Long Position on URI @ $58.00 on 5/14/2013 (Momentum)

Bullish Flag on URIUnited Rentals (URI) operates as an equipment rental company.

It offers approximately 3,300 classes of equipment for rent to customers comprising construction and industrial companies, manufacturers, utilities, municipalities, homeowners, and government entities.

The company’s fleet of rental equipment includes general construction and industrial equipment, such as backhoes, skid-steer loaders, forklifts, earthmoving equipment, and material handling equipment; aerial work platforms consisting of boom lifts and scissor lifts; and general tools and light equipment, including pressure washers, water pumps, and power tools.

Its fleet also comprises trench safety equipment, such as trench shields, aluminum hydraulic shoring systems, slide rails, crossing plates, construction lasers, and line testing equipment for underground work; and power and heating, ventilating, and air conditioning equipment, which consists of portable diesel generators, electrical distribution equipment, and temperature control equipment, including heating and cooling equipment. In addition, the company sells new and used equipment, as well as related contractor supplies, parts, and service; and offers repair, maintenance, and rental protection services. 

Shares have formed a bullish "flag" and higher prices are expected for this stock.

52-Week Range:  $26.88 - $59.21

Entry Point:  $58.00

Stop Loss:  $55.10

Target Price:  $63.80

Updates

5/24/2013 10:55:05 AM

URI was closed at $55.00 after it fell below our stop loss. We still believe in the company.

Position closed on 5/24/2013 at price of $55.00 with a -5.17% loss in 10 days.

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