United Rentals
Market Cap
US$17.9b
Last Updated
2021/01/27 23:12 UTC
Data Sources
Company Financials +
Executive Summary
United Rentals, Inc., through its subsidiaries, operates as an equipment rental company. More Details
Rewards
Risk Analysis
Snowflake Analysis
Mediocre balance sheet and slightly overvalued.
Similar Companies
Share Price & News
How has United Rentals's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: URI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: URI's weekly volatility (7%) has been stable over the past year.
Market Performance
7 Day Return
-9.2%
URI
-5.0%
US Trade Distributors
-2.7%
US Market
1 Year Return
55.2%
URI
23.0%
US Trade Distributors
21.2%
US Market
Return vs Industry: URI exceeded the US Trade Distributors industry which returned 26.1% over the past year.
Return vs Market: URI exceeded the US Market which returned 24.3% over the past year.
Shareholder returns
| URI | Industry | Market | |
|---|---|---|---|
| 7 Day | -9.2% | -5.0% | -2.7% |
| 30 Day | 4.1% | -1.4% | 1.8% |
| 90 Day | 36.4% | 24.3% | 16.4% |
| 1 Year | 55.2%55.2% | 25.7%23.0% | 23.9%21.2% |
| 3 Year | 30.5%30.5% | 19.5%13.7% | 43.7%34.2% |
| 5 Year | 387.9%387.9% | 132.1%112.1% | 124.3%99.2% |
Long-Term Price Volatility Vs. Market
How volatile is United Rentals's share price compared to the market and industry in the last 5 years?
Simply Wall St News
22 hours ago | Simply Wall St
A Closer Look At United Rentals, Inc.'s (NYSE:URI) Impressive ROE3 weeks ago | Simply Wall St
Is United Rentals (NYSE:URI) Using Too Much Debt?1 month ago | Simply Wall St
Have Insiders Sold United Rentals, Inc. (NYSE:URI) Shares Recently?Valuation
Is United Rentals undervalued compared to its fair value and its price relative to the market?
18.62x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: URI ($236.27) is trading above our estimate of fair value ($164.25)
Significantly Below Fair Value: URI is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: URI is good value based on its PE Ratio (18.6x) compared to the US Trade Distributors industry average (25.8x).
PE vs Market: URI is good value based on its PE Ratio (18.6x) compared to the US market (21.2x).
Price to Earnings Growth Ratio
PEG Ratio: URI is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: URI is overvalued based on its PB Ratio (4.1x) compared to the US Trade Distributors industry average (1.9x).
Next Steps
Future Growth
How is United Rentals forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?
14.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: URI's forecast earnings growth (14% per year) is above the savings rate (2%).
Earnings vs Market: URI's earnings (14% per year) are forecast to grow slower than the US market (21.3% per year).
High Growth Earnings: URI's earnings are forecast to grow, but not significantly.
Revenue vs Market: URI's revenue (1.9% per year) is forecast to grow slower than the US market (10.6% per year).
High Growth Revenue: URI's revenue (1.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: URI's Return on Equity is forecast to be low in 3 years time (19.8%).
Next Steps
Past Performance
How has United Rentals performed over the past 5 years?
15.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: URI has high quality earnings.
Growing Profit Margin: URI's current net profit margins (10.7%) are lower than last year (12.5%).
Past Earnings Growth Analysis
Earnings Trend: URI's earnings have grown by 15.6% per year over the past 5 years.
Accelerating Growth: URI's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: URI had negative earnings growth (-18.8%) over the past year, making it difficult to compare to the Trade Distributors industry average (-18.3%).
Return on Equity
High ROE: Whilst URI's Return on Equity (22.37%) is high, this metric is skewed due to their high level of debt.
Next Steps
Financial Health
How is United Rentals's financial position?
Financial Position Analysis
Short Term Liabilities: URI's short term assets ($1.7B) do not cover its short term liabilities ($1.9B).
Long Term Liabilities: URI's short term assets ($1.7B) do not cover its long term liabilities ($11.8B).
Debt to Equity History and Analysis
Debt Level: URI's debt to equity ratio (238.2%) is considered high.
Reducing Debt: URI's debt to equity ratio has reduced from 568.5% to 238.2% over the past 5 years.
Debt Coverage: URI's debt is well covered by operating cash flow (27.5%).
Interest Coverage: URI's interest payments on its debt are well covered by EBIT (3.8x coverage).
Balance Sheet
Next Steps
Dividend
What is United Rentals's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate URI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate URI's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if URI's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if URI's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of URI's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.0yrs
Average management tenure
CEO
Matt Flannery (55 yo)
1.67yrs
Tenure
US$4,478,261
Compensation
Mr. Matthew J. Flannery, also known as Matt, has been the Chief Executive Officer and President at United Rentals, Inc. since May 8, 2019. Mr. Flannery was President of United Rentals, Inc. since March 8, ...
CEO Compensation Analysis
Compensation vs Market: Matt's total compensation ($USD4.48M) is below average for companies of similar size in the US market ($USD10.56M).
Compensation vs Earnings: Matt's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.67yrs | US$4.48m | 0.067% $ 12.0m | |
| Executive VP & CFO | 2.25yrs | US$1.73m | 0.013% $ 2.3m | |
| Executive VP & COO | 1.67yrs | US$2.93m | 0.019% $ 3.4m | |
| Executive VP and Chief Administrative & Legal Officer | 3.83yrs | US$2.27m | 0.017% $ 3.0m | |
| VP, Controller & Principal Accounting Officer | 2.25yrs | no data | 0.00097% $ 173.7k | |
| VP & Chief Information Officer | 2yrs | no data | no data | |
| Vice President of Investor Relations | 4.75yrs | no data | no data | |
| Senior VP | no data | no data | no data | |
| Senior VP & Chief Marketing Officer | 4.83yrs | no data | no data | |
| Senior Vice President of Performance Analytics | 6.08yrs | no data | no data | |
| Senior Vice President of Operations - East | 8yrs | no data | no data | |
| Senior Vice President of Operations | no data | no data | no data |
3.0yrs
Average Tenure
50yo
Average Age
Experienced Management: URI's management team is considered experienced (3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 1.67yrs | US$4.48m | 0.067% $ 12.0m | |
| Independent Director | 3.58yrs | US$252.57k | 0% $ 0 | |
| Independent Director | 8.75yrs | US$280.07k | 0% $ 0 | |
| Lead Independent Director | 1.67yrs | US$284.85k | 0% $ 0 | |
| Independent Director | 12yrs | US$262.46k | 0.0076% $ 1.4m | |
| Non-Executive Chairman | 1.67yrs | US$7.40m | 0.11% $ 19.2m | |
| Independent Director | 2.67yrs | US$252.57k | 0% $ 0 | |
| Independent Director | 12yrs | US$260.07k | 0.0087% $ 1.6m | |
| Independent Director | 2.33yrs | US$257.57k | 0% $ 0 | |
| Independent Director | 3.67yrs | US$255.07k | 0.0017% $ 302.6k | |
| Independent Director | 2.67yrs | US$252.57k | 0% $ 0 |
2.7yrs
Average Tenure
60yo
Average Age
Experienced Board: URI's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: URI insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
United Rentals, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: United Rentals, Inc.
- Ticker: URI
- Exchange: NYSE
- Founded: 1997
- Industry: Trading Companies and Distributors
- Sector: Capital Goods
- Market Cap: US$17.905b
- Shares outstanding: 72.14m
- Website: https://www.unitedrentals.com
Number of Employees
Location
- United Rentals, Inc.
- 100 First Stamford Place
- Suite 700
- Stamford
- Connecticut
- 6902
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| URI | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Dec 1997 |
| UR3 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 1997 |
| 0LIY | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Dec 1997 |
| URI * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Dec 1997 |
| U1RI34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH 2 REPR 1 SHS UNSPON | BR | BRL | Jan 2020 |
Biography
United Rentals, Inc., through its subsidiaries, operates as an equipment rental company. It operates in two segments, General Rentals; and Trench, Power and Fluid Solutions. The General Rentals segment ren...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/27 23:12 |
| End of Day Share Price | 2021/01/27 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2019/12/31 |
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 here.