UNITED RENTALS INC (URI) Stock Fundamental Analysis
USA - NYSE:URI - US9113631090 - Common Stock
842.5 USD
-0.76 (-0.09%)
Taking everything into account, URI scores 5 out of 10 in our fundamental rating. URI was compared to 51 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.
1. Profitability
1.1 Basic Checks
In the past year URI was profitable.
In the past year URI had a positive cash flow from operations.
Each year in the past 5 years URI has been profitable.
URI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 8.42%, URI is doing good in the industry, outperforming 76.47% of the companies in the same industry.
Looking at the Return On Equity, with a value of 28.11%, URI belongs to the top of the industry, outperforming 86.27% of the companies in the same industry.
URI has a better Return On Invested Capital (11.75%) than 78.43% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for URI is above the industry average of 10.12%.
| 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
With an excellent Profit Margin value of 15.83%, URI belongs to the best of the industry, outperforming 86.27% of the companies in the same industry.
URI's Profit Margin has improved in the last couple of years.
URI's Operating Margin of 25.08% is amongst the best of the industry. URI outperforms 86.27% of its industry peers.
URI's Operating Margin has improved in the last couple of years.
The Gross Margin of URI (38.73%) is better than 70.59% 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
URI has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it 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.
2.2 Solvency
URI has an Altman-Z score of 3.21. This indicates that URI is financially healthy and has little risk of bankruptcy at the moment.
URI has a Altman-Z score of 3.21. This is in the better half of the industry: URI outperforms 66.67% of its industry peers.
The Debt to FCF ratio of URI is 31.44, which is on the high side as it means it would take URI, 31.44 years of fcf income to pay off all of its debts.
URI's Debt to FCF ratio of 31.44 is in line compared to the rest of the industry. URI outperforms 52.94% of its industry peers.
URI has a Debt/Equity ratio of 1.40. This is a high value indicating a heavy dependency on external financing.
URI's Debt to Equity ratio of 1.40 is on the low side compared to the rest of the industry. URI is outperformed by 72.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.4 | ||
| Debt/FCF | 31.44 | ||
| Altman-Z | 3.21 |
ROIC/WACC1.29
WACC9.09%
2.3 Liquidity
A Current Ratio of 0.90 indicates that URI may have some problems paying its short term obligations.
URI has a Current ratio of 0.90. This is amonst the worse of the industry: URI underperforms 88.24% of its industry peers.
A Quick Ratio of 0.84 indicates that URI may have some problems paying its short term obligations.
URI has a worse Quick ratio (0.84) than 66.67% 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.
URI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 17.13% yearly.
URI shows a small growth in Revenue. In the last year, the Revenue has grown by 6.73%.
The Revenue has been growing by 10.41% on average over the past years. This is quite good.
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
URI is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.38% yearly.
Based on estimates for the next years, URI will show a quite strong growth in Revenue. The Revenue will grow by 8.15% on average per year.
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.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
URI is valuated rather expensively with a Price/Earnings ratio of 19.77.
URI's Price/Earnings ratio is a bit cheaper when compared to the industry. URI is cheaper than 60.78% of the companies in the same industry.
URI's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.91.
Based on the Price/Forward Earnings ratio of 17.87, the valuation of URI can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of URI is on the same level as its industry peers.
URI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 34.57, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.77 | ||
| Fwd PE | 17.87 |
4.2 Price Multiples
68.63% of the companies in the same industry are more expensive than URI, based on the Enterprise Value to EBITDA ratio.
The rest of the industry has a similar Price/Free Cash Flow ratio as URI.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 120.46 | ||
| EV/EBITDA | 9.6 |
4.3 Compensation for Growth
The excellent profitability rating of URI may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.15
EPS Next 2Y4.41%
EPS Next 3Y7.12%
5. Dividend
5.1 Amount
URI has a yearly dividend return of 0.85%, which is pretty low.
URI's Dividend Yield is a higher than the industry average which is at 2.25.
Compared to an average S&P500 Dividend Yield of 2.36, URI's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.85% |
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
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 (11/14/2025, 10:30:39 AM)
842.5
-0.76 (-0.09%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryTrading Companies & Distributors
Earnings (Last)
Earnings (Next)
Inst Owners94.6%
Inst Owner Change-2.28%
Ins Owners0.44%
Ins Owner Change-0.29%
Market Cap54.21B
Revenue(TTM)15.99B
Net Income(TTM)2.53B
Analysts77.04
Price Target1009.98 (19.88%)
Short Float %2.59%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.85% |
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)5.98%
PT rev (3m)17.23%
EPS NQ rev (1m)-2.22%
EPS NQ rev (3m)-2.55%
EPS NY rev (1m)-1.64%
EPS NY rev (3m)-1.09%
Revenue NQ rev (1m)1.2%
Revenue NQ rev (3m)1.06%
Revenue NY rev (1m)0.59%
Revenue NY rev (3m)0.75%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.77 | ||
| Fwd PE | 17.87 | ||
| P/S | 3.39 | ||
| P/FCF | 120.46 | ||
| P/OCF | 10.88 | ||
| P/B | 6.02 | ||
| P/tB | 34.2 | ||
| EV/EBITDA | 9.6 |
EPS(TTM)42.62
EY5.06%
EPS(NY)47.14
Fwd EY5.6%
FCF(TTM)6.99
FCFY0.83%
OCF(TTM)77.43
OCFY9.19%
SpS248.46
BVpS139.88
TBVpS24.63
PEG (NY)N/A
PEG (5Y)1.15
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 | 3.21 |
F-Score6
WACC9.09%
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.