UNITED RENTALS INC (URI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:URI - US9113631090 - Common Stock
804.81 USD
-10.37 (-1.27%)
We assign a fundamental rating of 5 out of 10 to URI. URI was compared to 49 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 decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year URI was profitable.
URI had a positive operating cash flow in the past year.
Each year in the past 5 years URI has been profitable.
In the past 5 years URI always reported a positive cash flow from operatings.
1.2 Ratios
URI has a better Return On Assets (8.42%) than 79.59% of its industry peers.
Looking at the Return On Equity, with a value of 28.11%, URI belongs to the top of the industry, outperforming 87.76% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 11.75%, URI belongs to the top of the industry, outperforming 81.63% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for URI is above the industry average of 9.22%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 28.11% | ||
| ROIC | 11.75% |
ROA(3y)9.11%
ROA(5y)7.83%
ROE(3y)29.83%
ROE(5y)26.44%
ROIC(3y)12.29%
ROIC(5y)11.04%
1.3 Margins
URI has a Profit Margin of 15.83%. This is amongst the best in the industry. URI outperforms 85.71% of its industry peers.
URI's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 25.08%, URI belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
In the last couple of years the Operating Margin of URI has grown nicely.
The Gross Margin of URI (38.73%) is better than 71.43% of its industry peers.
URI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.08% | ||
| PM (TTM) | 15.83% | ||
| GM | 38.73% |
OM growth 3Y4.11%
OM growth 5Y2.83%
PM growth 3Y5.56%
PM growth 5Y5.97%
GM growth 3Y0.35%
GM growth 5Y0.42%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so URI is still creating some value.
URI has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, URI has less shares outstanding
URI has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.16 indicates that URI is not in any danger for bankruptcy at the moment.
URI's Altman-Z score of 3.16 is in line compared to the rest of the industry. URI outperforms 57.14% of its industry peers.
URI has a debt to FCF ratio of 31.44. This is a negative value and a sign of low solvency as URI would need 31.44 years to pay back of all of its debts.
URI has a Debt to FCF ratio (31.44) which is comparable to the rest of the industry.
URI has a Debt/Equity ratio of 1.40. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.40, URI is doing worse than 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 31.44 | ||
| Altman-Z | 3.16 |
ROIC/WACC1.29
WACC9.08%
2.3 Liquidity
URI has a Current Ratio of 0.90. This is a bad value and indicates that URI is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.90, URI is doing worse than 89.80% of the companies in the same industry.
URI has a Quick Ratio of 0.90. 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 has a Quick ratio of 0.84. This is in the lower half of the industry: URI underperforms 65.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.84 |
3. Growth
3.1 Past
The earnings per share for URI have decreased by -0.68% in the last year.
Measured over the past years, URI shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.13% on average per year.
Looking at the last year, URI shows a small growth in Revenue. The Revenue has grown by 6.73% in the last year.
Measured over the past years, URI shows a quite strong growth in Revenue. The Revenue has been growing by 10.41% on average per year.
EPS 1Y (TTM)-0.68%
EPS 3Y25.11%
EPS 5Y17.13%
EPS Q2Q%-0.85%
Revenue 1Y (TTM)6.73%
Revenue growth 3Y16.46%
Revenue growth 5Y10.41%
Sales Q2Q%5.94%
3.2 Future
The Earnings Per Share is expected to grow by 11.38% on average over the next years. This is quite good.
The Revenue is expected to grow by 8.15% on average over the next years. This is quite good.
EPS Next Y-0.21%
EPS Next 2Y4.41%
EPS Next 3Y7.12%
EPS Next 5Y11.38%
Revenue Next Year6.18%
Revenue Next 2Y6.06%
Revenue Next 3Y6.39%
Revenue Next 5Y8.15%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 18.88 indicates a rather expensive valuation of URI.
URI's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 26.31, URI is valued a bit cheaper.
A Price/Forward Earnings ratio of 17.07 indicates a rather expensive valuation of URI.
Based on the Price/Forward Earnings ratio, URI is valued a bit cheaper than the industry average as 61.22% of the companies are valued more expensively.
URI's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 36.56.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.88 | ||
| Fwd PE | 17.07 |
4.2 Price Multiples
71.43% of the companies in the same industry are more expensive than URI, based on the Enterprise Value to EBITDA ratio.
URI's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 115.07 | ||
| EV/EBITDA | 9.34 |
4.3 Compensation for Growth
The excellent profitability rating of URI may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.1
EPS Next 2Y4.41%
EPS Next 3Y7.12%
5. Dividend
5.1 Amount
URI has a yearly dividend return of 0.88%, which is pretty low.
URI's Dividend Yield is a higher than the industry average which is at 1.95.
With a Dividend Yield of 0.88, URI pays less dividend than the S&P500 average, which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
5.2 History
URI has paid a dividend for less than 5 years, so there is no long track record yet.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
18.10% of the earnings are spent on dividend by URI. This is a low number and sustainable payout ratio.
DP18.1%
EPS Next 2Y4.41%
EPS Next 3Y7.12%
NYSE:URI (12/1/2025, 11:02:33 AM)
804.81
-10.37 (-1.27%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners94.6%
Inst Owner Change-1.42%
Ins Owners0.44%
Ins Owner Change-0.13%
Market Cap51.78B
Revenue(TTM)15.99B
Net Income(TTM)2.53B
Analysts77.04
Price Target1020.78 (26.83%)
Short Float %2.29%
Short Ratio2.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.88% |
Yearly Dividend6.55
Dividend Growth(5Y)N/A
DP18.1%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-3.75%
Min EPS beat(2)-5.82%
Max EPS beat(2)-1.69%
EPS beat(4)0
Avg EPS beat(4)-2.4%
Min EPS beat(4)-5.82%
Max EPS beat(4)-0.62%
EPS beat(8)3
Avg EPS beat(8)-0.58%
EPS beat(12)5
Avg EPS beat(12)-0.01%
EPS beat(16)9
Avg EPS beat(16)2.75%
Revenue beat(2)2
Avg Revenue beat(2)0.3%
Min Revenue beat(2)0.03%
Max Revenue beat(2)0.57%
Revenue beat(4)4
Avg Revenue beat(4)1.45%
Min Revenue beat(4)0.03%
Max Revenue beat(4)2.99%
Revenue beat(8)6
Avg Revenue beat(8)0.69%
Revenue beat(12)9
Avg Revenue beat(12)0.89%
Revenue beat(16)12
Avg Revenue beat(16)0.8%
PT rev (1m)1.07%
PT rev (3m)18.25%
EPS NQ rev (1m)-0.17%
EPS NQ rev (3m)-2.27%
EPS NY rev (1m)-1.47%
EPS NY rev (3m)-1.79%
Revenue NQ rev (1m)0.19%
Revenue NQ rev (3m)1.11%
Revenue NY rev (1m)0.61%
Revenue NY rev (3m)0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.88 | ||
| Fwd PE | 17.07 | ||
| P/S | 3.24 | ||
| P/FCF | 115.07 | ||
| P/OCF | 10.39 | ||
| P/B | 5.75 | ||
| P/tB | 32.67 | ||
| EV/EBITDA | 9.34 |
EPS(TTM)42.62
EY5.3%
EPS(NY)47.14
Fwd EY5.86%
FCF(TTM)6.99
FCFY0.87%
OCF(TTM)77.43
OCFY9.62%
SpS248.46
BVpS139.88
TBVpS24.63
PEG (NY)N/A
PEG (5Y)1.1
Graham Number366.25
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.42% | ||
| ROE | 28.11% | ||
| ROCE | 15.51% | ||
| ROIC | 11.75% | ||
| ROICexc | 11.98% | ||
| ROICexgc | 16.94% | ||
| OM | 25.08% | ||
| PM (TTM) | 15.83% | ||
| GM | 38.73% | ||
| FCFM | 2.81% |
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%
ROICexgc growth 3Y6.5%
ROICexgc 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 Turnover0.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 31.44 | ||
| Debt/EBITDA | 1.78 | ||
| Cap/Depr | 147.86% | ||
| Cap/Sales | 28.35% | ||
| Interest Coverage | 5.76 | ||
| Cash Conversion | 70.43% | ||
| Profit Quality | 17.79% | ||
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.84 | ||
| Altman-Z | 3.16 |
F-Score6
WACC9.08%
ROIC/WACC1.29
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)-0.68%
EPS 3Y25.11%
EPS 5Y17.13%
EPS Q2Q%-0.85%
EPS Next Y-0.21%
EPS Next 2Y4.41%
EPS Next 3Y7.12%
EPS Next 5Y11.38%
Revenue 1Y (TTM)6.73%
Revenue growth 3Y16.46%
Revenue growth 5Y10.41%
Sales Q2Q%5.94%
Revenue Next Year6.18%
Revenue Next 2Y6.06%
Revenue Next 3Y6.39%
Revenue Next 5Y8.15%
EBIT growth 1Y-0.96%
EBIT growth 3Y21.24%
EBIT growth 5Y13.53%
EBIT Next Year74.62%
EBIT Next 3Y24.92%
EBIT Next 5Y19.92%
FCF growth 1Y212.5%
FCF growth 3Y-5.15%
FCF growth 5Y-9.07%
OCF growth 1Y9.71%
OCF growth 3Y7.21%
OCF growth 5Y8.49%
UNITED RENTALS INC / URI FAQ
What is the ChartMill fundamental rating of UNITED RENTALS INC (URI) stock?
ChartMill assigns a fundamental rating of 5 / 10 to URI.
What is the valuation status for URI stock?
ChartMill assigns a valuation rating of 4 / 10 to UNITED RENTALS INC (URI). This can be considered as Fairly Valued.
What is the profitability of URI stock?
UNITED RENTALS INC (URI) has a profitability rating of 8 / 10.
What is the financial health of UNITED RENTALS INC (URI) stock?
The financial health rating of UNITED RENTALS INC (URI) is 3 / 10.
Can you provide the expected EPS growth for URI stock?
The Earnings per Share (EPS) of UNITED RENTALS INC (URI) is expected to decline by -0.21% in the next year.