Why United Rentals (URI) is a Top Momentum Stock for the Long-Term

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.

Is This 1 Momentum Stock a Screaming Buy Right Now?

Different than value or growth investors, momentum-oriented investors live by the saying "the trend is your friend." This investing style is all about taking advantage of upward or downward trends in a stock's price or earnings outlook. Employing factors like one-week price change and the monthly percentage change in earnings estimates, the Momentum Style Score can indicate favorable times to build a position in high-momentum 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 1,557 rental locations in the United States, Canada, Europe, Australia and New Zealand. Moreover, it operates in 49 U.S. states and every Canadian province. The company offers 4,800 classes of equipment for rent at a total original equipment cost (“OEC”) of $20.7 billion (as of Dec 31, 2023). Equipment rentals represented 84% of total revenues in 2023.

URI is a Zacks Rank #2 (Buy) stock, with a Momentum Style Score of B and VGM Score of A. Shares are down 2% over the past one week and up 4.3% over the past four weeks. URI has gained 101% in the last one-year period as well. Looking at trading volume, an average of 499,475.59 shares exchanged hands over the last 20 trading days.

Momentum investors also pay close attention to a company's earnings. For URI, two analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.24 to $43.08 per share for 2024. URI boasts an average earnings surprise of 3.1%.

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With strong earnings growth, a good Zacks Rank, and top-tier Momentum and VGM Style Scores, investors should think about adding URI to their portfolios.

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United Rentals, Inc. (URI) : Free Stock Analysis Report

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