NUE vs RS

For growth investors, Nucor Corporation (NUE) is the stronger pick with 5.

7% revenue growth year-over-year, versus 3. 3% for Reliance Steel & Aluminum Co. (RS). Reliance Steel & Aluminum Co. (RS) offers the better valuation at 26. 4x trailing P/E (18. 9x forward), making it the more compelling value choice. Analysts rate Nucor Corporation (NUE) a "Buy" — based on 32 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Reliance Steel & Aluminum Co.

(RS) is the cheapest at 26. 4x versus Nucor Corporation at 30. 1x. On forward P/E, Nucor Corporation is actually cheaper at 16. 2x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Nucor Corporation wins at 0. 62x versus Reliance Steel & Aluminum Co. 's 0. 96x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Nucor Corporation (NUE) delivered a total return of +140.

0%, compared to +119. 6% for Reliance Steel & Aluminum Co. (RS). Over 10 years, the gap is even starker: RS returned +463. 7% versus NUE's +426. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Reliance Steel & Aluminum Co.

(RS) is the lower-risk stock at 0. 75β versus Nucor Corporation's 1. 03β — meaning NUE is approximately 38% more volatile than RS relative to the S&P 500. On balance sheet safety, Reliance Steel & Aluminum Co. (RS) carries a lower debt/equity ratio of 28% versus 32% for Nucor Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Nucor Corporation (NUE) is pulling ahead at 5.

7% versus 3. 3% for Reliance Steel & Aluminum Co. (RS). On earnings-per-share growth, the picture is similar: Reliance Steel & Aluminum Co. grew EPS -10. 2% year-over-year, compared to -11. 1% for Nucor Corporation. Over a 3-year CAGR, RS leads at -5. 7% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Nucor Corporation (NUE) is the more profitable company, earning 5.

4% net margin versus 5. 2% for Reliance Steel & Aluminum Co. — meaning it keeps 5. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: NUE leads at 8. 2% versus 7. 2% for RS. At the gross margin level — before operating expenses — RS leads at 26. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Nucor Corporation (NUE) is the more undervalued stock at a PEG of 0. 62x versus Reliance Steel & Aluminum Co. 's 0. 96x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Nucor Corporation (NUE) trades at 16. 2x forward P/E versus 18. 9x for Reliance Steel & Aluminum Co. — 2. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for NUE: -1. 7% to $222. 83.

All stocks in this comparison pay dividends.

Reliance Steel & Aluminum Co. (RS) offers the highest yield at 1. 3%, versus 1. 0% for Nucor Corporation (NUE).

For long-horizon retirement investors, Reliance Steel & Aluminum Co.

(RS) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 75), 1. 3% yield, +463. 7% 10Y return). Both have compounded well over 10 years (RS: +463. 7%, NUE: +426. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Basic Materials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.