Zacks Research Upgrades United Rentals (NYSE:URI) to Strong-Buy

United Rentals (NYSE:URI) was upgraded by investment analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research note issued to investors on Thursday, Zacks reports.

A number of other brokerages have also recently issued reports on URI. Morgan Stanley increased their target price on United Rentals from $1,335.00 to $1,350.00 and gave the stock an “overweight” rating in a report on Friday. Weiss Ratings reiterated a “buy (b-)” rating on shares of United Rentals in a report on Wednesday. Barclays boosted their target price on shares of United Rentals from $715.00 to $950.00 and gave the stock an “underweight” rating in a research report on Friday, July 24th. KeyCorp reiterated an “overweight” rating on shares of United Rentals in a research note on Friday. Finally, Truist Financial increased their price target on United Rentals from $1,395.00 to $1,450.00 and gave the company a “buy” rating in a research report on Friday. One research analyst has rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average price target of $1,288.19.

United Rentals Stock Performance

Shares of URI opened at $1,100.81 on Thursday. The company has a debt-to-equity ratio of 1.35, a current ratio of 0.80 and a quick ratio of 0.70. The stock has a 50-day moving average of $1,042.68 and a 200-day moving average of $1,021.42. The company has a market cap of $68.16 billion, a PE ratio of 24.19, a P/E/G ratio of 1.61 and a beta of 1.83. United Rentals has a one year low of $701.59 and a one year high of $1,179.18.

United Rentals (NYSE:URI) last announced its quarterly earnings results on Wednesday, October 21st. The construction company reported $15.55 earnings per share (EPS) for the quarter, topping the consensus estimate of $13.97 by $1.58. The business had revenue of $4.89 billion for the quarter, compared to analyst estimates of $4.71 billion. United Rentals had a return on equity of 33.47% and a net margin of 16.33%. The company’s quarterly revenue was up 15.7% on a year-over-year basis. During the same quarter in the prior year, the company earned $11.70 earnings per share. On average, equities research analysts predict that United Rentals will post 49.30 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of URI. BlackRock Inc. purchased a new position in shares of United Rentals during the second quarter worth approximately $5,816,326,000. State Street Corp lifted its position in shares of United Rentals by 1.1% during the second quarter. State Street Corp now owns 2,993,837 shares of the construction company’s stock valued at $3,391,688,000 after buying an additional 32,238 shares during the last quarter. Bank of America Corp DE purchased a new position in United Rentals in the second quarter worth $944,196,000. The Manufacturers Life Insurance Company acquired a new position in United Rentals during the 2nd quarter valued at about $716,129,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its position in shares of United Rentals by 15.9% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 539,121 shares of the construction company’s stock valued at $610,765,000 after purchasing an additional 74,008 shares during the last quarter. 96.26% of the stock is owned by institutional investors.

United Rentals News Roundup

Here are the key news stories impacting United Rentals this week:

• Positive Sentiment: Record quarter and higher outlook: United Rentals reported third-quarter revenue of approximately $4.9 billion, up 16% year over year, while earnings of $15.55 per share exceeded consensus expectations. Specialty-rental revenue rose 35%, and the company raised full-year 2026 revenue guidance to $18.0 billion-$18.2 billion from the prior outlook, above the roughly $17.8 billion consensus. United Rentals Tops Q3 Earnings & Revenue Estimates, Raises 2026 View
• Positive Sentiment: Analyst and shareholder support: Zacks added URI to its Rank #1, or “Strong Buy,” list. Institutional positioning was mixed but included sizable additions from JPMorgan Chase and other investors, suggesting continued long-term interest.
• Neutral Sentiment: Capital returns remain supportive: The company declared a quarterly dividend of $1.97 per share and continues to execute its previously announced share-repurchase program. The dividend’s low yield limits its impact as an immediate valuation catalyst.
• Negative Sentiment: Downgrade pressures valuation: A recent analyst move from overweight to neutral lowered the price target to $1,170 from $1,235. The downgrade indicates that analysts see less near-term upside after URI’s strong run, even though operating results remain solid. United Rentals Falls as Analyst Downgrade Appears to Pressure Shares
• Negative Sentiment: Acquisition concerns: Analysts believe the pool of large general-equipment rental targets is shrinking after years of industry consolidation. That could reduce an important avenue for United Rentals’ future expansion and make its ambitious longer-term growth plans harder to achieve.
• Negative Sentiment: Insider selling adds caution: Company insiders recorded five open-market sales during the past six months and no purchases. While such sales can be routine, the pattern may reinforce investor concerns after the stock’s significant appreciation.

About United Rentals

United Rentals, Inc is an equipment rental company serving construction, industrial, infrastructure, utilities, government and other commercial customers. The company provides access to equipment and related services through a network of rental locations, helping customers manage projects without purchasing and maintaining all of the equipment they need.

Its rental fleet includes aerial work platforms, earthmoving equipment, material-handling equipment, general construction tools, trucks and trailers, and light-duty equipment.