United Rentals, Inc.

NYSE:URI Stock Report

Market Cap: US$53.9b

United Rentals Valuation

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

Valuation Score

2/6

Valuation Score 2/6

  • 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 URI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: URI ($820.55) is trading above our estimate of fair value ($786.38)

Significantly Below Fair Value: URI is trading above our estimate of fair value.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for URI. This is calculated by dividing URI's market cap by their current earnings.
What is URI's PE Ratio?
PE Ratio21x
EarningsUS$2.57b
Market CapUS$53.89b

Price to Earnings Ratio vs Peers

How does URI's PE Ratio compare to its peers?

The above table shows the PE ratio for URI vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average25.6x
GWW W.W. Grainger
31.4x8.2%US$57.1b
FAST Fastenal
40.6x7.6%US$46.7b
FERG Ferguson Enterprises
23.5x8.8%US$40.5b
AER AerCap Holdings
6.9x-9.6%US$17.7b
URI United Rentals
21x9.0%US$53.9b

Price-To-Earnings vs Peers: URI is good value based on its Price-To-Earnings Ratio (21x) compared to the peer average (25.3x).

Price to Earnings Ratio vs Industry

How does URI's PE Ratio compare vs other companies in the US Trade Distributors Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
BYU BAIYU Holdings
0.8xn/aUS$9.09m
No more companies available in this PE range
URI 21.0xIndustry Avg. 16.9xNo. of Companies7PE01020304050+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: URI is expensive based on its Price-To-Earnings Ratio (21x) compared to the US Trade Distributors industry average (16.9x).

Price to Earnings Ratio vs Fair Ratio

What is URI'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.

URI PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21x
Fair PE Ratio27.8x

Price-To-Earnings vs Fair Ratio: URI is good value based on its Price-To-Earnings Ratio (21x) compared to the estimated Fair Price-To-Earnings Ratio (27.8x).

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 URI forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$820.55
US$830.06
+1.2%
19.4%US$1,239.00US$565.00n/a20
Nov ’25US$793.47
US$805.76
+1.5%
19.7%US$1,232.00US$565.00n/a20
Oct ’25US$806.79
US$756.01
-6.3%
23.1%US$1,232.00US$400.00n/a20
Sep ’25US$741.26
US$741.26
+0.0004%
23.1%US$1,232.00US$400.00n/a19
Aug ’25US$716.49
US$742.05
+3.6%
22.0%US$1,232.00US$400.00n/a21
Jul ’25US$640.84
US$703.47
+9.8%
22.7%US$1,236.00US$400.00n/a22
Jun ’25US$669.41
US$697.77
+4.2%
23.8%US$1,236.00US$400.00n/a20
May ’25US$653.76
US$691.54
+5.8%
20.9%US$1,125.00US$400.00n/a21
Apr ’25US$710.15
US$662.02
-6.8%
23.5%US$1,125.00US$400.00n/a21
Mar ’25US$700.59
US$644.87
-8.0%
24.2%US$1,125.00US$400.00n/a20
Feb ’25US$645.37
US$613.77
-4.9%
24.7%US$1,125.00US$400.00n/a20
Jan ’25US$573.42
US$514.63
-10.3%
26.8%US$983.00US$322.00n/a19
Dec ’24US$501.83
US$492.90
-1.8%
26.9%US$983.00US$302.00n/a20
Nov ’24US$409.48
US$492.53
+20.3%
27.6%US$983.00US$302.00US$793.4719
Oct ’24US$444.57
US$498.06
+12.0%
28.3%US$980.00US$302.00US$806.7918
Sep ’24US$491.17
US$499.58
+1.7%
27.5%US$980.00US$302.00US$741.2619
Aug ’24US$474.00
US$491.84
+3.8%
27.8%US$978.00US$302.00US$716.4919
Jul ’24US$445.37
US$465.85
+4.6%
29.5%US$978.00US$296.00US$640.8420
Jun ’24US$339.29
US$463.81
+36.7%
29.0%US$978.00US$296.00US$669.4121
May ’24US$361.64
US$468.71
+29.6%
28.9%US$978.00US$296.00US$653.7621
Apr ’24US$395.76
US$478.25
+20.8%
27.5%US$950.00US$296.00US$710.1520
Mar ’24US$467.80
US$483.10
+3.3%
26.4%US$950.00US$296.00US$700.5920
Feb ’24US$454.90
US$467.95
+2.9%
27.4%US$950.00US$296.00US$645.3719
Jan ’24US$355.42
US$414.56
+16.6%
24.8%US$773.00US$269.00US$573.4218
Dec ’23US$356.42
US$405.72
+13.8%
26.0%US$773.00US$269.00US$501.8318
Nov ’23US$321.20
US$386.22
+20.2%
25.5%US$717.00US$269.00US$409.4818

Analyst Forecast: Target price is less than 20% higher than the current share price.

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