United Rentals price target lowered to $1,169 from $1,194 at Truist

Truist lowered the firm’s price target on United Rentals (URI) to $1,169 from $1,194 but keeps a Buy rating on the shares. The stock closed down 8% after reporting an in-line quarter and raising full year 2025 revenue guidance on better-than-expected demand as adjusted EBITDA margins disappointed at 46.0%, down 170bps year-over-year and down 150bps excluding used equipment sales, the analyst tells investors in a research note. Truist maintains however that there are secular tailwinds to support above average demand for construction equipment reflecting secular demand tailwinds associated with unprecedented investment in infrastructure including the IIJA, Electric Vehicle Investment, onshoring of manufacturing, North America LNG and the Inflation Reduction Act.