United Rentals stock surged 38.8% in the past three months, outperforming the Zacks Building Products - Miscellaneous industry, the broader Zacks Construction sector, and the S&P 500 Index. The company is benefiting from strong equipment rental demand across non-residential construction, infrastructure, power, manufacturing, mining, and data center projects, with first-quarter 2026 equipment rental revenues rising 8.7% year over year to a record $3.42 billion. Management raised its 2026 total revenue guidance to $16.9-$17.4 billion and increased gross rental capital expenditure guidance to $4.4-$4.8 billion, while generating more than $1 billion in free cash flow and returning $500 million to shareholders. The Specialty segment remains a key growth engine, with revenues up 13.8% to a record $1.19 billion, now representing 36.5% of total revenues. Near-term challenges include restructuring costs, margin pressure, and macroeconomic uncertainties, but the stock carries a Zacks Rank #2 (Buy) and is supported by a trailing 12-month return on equity of 30.56%.
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