in a big hurry on this one.
BUY
Changes steeled into H-bars, I-beams, et cetera. Demand for steel is not so strong now. Very well managed company and when demand for steel picks up, it will do well again and in the meantime, you get 7.2% yield.
PAST TOP PICK
(A Top Pick March 6/07. Down 9.2%.) Yield is almost 7%, which is attractive. Steel service centre, about 70% Canadian 30% US. Cdn$ has hurt their Canadian customers. Great balance sheet and really well managed. Still likes.
HOLD
Feels the earnings are going to be a little challenged in the short term on most of the industrial companies. They seem to have skated pretty well through steel pricing issues. Had great cash generation and good dividend. Fighting headwinds on the currency on global growth. Thinks the profits will head down in the next year or two.
DON'T BUY
Not bullish on this company because the manufacturers/construction/autos sectors in which they sell is going to be under continued pressure. Dividend is probably sustainable for a couple of quarters but their margins and sales volumes must be under pressure.
BUY
Started buying it back again as he can't turn down a $7 dividend yield on a metal stock when everybody else has been taken over. The nice thing about this company is that because of their working capital turnover and inventory, a North American slowdown is not that bad for them from a cash flow point of view. Fabulously managed. Use $20 as your stoploss.
COMMENT
A steel service so is economically sensitive. Had a great ride and did well with steel prices. As the economy slows and steel prices come off it will probably be getting hurt. 7.25% yield could be suspect in a slowdown. If you're a short-term investor, you might want to get out. If you’re long-term, this is a great company to own.
WEAK BUY
Has been absolutely whacked in the last few months. Has a big Canadian exposure. Get a 6% dividend yield while you wait. Economically sensitive.
COMMENT
Cyclical. Probably a trade for up a couple of $’s. Very shrewd managers. A winding down of the US economy and a potential for the Canadian economy to slow somewhat, pricing could come down. 6% dividend will eventually be cut.
DON'T BUY
Yield of 6.3%, which is quite high and would frighten him.. Stock had quite a long uptrend, which was violated in July. Commodity sensitive and he doesn't think the down is over yet.
COMMENT
Had a pretty good run and there may be some profit taking now. Steel is pretty cyclical and has had a good run over the last 5 years.
WEAK BUY
They pay a pretty impressive dividend, 5.83%. The metal distribution business is sensitive to the building environment. Well run company. We’ve been looking closely at it. If you’ve got a longer term view, you could buy here.
COMMENT
Has done extremely well and has a very strong payout. You have to believe that the steel market and steel pricing will continue to hold up. If the construction cycle starts to wind down, you could get hurt.
HOLD
Just made a small acquisition. Targets on the stock are around $34. Very astute operator.
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