United Rentals (URI) is a Top-Ranked Value Stock: Should You Buy?
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Why Investors Should Pay Attention to This Value Stock
Value investors love finding good stocks at good prices, especially before the broader market catches on to a stock's true value. Utilizing ratios like P/E, PEG, Price/Sales, and Price/Cash Flow, the Value Style Score identifies the most attractive and most discounted stocks.
United Rentals (URI)
Headquartered in Stamford, CT, United Rentals, Inc. is the largest equipment rental company in the world, with an integrated network of 1,521 rental locations in United States, Canada and Europe. Moreover, it operates in 49 states and every Canadian province. The company offers 4,600 classes of equipment for rent at a total original equipment cost (“OEC”) of $19.6 billion (as of December 2022).
URI is a Zacks Rank #2 (Buy) stock, with a Value Style Score of A and VGM Score of A. Shares are currently trading at a forward P/E of 10.9X for the current fiscal year compared to the Building Products - Miscellaneous industry's P/E of 14.4X. Additionally, URI has a PEG Ratio of 0.7 and a Price/Cash Flow ratio of 6.9X. Value investors should also note URI's Price/Sales ratio of 2.7X.
A company's earnings performance is important for value investors as well. For fiscal 2023, seven analysts revised their earnings estimate higher in the last 60 days for URI, while the Zacks Consensus Estimate has increased $4.55 to $41.69 per share. URI also holds an average earnings surprise of 6.9%.
URI should be on investors' short lists because of its impressive earnings and valuation fundamentals, a good Zacks Rank, and strong Value and VGM Style Scores.
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United Rentals, Inc. (URI) : Free Stock Analysis Report
