WallStSmart

PACCAR Inc (PCAR)vsUnited Rentals Inc (URI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

PACCAR Inc generates 65% more annual revenue ($27.82B vs $16.83B). URI leads profitability with a 15.7% profit margin vs 9.0%. PCAR appears more attractively valued with a PEG of 1.00. URI earns a higher WallStSmart Score of 72/100 (B).

PCAR

Buy

54

out of 100

Grade: C-

Growth: 3.3Profit: 6.0Value: 5.3Quality: 7.0
Piotroski: 2/9Altman Z: 2.57

URI

Strong Buy

72

out of 100

Grade: B

Growth: 7.3Profit: 9.0Value: 5.7Quality: 4.0
Piotroski: 2/9Altman Z: 1.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PCARSignificantly Overvalued (-43.2%)

Margin of Safety

-43.2%

Fair Value

$85.69

Current Price

$122.73

$37.04 premium

UndervaluedFair: $85.69Overvalued

Intrinsic value data unavailable for URI.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PCAR2 strengths · Avg: 8.5/10
Market CapQuality
$64.60B9/10

Large-cap with strong market position

PEG RatioValuation
1.008/10

Growing faster than its price suggests

URI4 strengths · Avg: 8.5/10
Market CapQuality
$61.57B9/10

Large-cap with strong market position

Return on EquityProfitability
28.6%9/10

Every $100 of equity generates 29 in profit

Operating MarginProfitability
26.0%8/10

Strong operational efficiency at 26.0%

EPS GrowthGrowth
25.5%8/10

Earnings expanding 25.5% YoY

Areas to Watch

PCAR4 concerns · Avg: 3.8/10
P/E RatioValuation
25.8x4/10

Moderate valuation

Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

EPS GrowthGrowth
4.2%4/10

4.2% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

URI4 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.984/10

Grey zone — moderate risk

Debt/EquityHealth
1.673/10

Elevated debt levels

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-261.00M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : PCAR

The strongest argument for PCAR centers on Market Cap, PEG Ratio. PEG of 1.00 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 : PCAR

The primary concerns for PCAR are P/E Ratio, Revenue Growth, EPS 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

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

URI carries more volatility with a beta of 1.79 — expect wider price swings.

URI is growing revenue faster at 11.8% — sustainability is the question.

PCAR generates stronger free cash flow (309M), providing more financial flexibility.

Bottom Line

URI scores higher overall (72/100 vs 54/100), 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.

PACCAR Inc

INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA

PACCAR Inc is an American Fortune 500 company and counts among the largest manufacturers of medium- and heavy-duty trucks in the world. PACCAR is engaged in the design, manufacture and customer support of light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt, Leyland Trucks, and DAF nameplates. PACCAR also designs and manufactures powertrains, provides financial services and information technology, and distributes truck parts related to its principal business.

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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