RLLWF (Reliance Worldwide) Forward Rate of Return (Yacktman) %: 18.59% (As of Jun. 2025) — 15% Below Median

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RLLWF Reliance Worldwide Corp Ltd RLLWF
83 GF Score
Price $2.57
GF Value $2.98
Valuation Modestly Undervalued
! 6 Warning Signs
View Full Analysis

What is Reliance Worldwide Forward Rate of Return (Yacktman) %?

Reliance Worldwide RLLWF 83 Forward Rate of Return (Yacktman) % is 18.59% as of Jun. 2025, which is 15% below its 10-year median of 21.98. GuruFocus rates RLLWF with a GF Score™ of 83/100 and a GF Value™ of $2.98 (Modestly Undervalued). The stock has 6 warning signs investors should review. Among 1,296 Construction companies, Reliance Worldwide ranks better than 74.38% on this metric.

Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Reliance Worldwide's forward rate of return for was 18.59%.

The historical rank and industry rank for Reliance Worldwide's Forward Rate of Return (Yacktman) % or its related term are showing as below:

RLLWF' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: 18.67   Med: 21.98   Max: 27.23
Current: 19.41

During the past 9 years, Reliance Worldwide's highest Forward Rate of Return was 27.23. The lowest was 18.67. And the median was 21.98.

RLLWF's Forward Rate of Return (Yacktman) % is ranked better than
74.38% of 1296 companies
in the Construction industry
Industry Median: 8.645 vs RLLWF: 19.41

Unlike the Earnings Yield %, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Reliance Worldwide  (OTCPK:RLLWF) Forward Rate of Return (Yacktman) % Explanation

Unlike the Earnings Yield, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.

For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of EBITDA per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over five years. The reason we use five years is to make it comparable to the growth rate.


Be Aware

In the Forward Rate of Return calculation, the growth rate is added directly to today's free cash flow yield. Therefore the calculation is reliable only if the company can grow at the same rate in the future as it did in the past. Investors should pay close attention to this when researching growth stocks. A more accurate measurement for return is Return on Capital.


Reliance Worldwide Forward Rate of Return (Yacktman) % Related Terms


Reliance Worldwide Forward Rate of Return (Yacktman) % Historical Data

* Premium members only.

The historical data trend for Reliance Worldwide's Forward Rate of Return (Yacktman) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Reliance Worldwide Forward Rate of Return (Yacktman) % Chart

Reliance Worldwide Annual Data
Trend Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
Forward Rate of Return (Yacktman) %
Get a 7-Day Free Trial Premium Member Only 0.00 18.97 20.98 17.93 18.59

Reliance Worldwide Semi-Annual Data
Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
Forward Rate of Return (Yacktman) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 17.93 0.00 18.59 0.00

RLLWF vs TT, JCI, CARR: Forward Rate of Return (Yacktman) % Comparison

For the Building Products & Equipment subindustry, Reliance Worldwide's Forward Rate of Return (Yacktman) %, along with its competitors' market caps and Forward Rate of Return (Yacktman) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Reliance Worldwide Forward Rate of Return (Yacktman) % vs Construction Industry

For the Construction industry and Industrials sector, Reliance Worldwide's Forward Rate of Return (Yacktman) % distribution charts can be found below:

* The bar in red indicates where Reliance Worldwide's Forward Rate of Return (Yacktman) % falls into.


RLLWF
83GF Score
Reliance Worldwide Corp Ltd RLLWF
Forward Rate of Return (Yacktman) % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Reliance Worldwide Forward Rate of Return (Yacktman) % Calculation

Forward Rate of Return is a concept that Don Yacktman uses in his investment approach. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. He said in the interview (March 2012, when the S&P 500 was at about 1400):

If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.

The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).

Reliance Worldwide's Forward Rate of Return of Jun. 2025 is

Forward Rate of Return=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=0.20666667/2.36+0.0885
=17.61 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a Forward Rate of Return (Yacktman) % of 18.59% mean?
Reliance Worldwide (RLLWF) has a Forward Rate of Return (Yacktman) % of 18.59% as of Jun. 2025. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Reliance Worldwide and its competitors. This is 15% below median its historical median of 21.98. Over the past decade, Reliance Worldwide's Forward Rate of Return (Yacktman) % has ranged from 18.67 to 27.23. According to the industry distribution chart, Reliance Worldwide ranks #332 out of 1296 companies in the Construction industry, placing it in the top 25.6%.
Is Reliance Worldwide's Forward Rate of Return (Yacktman) % too high?
Reliance Worldwide's current Forward Rate of Return (Yacktman) % of 18.59% is 15% below median its 10-year median of 21.98. Over the past 10 years, this metric has ranged from a low of 18.67 to a high of 27.23. The Construction industry median Forward Rate of Return (Yacktman) % is 8.65. Reliance Worldwide's value of 18.59% is 115% above this industry median. Based on the distribution chart, Reliance Worldwide ranks #332 out of 1296 companies in the Construction industry, which is above the industry midpoint. Overall, Reliance Worldwide has a GF Score™ of 83/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Reliance Worldwide's Forward Rate of Return (Yacktman) % compare to TT and JCI?
According to the Construction industry distribution chart, Reliance Worldwide ranks #332 out of 1296 companies for Forward Rate of Return (Yacktman) %. This puts Reliance Worldwide in the upper half of its industry. The industry median Forward Rate of Return (Yacktman) % is 8.65. Reliance Worldwide's value of 18.59% is 115% above this benchmark. Historically, Reliance Worldwide's own Forward Rate of Return (Yacktman) % has ranged from 18.67 to 27.23 over the past decade. While the company's 10-year median is 21.98 vs. the industry median of 8.65, Reliance Worldwide has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Forward Rate of Return (Yacktman) % for a Construction company?
The median Forward Rate of Return (Yacktman) % among Construction companies is 8.65, based on 1,296 companies in the industry. Companies in the top quartile (top 25%) have a Forward Rate of Return (Yacktman) % significantly above this median, while those in the bottom quartile fall well below. However, Forward Rate of Return (Yacktman) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Reliance Worldwide's current Forward Rate of Return (Yacktman) % of 18.59% is 115% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Forward Rate of Return (Yacktman) % mean?
A high Forward Rate of Return (Yacktman) % can signal that a stock is expensive relative to its fundamentals. Yacktman's forward rate of return equals the sum of normalized free-cash-flow yield plus earnings growth. View historical data on Reliance Worldwide and its competitors. For the Construction industry, the median Forward Rate of Return (Yacktman) % is 8.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reliance Worldwide's current Forward Rate of Return (Yacktman) % is 18.59%, which is 15% below median its own 10-year median of 21.98. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reliance Worldwide stock overvalued right now?
Based on GuruFocus' analysis, Reliance Worldwide (RLLWF) is currently considered Modestly Undervalued. The stock's GF Value™ is $2.98, compared to a current price of $2.57 — trading 13.8% below its estimated fair value. The current Forward Rate of Return (Yacktman) % is 18.59%, which is 15% below median its 10-year median of 21.98 and 115% above the Construction industry median of 8.65. Reliance Worldwide's overall GF Score™ is 83/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Forward Rate of Return (Yacktman) % calculated?
Forward Rate of Return (Yacktman) % is calculated from a company's financial statements. For Reliance Worldwide (RLLWF), the current Forward Rate of Return (Yacktman) % is 18.59% as of Jun. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Reliance Worldwide (RLLWF) Overvalued in 2026?

Based on GuruFocus' analysis, Reliance Worldwide stock appears to be undervalued. The current stock price of $2.57 is trading 13.8% below its estimated GF Value™ of $2.98. GuruFocus considers Reliance Worldwide to be Modestly Undervalued.

Key valuation signals for RLLWF:

  • Forward Rate of Return (Yacktman) %: 18.59% (15% below median its 10-year median of 21.98)
  • GF Value™: $2.98 vs. price of $2.57 (13.8% below fair value)
  • GF Score™: 83/100 with 6 warning signs
  • Industry Position: 115% above the Construction median (#332 of 1296)

No single metric tells the full story. See the RLLWF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Reliance Worldwide Business Description

Other Exchanges 0EU:GermanyRWC:Australia
Address 140 William Street, Level 32, Melbourne, VIC, AUS, 3000
Reliance manufactures behind-the-wall plumbing products, which include fittings, pipes, valves, fluid dispensers, pipe systems, and appliance connectors. Its main segment is the US, which comprises about two-thirds of our midcycle EBITDA estimates. Other segments include EMEA and the Asia-Pacific, which contribute about 15% and 20%, respectively, of our midcycle EBITDA estimates. The firm is best known for its push-to-connect products, including the brands SharkBite in the US and John Guest in the United Kingdom. Reliance's primary target segment is the do-it-yourself market. Smaller sales segments include residential and commercial construction, and hot water system manufacturers, which use some Reliance products in manufacturing.
83GF Score

Get the complete analysis for RLLWF

Forward Rate of Return (Yacktman) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$2.57
Price
$2.98
GF Value