Fintel reports that on July 17, 2023, Goldman Sachs maintained coverage of United Rentals (NYSE:URI) with a Buy recommendation.

Analyst Price Forecast Suggests 1.99% Downside

As of July 6, 2023, the average one-year price target for United Rentals is 442.50. The forecasts range from a low of 298.96 to a high of $584.85. The average price target represents a decrease of 1.99% from its latest reported closing price of 451.49.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for United Rentals is 13,004MM, an increase of 4.85%. The projected annual non-GAAP EPS is 36.91.

United Rentals Declares $1.48 Dividend

On April 26, 2023 the company declared a regular quarterly dividend of $1.48 per share ($5.92 annualized). Shareholders of record as of May 10, 2023 received the payment on May 24, 2023. Previously, the company paid $1.48 per share.

At the current share price of $451.49 / share, the stock’s dividend yield is 1.31%.

Looking back five years and taking a sample every week, the average dividend yield has been 1.60%, the lowest has been 0.66%, and the highest has been 4.18%. The standard deviation of yields is 0.70 (n=236).

The current dividend yield is 0.41 standard deviations below the historical average.

Additionally, the company’s dividend payout ratio is 0.19. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 1.00%, demonstrating that it has increased its dividend over time.

What is the Fund Sentiment?

There are 1843 funds or institutions reporting positions in United Rentals. This is an increase of 71 owner(s) or 4.01% in the last quarter. Average portfolio weight of all funds dedicated to URI is 0.37%, an increase of 8.40%. Total shares owned by institutions decreased in the last three months by 3.30% to 72,917K shares. The put/call ratio of URI is 1.27, indicating a bearish outlook.

What are Other Shareholders Doing?

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 2,147K shares representing 3.12% ownership of the company. In it’s prior filing, the firm reported owning 2,105K shares, representing an increase of 1.96%. The firm increased its portfolio allocation in URI by 4.88% over the last quarter.

Capital Research Global Investors holds 1,950K shares representing 2.84% ownership of the company. In it’s prior filing, the firm reported owning 3,018K shares, representing a decrease of 54.74%. The firm decreased its portfolio allocation in URI by 32.05% over the last quarter.

Capital World Investors holds 1,917K shares representing 2.79% ownership of the company. In it’s prior filing, the firm reported owning 1,706K shares, representing an increase of 11.00%. The firm increased its portfolio allocation in URI by 21.32% over the last quarter.

Envestnet Asset Management holds 1,850K shares representing 2.69% ownership of the company. In it’s prior filing, the firm reported owning 85K shares, representing an increase of 95.41%. The firm increased its portfolio allocation in URI by 11.04% over the last quarter.

VIMSX – Vanguard Mid-Cap Index Fund Investor Shares holds 1,620K shares representing 2.36% ownership of the company. In it’s prior filing, the firm reported owning 1,614K shares, representing an increase of 0.37%. The firm increased its portfolio allocation in URI by 8.18% over the last quarter.

United Rentals Background Information
(This description is provided by the company.)

United Rentals, Inc. is the largest equipment rental company in the world. The company has an integrated network of 1,169 rental locations in North America and 11 in Europe. In North America, the company operates in 49 states and every Canadian province. The company’s approximately 18,900 employees serve construction and industrial customers, utilities, municipalities, homeowners and others. The company offers approximately 4,000 classes of equipment for rent with a total original cost of $14.13 billion. United Rentals is a member of the Standard & Poor’s 500 Index, the Barron’s 400 Index and the Russell 3000 Index® and is headquartered in Stamford, Conn.

This article originally appeared on Fintel

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