United Rentals, Inc.

Consumer Discretionary
Diversified Commercial Services
www.unitedrentals.com

Earnings Score
Moat Score
Safety Score
Final Score

Market Cap $51.88B
PE 20
Debt $13.39B
Cash $479.00M
EV $64.79B
FCF $840.00M

Earnings

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Sales & Net Margins

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Earnings	$2.57B
EBIT	$4.04B
ROE	30%
ROA	14%
FCF	$840.00M
Equity	$8.58B
Growth Stability	74%
PE	20.22
PEG	0.73
PB	6.05
P/FCF	61.76
P/S	3.46
Price/Cash	0.01
Debt/Equity	1.56
Debt/FCF	15.95
Net Margins	17%
Gross Margins	41%
Op. Margins	27%
Earnings CAGR	18%
Sales Growth YoY	6%
Sales Growth QoQ	6%
Sales CAGR	12%
FCF CAGR	3%
Equity CAGR	23%
Earnings Stability	0.73
Earnings Growth YoY	1%
Earnings Growth QoQ	11%
Earnings CAGR 5Y	28%

Sales CAGR 5Y	14%
FCF CAGR 5Y	-15%
Equity CAGR 5Y	21%
Earnings CAGR 3Y	18%
Sales CAGR 3Y	18%
FCF CAGR 3Y	30%
Equity CAGR 3Y	16%
Market Cap	$51.88B
Revenue	$14.98B
Dividend Yield	1%
Payout Ratio	17%
Assets	$28.41B
Total Debt	$13.39B
Cash	$479.00M
Shares Outstanding	65.7M
EV	64.79B
Earnings Score	92%
Moat Score	95%
Safety Score	68%
Final Score	85%
Working Capital	-705M
Current Ratio	0.82
Gross Profit	$6.07B
Shares Growth 3y	-3%
Equity Growth QoQ	4%
Equity Growth YoY	11%

Assets & ROA

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Stockholders Equity & ROE

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United Rentals is the world's largest equipment rental company, and principally operates in the United States and Canada, where it commands approximately 15% share in a highly fragmented market. It serves three end markets: general industrial, commercial construction, and residential construction. Like its peers, United Rentals historically has provided its customers with equipment that was intermittently used, such as aerial equipment and portable generators. As the company has grown organically and through hundreds of acquisitions since it went public in 1997, its catalog (fleet size of $16 billion) now includes a range of specialty equipment and other items that can be rented for indefinitely long time periods.

SEC Filings

Direct access to United Rentals, Inc. (URI) Annual Reports (10K) and Quarterly Reports (10Q) from the SEC website.

2024
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2023
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31
2022
- 10-K Dec 31
- 10-Q Sep 30
- 10-Q Jun 30
- 10-Q Mar 31

Sector Comparison

How does United Rentals, Inc. compare to its competitors?

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Peter Lynch's Chart

This chart shows the current pricing of United Rentals, Inc. compared to its past. The addition of the earnings trend line provides further insights into the company's earnings power.

CAGR 18%

Stability 73%

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United Rentals, Inc. Discounted Cash Flow

Fully customizable DCF calculator online for United Rentals, Inc..

Years

Calculation mode

= $10B

	0	1	2	3	4	5	6	7	8	9	10	TV
fcf	$840M	$865M	$891M	$917M	$944M	$972M	$1B	$1B	$1.1B	$1.1B	$1.1B	$11B
DCF		$786M	$736M	$689M	$645M	$604M	$565M	$529M	$495M	$464M	$434M	$4.3B
Value	$10B

Competitiveness and MOAT

High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.

Years	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	TTM
Net Margins	10%	10%	20%	14%	13%	10%	14%	18%	17%	17%
ROA	-	12%	10%	11%	11%	10%	11%	13%	15%	14%
ROE	-	34%	43%	32%	31%	20%	23%	30%	30%	30%

Good Net Margins (16.76%)

Net Margins are high enough to offer a good protection on the profits in case of higher costs or higher interests. Furthermore higher margins reduce earnings’ volatility.

Safety and Stability

Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.

Years	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	TTM
Debt over FCF	-	13.75	30.03	22.66	18.57	6.97	21.71	15.62	15.53	15.95
Debt over Equity	5.97	5.12	3.3	3.74	3.27	2.3	1.78	1.64	1.6	1.56
Growth Stability	-	-	-	100%	100%	74%	100%	100%	100%	74%

Bad Debt/FCF ratio (15.95)

Net Margins are too low to guarantee profitability in case of higher costs or higher interest rates. Furthermore lower margins cause higher earnings’ volatility.

Bad Debt/Equity ratio (1.56)

The company is overleveraged and has a bad balance between equity and debt.

Bad Graham’s Stability (74%)

The company has a bad stability in its earnings, which is a sign of a bad competitive advantage.

Growth

Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.

Years	12/2015	12/2016	12/2017	12/2018	12/2019	12/2020	12/2021	12/2022	12/2023	CAGR 5Y
Revenue YoY growth	-	-1%	15%	21%	16%	-9%	14%	20%	23%	14%
Earnings YoY growth	-	-3%	138%	-19%	7%	-24%	56%	52%	15%	28%
Equity YoY growth	-	12%	88%	10%	13%	19%	32%	18%	15%	21%
FCF YoY growth	-	71%	-44%	65%	20%	123%	-67%	51%	13%	-15%