United Rentals Stock Analysis: Is It Still a Good Value in 2026?

United Rentals (URI), operating as an equipment rental company, has garnered attention due to substantial construction and infrastructure activities in the United States. The stock's performance, including a 19.4% return over the past year, prompts an examination of its valuation using two approaches: Discounted Cash Flow (DCF) analysis and Price vs. Earnings (P/E) ratio.

The DCF model estimates an intrinsic value of $1,143.26 per share, suggesting the stock is undervalued by 20.3% compared to its recent price of $911.16. This model projects free cash flow reaching $5.50 billion in 2035. The P/E ratio of 22.92x, compared to Simply Wall St’s Fair Ratio of 31.41x, also indicates undervaluation.

However, recent Q4 2025 earnings estimates indicate a potential slowdown in revenue growth to 3.4%, versus 9.8% in the same quarter last year. Despite this, analyst sentiment remains positive, with an average price target of $1,017.

How to Prepare: Investors should consider both DCF and P/E perspectives, alongside monitoring upcoming earnings announcements and industry trends.

Who This Affects Most: Investors interested in capital spending, infrastructure, and equipment rental businesses.

According to DCF analysis and P/E ratio, the stock appears to be undervalued.

Analysts expect revenue to grow 3.4% year-on-year to $4.24 billion.

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