United Rentals, Inc.

LSE:0LIY Stock Report

Market Cap: US$39.8b

United Rentals Valuation

Is 0LIY undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0LIY when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
US$771.63
Fair Value
22.8% undervalued intrinsic discount
19
Number of Analysts

Below Fair Value: 0LIY ($595.89) is trading below our estimate of fair value ($771.63)

Significantly Below Fair Value: 0LIY is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0LIY?

Key metric: As 0LIY is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0LIY. This is calculated by dividing 0LIY's market cap by their current earnings.
What is 0LIY's PE Ratio?
PE Ratio15.5x
EarningsUS$2.58b
Market CapUS$39.79b

Price to Earnings Ratio vs Peers

How does 0LIY's PE Ratio compare to its peers?

The above table shows the PE ratio for 0LIY vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average22.8x
AHT Ashtead Group
15.7x11.7%UK£18.5b
BNZL Bunzl
18.9x6.2%UK£9.5b
DPLM Diploma
40.7x14.9%UK£5.3b
HWDN Howden Joinery Group
16.1x5.9%UK£4.0b
0LIY United Rentals
15.1x8.5%US$39.8b

Price-To-Earnings vs Peers: 0LIY is good value based on its Price-To-Earnings Ratio (15.1x) compared to the peer average (22.8x).

Price to Earnings Ratio vs Industry

How does 0LIY's PE Ratio compare vs other companies in the European Trade Distributors Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
0LIY 15.5xIndustry Avg. 14.4xNo. of Companies11PE01020304050+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0LIY is expensive based on its Price-To-Earnings Ratio (15.1x) compared to the European Trade Distributors industry average (14.4x).

Price to Earnings Ratio vs Fair Ratio

What is 0LIY's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0LIY PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.5x
Fair PE Ratio24.5x

Price-To-Earnings vs Fair Ratio: 0LIY is good value based on its Price-To-Earnings Ratio (15.1x) compared to the estimated Fair Price-To-Earnings Ratio (24.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0LIY forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$595.89
US$827.90
+38.9%
21.9%US$1,238.00US$535.00n/a19
Mar ’26US$633.19
US$832.74
+31.5%
20.9%US$1,238.00US$565.00n/a19
Feb ’26US$755.56
US$837.27
+10.8%
20.3%US$1,238.00US$565.00n/a19
Jan ’26US$703.04
US$856.32
+21.8%
19.1%US$1,239.00US$565.00n/a19
Dec ’25US$866.00
US$848.06
-2.1%
18.9%US$1,239.00US$565.00n/a20
Nov ’25US$800.87
US$805.76
+0.6%
19.7%US$1,232.00US$565.00n/a20
Oct ’25US$810.33
US$756.01
-6.7%
23.1%US$1,232.00US$400.00n/a20
Sep ’25US$726.72
US$741.26
+2.0%
23.1%US$1,232.00US$400.00n/a19
Aug ’25US$719.52
US$742.05
+3.1%
22.0%US$1,232.00US$400.00n/a21
Jul ’25US$641.76
US$703.47
+9.6%
22.7%US$1,236.00US$400.00n/a22
Jun ’25US$662.72
US$697.77
+5.3%
23.8%US$1,236.00US$400.00n/a20
May ’25US$651.42
US$691.54
+6.2%
20.9%US$1,125.00US$400.00n/a21
Apr ’25US$720.42
US$662.02
-8.1%
23.5%US$1,125.00US$400.00n/a21
Mar ’25US$696.61
US$644.87
-7.4%
24.2%US$1,125.00US$400.00US$633.1920
Feb ’25US$637.02
US$613.77
-3.7%
24.7%US$1,125.00US$400.00US$755.5620
Jan ’25US$574.22
US$514.63
-10.4%
26.8%US$983.00US$322.00US$703.0419
Dec ’24US$501.80
US$492.90
-1.8%
26.9%US$983.00US$302.00US$866.0020
Nov ’24US$402.98
US$492.53
+22.2%
27.6%US$983.00US$302.00US$800.8719
Oct ’24US$450.84
US$498.06
+10.5%
28.3%US$980.00US$302.00US$810.3318
Sep ’24US$491.51
US$499.58
+1.6%
27.5%US$980.00US$302.00US$726.7219
Aug ’24US$471.75
US$491.84
+4.3%
27.8%US$978.00US$302.00US$719.5219
Jul ’24US$444.30
US$465.85
+4.9%
29.5%US$978.00US$296.00US$641.7620
Jun ’24US$337.74
US$463.81
+37.3%
29.0%US$978.00US$296.00US$662.7221
May ’24US$356.98
US$468.71
+31.3%
28.9%US$978.00US$296.00US$651.4221
Apr ’24US$393.62
US$478.25
+21.5%
27.5%US$950.00US$296.00US$720.4220
Mar ’24US$470.13
US$483.10
+2.8%
26.4%US$950.00US$296.00US$696.6120
Analyst Price Target
Consensus Narrative from 19 Analysts
US$830.30
Fair Value
28.2% undervalued intrinsic discount
19
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/03/13 20:07
End of Day Share Price 2025/03/13 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

United Rentals, Inc. is covered by 43 analysts. 19 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
null nullArgus Research Company
Mircea DobreBaird
Ishan MajumdarBaptista Research