United Rentals, Inc. (URI) AI Stock Analysis

United Rentals, Inc. operates in the equipment rental industry through two main segments: General Rentals and Specialty. The General Rentals segment rents equipment for construction and industrial applications, including backhoes, skid-steer loaders, forklifts, earthmoving machinery, material handling equipment, aerial work platforms like boom and scissor lifts, and light tools. The Specialty segment rents specialized infrastructure products, such as trench safety shields and shoring systems, power and HVAC equipment including portable diesel generators, fluid containment and treatment equipment, mobile storage units, and modular office spaces. The company primarily serves construction firms, industrial companies, and municipalities, while also selling used equipment through auctions, brokers, and direct channels.

Between FY2020 and FY2025, United Rentals delivered a 5-year revenue compound annual growth rate of 13.5%. Annual revenue increased from $9.72B in FY2021 to $16.10B in FY2025, though annual revenue growth moderated from 23.1% in FY2023 to 7.1% in FY2024 and 4.9% in FY2025. Gross margin contracted slightly from 36.0% in FY2021 to 35.4% in FY2025, while operating margin stood at 24.7% in FY2025 compared to 23.6% in FY2021. Net income reached $2.49B in FY2025, translating to EPS of $42.12. For the trailing twelve months, revenue reached $16.83B with a net profit margin of 15.7%. In the latest quarter ended June 30, 2026, quarterly revenue expanded 11.8% year-over-year and quarterly earnings grew 25.5% year-over-year.

As of June 30, 2026, United Rentals held $112.0M in cash and short-term investments compared to total debt of $15.38B, resulting in net debt of $15.27B. The current ratio stood at 0.76, while debt-to-equity was 1.67 against shareholders' equity of $9.22B. Operating cash flow in FY2025 was $5.19B, generating $662.0M in free cash flow after capital expenditures of $4.53B. The company allocated $1.97B to share buybacks and paid $464.0M in dividends during FY2025, contributing to a 12.8% reduction in share count over 5 years.

United Rentals trades at a trailing P/E of 24.8x and a forward P/E of 18.5x, lower than the median of its S&P 500 Industrials peers at 28.5x and 20.7x, respectively. Its EV/EBITDA multiple of 10.7x sits below the peer group median of 17.7x, whereas its price-to-sales of 3.8x is higher than the peer median of 3.1x. Over the past year, URI's stock return of 3.2% trailed the S&P 500 SPY return of 16.8%. Over a 5-year span, however, URI gained 206.2% compared to 83.0% for the benchmark index.

United Rentals pays a quarterly dividend with an annual forward payout of $7.88 per share, representing a dividend yield of 0.77%. The dividend payout ratio is 17.0%, and the company has paid dividends for 4 consecutive years. The most recent ex-dividend date occurred on August 12, 2026.

Wall Street analysts hold 12 Strong Buy, 4 Buy, 5 Hold, and 1 Sell ratings on United Rentals. The mean price target is $1261.10, indicating a potential upside of 22.5% compared to the last closing price of $1029.64. For the current fiscal year ending December 31, 2026, consensus estimates project EPS of $49.68 on revenue of $17.76B. The company beat EPS estimates in 2 of the last 4 quarters, with its next earnings report scheduled for October 21, 2026.

This page is an AI-written research summary of United Rentals, Inc. (URI). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

Related: URI income statement, URI balance sheet, URI key metrics, URI analyst forecast, URI chart. See the URI stock overview for the latest quote and news.