United Rentals (URI) Reports Positive Q4 Earnings and Attracts Institutional Investment

United Rentals, Inc. (URI) stock has surged, vaulting 29% in 2023. The industrial renting equipment firm recently announced Q4 earnings which were well received. On top of that, the company initiated a dividend of $1.48/share per quarter, which can be viewed as a positive given management’s healthy outlook.

But there’s another reason to take notice of URI shares. Heavy demand has been lifting the shares recently.

United Rentals Attracts Big Money

So, what’s Big Money? Said simply, that’s when a stock climbs in price alongside chunky volumes. It’s indicative of institutions betting on the shares.

Smart money managers are always looking for the next outperforming stock. United Rentals is both attractive on a fundamental basis and a momentum basis.

This could set up well for the stock going forward. Let’s check in on the supply and demand for the stock.

Each green bar signals big trading volumes as the stock ramped in price:

Since November, the shares attracted 14 unusual buy signals. Demand for the stock has been high. Those repeated green bars could mean more upside is ahead.

Now, let’s check out the fundamental action grabbing my attention:

United Rentals Fundamental Analysis

Next, it’s a good idea to check under the hood. Meaning, I want to make sure the fundamental story is strong too. As you can see, URI has been growing sales and EPS at a healthy clip. Take a look:

• 1-year sales growth rate (+19.8%)
• 3-year EPS growth rate (+30.8%)

Source: FactSet

Marrying great fundamentals with technically superior stocks is a winning recipe over the long term.

In fact, URI has been a top-rated stock multiple times at my research firm, MAPsignals. That means the stock has buy pressure, strong technicals, and growing fundamentals. We have a ranking process that showcases stocks like this on a weekly basis.

Let’s wrap up.

United Rentals Price Prediction

The United Rentals rally could have further to go. Big Money buying in the shares is signaling to take notice. Shares could be positioned for further upside.

Please note, shares could be extended at these levels given the large accumulation signals.

Disclosure: the author holds no positions in URI at the time of publication.

Learn more about the MAPsignals process here.