United Rentals, Inc. (URI) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-100.2%

-$2.60

vs $1,188.20 price

Levered DCF

-$130.68

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

3.61

Safe zone

Rating

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	20.91×	18.15×	16.2×	11.94×	17.36×	18.93×	10.99×	7.74×
P/B	5.81×	5.42×	4.83×	3.56×	4.02×	3.71×	3.37×	2.49×
P/S	3.24×	3.05×	2.74×	2.16×	2.48×	1.98×	1.38×	1.05×
EV / EBITDA	9.51×	8.75×	7.78×	6.82×	8.1×	7.13×	5.95×	5.56×
Gross margin	35.4%	37.2%	37.6%	39.8%	36.0%	33.2%	34.9%	38.0%
Operating margin	24.7%	26.5%	26.9%	27.8%	23.6%	21.7%	23.2%	25.1%
Net margin	15.5%	16.8%	16.9%	18.1%	14.3%	10.4%	12.6%	13.6%
Current ratio	0.94×	0.98×	0.81×	1.11×	0.83×	1.07×	0.84×	0.83×
Debt / equity	1.84×	1.72×	1.56×	1.73×	1.75×	2.29×	3.17×	3.45×
Interest coverage	5.55×	5.89×	6.07×	7.26×	5.42×	2.77×	3.35×	4.2×
Dividend yield	0.9%	0.9%	1.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	18.6%	16.9%	16.7%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	27.8%	29.9%	29.8%	29.8%	23.1%	19.6%	30.7%	32.2%
Return on invested capital	10.7%	11.8%	12.3%	11.0%	9.2%	8.6%	9.4%	8.9%
Return on assets	8.4%	9.1%	9.5%	8.7%	6.8%	5.0%	6.2%	6.0%
Free cash flow yield	1.3%	0.9%	1.6%	3.0%	2.0%	8.9%	5.2%	6.6%
Earnings yield	4.8%	5.5%	6.2%	8.4%	5.8%	5.3%	9.1%	12.9%
Enterprise value	$68.1B	$61.1B	$51.6B	$37.2B	$34.4B	$27.1B	$25B	$20.2B
Net debt / EBITDA	2.24×	2.05×	1.86×	2.22×	2.44×	2.69×	2.88×	3.23×
Cash conversion cycle (days)	38	37	28	16	25	35	42	39