StockCV
United Rentals, Inc. logo

United Rentals, Inc.

Farm & Heavy Construction Machinery

$1 056.37
+0.59%
Market cap $65.8B

United Rentals is the world's largest equipment rental company, principally operating in the US and Canada. It has 16% share in a highly fragmented market serving general industrial (49%), commercial construction (46%), and residential construction (5%).

It is a $65.8B industrial company. Revenue grew 6.9% over the last year, it keeps 16¢ of every dollar of sales as profit, and its net debt equals ~5.9 years of free cash flow. It trades at 24.9× earnings — in the most expensive third of its own history.

Location
Stamford, CT
Employees
28 500
Sector
Industrials
Founded
1997

Skills

Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.

Valuation44Growth90Profitability82Health47Quality80Moat69

Strong growth, profitability and quality; Valuation and Health lag behind.

Valuation44
  • P/E vs own history82th pct · 0/25
  • FCF yield3.5% · 12/25
  • P/S3.9x · 20/25
  • EV/EBITDA17.1x · 12/25
Growth90
  • Revenue CAGR13.5% · 20/25
  • Net income CAGR15.8% · 20/25
  • EPS CAGR ~5Y25.9% · 25/25
  • Fwd implied growth31.5% · 25/25
Profitability82
  • ROIC11.0% · 12/25
  • ROE29.2% · 25/25
  • Net margin15.7% · 20/25
  • Operating margin25.1% · 25/25
Health47
  • Altman Z2.99 · 18/25
  • Current ratio0.76 · 6/25
  • Interest coverage5.7x · 18/25
  • Net cash / debtD/A 46% · 5/25
Quality80
  • Piotroski F5/9 · 15/25
  • Beneish M-2.78 · 25/25
  • FCF conversion77% · 15/25
  • Margin stabilityσ 2.7% · 25/25
Moat69
  • ROIC >12% years5/10 yrs · 13/25
  • Median gross margin40.3% · 13/25
  • FCF-positive years6/6 yrs · 25/25
  • Worst-year net marginworst 9.8% · 18/25

How the scores work →

Experience

The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.

  1. FY2024Financial
    Best year on record
    $2.58B net income
  2. Mar 15, 2024Acquisition
    United Access completed the acquisition of Yak Access, Yak Mat and New South Access &…
  3. FY2022Financial
    Revenue crossed $10B
    $11.6B for the year
  4. Dec 7, 2022Acquisition
    United Rentals completed the acquisition of Ahern Rentals, Inc
  5. May 25, 2021Acquisition
    United Rentals acquired General Finance Corporation, a provider of mobile storage and office…
  6. Mar 1, 2018Acquisition
    United Rentals acquired certain assets of Industrial Rental Services, LLC, expanding its Tool…
  7. Oct 2, 2017Acquisition
    United Rentals announced it had completed the acquisition of Neff Corporation, a competing…
  8. FY2016Financial
    Profitable every year on record
    10 consecutive profitable years in our data
  9. FY2016Financial
    Revenue already above $1B
    $5.76B in first reported year
  10. FY2016Financial
    Positive free cash flow every year since
    10-year streak
  11. 2014IPO
    United Rentals was first listed on the Fortune 500
  12. Apr 30, 2012Acquisition
    The largest merger in rental equipment history was finalized on April 30, 2012, boosting URI to what was at the time…
  13. Dec 16, 2011Acquisition
    United Rentals and RSC Holdings, Inc. announced that they had entered into a definitive merger…
  14. Dec 26, 2006Acquisition
    United Rentals announced the sale of their Highway Technology division to HTS Acquisition, Inc
  15. 1997Founded
    United Rentals was founded in September 1997

Achievements

Verifiable track record, straight from the reported numbers.

#25 largest of 130 Industrials companies by market cap
$10 000 invested in 2021 would be worth ~$30 952 today — price return only
$16.1B revenue in FY2025
Revenue up 6.9% year over year
Profitable 10 years in a row
Positive free cash flow 10 years in a row
28 500 employees

Strengths & watch-outs

What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.

Strengths

  • Interest covered 5.7× by operating earnings
  • Altman Z-Score 2.99 — low bankruptcy-risk zone

Watch-outs

  • Net debt would take ~7.5 years of free cash flow to repay
  • Net debt equals ~5.9 years of free cash flow

Qualifications

The basics a company should meet before you research it further. Each check uses the reported numbers.

10 of 11 checks passed
  • Revenue growing+6.9% YoY
  • Profitable$2.64B TTM
  • Profit growing+9.2% YoY
  • Generates cash$2.32B TTM
  • Debt under control~5.9y of cash flow to repay
  • Established company$65.8B market cap
  • Not printing shares-11.5% shares over ~5y
  • Proven track record10/10 profitable years
  • Financially stableAltman Z 3.0 — safe
  • Pays a dividendyield 0.73%
  • Valuation not extremeP/E 24.9
Peer comparisonUnited Rentals, Inc. vs 6 largest industrials peers — cap, P/E, growth and margin side by sideOpen ▾
CompanyMarket capP/ERevenue growthNet marginProfile
URI this company$65.8B24.9+6.9%15.7%Mixed
LRCX Lam Research Corp$399.2B54.9+26.0%31.3%Strong
CAT Caterpillar Inc.$368.0B33.9+18.4%14.5%Solid
RTX RTX Corporation$251.3B32.4+11.8%8.3%Strained
DE Deere & Company$167.7B34.4+8.3%10.2%Solid
ETN Eaton Corporation, plc$167.2B43.6+15.5%12.8%Mixed
UNP Union Pacific Corp.$166.8B22.6+4.2%28.8%Strained

Head-to-head: URI vs LRCX · URI vs CAT · URI vs RTX

References

What covering analysts publish about the company — information only, not a recommendation.

Strong buy 6Buy 15Hold 5Sell 1

Appendix · Financial records

The full statements behind this CV, FY2016–FY2025. For readers who want to check the numbers.

Want the live picture — intraday moves, valuation history and full analysis?

Deeper analysis of URI on PreMarketPrice

Figures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $1 056.37 · market cap $65.8B.