McGrath RentCorp
McGrath RentCorp operates as a business-to-business rental company with four segments: Mobile Modular, Portable Storage, TRS-RenTelco, and Enviroplex. The company rents and sells modular buildings for various uses, portable storage containers, and electronic test equipment. The TRS-RenTelco segment primarily serves aerospace, defense, electronics, and industrial industries.
Overview
Sector
Rental & Leasing Services
Strengths
- Current Price to Earnings Ratio (13.35) is lower than the sector mean (28.21).
- Price to book ratio (2.75) is lower than the sector mean (14.72).
- The company has high returns. ROIC (21.85%) is higher than the sector mean (12.72%).
- EV/EBIT (10.20) is lower than the sector mean.
- Price to free cash flow (21.64) is lower than the sector mean.
- Strong EBITDA Margin of 39.05%.
Weaknesses
- With a depreciation Potential of -69.23%, based on our fundamental analysis, it suggests the stock may be overvalued.
- Analysts expect revenues to decline in the coming year.
Key Financial Data
| Indicator | Value |
|---|
| PER | 13.0 |
| EV/EBITDA | 10.2 |
| Price/Free Cash Flow' | 21.0 |
| ROIC | 21.8% |
| Net Debt/EBITDA | 1.7 |