WallStSmart

Herc Holdings Inc (HRI)vsUnited Rentals Inc (URI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

United Rentals Inc generates 252% more annual revenue ($16.36B vs $4.65B). URI leads profitability with a 15.3% profit margin vs -0.1%. HRI appears more attractively valued with a PEG of 0.06. URI earns a higher WallStSmart Score of 64/100 (C+).

HRI

Buy

52

out of 100

Grade: C-

Growth: 6.7Profit: 4.0Value: 5.7Quality: 2.5
Piotroski: 1/9Altman Z: 0.65

URI

Buy

64

out of 100

Grade: C+

Growth: 6.7Profit: 8.5Value: 5.0Quality: 4.0
Piotroski: 2/9Altman Z: 1.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HRISignificantly Overvalued (-71.8%)

Margin of Safety

-71.8%

Fair Value

$105.26

Current Price

$136.68

$31.42 premium

UndervaluedFair: $105.26Overvalued

Intrinsic value data unavailable for URI.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HRI3 strengths · Avg: 9.3/10
PEG RatioValuation
0.0610/10

Growing faster than its price suggests

Revenue GrowthGrowth
32.3%10/10

Revenue surging 32.3% year-over-year

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

URI3 strengths · Avg: 8.7/10
Market CapQuality
$62.32B9/10

Large-cap with strong market position

Return on EquityProfitability
27.9%9/10

Every $100 of equity generates 28 in profit

Operating MarginProfitability
23.1%8/10

Strong operational efficiency at 23.1%

Areas to Watch

HRI4 concerns · Avg: 2.3/10
Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Return on EquityProfitability
-0.3%2/10

ROE of -0.3% — below average capital efficiency

EPS GrowthGrowth
-79.0%2/10

Earnings declined 79.0%

Altman Z-ScoreHealth
0.652/10

Distress zone — elevated risk

URI4 concerns · Avg: 3.8/10
PEG RatioValuation
1.654/10

Expensive relative to growth rate

P/E RatioValuation
25.4x4/10

Moderate valuation

Altman Z-ScoreHealth
1.984/10

Grey zone — moderate risk

Debt/EquityHealth
1.673/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : HRI

The strongest argument for HRI centers on PEG Ratio, Revenue Growth, Price/Book. Revenue growth of 32.3% demonstrates continued momentum. PEG of 0.06 suggests the stock is reasonably priced for its growth.

Bull Case : URI

The strongest argument for URI centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 15.3% and operating margin at 23.1%.

Bear Case : HRI

The primary concerns for HRI are Piotroski F-Score, Return on Equity, EPS Growth. Debt-to-equity of 5.08 is elevated, increasing financial risk.

Bear Case : URI

The primary concerns for URI are PEG Ratio, P/E Ratio, Altman Z-Score. Debt-to-equity of 1.67 is elevated, increasing financial risk.

Key Dynamics to Monitor

HRI profiles as a hypergrowth stock while URI is a mature play — different risk/reward profiles.

HRI carries more volatility with a beta of 1.90 — expect wider price swings.

HRI is growing revenue faster at 32.3% — sustainability is the question.

URI generates stronger free cash flow (681M), providing more financial flexibility.

Bottom Line

URI scores higher overall (64/100 vs 52/100), backed by strong 15.3% margins. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Herc Holdings Inc

INDUSTRIALS · RENTAL & LEASING SERVICES · USA

Herc Holdings Inc. is an equipment rental provider primarily in the United States and internationally. The company is headquartered in Bonita Springs, Florida.

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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