Logo image of URI

UNITED RENTALS INC (URI) Stock Fundamental Analysis

NYSE:URI - New York Stock Exchange, Inc. - US9113631090 - Common Stock - Currency: USD

700.1  -3.56 (-0.51%)

After market: 700.09 -0.01 (0%)

Fundamental Rating

5

Overall URI gets a fundamental rating of 5 out of 10. We evaluated URI against 48 industry peers in the Trading Companies & Distributors industry. URI has an excellent profitability rating, but there are concerns on its financial health. URI has a correct valuation and a medium growth rate.


Dividend Valuation Growth Profitability Health

Quickly go to:

9

1. Profitability

1.1 Basic Checks

In the past year URI was profitable.
URI had a positive operating cash flow in the past year.
URI had positive earnings in each of the past 5 years.
Each year in the past 5 years URI had a positive operating cash flow.
URI Yearly Net Income VS EBIT VS OCF VS FCFURI Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B

1.2 Ratios

URI has a Return On Assets of 9.09%. This is in the better half of the industry: URI outperforms 77.08% of its industry peers.
URI has a better Return On Equity (29.02%) than 83.33% of its industry peers.
URI has a Return On Invested Capital of 12.55%. This is amongst the best in the industry. URI outperforms 83.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for URI is above the industry average of 9.18%.
The last Return On Invested Capital (12.55%) for URI is above the 3 year average (12.29%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 9.09%
ROE 29.02%
ROIC 12.55%
ROA(3y)9.11%
ROA(5y)7.83%
ROE(3y)29.83%
ROE(5y)26.44%
ROIC(3y)12.29%
ROIC(5y)11.04%
URI Yearly ROA, ROE, ROICURI Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40

1.3 Margins

With an excellent Profit Margin value of 16.37%, URI belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
In the last couple of years the Profit Margin of URI has grown nicely.
The Operating Margin of URI (25.80%) is better than 91.67% of its industry peers.
In the last couple of years the Operating Margin of URI has grown nicely.
Looking at the Gross Margin, with a value of 39.54%, URI is in the better half of the industry, outperforming 70.83% of the companies in the same industry.
URI's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 25.8%
PM (TTM) 16.37%
GM 39.54%
OM growth 3Y4.11%
OM growth 5Y2.83%
PM growth 3Y5.56%
PM growth 5Y5.97%
GM growth 3Y0.35%
GM growth 5Y0.42%
URI Yearly Profit, Operating, Gross MarginsURI Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40

More info and screens

3

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), URI is creating some value.
URI has less shares outstanding than it did 1 year ago.
URI has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, URI has a worse debt to assets ratio.
URI Yearly Shares OutstandingURI Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20M 40M 60M 80M
URI Yearly Total Debt VS Total AssetsURI Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B 20B 25B

2.2 Solvency

URI has an Altman-Z score of 3.14. This indicates that URI is financially healthy and has little risk of bankruptcy at the moment.
With a Altman-Z score value of 3.14, URI perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
URI has a debt to FCF ratio of 20.22. This is a negative value and a sign of low solvency as URI would need 20.22 years to pay back of all of its debts.
With a Debt to FCF ratio value of 20.22, URI perfoms like the industry average, outperforming 45.83% of the companies in the same industry.
A Debt/Equity ratio of 1.31 is on the high side and indicates that URI has dependencies on debt financing.
With a Debt to Equity ratio value of 1.31, URI is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
Industry RankSector Rank
Debt/Equity 1.31
Debt/FCF 20.22
Altman-Z 3.14
ROIC/WACC1.3
WACC9.66%
URI Yearly LT Debt VS Equity VS FCFURI Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.3 Liquidity

A Current Ratio of 0.85 indicates that URI may have some problems paying its short term obligations.
With a Current ratio value of 0.85, URI is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
URI has a Quick Ratio of 0.85. This is a bad value and indicates that URI is not financially healthy enough and could expect problems in meeting its short term obligations.
URI's Quick ratio of 0.79 is on the low side compared to the rest of the industry. URI is outperformed by 72.92% of its industry peers.
Industry RankSector Rank
Current Ratio 0.85
Quick Ratio 0.79
URI Yearly Current Assets VS Current LiabilitesURI Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

More info and screens

4

3. Growth

3.1 Past

URI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.21%.
URI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.13% yearly.
The Revenue has been growing slightly by 7.20% in the past year.
URI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.41% yearly.
EPS 1Y (TTM)2.21%
EPS 3Y25.11%
EPS 5Y17.13%
EPS Q2Q%-3.17%
Revenue 1Y (TTM)7.2%
Revenue growth 3Y16.46%
Revenue growth 5Y10.41%
Sales Q2Q%6.71%

3.2 Future

URI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 8.07% yearly.
Based on estimates for the next years, URI will show a small growth in Revenue. The Revenue will grow by 5.36% on average per year.
EPS Next Y1.52%
EPS Next 2Y5.33%
EPS Next 3Y7.22%
EPS Next 5Y8.07%
Revenue Next Year4.59%
Revenue Next 2Y4.61%
Revenue Next 3Y4.7%
Revenue Next 5Y5.36%

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
URI Yearly Revenue VS EstimatesURI Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 5B 10B 15B
URI Yearly EPS VS EstimatesURI Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 20 40 60

More info and screens

5

4. Valuation

4.1 Price/Earnings Ratio

Based on the Price/Earnings ratio of 16.30, the valuation of URI can be described as correct.
Based on the Price/Earnings ratio, URI is valued a bit cheaper than 70.83% of the companies in the same industry.
When comparing the Price/Earnings ratio of URI to the average of the S&P500 Index (25.91), we can say URI is valued slightly cheaper.
Based on the Price/Forward Earnings ratio of 14.59, the valuation of URI can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of URI indicates a somewhat cheap valuation: URI is cheaper than 62.50% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.85, URI is valued a bit cheaper.
Industry RankSector Rank
PE 16.3
Fwd PE 14.59
URI Price Earnings VS Forward Price EarningsURI Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, URI is valued a bit cheaper than the industry average as 77.08% of the companies are valued more expensively.
URI's Price/Free Cash Flow ratio is in line with the industry average.
Industry RankSector Rank
P/FCF 71.22
EV/EBITDA 8.32
URI Per share dataURI EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 50 100 150 200

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
URI has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)10.71
PEG (5Y)0.95
EPS Next 2Y5.33%
EPS Next 3Y7.22%

More info and screens

3

5. Dividend

5.1 Amount

URI has a Yearly Dividend Yield of 1.00%.
URI's Dividend Yield is comparable with the industry average which is at 2.68.
Compared to an average S&P500 Dividend Yield of 2.36, URI's dividend is way lower than the S&P500 average.
Industry RankSector Rank
Dividend Yield 1%

5.2 History

URI has been paying a dividend for less than 5 years, so it still needs to build a track record.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
URI Yearly Dividends per shareURI Yearly Dividends per shareYearly Dividends per share 2023 2024 2025 2 4 6

5.3 Sustainability

17.33% of the earnings are spent on dividend by URI. This is a low number and sustainable payout ratio.
DP17.33%
EPS Next 2Y5.33%
EPS Next 3Y7.22%
URI Yearly Income VS Free CF VS DividendURI Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 500M 1B 1.5B 2B 2.5B
URI Dividend Payout.URI Dividend Payout, showing the Payout Ratio.URI Dividend Payout.PayoutRetained Earnings

More info and screens

UNITED RENTALS INC

NYSE:URI (5/23/2025, 4:54:34 PM)

After market: 700.09 -0.01 (0%)

700.1

-3.56 (-0.51%)

Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)04-23 2025-04-23/amc
Earnings (Next)07-22 2025-07-22/amc
Inst Owners92.93%
Inst Owner Change1.26%
Ins Owners0.49%
Ins Owner Change2.24%
Market Cap45.51B
Analysts72.59
Price Target721.28 (3.03%)
Short Float %2.53%
Short Ratio2.1
Dividend
Industry RankSector Rank
Dividend Yield 1%
Yearly Dividend6.55
Dividend Growth(5Y)N/A
DP17.33%
Div Incr Years1
Div Non Decr Years1
Ex-Date05-14 2025-05-14 (1.79)
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.04%
Min EPS beat(2)-1.46%
Max EPS beat(2)-0.62%
EPS beat(4)1
Avg EPS beat(4)-1.98%
Min EPS beat(4)-6.35%
Max EPS beat(4)0.5%
EPS beat(8)5
Avg EPS beat(8)1.89%
EPS beat(12)7
Avg EPS beat(12)2.42%
EPS beat(16)9
Avg EPS beat(16)2.61%
Revenue beat(2)2
Avg Revenue beat(2)2.61%
Min Revenue beat(2)2.23%
Max Revenue beat(2)2.99%
Revenue beat(4)2
Avg Revenue beat(4)0.7%
Min Revenue beat(4)-1.38%
Max Revenue beat(4)2.99%
Revenue beat(8)6
Avg Revenue beat(8)0.97%
Revenue beat(12)8
Avg Revenue beat(12)0.82%
Revenue beat(16)11
Avg Revenue beat(16)0.75%
PT rev (1m)-6.77%
PT rev (3m)-13.28%
EPS NQ rev (1m)-3.27%
EPS NQ rev (3m)-3.85%
EPS NY rev (1m)-1.29%
EPS NY rev (3m)-2.8%
Revenue NQ rev (1m)0.3%
Revenue NQ rev (3m)-0.18%
Revenue NY rev (1m)0.24%
Revenue NY rev (3m)-0.13%
Valuation
Industry RankSector Rank
PE 16.3
Fwd PE 14.59
P/S 2.92
P/FCF 71.22
P/OCF 9.21
P/B 5.18
P/tB 35.36
EV/EBITDA 8.32
EPS(TTM)42.95
EY6.13%
EPS(NY)47.97
Fwd EY6.85%
FCF(TTM)9.83
FCFY1.4%
OCF(TTM)76.03
OCFY10.86%
SpS239.68
BVpS135.22
TBVpS19.8
PEG (NY)10.71
PEG (5Y)0.95
Profitability
Industry RankSector Rank
ROA 9.09%
ROE 29.02%
ROCE 16.57%
ROIC 12.55%
ROICexc 12.84%
ROICexgc 18.78%
OM 25.8%
PM (TTM) 16.37%
GM 39.54%
FCFM 4.1%
ROA(3y)9.11%
ROA(5y)7.83%
ROE(3y)29.83%
ROE(5y)26.44%
ROIC(3y)12.29%
ROIC(5y)11.04%
ROICexc(3y)12.46%
ROICexc(5y)11.18%
ROICexgc(3y)17.94%
ROICexgc(5y)16.54%
ROCE(3y)16.22%
ROCE(5y)14.58%
ROICexcg growth 3Y6.5%
ROICexcg growth 5Y3.66%
ROICexc growth 3Y8.64%
ROICexc growth 5Y5.28%
OM growth 3Y4.11%
OM growth 5Y2.83%
PM growth 3Y5.56%
PM growth 5Y5.97%
GM growth 3Y0.35%
GM growth 5Y0.42%
F-Score6
Asset Turnover0.56
Health
Industry RankSector Rank
Debt/Equity 1.31
Debt/FCF 20.22
Debt/EBITDA 1.65
Cap/Depr 144.98%
Cap/Sales 27.62%
Interest Coverage 5.73
Cash Conversion 70.72%
Profit Quality 25.05%
Current Ratio 0.85
Quick Ratio 0.79
Altman-Z 3.14
F-Score6
WACC9.66%
ROIC/WACC1.3
Cap/Depr(3y)151.65%
Cap/Depr(5y)134.9%
Cap/Sales(3y)29%
Cap/Sales(5y)26.7%
Profit Quality(3y)25.91%
Profit Quality(5y)56.34%
High Growth Momentum
Growth
EPS 1Y (TTM)2.21%
EPS 3Y25.11%
EPS 5Y17.13%
EPS Q2Q%-3.17%
EPS Next Y1.52%
EPS Next 2Y5.33%
EPS Next 3Y7.22%
EPS Next 5Y8.07%
Revenue 1Y (TTM)7.2%
Revenue growth 3Y16.46%
Revenue growth 5Y10.41%
Sales Q2Q%6.71%
Revenue Next Year4.59%
Revenue Next 2Y4.61%
Revenue Next 3Y4.7%
Revenue Next 5Y5.36%
EBIT growth 1Y1.34%
EBIT growth 3Y21.24%
EBIT growth 5Y13.53%
EBIT Next Year74.17%
EBIT Next 3Y24.97%
EBIT Next 5Y17.04%
FCF growth 1Y38.01%
FCF growth 3Y-5.15%
FCF growth 5Y-9.07%
OCF growth 1Y10.16%
OCF growth 3Y7.21%
OCF growth 5Y8.49%