United Rentals, Inc. (NYSE:URI) Given Consensus Recommendation of "Moderate Buy" by Analysts

Key Points

• Analysts remain moderately bullish on United Rentals, with a consensus rating of “Moderate Buy” from 16 firms. Fourteen analysts rate it a buy, and the average 12-month price target is $1,140.
• Recent earnings missed expectations even though revenue rose year over year. The company reported EPS of $9.71 versus the $11.47 estimate, while revenue came in at $3.98 billion compared with the expected $4.20 billion.
• Insiders sold shares, including CEO Matthew John Flannery and SVP Joli L. Gross, with total insider sales over the last quarter valued at about $25.6 million. Institutional investors continue to hold the vast majority of the stock, owning 96.26% of shares.

United Rentals, Inc. (NYSE:URI - Get Free Report) has earned a consensus rating of "Moderate Buy" from the sixteen ratings firms that are currently covering the company, MarketBeat.com reports. One investment analyst has rated the stock with a sell rating, one has assigned a hold rating and fourteen have issued a buy rating on the company. The average 12-month target price among brokerages that have issued a report on the stock in the last year is $1,140.00.

A number of equities analysts recently issued reports on the company. Weiss Ratings cut United Rentals from a "buy (b-)" rating to a "hold (c+)" rating in a report on Thursday, July 9th. Barclays boosted their price target on shares of United Rentals from $600.00 to $715.00 and gave the company an "underweight" rating in a research note on Friday, April 24th. Royal Bank Of Canada upped their price objective on shares of United Rentals from $1,041.00 to $1,119.00 and gave the stock an "outperform" rating in a report on Friday, April 24th. Bank of America lifted their price objective on shares of United Rentals from $1,020.00 to $1,195.00 and gave the company a "buy" rating in a report on Thursday, June 25th. Finally, UBS Group boosted their target price on shares of United Rentals from $1,145.00 to $1,300.00 and gave the stock a "buy" rating in a research report on Wednesday, July 1st.

Insider Buying and Selling

In related news, CEO Matthew John Flannery sold 22,768 shares of United Rentals stock in a transaction that occurred on Friday, April 24th. The stock was sold at an average price of $984.98, for a total transaction of $22,426,024.64. Following the transaction, the chief executive officer owned 99,980 shares of the company's stock, valued at $98,478,300.40. The trade was a 18.55% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, SVP Joli L. Gross sold 306 shares of the company's stock in a transaction on Monday, April 27th. The stock was sold at an average price of $954.99, for a total value of $292,226.94. Following the sale, the senior vice president owned 5,738 shares of the company's stock, valued at $5,479,732.62. This trade represents a 5.06% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 26,088 shares of company stock valued at $25,628,877. Company insiders own 0.47% of the company's stock.

Hedge Funds Weigh In On United Rentals

Several large investors have recently bought and sold shares of URI. Aventura Private Wealth LLC purchased a new stake in United Rentals in the 4th quarter valued at about $27,000. Core Wealth Advisors LLC bought a new position in shares of United Rentals in the fourth quarter valued at approximately $28,000. MV Capital Management Inc. bought a new position in shares of United Rentals in the fourth quarter valued at approximately $28,000. Board of the Pension Protection Fund purchased a new stake in shares of United Rentals during the fourth quarter valued at approximately $32,000. Finally, Laurel Wealth Advisors LLC purchased a new stake in shares of United Rentals during the fourth quarter valued at approximately $32,000. 96.26% of the stock is currently owned by institutional investors.

United Rentals Stock Down 2.6%

Shares of NYSE URI opened at $1,043.73 on Friday. The company has a quick ratio of 0.74, a current ratio of 0.80 and a debt-to-equity ratio of 1.37. The firm has a market cap of $65.39 billion, a PE ratio of 26.63, a P/E/G ratio of 1.67 and a beta of 1.79. The company's fifty day simple moving average is $1,041.31 and its 200 day simple moving average is $910.42. United Rentals has a 12-month low of $701.59 and a 12-month high of $1,143.69.

United Rentals (NYSE:URI - Get Free Report) last announced its quarterly earnings data on Wednesday, April 22nd. The construction company reported $9.71 earnings per share for the quarter, missing the consensus estimate of $11.47 by ($1.76). United Rentals had a net margin of 15.32% and a return on equity of 30.56%. The company had revenue of $3.98 billion for the quarter, compared to analyst estimates of $4.20 billion. During the same quarter in the prior year, the company posted $8.86 EPS. United Rentals's revenue for the quarter was up 7.2% on a year-over-year basis. As a group, sell-side analysts forecast that United Rentals will post 46.85 earnings per share for the current fiscal year.

United Rentals Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, May 27th. Shareholders of record on Wednesday, May 13th were paid a dividend of $1.97 per share. The ex-dividend date was Wednesday, May 13th. This represents a $7.88 dividend on an annualized basis and a yield of 0.8%. United Rentals's payout ratio is 20.10%.

United Rentals Company Profile

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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