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
0
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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Similar
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DON'T BUY
P/E of 3.9 and a yield of 5.5%. Very well run. Earnings record has been very good. A cyclical company in a cyclical business and steel stocks have been under pressure lately. Steel pricing has been coming down due to overcapacity around the world.
BUY
Likes this company. Has had tremendous growth. Have done very well on the distribution side. Good dividend. A cyclical industry. Can see double digit returns over the next year.
WEAK BUY
Doesn't think that with a lot of the cyclicals, you are going to get a valuation increase any more. The current level is more reasonable. If you take their earnings and put them on the balance sheet and look out a year, it'll be worth about $17. You would have to hold it through a pretty volatile period.
DON'T BUY
Generating good earnings, but is worried that steel prices are in the process of coming down. Auto sector could be rolling over as well as steel coming in from China. Earnings are coming down and this could continue for a year or two.
BUY
Getting attractively priced. 5% + dividend. Looking at a fairly good return. Well run.
DON'T BUY
The steel stocks as a group have reversed down on his quantitative models which tells him that the risk level is rising. There is risk in this area. For now, they are into consolidations, seasonally these companies can have a consolidation through the summer. Could trade sideways or drop further.
BUY
Low P/E, but market puts a low P/E on what it considers cyclical. This company is a fabricator and pays a nice 5% dividend. A little bit undervalued. Not a bad entry point.
TOP PICK
Valuation is extremely cheap at 8 X earnings. Yield of 5%. The best company in the steel sector. Even if steel production drops, they will continue to be profitable. Also feels that earnings are too low.
TRADE
Rising steel market has helped.
BUY
Has done very well in the last year without being subject to any serious profit taking. Right now it's in a bit of a horizontal trading range of $17/18.50 which may lead to some more profit taking. Use a mental stop of $16.50 that if it reaches that, it might even reach $14.
BUY
Not a producer, but a warehouser and fabricater for end users. Input costs are not an issue as they pass these along. Their big issue is demand and how much value added can they do to get extra margins. Demand for steel is very strong and profits are doing well. Cyclical.
BUY
Being part of the steel cycle has been extremely positive for them. Well run. Conservatively run company. Good balance sheet. Good dividend yield.
HOLD
A beautifully run company. Not as vulnerable as the main line steel producers. Also pays a dividend.
BUY
Very well managed. Very conservative in their management of inventory in steel price cycles. Pays a dividend. Long term, a good hold. Short term there are some stell price risks. Relatively safe. You can buy for a long term hold, otherwise hold off.
BUY
High yield is sustainable for the foreseeable future. As a distributor, not a manufacturer, there is a lag relationship with respect to Russel's profits on inventory and hence balance sheets. Very conservatively managed company. A conservative way to be exposed to steel. Spot price on steels is vulnerable so could affect them down the road.
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