Share Repurchase Program Initiated by United Rentals (NYSE:URI) Board of Directors

United Rentals (NYSE:URI) declared that its Board of Directors has authorized a stock buyback plan on Wednesday, January 28th, RTT News reports. The company plans to repurchase $5.00 billion in outstanding shares. This repurchase authorization allows the construction company to buy up to 8.7% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s board believes its shares are undervalued.

United Rentals Trading Down 13.1%

NYSE:URI opened at $785.14 on Friday. United Rentals has a 12 month low of $525.91 and a 12 month high of $1,021.47. The company has a current ratio of 0.90, a quick ratio of 0.84 and a debt-to-equity ratio of 1.40. The firm’s 50 day moving average is $850.02 and its 200 day moving average is $887.49. The stock has a market capitalization of $49.96 billion, a PE ratio of 20.30, a price-to-earnings-growth ratio of 1.88 and a beta of 1.69.

United Rentals (NYSE:URI) last announced its quarterly earnings data on Wednesday, January 28th. The construction company reported $11.09 earnings per share for the quarter, missing the consensus estimate of $11.86 by ($0.77). The firm had revenue of $4.21 billion for the quarter, compared to the consensus estimate of $4.24 billion. United Rentals had a net margin of 15.49% and a return on equity of 30.38%. United Rentals’s revenue for the quarter was up 2.8% on a year-over-year basis. During the same period last year, the company posted $11.59 earnings per share. Sell-side analysts expect that United Rentals will post 44.8 earnings per share for the current year.

United Rentals Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, February 25th. Investors of record on Wednesday, February 11th will be issued a $1.97 dividend. This is an increase from United Rentals’s previous quarterly dividend of $1.79. The ex-dividend date of this dividend is Wednesday, February 11th. This represents a $7.88 annualized dividend and a yield of 1.0%. United Rentals’s payout ratio is 18.42%.

Analyst Ratings Changes

Several brokerages have recently commented on URI. Truist Financial lowered their price objective on United Rentals from $1,169.00 to $1,045.00 and set a “buy” rating for the company in a research note on Thursday, December 18th. Barclays dropped their price objective on United Rentals from $620.00 to $600.00 and set an “underweight” rating on the stock in a research note on Monday, October 20th. Weiss Ratings reiterated a “hold (c+)” rating on shares of United Rentals in a report on Wednesday, January 21st. KeyCorp restated an “overweight” rating on shares of United Rentals in a report on Wednesday, December 3rd. Finally, Citigroup increased their price objective on shares of United Rentals from $950.00 to $1,090.00 and gave the company a “buy” rating in a research note on Tuesday, January 13th. Two analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, three have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, United Rentals currently has a consensus rating of “Moderate Buy” and a consensus target price of $970.76.

Key Headlines Impacting United Rentals

Here are the key news stories impacting United Rentals this week:

• Positive Sentiment: Board approved a large buyback authorization — management authorized a $5.0 billion repurchase program (about 8.7% of shares), which supports share price over time and signals confidence from the board. RTT News – Stock Buybacks
• Positive Sentiment: Dividend increased 10% — the board raised the quarterly cash dividend to $1.97/share (payable Feb 25, ex‑div Feb 11), a signal of durable free cash flow and support for income investors. Press Release — Dividend Increase
• Neutral Sentiment: Company reported record 2025 results and set FY2026 guidance — management reiterated outlook with revenue guidance of $16.8–$17.3B (consensus ~ $17.1B), which is roughly in line with expectations but not clearly bullish. TipRanks — Record 2025 Results
• Neutral Sentiment: Investor materials and slide deck available — management provided the earnings presentation and call transcript for detail; useful for modeling fleet growth, utilization and capex. Earnings Presentation
• Negative Sentiment: Q4 EPS and revenue missed estimates — EPS was $11.09 vs. consensus ~$11.86 and revenue was $4.21B vs. ~$4.24B; EPS also declined from $11.59 a year ago, signaling margin pressure. Earnings Call Transcript
• Negative Sentiment: Market reaction focused on short‑term disappointment — coverage and market commentary highlight the Q4 miss as the proximate cause of the sharp selloff (weakness amplified by high trading volume). Fool — Why URI Is Plummeting
• Negative Sentiment: Revenue growth slowed and margins under pressure — revenue was up only ~2.8% YoY and net margin/readouts in the call pointed to cost and utilization headwinds that could weigh on near‑term profitability. Zacks — Q4 Miss & Dividend Hike

United Rentals Company Profile

United Rentals, Inc (NYSE: URI) is a leading equipment rental company headquartered in Stamford, Connecticut. The firm provides rental solutions and related services to construction, industrial, commercial, and municipal customers. Its business model centers on providing access to a broad fleet of equipment on a short-term or long-term basis, enabling customers to avoid the capital expenditure of ownership and to scale equipment use to match project needs.

The company’s product and service offerings span general construction equipment and a range of specialty categories, including aerial work platforms, earthmoving and excavation machines, material handling equipment, pumps, power and HVAC systems, trench and shoring solutions, and tools.