Avis Budget Group Inc (CAR)vsUnited Rentals Inc (URI)
CAR
Avis Budget Group Inc
$121.74
-3.95%
INDUSTRIALS · Cap: $4.69B
URI
United Rentals Inc
$989.12
0.00%
INDUSTRIALS · Cap: $61.57B
Smart Verdict
WallStSmart Research — data-driven comparison
United Rentals Inc generates 44% more annual revenue ($16.83B vs $11.71B). URI leads profitability with a 15.7% profit margin vs -5.4%. CAR appears more attractively valued with a PEG of 0.17. URI earns a higher WallStSmart Score of 72/100 (B).
CAR
Buy52
out of 100
Grade: C-
URI
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-80.9%
Fair Value
$64.06
Current Price
$121.74
$57.68 premium
Intrinsic value data unavailable for URI.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 880.0% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Every $100 of equity generates 29 in profit
Strong operational efficiency at 26.0%
Earnings expanding 25.5% YoY
Areas to Watch
Weak financial health signals
ROE of -273.1% — below average capital efficiency
Revenue declined 1.3%
Negative free cash flow — burning cash
Grey zone — moderate risk
Elevated debt levels
Weak financial health signals
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : CAR
The strongest argument for CAR centers on PEG Ratio, EPS Growth, Debt/Equity. PEG of 0.17 suggests the stock is reasonably priced for its growth.
Bull Case : URI
The strongest argument for URI centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 15.7% and operating margin at 26.0%. Revenue growth of 11.8% demonstrates continued momentum.
Bear Case : CAR
The primary concerns for CAR are Piotroski F-Score, Return on Equity, Revenue Growth.
Bear Case : URI
The primary concerns for URI are Altman Z-Score, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.67 is elevated, increasing financial risk.
Key Dynamics to Monitor
CAR profiles as a turnaround stock while URI is a mature play — different risk/reward profiles.
CAR carries more volatility with a beta of 1.90 — expect wider price swings.
URI is growing revenue faster at 11.8% — sustainability is the question.
URI generates stronger free cash flow (-261M), providing more financial flexibility.
Bottom Line
URI scores higher overall (72/100 vs 52/100), backed by strong 15.7% margins and 11.8% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Avis Budget Group Inc
INDUSTRIALS · RENTAL & LEASING SERVICES · USA
Avis Budget Group, Inc., offers car and truck rental, car sharing and ancillary services to businesses and consumers. The company is headquartered in Parsippany, New Jersey.
United Rentals Inc
INDUSTRIALS · RENTAL & LEASING SERVICES · USA
United Rentals, Inc. (NYSE: URI) is the world's largest equipment rental company, with about 13 percent of the North American market share as of 2019.
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