Westport Asset Management Inc. Invests $9.06 Million in United Rentals, Inc. $URI

Key Points

• Westport Asset Management purchased 8,000 United Rentals shares worth approximately $9.06 million, making URI its seventh-largest holding at 3.7% of the portfolio. Institutional investors collectively own 96.26% of the company.
• United Rentals exceeded quarterly expectations, reporting $12.76 in EPS and $4.41 billion in revenue, with revenue up 11.8% year over year. Analysts maintain a “Moderate Buy” consensus and an average price target of $1,246.19.
• The company declared a quarterly dividend of $1.97 per share, equivalent to an annualized $7.88 payout and a 0.7% yield. An executive also sold 1,500 shares for approximately $1.70 million.

Westport Asset Management Inc. purchased a new stake in shares of United Rentals, Inc. (NYSE:URI - Free Report) during the 2nd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 8,000 shares of the construction company's stock, valued at approximately $9,063,000. United Rentals comprises about 3.7% of Westport Asset Management Inc.'s investment portfolio, making the stock its 7th biggest holding.

A number of other hedge funds and other institutional investors have also modified their holdings of the stock. BlackRock Inc. acquired a new stake in shares of United Rentals in the 2nd quarter valued at $5,816,326,000. Capital World Investors lifted its stake in shares of United Rentals by 1.1% during the fourth quarter. Capital World Investors now owns 2,708,877 shares of the construction company's stock valued at $2,192,357,000 after acquiring an additional 30,263 shares during the period. Franklin Resources Inc. boosted its holdings in United Rentals by 2.2% in the fourth quarter. Franklin Resources Inc. now owns 1,343,981 shares of the construction company's stock valued at $1,087,711,000 after acquiring an additional 28,895 shares during the last quarter. Norges Bank bought a new position in United Rentals in the fourth quarter valued at about $978,017,000. Finally, Bank of America Corp DE boosted its holdings in United Rentals by 14.7% in the first quarter. Bank of America Corp DE now owns 806,380 shares of the construction company's stock valued at $587,496,000 after acquiring an additional 103,371 shares during the last quarter. Institutional investors and hedge funds own 96.26% of the company's stock.

Insider Activity

In other United Rentals news, EVP William E. Grace sold 1,500 shares of United Rentals stock in a transaction dated Friday, July 24th. The stock was sold at an average price of $1,133.15, for a total value of $1,699,725.00. Following the sale, the executive vice president owned 6,062 shares of the company's stock, valued at $6,869,155.30. This trade represents a 19.84% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. 0.47% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several brokerages have recently commented on URI. Royal Bank Of Canada lifted their price target on shares of United Rentals from $1,041.00 to $1,119.00 and gave the stock an "outperform" rating in a research report on Friday, April 24th. Robert W. Baird set a $1,300.00 target price on shares of United Rentals in a report on Friday, July 24th. JPMorgan Chase & Co. lifted their price target on shares of United Rentals from $1,100.00 to $1,235.00 and gave the stock an "overweight" rating in a research report on Friday, July 24th. Bank of America boosted their price target on shares of United Rentals from $1,195.00 to $1,300.00 and gave the company a "buy" rating in a report on Thursday, July 23rd. Finally, Wells Fargo & Company upped their price objective on shares of United Rentals from $1,245.00 to $1,355.00 and gave the company an "overweight" rating in a research report on Friday, July 24th. One investment analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, United Rentals has a consensus rating of "Moderate Buy" and an average target price of $1,246.19.

United Rentals Stock Performance

Shares of URI opened at $1,116.17 on Thursday. The firm has a market cap of $69.47 billion, a P/E ratio of 26.81, a PEG ratio of 1.44 and a beta of 1.80. United Rentals, Inc. has a twelve month low of $701.59 and a twelve month high of $1,179.18. The company has a debt-to-equity ratio of 1.38, a quick ratio of 0.70 and a current ratio of 0.76. The firm's 50 day moving average price is $1,098.29 and its two-hundred day moving average price is $946.28.

United Rentals (NYSE:URI - Get Free Report) last issued its quarterly earnings data on Tuesday, July 21st. The construction company reported $12.76 earnings per share (EPS) for the quarter, topping the consensus estimate of $11.53 by $1.23. The company had revenue of $4.41 billion during the quarter, compared to the consensus estimate of $4.22 billion. United Rentals had a net margin of 15.67% and a return on equity of 31.72%. The firm's revenue was up 11.8% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $10.47 earnings per share. On average, analysts forecast that United Rentals, Inc. will post 48.55 EPS for the current fiscal year.

United Rentals Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 26th. Shareholders of record on Wednesday, August 12th will be issued a dividend of $1.97 per share. This represents a $7.88 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date is Wednesday, August 12th. United Rentals's dividend payout ratio is 18.92%.

About United Rentals

United Rentals, Inc NYSE: URI is a leading equipment rental company headquartered in Stamford, Connecticut. The firm provides rental solutions and related services to construction, industrial, commercial, and municipal customers. Its business model centers on providing access to a broad fleet of equipment on a short-term or long-term basis, enabling customers to avoid the capital expenditure of ownership and to scale equipment use to match project needs.

The company's product and service offerings span general construction equipment and a range of specialty categories, including aerial work platforms, earthmoving and excavation machines, material handling equipment, pumps, power and HVAC systems, trench and shoring solutions, and tools.

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