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United Rentals (FRA:UR3) Cyclically Adjusted Price-to-FCF : 73.80 (As of May. 13, 2024)


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What is United Rentals Cyclically Adjusted Price-to-FCF?

As of today (2024-05-13), United Rentals's current share price is €638.40. United Rentals's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 was €8.65. United Rentals's Cyclically Adjusted Price-to-FCF for today is 73.80.

The historical rank and industry rank for United Rentals's Cyclically Adjusted Price-to-FCF or its related term are showing as below:

FRA:UR3' s Cyclically Adjusted Price-to-FCF Range Over the Past 10 Years
Min: 33.99   Med: 72.9   Max: 1801
Current: 74.19

During the past years, United Rentals's highest Cyclically Adjusted Price-to-FCF was 1801.00. The lowest was 33.99. And the median was 72.90.

FRA:UR3's Cyclically Adjusted Price-to-FCF is ranked worse than
89.17% of 360 companies
in the Business Services industry
Industry Median: 18.68 vs FRA:UR3: 74.19

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF. The Cyclically Adjusted FCF per Share is the average of the inflation adjusted free cash flow per share of a company over the past 10 years.

United Rentals's adjusted free cash flow per share data for the three months ended in Mar. 2024 was €6.277. Add all the adjusted free cash flow per share for the past 10 years together and divide 10 will get our Cyclically Adjusted FCF per Share, which is €8.65 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


United Rentals Cyclically Adjusted Price-to-FCF Historical Data

The historical data trend for United Rentals's Cyclically Adjusted Price-to-FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

United Rentals Cyclically Adjusted Price-to-FCF Chart

United Rentals Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted Price-to-FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 86.08 59.82 64.13 46.95 64.29

United Rentals Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Price-to-FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 51.61 55.59 53.35 64.29 76.63

Competitive Comparison of United Rentals's Cyclically Adjusted Price-to-FCF

For the Rental & Leasing Services subindustry, United Rentals's Cyclically Adjusted Price-to-FCF, along with its competitors' market caps and Cyclically Adjusted Price-to-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


United Rentals's Cyclically Adjusted Price-to-FCF Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, United Rentals's Cyclically Adjusted Price-to-FCF distribution charts can be found below:

* The bar in red indicates where United Rentals's Cyclically Adjusted Price-to-FCF falls into.



United Rentals Cyclically Adjusted Price-to-FCF Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted Price-to-FCF takes the Free Cash Flow per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/FCF calculation. Because it considers this 10-year average, it's often referred to as the CAPFCF Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Price-to-FCF.

United Rentals's Cyclically Adjusted Price-to-FCF for today is calculated as

Cyclically Adjusted Price-to-FCF=Share Price/ Cyclically Adjusted FCF per Share
=638.40/8.65
=73.80

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

United Rentals's Cyclically Adjusted FCF per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, United Rentals's adjusted Free Cash Flow per Share data for the three months ended in Mar. 2024 was:

Adj_FreeCashFlowPerShare=Free Cash Flow per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=6.277/129.4194*129.4194
=6.277

Current CPI (Mar. 2024) = 129.4194.

United Rentals Quarterly Data

Free Cash Flow per Share CPI Adj_FreeCashFlowPerShare
201406 -1.276 100.560 -1.642
201409 -0.567 100.428 -0.731
201412 0.642 99.070 0.839
201503 3.078 99.621 3.999
201506 -1.331 100.684 -1.711
201509 -1.198 100.392 -1.544
201512 2.970 99.792 3.852
201603 4.750 100.470 6.119
201606 0.020 101.688 0.025
201609 -0.649 101.861 -0.825
201612 2.024 101.863 2.572
201703 4.172 102.862 5.249
201706 -0.208 103.349 -0.260
201709 -1.735 104.136 -2.156
201712 1.339 104.011 1.666
201803 3.130 105.290 3.847
201806 0.142 106.317 0.173
201809 -3.256 106.507 -3.956
201812 5.771 105.998 7.046
201903 4.069 107.251 4.910
201906 -0.045 108.070 -0.054
201909 1.028 108.329 1.228
201912 2.658 108.420 3.173
202003 4.667 108.902 5.546
202006 7.654 108.767 9.107
202009 4.125 109.815 4.861
202012 1.605 109.897 1.890
202103 5.132 111.754 5.943
202106 2.614 114.631 2.951
202109 -1.192 115.734 -1.333
202112 -0.967 117.630 -1.064
202203 4.360 121.301 4.652
202206 2.837 125.017 2.937
202209 -0.274 125.227 -0.283
202212 2.688 125.222 2.778
202303 0.924 127.348 0.939
202306 -0.912 128.729 -0.917
202309 -0.769 129.860 -0.766
202312 9.289 129.419 9.289
202403 6.277 129.419 6.277

Add all the adjusted free cash flow per share together and divide 10 will get our Cyclically Adjusted FCF per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


United Rentals  (FRA:UR3) Cyclically Adjusted Price-to-FCF Explanation

Compared with the regular Price-to-Free-Cash-Flow, which works poorly for cyclical businesses, the Cyclically Adjusted Price-to-FCF smoothed out the fluctuations of free cash flow during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted Price-to-FCF should give similar results to regular Price-to-Free-Cash-Flow.


United Rentals Cyclically Adjusted Price-to-FCF Related Terms

Thank you for viewing the detailed overview of United Rentals's Cyclically Adjusted Price-to-FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


United Rentals (FRA:UR3) Business Description

Industry
Traded in Other Exchanges
Address
100 First Stamford Place, Suite 700, Stamford, CT, USA, 06902
United Rentals is the world's largest equipment rental company. It principally operates in the United States and Canada, where it commands approximately 17% share in a highly fragmented market. It serves three end markets: general industrial, commercial construction, and residential construction. Like its peers, United Rentals historically has provided its customers with equipment that was intermittently used, such as aerial equipment and portable generators. As the company has grown organically and through hundreds of acquisitions since it went public in 1997, its catalog (fleet size of $21 billion) now includes a range of specialty equipment and other items that can be rented for indefinitely long periods.

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