Rental Channel Check Takeaways

Research evidence excerpt

Rental Channel Check Takeaways

Equity Research

Industry Update — June 4, 2026

Machinery, Industrials & Environmental Services

Rental Rate Acceleration, CAT Rental Strategy, Competitive

Intensity

Our Call Jerry Revich, CFA

We reiterate our Overweight ratings on URI, HRI, and EQPT following today's call with Equity Analyst | Wells Fargo Securities, LLC Jerry.Revich@wellsfargo.com | 212-214-5458

a dealer advisor and rental expert that revealed Midwest/Southwest US rental rates have

Kevin Uherek, CFAaccelerated by 3% since March, including +1.5% in April. Replay available.

Associate Equity Analyst | Wells Fargo Securities, LLC

Kevin.Uherek@wellsfargo.com | 212-214-6410

(i) Pricing and inflecting higher. Our check noted Midwest/Southwest rental rates are Jake Kooyman

running +3-4%, with momentum building late March (+0.5%) into April (+1.5%) and May Associate Equity Analyst | Wells Fargo Securities, LLC

(+1%). We note that normal seasonality in an upcycle is 50-100 bps per month and that Jake.Kooyman@wellsfargo.com | 212-214-5345

our bull case view on URI and HRI is based on 3% pricing exit rate. We note aerial platform Gary S. Liebowitz, CFA

used inventories declined by 4% in May (i.e. 50% SAAR). Equity Analyst | Wells Fargo Securities, LLC

Gary.Liebowitz@wellsfargo.com | 212-214-5055

(ii) Competitive landscape has improved amid consolidation. Our check noted that the Andrew Azzi, CPA

industry has become more disciplined on rental rate overall due to consolidation at the Associate Equity Analyst | Wells Fargo Securities, LLC Andrew.Azzi@wellsfargo.com | 212-214-5322

top of the market and improved industry data. He noted that EQPT is discounting in the

market, but not having an impact due to low share and lower uptime performance based

on his experience. Related Research