(RDUS) Schnitzer Steel Industries - Ratings and Ratios

Radius Recycling, Inc. specializes in the recycling of ferrous and nonferrous metals and the production of finished steel products on a global scale. The company sources materials from salvaged vehicles, rail cars, home appliances, industrial machinery, manufacturing scrap, and construction and demolition waste. It processes these materials to produce recycled ferrous metal, which serves as a critical feedstock for steel production, as well as nonferrous products such as zorba, zurik, aluminum, copper, stainless steel, nickel, brass, titanium, lead, and high-temperature alloys. Additionally, the company engages in the procurement of salvaged vehicles and the sale of serviceable used auto parts. Its finished steel products include rebar, coiled rebar, wire rods, merchant bars, and specialty items, alongside semi-finished goods like billets. Radius Recycling also markets catalytic converters to processors for the extraction of precious metals such as platinum, palladium, and rhodium. Its customer base extends to steel mills, foundries, refineries, smelters, wholesalers, and recycled metal processors, as well as steel service centers, construction subcontractors, steel fabricators, wire drawers, and suppliers to the agricultural and wood products sectors. The company offers a range of recycling and related services under the 3PR brand, including scrap brokerage, certified destruction, automotive parts recycling, railcar dismantling, and reverse logistics. Formerly known as Schnitzer Steel Industries, Inc., the company rebranded as Radius Recycling, Inc. in January 2024. Founded in 1906, it is headquartered in Portland, Oregon.

Radius Recycling, Inc. operates in the steel industry, listed on the NASDAQ under the ticker symbol RDUS. With a market capitalization of $370.81 million, the company reflects a price-to-book ratio of 0.64 and a price-to-sales ratio of 0.14. Its return on equity stands at -49.21%, indicating current profitability challenges. The stocks average 20-day volume is 229,942 shares, with a last price of $13.49. The stocks technical indicators show an SMA 20 of $12.72, SMA 50 of $13.39, and SMA 200 of $15.72, with an ATR of 0.76.

3-Month Forecast:

Based on the provided and , Radius Recycling, Inc. (NASDAQ:RDUS) is expected to experience the following trends over the next three months:

Technical Outlook: The stock is currently trading at $13.49, below its SMA 200 of $15.72, signaling potential bearish sentiment. The ATR of 0.76 suggests moderate volatility. If the SMA 20 ($12.72) holds as support, the stock may attempt to test the SMA 50 ($13.39) as resistance. A breakout above $13.39 could signal a short-term bullish reversal, targeting the SMA 200 level of $15.72.

Fundamental Outlook: The companys forward P/E of 46.30 indicates expectations of significant earnings growth. However, the current P/E of 0.00 and negative RoE of -49.21% highlight profitability challenges. The low P/S ratio of 0.14 suggests undervaluation relative to its revenue. If the company can improve its profitability metrics, the stock may see upward pressure. Conversely, failure to address profitability could lead to continued weakness.

Conclusion: Over the next three months, RDUS is likely to remain volatile, with potential upside driven by technical support at $12.72 and fundamental expectations of earnings growth. However, profitability concerns and negative RoE may limit significant rallies. Investors should monitor earnings reports and profitability improvements for clearer directional signals.