United Rentals, Inc. (NYSE:URI) Receives $584.07 Consensus Target Price from Brokerages

United Rentals, Inc. (NYSE:URI) has been assigned a consensus rating of “Hold” from the twelve research firms that are currently covering the company, Marketbeat Ratings reports. Three investment analysts have rated the stock with a sell recommendation, three have issued a hold recommendation and six have issued a buy recommendation on the company. The average 12-month target price among brokers that have updated their coverage on the stock in the last year is $589.21.

Several research firms recently weighed in on URI. BNP Paribas reiterated an “underperform” rating and set a $485.00 target price on shares of United Rentals in a research report on Friday, January 5th. Truist Financial assumed coverage on shares of United Rentals in a research report on Thursday, March 14th. They set a “buy” rating and a $793.00 price target for the company. Morgan Stanley started coverage on shares of United Rentals in a report on Monday, January 8th. They issued an “equal weight” rating and a $500.00 price target on the stock. Wells Fargo & Company boosted their price objective on shares of United Rentals from $630.00 to $710.00 and gave the company an “overweight” rating in a research note on Friday, January 26th. Finally, Evercore ISI increased their target price on United Rentals from $575.00 to $740.00 and gave the stock an “outperform” rating in a research report on Tuesday, February 20th.

United Rentals Stock Performance

NYSE:URI opened at $636.21 on Monday. The company has a debt-to-equity ratio of 1.24, a current ratio of 0.81 and a quick ratio of 0.75. The firm has a market cap of $42.73 billion, a PE ratio of 18.00, a P/E/G ratio of 2.31 and a beta of 1.84. The firm has a 50 day simple moving average of $680.66 and a 200-day simple moving average of $568.62. United Rentals has a 1-year low of $325.15 and a 1-year high of $732.37.

United Rentals (NYSE:URI) last issued its quarterly earnings results on Wednesday, January 24th. The construction company reported $11.26 earnings per share for the quarter, beating the consensus estimate of $10.85 by $0.41. United Rentals had a return on equity of 36.80% and a net margin of 16.91%. The company had revenue of $3.73 billion during the quarter, compared to the consensus estimate of $3.63 billion. During the same period in the previous year, the firm posted $9.74 EPS. United Rentals’s revenue was up 13.1% on a year-over-year basis. On average, equities analysts expect that United Rentals will post 43.13 EPS for the current year.

United Rentals Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, February 28th. Stockholders of record on Wednesday, February 14th were paid a dividend of $1.63 per share. The ex-dividend date of this dividend was Tuesday, February 13th. This represents a $6.52 dividend on an annualized basis and a dividend yield of 1.02%. This is a positive change from United Rentals’s previous quarterly dividend of $1.48. United Rentals’s dividend payout ratio (DPR) is currently 18.44%.

United Rentals declared that its Board of Directors has authorized a stock buyback program on Wednesday, January 24th that authorizes the company to buyback $1.50 billion in shares. This buyback authorization authorizes the construction company to purchase up to 3.8% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s board of directors believes its shares are undervalued.

Insider Activity

In other United Rentals news, CFO William E. Grace sold 775 shares of the stock in a transaction that occurred on Thursday, February 15th. The stock was sold at an average price of $655.62, for a total transaction of $508,105.50. Following the transaction, the chief financial officer now owns 6,323 shares of the company’s stock, valued at approximately $4,145,485.26. The transaction was disclosed in a document filed with the SEC, which is available at this link. Company insiders own 0.49% of the company’s stock.

Institutional Trading of United Rentals

Institutional investors and hedge funds have recently modified their holdings of the business. Healthcare of Ontario Pension Plan Trust Fund lifted its holdings in United Rentals by 7,691.1% in the first quarter. Healthcare of Ontario Pension Plan Trust Fund now owns 3,506 shares of the construction company’s stock worth $1,245,000 after acquiring an additional 3,461 shares during the last quarter. Raymond James Trust N.A. lifted its holdings in shares of United Rentals by 14.6% in the 1st quarter. Raymond James Trust N.A. now owns 2,296 shares of the construction company’s stock worth $815,000 after purchasing an additional 293 shares during the last quarter. Cibc World Market Inc. boosted its position in United Rentals by 16.8% during the 1st quarter. Cibc World Market Inc. now owns 7,941 shares of the construction company’s stock valued at $2,821,000 after purchasing an additional 1,140 shares during the period. Sei Investments Co. grew its stake in United Rentals by 50.1% during the 1st quarter. Sei Investments Co. now owns 1,914 shares of the construction company’s stock worth $678,000 after buying an additional 639 shares during the last quarter. Finally, Prudential PLC acquired a new stake in United Rentals in the first quarter worth $560,000. 96.26% of the stock is owned by institutional investors and hedge funds.

About United Rentals

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.