TX vs RS

For growth investors, Reliance Steel & Aluminum Co.

(RS) is the stronger pick with 3. 3% revenue growth year-over-year, versus -11. 6% for Ternium S. A. (TX). Ternium S. A. (TX) offers the better valuation at 22. 0x trailing P/E (11. 8x forward), making it the more compelling value choice. Analysts rate Ternium S. A. (TX) a "Buy" — based on 16 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, Ternium S.

A. (TX) is the cheapest at 22. 0x versus Reliance Steel & Aluminum Co. at 26. 9x. On forward P/E, Ternium S. A. is actually cheaper at 11. 8x.

Over the past 5 years, Reliance Steel & Aluminum Co.

(RS) delivered a total return of +126. 6%, compared to +58. 5% for Ternium S. A. (TX). Over 10 years, the gap is even starker: RS returned +454. 9% versus TX's +271. 2%. 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 Ternium S. A. 's 0. 80β — meaning TX is approximately 7% more volatile than RS relative to the S&P 500. On balance sheet safety, Ternium S. A. (TX) carries a lower debt/equity ratio of 16% versus 28% for Reliance Steel & Aluminum Co. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Reliance Steel & Aluminum Co.

(RS) is pulling ahead at 3. 3% versus -11. 6% for Ternium S. A. (TX). On earnings-per-share growth, the picture is similar: Ternium S. A. grew EPS 914. 8% year-over-year, compared to -10. 2% for Reliance Steel & Aluminum Co.. Over a 3-year CAGR, TX leads at -1. 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.

Reliance Steel & Aluminum Co.

(RS) is the more profitable company, earning 5. 2% net margin versus 2. 7% for Ternium S. A. — meaning it keeps 5. 2% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: RS leads at 7. 2% versus 4. 5% for TX. 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.

On forward earnings alone, Ternium S.

A. (TX) trades at 11. 8x forward P/E versus 19. 3x for Reliance Steel & Aluminum Co. — 7. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for RS: -3. 8% to $362. 00.

All stocks in this comparison pay dividends.

Ternium S. A. (TX) offers the highest yield at 5. 6%, versus 1. 3% for Reliance Steel & Aluminum Co. (RS).

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, +454. 9% 10Y return). Both have compounded well over 10 years (RS: +454. 9%, TX: +271. 2%), 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.

In terms of investment character: TX is a small-cap income-oriented stock; RS is a mid-cap quality compounder stock. 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.