We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
United Rentals (URI) Gains But Lags Market: What You Should Know
Read MoreHide Full Article
United Rentals (URI - Free Report) closed at $470.60 in the latest trading session, marking a +0.6% move from the prior day. This move lagged the S&P 500's daily gain of 0.76%. At the same time, the Dow added 1.05%, and the tech-heavy Nasdaq lost 0.98%.
Coming into today, shares of the equipment rental company had gained 2.84% in the past month. In that same time, the Construction sector lost 3.12%, while the S&P 500 lost 3.91%.
United Rentals will be looking to display strength as it nears its next earnings release. On that day, United Rentals is projected to report earnings of $7.93 per share, which would represent year-over-year growth of 38.39%. Meanwhile, our latest consensus estimate is calling for revenue of $3.09 billion, up 22.33% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $41.69 per share and revenue of $14 billion. These totals would mark changes of +28.28% and +20.25%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for United Rentals. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.07% higher. United Rentals currently has a Zacks Rank of #2 (Buy).
Looking at its valuation, United Rentals is holding a Forward P/E ratio of 11.22. For comparison, its industry has an average Forward P/E of 14.9, which means United Rentals is trading at a discount to the group.
Also, we should mention that URI has a PEG ratio of 0.69. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Building Products - Miscellaneous stocks are, on average, holding a PEG ratio of 1.79 based on yesterday's closing prices.
The Building Products - Miscellaneous industry is part of the Construction sector. This group has a Zacks Industry Rank of 106, putting it in the top 43% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow URI in the coming trading sessions, be sure to utilize Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
United Rentals (URI) Gains But Lags Market: What You Should Know
United Rentals (URI - Free Report) closed at $470.60 in the latest trading session, marking a +0.6% move from the prior day. This move lagged the S&P 500's daily gain of 0.76%. At the same time, the Dow added 1.05%, and the tech-heavy Nasdaq lost 0.98%.
Coming into today, shares of the equipment rental company had gained 2.84% in the past month. In that same time, the Construction sector lost 3.12%, while the S&P 500 lost 3.91%.
United Rentals will be looking to display strength as it nears its next earnings release. On that day, United Rentals is projected to report earnings of $7.93 per share, which would represent year-over-year growth of 38.39%. Meanwhile, our latest consensus estimate is calling for revenue of $3.09 billion, up 22.33% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $41.69 per share and revenue of $14 billion. These totals would mark changes of +28.28% and +20.25%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for United Rentals. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.07% higher. United Rentals currently has a Zacks Rank of #2 (Buy).
Looking at its valuation, United Rentals is holding a Forward P/E ratio of 11.22. For comparison, its industry has an average Forward P/E of 14.9, which means United Rentals is trading at a discount to the group.
Also, we should mention that URI has a PEG ratio of 0.69. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Building Products - Miscellaneous stocks are, on average, holding a PEG ratio of 1.79 based on yesterday's closing prices.
The Building Products - Miscellaneous industry is part of the Construction sector. This group has a Zacks Industry Rank of 106, putting it in the top 43% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow URI in the coming trading sessions, be sure to utilize Zacks.com.