United Rentals announces enhanced capital allocation strategy
United Rentals announced that its board of directors has approved an enhanced capital allocation strategy that remains focused on balancing growth and returns. Specifically, the company is lowering its targeted leverage range to 2.0x-3.0x, from 2.5x-3.5x. The company expects to end the year with a net leverage ratio of approximately 2.5x versus a reported net leverage ratio of 2.9x as of March 31, 2019. CEO Matthew Flannery said, "Over the last decade our capital allocation strategy has served our company and our investors well. This change is consistent with other actions we've taken to deploy our capital with a balanced approach to grow our business, enhance our cash flows and improve financial flexibility. The evolution of our business, and the resulting durable cash flow, provides us the further opportunity to both fully support our growth initiatives and reduce our financial leverage."