WallStSmart

GATX Corporation (GATX)vsUnited Rentals Inc (URI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

United Rentals Inc generates 825% more annual revenue ($16.10B vs $1.74B). GATX leads profitability with a 19.2% profit margin vs 15.5%. GATX appears more attractively valued with a PEG of 0.64. GATX earns a higher WallStSmart Score of 73/100 (B).

GATX

Strong Buy

73

out of 100

Grade: B

Growth: 7.3Profit: 7.0Value: 10.0Quality: 5.3
Piotroski: 5/9Altman Z: 0.84

URI

Buy

63

out of 100

Grade: C+

Growth: 4.7Profit: 9.0Value: 7.3Quality: 4.3
Piotroski: 2/9Altman Z: 1.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GATXUndervalued (+55.8%)

Margin of Safety

+55.8%

Fair Value

$427.28

Current Price

$170.05

$257.23 discount

UndervaluedFair: $427.28Overvalued
URISignificantly Overvalued (-233.1%)

Margin of Safety

-233.1%

Fair Value

$262.34

Current Price

$747.59

$485.25 premium

UndervaluedFair: $262.34Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GATX4 strengths · Avg: 8.5/10
Operating MarginProfitability
31.0%10/10

Strong operational efficiency at 31.0%

PEG RatioValuation
0.648/10

Growing faster than its price suggests

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

EPS GrowthGrowth
25.8%8/10

Earnings expanding 25.8% YoY

URI2 strengths · Avg: 8.5/10
Return on EquityProfitability
28.4%9/10

Every $100 of equity generates 28 in profit

Operating MarginProfitability
25.2%8/10

Strong operational efficiency at 25.2%

Areas to Watch

GATX2 concerns · Avg: 2.0/10
Free Cash FlowQuality
$-295.40M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.842/10

Distress zone — elevated risk

URI4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.8%4/10

2.8% revenue growth

Altman Z-ScoreHealth
1.984/10

Grey zone — moderate risk

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-1.9%2/10

Earnings declined 1.9%

Comparative Analysis Report

WallStSmart Research

Bull Case : GATX

The strongest argument for GATX centers on Operating Margin, PEG Ratio, Price/Book. Profitability is solid with margins at 19.2% and operating margin at 31.0%. PEG of 0.64 suggests the stock is reasonably priced for its growth.

Bull Case : URI

The strongest argument for URI centers on Return on Equity, Operating Margin. Profitability is solid with margins at 15.5% and operating margin at 25.2%. PEG of 1.17 suggests the stock is reasonably priced for its growth.

Bear Case : GATX

The primary concerns for GATX are Free Cash Flow, Altman Z-Score.

Bear Case : URI

The primary concerns for URI are Revenue Growth, Altman Z-Score, Piotroski F-Score.

Key Dynamics to Monitor

GATX profiles as a mature stock while URI is a value play — different risk/reward profiles.

URI carries more volatility with a beta of 1.65 — expect wider price swings.

GATX is growing revenue faster at 8.6% — sustainability is the question.

URI generates stronger free cash flow (577M), providing more financial flexibility.

Bottom Line

GATX scores higher overall (73/100 vs 63/100), backed by strong 19.2% margins. 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.

GATX Corporation

INDUSTRIALS · RENTAL & LEASING SERVICES · USA

GATX Corporation (NYSE: GATX) strives to be recognized as the best car rental company in the world by our customers, our shareholders, our employees and the communities where we operate. The company is headquartered in Chicago, Illinois since its founding in 1898.

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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