Federated Hermes Inc. Cuts Holdings in United Rentals, Inc. (NYSE:URI)

Key Points

• Federated Hermes Inc. reduced its stake in United Rentals, Inc. by 14.3%, holding 10,991 shares valued at approximately $6.89 million after selling 1,832 shares.
• United Rentals reported earnings per share of $10.47 for the last quarter, missing expectations, but showed a 4.5% year-over-year revenue increase to $3.94 billion.
• The company recently announced a quarterly dividend of $1.79 per share, resulting in an annual yield of 0.8% and a payout ratio of 18.52%.

Federated Hermes Inc. lessened its stake in United Rentals, Inc. (NYSE:URI - Free Report) by 14.3% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 10,991 shares of the construction company's stock after selling 1,832 shares during the period. Federated Hermes Inc.'s holdings in United Rentals were worth $6,888,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently modified their holdings of the stock. Fourth Dimension Wealth LLC bought a new position in United Rentals during the 1st quarter valued at approximately $26,000. TruNorth Capital Management LLC raised its position in United Rentals by 1,266.7% during the 1st quarter. TruNorth Capital Management LLC now owns 41 shares of the construction company's stock valued at $26,000 after purchasing an additional 38 shares during the last quarter. Migdal Insurance & Financial Holdings Ltd. raised its position in United Rentals by 69.0% during the 1st quarter. Migdal Insurance & Financial Holdings Ltd. now owns 49 shares of the construction company's stock valued at $31,000 after purchasing an additional 20 shares during the last quarter. Grove Bank & Trust bought a new position in United Rentals during the 1st quarter valued at approximately $36,000. Finally, NBC Securities Inc. bought a new position in United Rentals during the 1st quarter valued at approximately $40,000. Institutional investors own 96.26% of the company's stock.

United Rentals Stock Up 1.0%

Shares of United Rentals stock traded up $8.94 during midday trading on Monday, hitting $868.56. The company had a trading volume of 456,928 shares, compared to its average volume of 689,765. The company has a debt-to-equity ratio of 1.34, a quick ratio of 0.80 and a current ratio of 0.86. The stock has a market capitalization of $55.88 billion, a P/E ratio of 20.12, a P/E/G ratio of 1.99 and a beta of 1.72. The company has a 50 day moving average of $765.18 and a 200 day moving average of $699.96. United Rentals, Inc. has a 52-week low of $525.91 and a 52-week high of $903.60.

United Rentals (NYSE:URI - Get Free Report) last posted its quarterly earnings results on Wednesday, July 23rd. The construction company reported $10.47 earnings per share for the quarter, missing the consensus estimate of $10.54 by ($0.07). The company had revenue of $3.94 billion during the quarter, compared to analysts' expectations of $3.90 billion. United Rentals had a return on equity of 32.01% and a net margin of 16.11%. The business's quarterly revenue was up 4.5% on a year-over-year basis. During the same quarter in the previous year, the company earned $10.70 EPS. On average, equities analysts predict that United Rentals, Inc. will post 44.8 earnings per share for the current fiscal year.

United Rentals Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, August 27th. Shareholders of record on Wednesday, August 13th will be paid a dividend of $1.79 per share. This represents a $7.16 annualized dividend and a yield of 0.8%. The ex-dividend date is Wednesday, August 13th. United Rentals's dividend payout ratio (DPR) is currently 18.52%.

Insider Buying and Selling

In other United Rentals news, VP Andrew B. Limoges sold 708 shares of the stock in a transaction on Monday, May 12th. The stock was sold at an average price of $705.86, for a total transaction of $499,748.88. Following the sale, the vice president directly owned 1,921 shares in the company, valued at approximately $1,355,957.06. This trade represents a 26.93% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.51% of the company's stock.

Wall Street Analysts Forecast Growth

A number of research firms have commented on URI. Truist Financial upped their price target on United Rentals from $786.00 to $952.00 and gave the company a "buy" rating in a research report on Friday, July 25th. Morgan Stanley upped their target price on United Rentals from $702.00 to $955.00 and gave the stock an "overweight" rating in a report on Monday, July 28th. JPMorgan Chase & Co. upped their target price on United Rentals from $920.00 to $950.00 and gave the stock an "overweight" rating in a report on Thursday, July 10th. Robert W. Baird upped their target price on United Rentals from $535.00 to $571.00 and gave the stock a "neutral" rating in a report on Friday, April 25th. Finally, Redburn Atlantic downgraded United Rentals from a "buy" rating to a "neutral" rating and set a $760.00 target price on the stock. in a report on Friday, June 13th. One equities research analyst has rated the stock with a sell rating, five have assigned a hold rating, nine have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, United Rentals presently has an average rating of "Moderate Buy" and a consensus target price of $830.71.

United Rentals Profile

United Rentals, Inc, through its subsidiaries, operates as an equipment rental company. It operates in two segments, General Rentals and Specialty. The General Rentals segment rents general construction and industrial equipment includes backhoes, skid-steer loaders, forklifts, earthmoving equipment, and material handling equipment; aerial work platforms, such as boom and scissor lifts; and general tools and light equipment comprising pressure washers, water pumps, and power tools for construction and industrial companies, manufacturers, utilities, municipalities, homeowners, and government entities.