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Mixed TuesdayThis summary was created by AI, based on 4 opinions in the last 12 months.
United Rentals (URI-N) has shown resilience despite recent market volatility, as noted by experts. A competitor's weaker performance has raised concerns among investors, particularly regarding the potential impact of rising interest rates on economic activity and homebuilding. However, the stock is trading at a forward earnings multiple of 14.4X, which experts believe presents a reasonable valuation at this time. With earnings on the horizon, some analysts recommend waiting for further information before making additional purchases. In the past three months, the stock has experienced a 5% increase, benefiting from ongoing infrastructure spending, and has consistently exceeded EPS expectations over the last five quarters.
Now at 15x earnings, still 20% discount to market. When a stock price rises, ideally you want the multiple to stay the same. It would mean organic growth matches price appreciation, both moving forward at the same time. With a dramatic move in price, ask yourself if you still want to hold?
Economically sensitive. Be careful. Don't want to own it into a recession. Deep recession would hurt. Market seems on solid economic ground, so he's holding. If it gets too big in the portfolio, he'll trim. Still likes it.
Look at the background. Companies like this live on government spending. US government's passing all kinds of bills to support the economy, like CHIPS and Infrastructure, to the tune of $2T. URI will get a big piece of this money.
URI had a better-than-expected 2023 outlook and started its first dividend. Brokers have raised target prices.
There have been some recessionary and demand concerns, and the sector has been very weak in the past two weeks, but at 8X earnings things look fine to us here.
Outlook is supported by strong demand due to significant federal spending programs and large industrial projects.
Amid slowing economic growth, URI is poised to sustain double-digit gains in 2023.
Annual 2022 equipment revenue expansion of 23% was the highest in the past decade.
In the quarter, General Rental gains of 19% outpaced Specialty's 18%, as large rental companies continue to significantly outperform the market. Adjusted Ebitda margin in 4Q expanded 280 bps to 50%, highest since 3Q18.
Ample free cash flow supports a long-awaited dividend and share buybacks for a total 2023 outlay of $1.4 billion.
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United Rentals is a OTC stock, trading under the symbol URI-N on the (). It is usually referred to as or URI-N
In the last year, 4 stock analysts published opinions about URI-N. 4 analysts recommended to BUY the stock. 0 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for United Rentals.
United Rentals was recommended as a Top Pick by on . Read the latest stock experts ratings for United Rentals.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
4 stock analysts on Stockchase covered United Rentals In the last year. It is a trending stock that is worth watching.
On , United Rentals (URI-N) stock closed at a price of $.
A competitor reported softer results which took some of the wind out of the sails of the shares and in general, a lot of these more economically sensitive names have seen these larger drawdowns on no real news. Fear of higher rates is likely having an impact as investors become concerned on its impact on economic activity and homebuilding. At 14.4X forward earnings, we think URI looks fine here. We always like having 'more' information especially when earnings are so close so might wait for that even before adding but overall don't see much fundamentally that has changed here.
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