WallStSmart

Custom Truck One Source Inc (CTOS)vsUnited Rentals Inc (URI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

United Rentals Inc generates 727% more annual revenue ($16.83B vs $2.04B). URI leads profitability with a 15.7% profit margin vs 1.1%. URI trades at a lower P/E of 23.8x. URI earns a higher WallStSmart Score of 72/100 (B).

CTOS

Hold

41

out of 100

Grade: D

Growth: 4.7Profit: 4.5Value: 3.0Quality: 3.5
Piotroski: 4/9Altman Z: 0.66

URI

Strong Buy

72

out of 100

Grade: B

Growth: 7.3Profit: 9.0Value: 5.7Quality: 4.0
Piotroski: 2/9Altman Z: 1.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CTOSSignificantly Overvalued (-77.7%)

Margin of Safety

-77.7%

Fair Value

$3.99

Current Price

$9.63

$5.64 premium

UndervaluedFair: $3.99Overvalued

Intrinsic value data unavailable for URI.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CTOS1 strengths · Avg: 8.0/10
Price/BookValuation
2.7x8/10

Reasonable price relative to book value

URI4 strengths · Avg: 8.5/10
Market CapQuality
$61.57B9/10

Large-cap with strong market position

Return on EquityProfitability
28.6%9/10

Every $100 of equity generates 29 in profit

Operating MarginProfitability
26.0%8/10

Strong operational efficiency at 26.0%

EPS GrowthGrowth
25.5%8/10

Earnings expanding 25.5% YoY

Areas to Watch

CTOS4 concerns · Avg: 2.3/10
Profit MarginProfitability
1.1%3/10

1.1% margin — thin

P/E RatioValuation
102.8x2/10

Premium valuation, high expectations priced in

Return on EquityProfitability
-2.1%2/10

ROE of -2.1% — below average capital efficiency

EPS GrowthGrowth
-26.5%2/10

Earnings declined 26.5%

URI4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.984/10

Grey zone — moderate risk

Debt/EquityHealth
1.673/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-261.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : CTOS

The strongest argument for CTOS centers on Price/Book. Revenue growth of 10.2% demonstrates continued momentum.

Bull Case : URI

The strongest argument for URI centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 15.7% and operating margin at 26.0%. Revenue growth of 11.8% demonstrates continued momentum.

Bear Case : CTOS

The primary concerns for CTOS are Profit Margin, P/E Ratio, Return on Equity. A P/E of 102.8x leaves little room for execution misses. Debt-to-equity of 2.97 is elevated, increasing financial risk.

Bear Case : URI

The primary concerns for URI are Altman Z-Score, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.67 is elevated, increasing financial risk.

Key Dynamics to Monitor

CTOS profiles as a value stock while URI is a mature play — different risk/reward profiles.

URI carries more volatility with a beta of 1.79 — expect wider price swings.

URI is growing revenue faster at 11.8% — sustainability is the question.

CTOS generates stronger free cash flow (-137M), providing more financial flexibility.

Bottom Line

URI scores higher overall (72/100 vs 41/100), backed by strong 15.7% margins and 11.8% revenue growth. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Custom Truck One Source Inc

INDUSTRIALS · RENTAL & LEASING SERVICES · USA

Custom Truck One Source, Inc. provides specialized equipment rental services to the electrical, telecommunications, and railroad transmission and distribution industries in North America. The company is headquartered in Kansas City, Missouri.

United Rentals Inc

INDUSTRIALS · RENTAL & LEASING SERVICES · USA

United Rentals, Inc. (NYSE: URI) is the world's largest equipment rental company, with about 13 percent of the North American market share as of 2019.

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