APD vs. RS: A Head-to-Head Stock Comparison

Updated on July 7, 2025

Here’s a clear look at APD and RS, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

APD’s market capitalization of 64.95 billion USD is substantially larger than RS’s 17.19 billion USD, indicating a significant difference in their market valuations.

With betas of 0.87 for APD and 0.88 for RS, both stocks show similar sensitivity to overall market movements.

Symbol	APD	RS
Company Name	Air Products and Chemicals, Inc.	Reliance Steel & Aluminum Co.
Country	US	US
Sector	Basic Materials	Basic Materials
Industry	Chemicals - Specialty	Steel
CEO	Eduardo F. Menezes	Karla R. Lewis CPA
Price	291.84 USD	326.96 USD
Market Cap	64.95 billion USD	17.19 billion USD
Beta	0.87	0.88
Exchange	NYSE	NYSE
IPO Date	March 17, 1980	September 16, 1994
ADR	No	No

Historical Performance

This chart compares the performance of APD and RS by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

APD vs. RS: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

APD

9.65%

Chemicals - Specialty Industry

Max: 34.45%
Q3: 15.78%
Median: 7.65%
Q1: 2.96%
Min: -12.04%

APD’s Return on Equity of 9.65% is on par with the norm for the Chemicals - Specialty industry, indicating its profitability relative to shareholder equity is typical for the sector.

RS

10.54%

Steel Industry

Max: 19.41%
Q3: 6.56%
Median: 1.54%
Q1: -3.03%
Min: -12.88%

In the upper quartile for the Steel industry, RS’s Return on Equity of 10.54% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

APD vs. RS: A comparison of their ROE against their respective Chemicals - Specialty and Steel industry benchmarks.

Return on Invested Capital

APD

3.50%

Chemicals - Specialty Industry

Max: 20.22%
Q3: 10.99%
Median: 5.25%
Q1: 3.06%
Min: -8.62%

APD’s Return on Invested Capital of 3.50% is in line with the norm for the Chemicals - Specialty industry, reflecting a standard level of efficiency in generating profits from its capital base.

RS

8.44%

Steel Industry

Max: 8.44%
Q3: 6.04%
Median: 2.41%
Q1: -2.16%
Min: -5.38%

In the upper quartile for the Steel industry, RS’s Return on Invested Capital of 8.44% signifies a highly effective use of its capital to generate profits when compared to its peers.

APD vs. RS: A comparison of their ROIC against their respective Chemicals - Specialty and Steel industry benchmarks.

Net Profit Margin

APD

12.76%

Chemicals - Specialty Industry

Max: 23.23%
Q3: 10.64%
Median: 5.14%
Q1: 0.64%
Min: -8.93%

A Net Profit Margin of 12.76% places APD in the upper quartile for the Chemicals - Specialty industry, signifying strong profitability and more effective cost management than most of its peers.

RS

5.65%

Steel Industry

Max: 6.80%
Q3: 4.40%
Median: 0.88%
Q1: -2.05%
Min: -10.37%

A Net Profit Margin of 5.65% places RS in the upper quartile for the Steel industry, signifying strong profitability and more effective cost management than most of its peers.

APD vs. RS: A comparison of their Net Profit Margin against their respective Chemicals - Specialty and Steel industry benchmarks.

Operating Profit Margin

APD

12.29%

Chemicals - Specialty Industry

Max: 26.42%
Q3: 15.81%
Median: 10.07%
Q1: 4.82%
Min: -7.44%

APD’s Operating Profit Margin of 12.29% is around the midpoint for the Chemicals - Specialty industry, indicating that its efficiency in managing core business operations is typical for the sector.

RS

7.61%

Steel Industry

Max: 17.40%
Q3: 7.61%
Median: 4.75%
Q1: -0.70%
Min: -10.86%

RS’s Operating Profit Margin of 7.61% is around the midpoint for the Steel industry, indicating that its efficiency in managing core business operations is typical for the sector.

APD vs. RS: A comparison of their Operating Margin against their respective Chemicals - Specialty and Steel industry benchmarks.

Profitability at a Glance

Symbol	APD	RS
Return on Equity (TTM)	9.65%	10.54%
Return on Assets (TTM)	3.94%	7.45%
Return on Invested Capital (TTM)	3.50%	8.44%
Net Profit Margin (TTM)	12.76%	5.65%
Operating Profit Margin (TTM)	12.29%	7.61%
Gross Profit Margin (TTM)	31.94%	28.35%

Financial Strength

Current Ratio

APD

1.00

Chemicals - Specialty Industry

Max: 3.95
Q3: 2.60
Median: 2.04
Q1: 1.60
Min: 0.77

APD’s Current Ratio of 1.00 falls into the lower quartile for the Chemicals - Specialty industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

RS

3.17

Steel Industry

Max: 3.17
Q3: 3.03
Median: 2.58
Q1: 1.87
Min: 1.35

RS’s Current Ratio of 3.17 is in the upper quartile for the Steel industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

APD vs. RS: A comparison of their Current Ratio against their respective Chemicals - Specialty and Steel industry benchmarks.

Debt-to-Equity Ratio

APD

1.12

Chemicals - Specialty Industry

Max: 1.65
Q3: 1.10
Median: 0.73
Q1: 0.55
Min: 0.01

APD’s leverage is in the upper quartile of the Chemicals - Specialty industry, with a Debt-to-Equity Ratio of 1.12. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

RS

0.25

Steel Industry

Max: 0.48
Q3: 0.45
Median: 0.27
Q1: 0.18
Min: 0.00

RS’s Debt-to-Equity Ratio of 0.25 is typical for the Steel industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

APD vs. RS: A comparison of their D/E Ratio against their respective Chemicals - Specialty and Steel industry benchmarks.

Interest Coverage Ratio

APD

7.77

Chemicals - Specialty Industry

Max: 13.69
Q3: 9.06
Median: 5.24
Q1: 1.68
Min: -3.09

APD’s Interest Coverage Ratio of 7.77 is positioned comfortably within the norm for the Chemicals - Specialty industry, indicating a standard and healthy capacity to cover its interest payments.

RS

7.15

Steel Industry

Max: 28.82
Q3: 10.16
Median: 3.04
Q1: -2.82
Min: -8.78

RS’s Interest Coverage Ratio of 7.15 is positioned comfortably within the norm for the Steel industry, indicating a standard and healthy capacity to cover its interest payments.

APD vs. RS: A comparison of their Interest Coverage against their respective Chemicals - Specialty and Steel industry benchmarks.

Financial Strength at a Glance

Symbol	APD	RS
Current Ratio (TTM)	1.00	3.17
Quick Ratio (TTM)	0.85	1.58
Debt-to-Equity Ratio (TTM)	1.12	0.25
Debt-to-Asset Ratio (TTM)	0.42	0.17
Net Debt-to-EBITDA Ratio (TTM)	4.19	1.13
Interest Coverage Ratio (TTM)	7.77	7.15

Growth

The following charts compare key year-over-year (YoY) growth metrics for APD and RS. These metrics are based on the companies’ annual financial reports.

Revenue Growth

APD vs. RS: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

APD vs. RS: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

APD vs. RS: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

APD

2.44%

Chemicals - Specialty Industry

Max: 9.19%
Q3: 2.44%
Median: 1.46%
Q1: 0.25%
Min: 0.00%

With a Dividend Yield of 2.44%, APD offers a more attractive income stream than most of its peers in the Chemicals - Specialty industry, signaling a strong commitment to shareholder returns.

RS

1.41%

Steel Industry

Max: 16.89%
Q3: 3.75%
Median: 1.68%
Q1: 1.43%
Min: 0.00%

RS’s Dividend Yield of 1.41% is in the lower quartile for the Steel industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

APD vs. RS: A comparison of their Dividend Yield against their respective Chemicals - Specialty and Steel industry benchmarks.

Dividend Payout Ratio

APD

102.68%

Chemicals - Specialty Industry

Max: 163.70%
Q3: 57.04%
Median: 30.02%
Q1: 12.51%
Min: 0.00%

APD’s Dividend Payout Ratio of 102.68% is above 100%. This means the company is paying out more in dividends than it earned, a practice that is often unsustainable and could indicate a risk to future dividend stability.

RS

32.33%

Steel Industry

Max: 222.70%
Q3: 39.78%
Median: 32.33%
Q1: 0.00%
Min: 0.00%

RS’s Dividend Payout Ratio of 32.33% is within the typical range for the Steel industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

APD vs. RS: A comparison of their Payout Ratio against their respective Chemicals - Specialty and Steel industry benchmarks.

Dividend at a Glance

Symbol	APD	RS
Dividend Yield (TTM)	2.44%	1.41%
Dividend Payout Ratio (TTM)	102.68%	32.33%

Valuation

Price-to-Earnings Ratio

APD

42.39

Chemicals - Specialty Industry

Max: 56.68
Q3: 33.75
Median: 23.45
Q1: 16.09
Min: 7.50

A P/E Ratio of 42.39 places APD in the upper quartile for the Chemicals - Specialty industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

RS

22.48

Steel Industry

Max: 24.65
Q3: 23.86
Median: 21.78
Q1: 15.59
Min: 7.61

RS’s P/E Ratio of 22.48 is within the middle range for the Steel industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

APD vs. RS: A comparison of their P/E Ratio against their respective Chemicals - Specialty and Steel industry benchmarks.

Forward P/E to Growth Ratio

APD

6.80

Chemicals - Specialty Industry

Max: 6.58
Q3: 3.23
Median: 1.64
Q1: 0.96
Min: 0.16

APD’s Forward PEG Ratio of 6.80 is exceptionally high for the Chemicals - Specialty industry. This suggests its stock price is very high relative to its expected earnings growth, signaling significant overvaluation risk.

RS

2.89

Steel Industry

Max: 3.14
Q3: 2.43
Median: 0.99
Q1: 0.40
Min: 0.10

The Forward PEG Ratio is often not a primary valuation metric in the Steel industry.

APD vs. RS: A comparison of their Forward PEG Ratio against their respective Chemicals - Specialty and Steel industry benchmarks.

Price-to-Sales Ratio

APD

5.40

Chemicals - Specialty Industry

Max: 3.76
Q3: 2.31
Median: 1.38
Q1: 0.89
Min: 0.16

With a P/S Ratio of 5.40, APD trades at a valuation that eclipses even the highest in the Chemicals - Specialty industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

RS

1.26

Steel Industry

Max: 1.22
Q3: 0.82
Median: 0.47
Q1: 0.30
Min: 0.19

With a P/S Ratio of 1.26, RS trades at a valuation that eclipses even the highest in the Steel industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

APD vs. RS: A comparison of their P/S Ratio against their respective Chemicals - Specialty and Steel industry benchmarks.

Price-to-Book Ratio

APD

4.42

Chemicals - Specialty Industry

Max: 6.73
Q3: 3.78
Median: 1.56
Q1: 1.27
Min: 0.35

APD’s P/B Ratio of 4.42 is in the upper tier for the Chemicals - Specialty industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

RS

2.44

Steel Industry

Max: 2.37
Q3: 1.48
Median: 0.77
Q1: 0.59
Min: 0.38

At 2.44, RS’s P/B Ratio is at an extreme premium to the Steel industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

APD vs. RS: A comparison of their P/B Ratio against their respective Chemicals - Specialty and Steel industry benchmarks.

Valuation at a Glance

Symbol	APD	RS
Price-to-Earnings Ratio (P/E, TTM)	42.39	22.48
Forward PEG Ratio (TTM)	6.80	2.89
Price-to-Sales Ratio (P/S, TTM)	5.40	1.26
Price-to-Book Ratio (P/B, TTM)	4.42	2.44
Price-to-Free Cash Flow Ratio (P/FCF, TTM)	-14.99	17.93
EV-to-EBITDA (TTM)	22.33	14.22
EV-to-Sales (TTM)	6.65	1.37