United Rentals (URI - Free Report) closed at $115.93 in the latest trading session, marking a -1.13% move from the prior day. This change lagged the S&P 500's daily loss of 0.22%. Elsewhere, the Dow lost 0.11%, while the tech-heavy Nasdaq lost 0.25%.
Prior to today's trading, shares of the equipment rental company had lost 2.35% over the past month. This has lagged the Construction sector's gain of 4.85% and the S&P 500's gain of 3.57% in that time.
URI will be looking to display strength as it nears its next earnings release, which is expected to be January 23, 2019. In that report, analysts expect URI to post earnings of $4.72 per share. This would mark year-over-year growth of 41.32%. Meanwhile, our latest consensus estimate is calling for revenue of $2.18 billion, up 13.3% from the prior-year quarter.
URI's full-year Zacks Consensus Estimates are calling for earnings of $16.23 per share and revenue of $7.92 billion. These results would represent year-over-year changes of +53.26% and +19.31%, respectively.
It is also important to note the recent changes to analyst estimates for URI. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.39% higher. URI is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, URI is currently trading at a Forward P/E ratio of 7.22. Its industry sports an average Forward P/E of 15.36, so we one might conclude that URI is trading at a discount comparatively.
Meanwhile, URI's PEG ratio is currently 0.41. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Building Products - Miscellaneous industry currently had an average PEG ratio of 1.02 as of yesterday's close.
The Building Products - Miscellaneous industry is part of the Construction sector. This group has a Zacks Industry Rank of 219, putting it in the bottom 15% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.