Citi cuts United Rentals target, adds ‘positive catalyst watch’

Citi lowered the firm’s price target on United Rentals (URI) to $835 from $985 and keeps a Buy rating on the shares. The firm also added a “90-day positive catalyst watch” on the shares. Citi thinks United Rentals’ initial 2025 guidance for revenue and EBITDA will be better than investors fear, supported by “plenty of tailwinds” including mega projects, U.S. infrastructure, power, specialty, California wildfire cleanup and rebuild, and Trump policies to offset a soft general construction market. The company’s initial capex guidance could disappoint, although it will be conservative with optionality to flex-up capex as the year progresses, the analyst tells investors in a research note.