MGRC vs URI vs TREX vs WSC vs KFRC

For growth investors, United Rentals, Inc.

(URI) is the stronger pick with 4. 9% revenue growth year-over-year, versus -5. 4% for Kforce Inc. (KFRC). McGrath RentCorp (MGRC) offers the better valuation at 17. 8x trailing P/E (17. 5x forward), making it the more compelling value choice. Analysts rate McGrath RentCorp (MGRC) a "Buy" — based on 5 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, McGrath RentCorp (MGRC) is the cheapest at 17.

8x versus United Rentals, Inc. at 24. 2x. On forward P/E, McGrath RentCorp is actually cheaper at 17. 5x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: United Rentals, Inc. wins at 0. 79x versus Trex Company, Inc. 's 7. 30x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, United Rentals, Inc.

(URI) delivered a total return of +187. 2%, compared to -65. 1% for Trex Company, Inc. (TREX). Over 10 years, the gap is even starker: URI returned +1503% versus WSC's +145. 9%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Kforce Inc.

(KFRC) is the lower-risk stock at 0. 53β versus WillScot Holdings Corporation's 2. 06β — meaning WSC is approximately 290% more volatile than KFRC relative to the S&P 500. On balance sheet safety, Trex Company, Inc. (TREX) carries a lower debt/equity ratio of 22% versus 5% for WillScot Holdings Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), United Rentals, Inc.

(URI) is pulling ahead at 4. 9% versus -5. 4% for Kforce Inc. (KFRC). On earnings-per-share growth, the picture is similar: United Rentals, Inc. grew EPS -0. 2% year-over-year, compared to -293. 3% for WillScot Holdings Corporation. Over a 3-year CAGR, MGRC leads at 14. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

McGrath RentCorp (MGRC) is the more profitable company, earning 16.

6% net margin versus -2. 3% for WillScot Holdings Corporation — meaning it keeps 16. 6% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MGRC leads at 25. 9% versus 3. 8% for KFRC. At the gross margin level — before operating expenses — WSC leads at 46. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, United Rentals, Inc. (URI) is the more undervalued stock at a PEG of 0. 79x versus Trex Company, Inc. 's 7. 30x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, McGrath RentCorp (MGRC) trades at 17. 5x forward P/E versus 24. 4x for Trex Company, Inc. — 7. 0x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for KFRC: 61. 8% to $71. 00.

In this comparison, KFRC (3.

5% yield), MGRC (1. 7% yield), WSC (1. 2% yield), URI (0. 8% yield) pay a dividend. TREX does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, United Rentals, Inc.

(URI) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1. 19), 0. 8% yield, +1503% 10Y return). WillScot Holdings Corporation (WSC) carries a higher beta of 2. 06 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (URI: +1503%, WSC: +145. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: MGRC is a small-cap deep-value stock; URI is a mid-cap quality compounder stock; TREX is a small-cap quality compounder stock; WSC is a small-cap quality compounder stock; KFRC is a small-cap income-oriented stock. MGRC, URI, WSC, KFRC pay a dividend while TREX does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.