On September 24, 2023, Cambridge Investment Research Advisors Inc. announced that it has increased its stake in United Rentals, Inc. (NYSE:URI) by 61.8% during the second quarter of the year. This information was disclosed in their most recent Form 13F filing with the Securities and Exchange Commission (SEC). Cambridge Investment Research Advisors Inc. now owns 18,805 shares of United Rentals, valued at $8,375,000.
United Rentals is a leading construction company that provides equipment rental services for industrial and commercial projects. The company recently released its quarterly earnings data on July 26th, stating that it had achieved an impressive $9.88 earnings per share for the quarter. This exceeded the consensus estimate of $9.23 by $0.65.
In addition to surpassing expectations in terms of earnings per share, United Rentals also demonstrated a return on equity of 36.67% and a net margin of 17.34%. These figures highlight the company’s strong financial performance and efficient management strategies.
The construction giant generated revenue of $3.55 billion for the quarter in question, exceeding analysts’ predictions of $3.45 billion. This reflects a significant increase of 28.3% compared to the same period last year when United Rentals posted an EPS figure of $7.86.
Analysts on Wall Street are optimistic about United Rentals’ future prospects and anticipate that the company will achieve an EPS figure of 40.6 for the current fiscal year.
Cambridge Investment Research Advisors Inc.’s decision to increase its stake in United Rentals suggests confidence in the company’s growth potential and overall financial stability.
Investors and industry experts alike continue to monitor United Rental’s performance closely as they navigate an ever-evolving market landscape and capitalize on opportunities within the construction industry.
As always, investors should exercise caution and conduct thorough research before making any investment decisions based on current information, as market dynamics can change rapidly. It is advisable to consult with a qualified financial advisor or professional before making any investment choices.
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September 24, 2023 – Institutional Investment and Analyst Ratings Impact United Rentals
September 24, 2023 – Investment Moves and Analyst Ratings Impact United Rentals
In recent months, several hedge funds have shown significant interest in United Rentals, a leading construction company. Keel Point LLC raised its stake in the company by 3.7% during the second quarter, bringing its total ownership to 775 shares worth $345,000. Similarly, Beacon Capital Management LLC increased its position by 30%, now owning 130 shares valued at $58,000. Foundry Partners LLC also boosted its holdings by 9.6%, acquiring an additional 4,139 shares worth $20,953,000.
180 Wealth Advisors LLC intensified their stake in United Rentals significantly during the second quarter, experiencing a remarkable increase of 47.3%. The firm now possesses 2,372 shares valued at $1,064,000. Additionally, Harbor Capital Advisors Inc., a newcomer to the company’s stock ownership landscape, recently purchased an undisclosed number of shares worth approximately $1,199,000.
These moves add to the lineup of institutional investors already involved with United Rentals as it continues to gain traction and secure prominent positions within portfolios. As of the most recent report available, approximately 89.03% of United Rental’s stock is owned by institutional investors.
Research analysts have provided commentary on United Rentals as well. In one case study from Barclays released on July 31st of this year showcased an “underweight” rating for the stock but adjusted their price target from $315 to $325 per share. Argus also released a research note in June raising their price target from $425 to $460 per share.
UBS Group followed suit and lifted their price objective from $458 to $527 per share on July 12th. Credit Suisse Group showed similar optimism for the company by increasing their target price from $482 to $521 per share near the end of July.
On the other hand, not all analysts showed full faith in United Rentals. Robert W. Baird assigned an “underperform” rating, raising concerns over the company’s performance and changing their price target from $300 to $320 per share.
According to Bloomberg.com, United Rentals currently has an average rating of “Hold” and a consensus price target set at $455.25 per share when integrating the diverse evaluations provided by experts in the field.
In a related transaction, United Rental’s Chief Operating Officer, Dale A. Asplund, sold 14,157 shares on August 30th at an average price of $475.27 per share. This resulted in a total transaction value of $6,728,397.39. Following the completion of this sale, Asplund now directly holds 6,379 shares valued at approximately $3,031,747.33.
Publicly disclosed reports indicate that insiders own approximately 0.53% of United Rental’s total stock ownership.
On Friday morning, September 24th, shares of United Rentals opened at $433.44 per share. The company has seen fluctuations with its stock price over the past year ranging from a low of $256.23 to a high mark of $492.33.
United Rentals possesses commendable financial ratios such as a current ratio of 0.74 and a quick ratio of 0.69 signifying solid liquidity positioning for the firm moving forward. Additionally, with a debt-to-equity ratio standing at 1.42 and market capitalization valued at approximately $29.60 billion as of today’s date; it is evident that United Rentals exhibits stability within its capital structure.
With a price-to-earnings ratio standing at 13.19 and a PEG ratio showing promise at only 0.67, investors may find this information valuable while contemplating their investment decisions regarding United Rentals’ stock.
As the construction industry continues to evolve and attract investors, United Rentals remains a prominent player within the sector. Its ability to draw attention from hedge funds, coupled with mixed analyst ratings, presents a perplexing yet intriguing scenario for those who closely monitor market trends.
