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United Rentals, Inc. — Intrinsic Value & Fair Price

URI
NYSEIndustrialsRental & Leasing ServicesCIK 0001067701unitedrentals.comAbout URI
Last close · Oct 16, 20261,029.64−17.94 (−1.71%)
Market cap$64.1B
Model value · P/E · peers
1,070.45
United Rentals closed at $1,029.64 — undervalued by 4% vs model.
716.34the model's range1,424.56

P/E · peers leads because DCF · Perpetuity growth · 5y returned no positive value. From its peers' median P/E.

Other models
13.16 – 993.73
Wall St. target
1,300.00 21% below
Below model, 1y
5 of 20 days

Price and model value

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What the marks mean
Daily close

Dividends

Quarterly · as of Oct 16, 2026
Yield, trailing 12 months
0.75%
Past 2 years
low 0.65%high 1.21%
Dividends per share, a year at a time
$6.37Aug ’24$7.00Aug ’25$7.70TTM
Coverage
—
Raised
2+ years in a row
Growth, 2 yrs
9.9% a year
Last change
+10.1% · Feb 2026
Every payment, with ex-dates · latest $1.97, paid Aug 26, 2026

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How it is valued

Valued asCyclical
Low/slowing growth (~4% recent)High profitability (67% net margin)Highly cyclical earnings
What growth the price implies: the reverse DCF

Key figures

FY2025 · chosen for cyclical companies
P/E
26.7×
EV / EBITDA
47.4×
FCF yield
1.0%
Dividend yield, TTM
0.75%
Beta
1.83
Cost of capital (WACC)
10.12%
Full financials

Analyst actions

third-party, quoted
10-14Bernstein · target1,215.00
10-05Truist Financial · target1,395.00
09-10JP Morgan · “Neutral” from “Overweight”downgrade
09-10UBS · target1,170.00
Ratings, targets and estimates

Comparable companies

by business, not by industry label
4 more companies list URI as a comparable

The weekly

One email a week across every stock we cover: 13F filings, insider trades, earnings and new research. It covers the whole market, not just URI. No account.

About United Rentals

United Rentals, Inc., founded in 1997 and headquartered in Stamford, Connecticut, functions as a prominent equipment rental firm through its various subsidiaries. The company's operations are divided into two main divisions: General Rentals and Specialty. The General Rentals segment offers a broad selection of construction and industrial machinery, including heavy equipment like backhoes, skid-steer loaders, earthmoving machinery, and forklifts, alongside aerial work platforms such as boom and scissor lifts. This division also provides general tools and lighter equipment, ranging from pressure washers to power tools. Its client base is diverse, encompassing construction and industrial enterprises, manufacturers, utility companies, municipalities, government bodies, and individual homeowners. Conversely, the Specialty segment focuses on more specialized construction products. This includes comprehensive trench safety gear, such as trench shields, aluminum hydraulic shoring systems, and construction lasers, designed for underground work. It also supplies power generation and climate control equipment, featuring portable diesel generators, electrical distribution units, and temperature management systems. Additionally, the segment offers fluid solutions for containment, transfer, and treatment, as well as mobile storage units and modular office spaces. This segment primarily caters to companies undertaking infrastructure projects, municipalities, and industrial clients. Beyond rentals, United Rentals also sells new equipment, including aerial lifts, telehandlers, and compressors, along with construction consumables, tools, small equipment, and safety supplies. It further provides parts for customer-owned machinery and offers repair and maintenance services. The company remarkets its used equipment through its dedicated sales force, brokers, its website, direct sales to manufacturers, and auctions. United Rentals maintains an extensive network of 1,360 rental facilities across the United States, Canada, Europe, Australia, and New Zealand.

CEO
Matthew J. Flannery
Headquarters
Stamford, CT
Employees
28,500
IPO
1997-12-18
Full company profile

Model estimates for research reference only, not investment advice. Every model rests on assumptions that may not match what happens; the formulas are in how we value a stock.