United Rentals, Inc "Strong momentum in large projects supports faster..."

Research evidence excerpt

United Rentals, Inc "Strong momentum in large projects supports faster..."

Powered by Lab Global30 JuneResearch2026ab Evidence UBS YES

United Rentals, Inc Equities

United StatesStrong momentum in large projects supports

faster earnings growth; Raising price target Consumer Services

12-month rating Buy

12m price target US$1,300.00Recent datapoints support our view of inflection in non-res/rental

Prior : US$1,145

We raise our estimates and price target on URI, based on increased conviction in a

rebound in US non-res construction in 2H26-2027. Over the past month, we observed Price (30 Jun 2026) US$1,132.89

several indications of sustained strength in large projects, an area where URI has RIC: URI.N BBG: URI US

meaningful differentiation:

Trading data and key metrics

In May, construction starts increased sharply, driven by several large projects. May 52-wk range US$1,139.51-710.47

non-res construction starts were +62% YOY; +31% L3M YOY. Market cap. US$71.0b

Our May UBS rental equipment branch manager survey showed improving trends Shares o/s 62.6m (COM)

in the rental sector. Free float 75%

Avg. daily volume ('000) 148

In June, Sunbelt reported its FQ4. They cited growth led by megaprojects and

Avg. daily value (m) US$143.8

strength in large national accounts.

Common s/h equity (12/26E) US$9.36b

We continue to expect an acceleration in US non-res construction starting in P/BV (12/26E) 7.5x

mid 2026, driven by data centers, power, manufacturing and infrastructure. We Net debt to EBITDA (12/26E) 1.8x

expect 3.0% nominal growth in 2026 and 6.0% growth in 2027.

EPS (UBS, diluted) (USD)

12/26E

Strong momentum in large projects From To % ch Cons.

Several large projects broke ground in May, per Dodge: Q1 9.71 9.71 0 9.71

Q2E 11.06 11.04 -0 11.54