Common Stock Valuation Ratios (Price Multiples)
Quarterly Data
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Historical Valuation Ratios (Summary)
United Rentals Inc., historical price multiples (quarterly data)
Based on: 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
The financial ratios for the periods from March 31, 2018, to December 31, 2022, reveal several notable trends and fluctuations.
- Price to Earnings (P/E) Ratio
- Available starting from March 31, 2019, the P/E ratio shows an overall upward trend through 2021, peaking at 25.56 during the second quarter of 2021. This indicates increasing investor expectations or higher market valuations relative to earnings during that time. From the peak, a declining trend is observed through to the end of 2022, falling to 12.93. This decline may reflect normalization of earnings, reduced market optimism, or earnings growth outpacing price increases.
- Price to Operating Profit (P/OP) Ratio
- The P/OP ratio similarly demonstrates a rising trend from early 2019 through to mid-2021, reaching a maximum of 12.96. Post-peak, the ratio decreases to 6.95 by the third quarter of 2022, before increasing slightly again. This pattern parallels the P/E trend and suggests changes in market valuation relative to operating profitability, with notable volatility around 2020 and 2021.
- Price to Sales (P/S) Ratio
- The P/S ratio starts close to 1.15 in early 2019 and exhibits a general upward movement through 2021, achieving a high of 2.78 during the second quarter of 2021. This growth implies that the market values the company's sales more highly during that period. Following this peak, the ratio declines moderately but remains above pre-2020 levels, settling around 2.34 by the end of 2022, indicating sustained higher valuation relative to sales compared to earlier years.
- Price to Book Value (P/BV) Ratio
- Starting at 4.92 in the first quarter of 2018, the P/BV ratio declines steadily through 2018 to reach approximately 2.71 by the end of that year. It fluctuates within a range of about 2.5 to 3.75 between 2019 and early 2021, before rising to a peak of nearly 4.96 in the second quarter of 2021. After this peak, the ratio decreases steadily throughout 2022, ending at 3.85. These movements indicate varying market perceptions of the company’s book value over time, with notable increases during 2021 and a reversion to lower levels afterward.
Overall, the ratios depict a significant escalation in valuation metrics across 2020 and 2021, with peaks often occurring in the middle of 2021. Subsequently, the ratios show a correction or normalization trend throughout 2022, although many remain elevated compared to pre-2020 periods. The pattern suggests heightened investor optimism or improved financial performance during the pandemic years, followed by a gradual adjustment as market conditions evolved.
Price to Earnings (P/E)
United Rentals Inc., historical P/E calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 69,359,591 | 69,308,481 | 69,985,365 | 71,611,509 | 72,421,902 | 72,394,435 | 72,390,139 | 72,378,142 | 72,199,276 | 72,136,631 | 72,080,277 | 72,049,494 | 74,375,477 | 75,155,939 | 77,162,794 | 78,624,102 | 79,591,082 | 81,102,622 | 82,748,285 | 83,596,643 | ||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||
| Net income (in millions) | 639) | 606) | 493) | 367) | 481) | 409) | 293) | 203) | 297) | 208) | 212) | 173) | 338) | 391) | 270) | 175) | 310) | 333) | 270) | 183) | ||||||
| Earnings per share (EPS)2 | 30.35 | 28.09 | 25.01 | 21.64 | 19.14 | 16.60 | 13.83 | 12.71 | 12.33 | 12.91 | 15.45 | 16.27 | 15.78 | 15.25 | 14.10 | 13.84 | 13.77 | 0.00 | 0.00 | 0.00 | ||||||
| Share price1, 3 | 392.48 | 296.23 | 287.23 | 309.62 | 307.76 | 347.55 | 325.89 | 324.85 | 236.27 | 170.73 | 163.42 | 127.98 | 152.26 | 121.67 | 131.49 | 125.76 | 116.02 | 139.04 | 154.91 | 180.00 | ||||||
| Valuation Ratio | ||||||||||||||||||||||||||
| P/E ratio4 | 12.93 | 10.55 | 11.49 | 14.30 | 16.08 | 20.93 | 23.57 | 25.56 | 19.17 | 13.23 | 10.57 | 7.87 | 9.65 | 7.98 | 9.33 | 9.09 | 8.43 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| P/E Ratio, Competitors5 | ||||||||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 19.15 | 15.15 | 14.29 | 18.28 | 16.82 | 21.38 | 25.50 | 37.92 | 36.80 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Eaton Corp. plc | 27.93 | 26.32 | 25.21 | 26.37 | 27.77 | 33.08 | 34.43 | 40.32 | 37.46 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| GE Aerospace | — | — | — | — | — | — | — | — | 19.67 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Honeywell International Inc. | 26.97 | 24.58 | 25.26 | 25.10 | 23.14 | 27.35 | 31.83 | 33.71 | 29.63 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Lockheed Martin Corp. | 20.48 | 19.28 | 22.00 | 19.45 | 16.70 | 15.11 | 14.27 | 15.48 | 13.44 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| RTX Corp. | 27.59 | 29.12 | 29.83 | 35.16 | 36.79 | 40.28 | 60.91 | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2022 Calculation
EPS
= (Net incomeQ4 2022
+ Net incomeQ3 2022
+ Net incomeQ2 2022
+ Net incomeQ1 2022)
÷ No. shares of common stock outstanding
= (639,000,000 + 606,000,000 + 493,000,000 + 367,000,000)
÷ 69,359,591 = 30.35
3 Closing price as at the filing date of United Rentals Inc. Quarterly or Annual Report.
4 Q4 2022 Calculation
P/E ratio = Share price ÷ EPS
= 392.48 ÷ 30.35 = 12.93
5 Click competitor name to see calculations.
The analysis of the quarterly financial data reveals several significant trends in the share price, earnings per share (EPS), and price-to-earnings (P/E) ratio over the observed periods.
- Share Price
- The share price exhibited initial volatility from March 2018 to December 2019, with a general downward trend reaching a low near the end of 2018. From early 2020 onwards, the share price showed a notable recovery and upward momentum, particularly strong from late 2020 through 2021, peaking in December 2021. Although there was some decline in the first half of 2022, the price surged again towards the end of 2022, reaching a new high. This overall pattern suggests growing investor confidence and potentially improving company fundamentals or market conditions in recent years.
- Earnings per Share (EPS)
- EPS data commenced from March 2019, showing a consistent upward trajectory across all subsequent quarters. The earnings reveal steady quarterly growth without significant downturns, increasing from around 13.77 US$ to over 30 US$ by the end of 2022. This consistent increase in earnings per share indicates improving profitability and operational efficiency over the analyzed timeframe.
- Price-to-Earnings (P/E) Ratio
- The P/E ratio fluctuated noticeably during the periods shown. From its initial value of 8.43 in March 2019, it experienced fluctuations, reaching peaks above 25 by December 2020. Following this peak, a downward trend in the P/E ratio was observed through 2021 and most of 2022, falling below 11 by the third quarter of 2022, before slightly increasing by the end of 2022. Such changes reflect varying market valuation relative to earnings, with earlier higher ratios possibly indicating optimistic investor expectations, followed by a more tempered valuation as earnings growth was recognized.
In summary, the company's financial metrics depict a pattern of robust earnings growth accompanied by a generally rising share price, albeit with periods of volatility. The P/E ratio movements highlight shifting market sentiment and adjustment to improved earnings performance. Together, these trends suggest strong financial health and improving market perception over the recent years covered by the data.
Price to Operating Profit (P/OP)
United Rentals Inc., historical P/OP calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 69,359,591 | 69,308,481 | 69,985,365 | 71,611,509 | 72,421,902 | 72,394,435 | 72,390,139 | 72,378,142 | 72,199,276 | 72,136,631 | 72,080,277 | 72,049,494 | 74,375,477 | 75,155,939 | 77,162,794 | 78,624,102 | 79,591,082 | 81,102,622 | 82,748,285 | 83,596,643 | ||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||
| Operating income (in millions) | 1,024) | 921) | 715) | 572) | 745) | 679) | 481) | 372) | 510) | 551) | 381) | 358) | 599) | 656) | 529) | 368) | 563) | 578) | 470) | 340) | ||||||
| Operating profit per share2 | 46.60 | 42.61 | 38.74 | 34.59 | 31.44 | 28.21 | 26.44 | 25.06 | 24.93 | 26.19 | 27.66 | 29.73 | 28.93 | 28.15 | 26.41 | 25.17 | 24.51 | 0.00 | 0.00 | 0.00 | ||||||
| Share price1, 3 | 392.48 | 296.23 | 287.23 | 309.62 | 307.76 | 347.55 | 325.89 | 324.85 | 236.27 | 170.73 | 163.42 | 127.98 | 152.26 | 121.67 | 131.49 | 125.76 | 116.02 | 139.04 | 154.91 | 180.00 | ||||||
| Valuation Ratio | ||||||||||||||||||||||||||
| P/OP ratio4 | 8.42 | 6.95 | 7.41 | 8.95 | 9.79 | 12.32 | 12.33 | 12.96 | 9.48 | 6.52 | 5.91 | 4.30 | 5.26 | 4.32 | 4.98 | 5.00 | 4.73 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| P/OP Ratio, Competitors5 | ||||||||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 16.25 | 14.25 | 13.65 | 17.16 | 15.87 | 16.57 | 18.76 | 26.25 | 24.23 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Eaton Corp. plc | 22.78 | 21.52 | 18.06 | 18.52 | 19.33 | 22.62 | 27.06 | 30.03 | 25.83 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| GE Aerospace | 19.88 | 15.70 | 13.51 | 17.08 | 17.46 | 20.90 | 23.40 | 35.58 | 25.64 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Honeywell International Inc. | 20.84 | 21.54 | 21.51 | 22.09 | 20.68 | 23.54 | 25.98 | 28.28 | 24.86 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Lockheed Martin Corp. | 14.06 | 13.30 | 11.97 | 13.61 | 11.56 | 10.22 | 11.57 | 12.37 | 10.63 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| RTX Corp. | 26.48 | 24.82 | 26.15 | 29.36 | 28.68 | 35.30 | 46.33 | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2022 Calculation
Operating profit per share
= (Operating incomeQ4 2022
+ Operating incomeQ3 2022
+ Operating incomeQ2 2022
+ Operating incomeQ1 2022)
÷ No. shares of common stock outstanding
= (1,024,000,000 + 921,000,000 + 715,000,000 + 572,000,000)
÷ 69,359,591 = 46.60
3 Closing price as at the filing date of United Rentals Inc. Quarterly or Annual Report.
4 Q4 2022 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 392.48 ÷ 46.60 = 8.42
5 Click competitor name to see calculations.
The data reveals several noteworthy trends in the financial performance and market valuation over the analyzed periods.
- Share Price
- The share price exhibited a general upward trajectory across the timeframe, with notable volatility. Beginning near 180 US$ in early 2018, the price declined to approximately 116 US$ by the end of 2018. Subsequently, it experienced fluctuations but maintained an upward momentum, reaching a substantial peak of nearly 392.48 US$ by the end of 2022. The increase was particularly marked during 2020 and 2021, despite minor retracements in some quarters.
- Operating Profit Per Share (OPPS)
- Operating profit per share values first appear from March 2019, starting at approximately 24.51 US$. From this point, there is a consistent growth pattern with some slight declines between late 2020 and early 2021. Overall, OPPS rose steadily from around 24.51 US$ in early 2019 to 46.6 US$ by the end of 2022, almost doubling over the period. This reflects strong operational profitability improvements during the timeframe.
- Price to Operating Profit Ratio (P/OP)
- The price to operating profit ratio began at 4.73 in the first reported quarter of 2019. Subsequently, it fluctuated, increasing to a peak of 12.96 by March 2021, indicating that market prices were growing faster than operating profits during this phase. After reaching this peak, the ratio started declining, dropping to 6.95 by September 2022 before rising slightly to 8.42 at year-end 2022. The initial increase in the ratio suggests heightened market expectations or overvaluation relative to profits, while the later decrease reflects a correction or stronger profit growth catching up with the share price.
In summary, the company demonstrated robust growth in operating profit per share and share price over the analyzed period. However, the price to operating profit ratio indicates periods of market exuberance, particularly around early 2021, followed by a moderation phase. The data suggests an overall positive financial and market valuation trend, supported by substantial improvements in core profitability metrics.
Price to Sales (P/S)
United Rentals Inc., historical P/S calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 69,359,591 | 69,308,481 | 69,985,365 | 71,611,509 | 72,421,902 | 72,394,435 | 72,390,139 | 72,378,142 | 72,199,276 | 72,136,631 | 72,080,277 | 72,049,494 | 74,375,477 | 75,155,939 | 77,162,794 | 78,624,102 | 79,591,082 | 81,102,622 | 82,748,285 | 83,596,643 | ||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||
| Revenues (in millions) | 3,296) | 3,051) | 2,771) | 2,524) | 2,776) | 2,596) | 2,287) | 2,057) | 2,279) | 2,187) | 1,939) | 2,125) | 2,456) | 2,488) | 2,290) | 2,117) | 2,306) | 2,116) | 1,891) | 1,734) | ||||||
| Sales per share2 | 167.85 | 160.47 | 152.42 | 142.20 | 134.16 | 127.34 | 121.70 | 116.91 | 118.15 | 120.70 | 124.97 | 129.90 | 125.73 | 122.43 | 114.42 | 107.22 | 101.10 | 0.00 | 0.00 | 0.00 | ||||||
| Share price1, 3 | 392.48 | 296.23 | 287.23 | 309.62 | 307.76 | 347.55 | 325.89 | 324.85 | 236.27 | 170.73 | 163.42 | 127.98 | 152.26 | 121.67 | 131.49 | 125.76 | 116.02 | 139.04 | 154.91 | 180.00 | ||||||
| Valuation Ratio | ||||||||||||||||||||||||||
| P/S ratio4 | 2.34 | 1.85 | 1.88 | 2.18 | 2.29 | 2.73 | 2.68 | 2.78 | 2.00 | 1.41 | 1.31 | 0.99 | 1.21 | 0.99 | 1.15 | 1.17 | 1.15 | — | — | — | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| P/S Ratio, Competitors5 | ||||||||||||||||||||||||||
| Boeing Co. | 1.90 | 1.30 | 1.53 | 1.50 | 1.87 | 1.93 | 2.20 | 2.44 | 1.96 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 2.27 | 2.08 | 1.88 | 2.38 | 2.26 | 2.41 | 2.59 | 3.23 | 2.83 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Eaton Corp. plc | 3.31 | 2.99 | 2.95 | 2.96 | 3.03 | 3.51 | 3.39 | 3.25 | 2.96 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| GE Aerospace | 1.20 | 1.11 | 1.10 | 1.25 | 1.50 | 1.64 | 1.60 | 1.68 | 1.41 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Honeywell International Inc. | 3.78 | 3.78 | 3.72 | 3.84 | 3.73 | 4.32 | 4.66 | 4.78 | 4.34 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Lockheed Martin Corp. | 1.78 | 1.75 | 1.61 | 1.84 | 1.57 | 1.38 | 1.53 | 1.63 | 1.40 | — | — | — | — | — | — | — | — | — | — | — | ||||||
| RTX Corp. | 2.14 | 1.97 | 2.04 | 2.27 | 2.21 | 2.09 | 2.14 | 2.07 | 1.95 | — | — | — | — | — | — | — | — | — | — | — | ||||||
Based on: 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2022 Calculation
Sales per share
= (RevenuesQ4 2022
+ RevenuesQ3 2022
+ RevenuesQ2 2022
+ RevenuesQ1 2022)
÷ No. shares of common stock outstanding
= (3,296,000,000 + 3,051,000,000 + 2,771,000,000 + 2,524,000,000)
÷ 69,359,591 = 167.85
3 Closing price as at the filing date of United Rentals Inc. Quarterly or Annual Report.
4 Q4 2022 Calculation
P/S ratio = Share price ÷ Sales per share
= 392.48 ÷ 167.85 = 2.34
5 Click competitor name to see calculations.
- Share Price
- The share price shows notable volatility over the observed periods. Initially, there is a declining trend from $180 in March 2018 to around $116 by December 2018. Following this, the share price exhibits recovery and growth, reaching a peak of $236.27 by December 2020. A sharp increase occurs in 2021, peaking near $347.55 in September but declines to about $307.76 by December 2021. The price fluctuates moderately in 2022, closing with a strong rise to $392.48 by December 2022, representing the highest level in the entire timeline.
- Sales Per Share
- Sales per share data begins from March 2019, starting at $101.10 and consistently increasing across all quarters. The trend demonstrates steady growth, reaching $167.85 by December 2022. This consistent upward trajectory indicates a stable improvement in sales efficiency on a per-share basis.
- Price-to-Sales (P/S) Ratio
- The P/S ratio starts around 1.15 in March 2019, with some fluctuations observed until late 2020. There is a noticeable increase from 1.31 in September 2020 to a peak of 2.78 in June 2021. After this peak, the ratio experiences minor declines but remains elevated, staying above 1.8 in all quarters of 2022 and ending at 2.34 by December 2022. This suggests the market valuation relative to sales increased significantly from 2020 onward.
- Overall Insights
- The financial indicators illustrate a pattern of recovery and growth after an initial decline in share price through 2018. Sales per share exhibit robust and steady growth, underscoring improving revenue generation per share over time. The rising P/S ratio indicates heightened investor confidence or expectations, valuing the company at a premium relative to its sales, especially from 2020 onward. The synergy of these trends implies the company has strengthened its operational performance and market perception, culminating in record-high share prices and ratios by the end of 2022.
Price to Book Value (P/BV)
United Rentals Inc., historical P/BV calculation (quarterly data)
| Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 69,359,591 | 69,308,481 | 69,985,365 | 71,611,509 | 72,421,902 | 72,394,435 | 72,390,139 | 72,378,142 | 72,199,276 | 72,136,631 | 72,080,277 | 72,049,494 | 74,375,477 | 75,155,939 | 77,162,794 | 78,624,102 | 79,591,082 | 81,102,622 | 82,748,285 | 83,596,643 | ||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||
| Stockholders’ equity (in millions) | 7,062) | 6,353) | 6,046) | 6,084) | 5,991) | 5,483) | 5,094) | 4,745) | 4,545) | 4,161) | 3,907) | 3,635) | 3,830) | 3,650) | 3,478) | 3,375) | 3,403) | 3,334) | 3,164) | 3,058) | ||||||
| Book value per share (BVPS)2 | 101.82 | 91.66 | 86.39 | 84.96 | 82.72 | 75.74 | 70.37 | 65.56 | 62.95 | 57.68 | 54.20 | 50.45 | 51.50 | 48.57 | 45.07 | 42.93 | 42.76 | 41.11 | 38.24 | 36.58 | ||||||
| Share price1, 3 | 392.48 | 296.23 | 287.23 | 309.62 | 307.76 | 347.55 | 325.89 | 324.85 | 236.27 | 170.73 | 163.42 | 127.98 | 152.26 | 121.67 | 131.49 | 125.76 | 116.02 | 139.04 | 154.91 | 180.00 | ||||||
| Valuation Ratio | ||||||||||||||||||||||||||
| P/BV ratio4 | 3.85 | 3.23 | 3.32 | 3.64 | 3.72 | 4.59 | 4.63 | 4.96 | 3.75 | 2.96 | 3.01 | 2.54 | 2.96 | 2.51 | 2.92 | 2.93 | 2.71 | 3.38 | 4.05 | 4.92 | ||||||
| Benchmarks | ||||||||||||||||||||||||||
| P/BV Ratio, Competitors5 | ||||||||||||||||||||||||||
| Boeing Co. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||
| Caterpillar Inc. | 8.09 | 7.16 | 6.14 | 6.96 | 6.62 | 6.61 | 6.65 | 7.86 | 7.20 | 5.64 | 5.32 | 4.11 | — | — | — | — | — | — | — | — | ||||||
| Eaton Corp. plc | 4.04 | 3.75 | 3.56 | 3.52 | 3.63 | 4.28 | 4.21 | 3.84 | 3.54 | 3.06 | 2.73 | 2.34 | — | — | — | — | — | — | — | — | ||||||
| GE Aerospace | 2.43 | 2.53 | 2.26 | 2.27 | 2.64 | 3.15 | 3.43 | 3.53 | 2.89 | 1.95 | 1.71 | 1.63 | — | — | — | — | — | — | — | — | ||||||
| Honeywell International Inc. | 8.02 | 7.46 | 7.31 | 7.17 | 6.91 | 8.39 | 8.83 | 8.67 | 8.07 | 6.40 | 5.78 | 5.46 | — | — | — | — | — | — | — | — | ||||||
| Lockheed Martin Corp. | 12.67 | 9.46 | 9.05 | 12.08 | 9.62 | 9.50 | 15.63 | 17.05 | 15.27 | 20.84 | 27.96 | 30.96 | — | — | — | — | — | — | — | — | ||||||
| RTX Corp. | 1.97 | 1.85 | 1.89 | 2.04 | 1.95 | 1.87 | 1.87 | 1.75 | 1.53 | 1.26 | 1.35 | 1.25 | — | — | — | — | — | — | — | — | ||||||
Based on: 10-K (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-Q (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-K (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-Q (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-K (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-Q (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-K (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-Q (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-K (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-Q (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31).
1 Data adjusted for splits and stock dividends.
2 Q4 2022 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= 7,062,000,000 ÷ 69,359,591 = 101.82
3 Closing price as at the filing date of United Rentals Inc. Quarterly or Annual Report.
4 Q4 2022 Calculation
P/BV ratio = Share price ÷ BVPS
= 392.48 ÷ 101.82 = 3.85
5 Click competitor name to see calculations.
The data reveals notable trends in share price, book value per share (BVPS), and price-to-book value (P/BV) ratio over the analyzed periods.
- Share Price
- The share price started at $180.00 in March 2018 and demonstrated a general downward trajectory through December 2018, reaching a low of $116.02. This was followed by fluctuations and moderate recovery through 2019, with values ranging between approximately $121.67 and $152.26. In 2020, the share price initially declined to $127.98 in March but then exhibited a strong upward trend, climbing to $236.27 by December 2020. Throughout 2021, this upward momentum continued sharply, peaking in September 2021 at $347.55, before a slight dip towards the end of the year. Moving into 2022, the price showed some volatility but ultimately surged to the highest recorded value in the dataset, $392.48 in December 2022.
- Book Value Per Share (BVPS)
- BVPS showed a consistent and steady increase throughout the periods analyzed, starting at $36.58 in March 2018 and reaching $101.82 by December 2022. This reflects a continual strengthening of the company's net asset position on a per-share basis, with no periods of decline or stagnation noted in the data.
- Price-to-Book Value (P/BV) Ratio
- The P/BV ratio displayed a general decline from 4.92 in March 2018 to a low of 2.51 in September 2019, indicating a period where the market price of shares traded closer to the book value, possibly reflecting market caution or valuation adjustments. Following this, the ratio fluctuated moderately but remained below 4.0 until the end of 2020. Starting in 2021, it surged sharply, peaking at 4.96 in March 2021, indicating an increase in market valuation relative to book value. Subsequent quarters saw some declines and rises, ending at 3.85 in December 2022, which, while lower than the earlier 2021 peak, remains elevated compared to the 2019 low points.
Overall, the share price exhibited volatility but an upward trend since mid-2020, while book value per share experienced steady growth throughout the entire period. The P/BV ratio reflected changing market perceptions, with valuation multiples contracting during 2018-2019 before expanding significantly in 2021 and remaining relatively elevated in 2022 compared to earlier years. This combination suggests increased investor confidence and a premium being placed on the company's net assets in recent years.