Zacks Investment Ideas feature highlights: United Rentals and Herc

For Immediate ReleaseChicago, IL – July 23, 2025 – Today, Zacks Investment Ideas feature highlights United Rentals URI and Herc Holdings HRI.Best Stocks to Buy on the Dip: URI Stands Out Pre-EarningsThe S&P 500 and the Nasdaq hit new highs again on Monday as Wall Street celebrates the upbeat opening to second-quarter earnings season.Market-moving large-cap companies are beating subdued estimates, dragged down by initial tariff and trade war concerns. More importantly, management commentary about current business trends have been very favorable, helping firm up earnings expectations for the third quarter and beyond.The improving earnings outlook, coupled with projections that the Fed will lower rates again in the second half of the year, provides a bullish runway that extends far beyond July.The market-crushing large-cap stock we explore today could be ready for a breakout after earnings, while also providing long-term investors value and diversification in the technology-heavy market.Buy URI Stock for Value, Growth, and Breakout PotentialUnited Rentals is an equipment rental giant, providing a vast fleet of construction and industrial equipment throughout North America, Europe, and beyond.The company is set to release its second quarter earnings results after the closing bell on Wednesday, July 23.URI stock has soared 1,100% in the past decade to quintuple (5X) both the Zacks Construction Sector and the S&P 500, as part of a larger blockbuster run off its financial crisis lows.United Rentals benefits from the ongoing investment super cycle across energy infrastructure, manufacturing/ reshoring, and more. Its huge outperformance remains firmly intact in the past several years as well, up 73% vs. the benchmark’s 40%.Yet, investors can buy United Rentals stock 13% below its November highs, and at a 6% discount to Construction and 22% below the S&P 500 at 17.6X forward earnings.The industrial and construction standout fell to its 21-day moving average on Monday after failing to break out above its pre-December selloff levels earlier this month. Traders might step in soon, with any further drop to its 50-day or 200-day, likely offering long-term investors a solid buying opportunity. Wall Street also already washed away URI’s selloff between mid-February and the market’s April bottom after it was outbid for H&E by industry rival Herc Holdings.URI’s growing portfolio of large equipment includes scissor lifts, towable light towers, generators, excavators, and nearly everything else under the sun. Customers across construction, utilities, energy, and beyond count on United Rentals for various needs across an array of timeframes.Beyond renting (and selling) equipment, it offers related solutions and services to its customers in critical industries such as AI-heavy data centers, power generation & distribution, renewable energy, and more.URI averaged 16% revenue growth and 36% GAAP earnings expansion in the past four years. The company is projected to slow down to the tune of 4% sales growth in 2025 and 5% next year, following its huge run.United Rentals is projected to edge out 1% earnings expansion this year and 10% higher next year, and its upward EPS revisions earn it a Zacks Rank #2 (Buy) right now.The nearby chart highlights United Rentals’ long-term earnings growth outlook. On top of its breakout potential, United Rentals pays a dividend and announced a new $1.5 billion share repurchase program last quarter.Why Haven't You Looked at Zacks' Top Stocks?Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year.Today you can access their live picks without cost or obligation.See Stocks Free >>Media ContactZacks Investment Research800-767-3771 ext. 9339support@zacks.comhttps://www.zacks.comPast performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release.5 Stocks Set to DoubleEach was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%.Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report United Rentals, Inc. (URI): Free Stock Analysis Report Herc Holdings Inc. (HRI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks