(MGRC) McGrath RentCorp - Ratings and Ratios

McGrath RentCorp (NASDAQ:MGRC) is a leading business-to-business rental company specializing in modular buildings, portable storage solutions, and electronic test equipment. Founded in 1979 and headquartered in Livermore, California, the company serves diverse markets across the United States and internationally through its four core segments: Mobile Modular, Portable Storage, TRS-RenTelco, and Enviroplex. Each segment addresses specific customer needs, from temporary workspace solutions to advanced test equipment for industrial applications.

The Mobile Modular segment provides relocatable modular buildings tailored for classrooms, temporary offices, healthcare clinics, and construction field offices, offering flexibility and scalability for various industries. The Portable Storage segment delivers steel containers for temporary storage needs across construction, retail, energy, and healthcare sectors. TRS-RenTelco focuses on renting and selling electronic test equipment, including oscilloscopes and network transmission tools, primarily to aerospace, defense, and semiconductor industries. The Enviroplex segment manufactures portable classrooms exclusively for Californias public school districts and educational institutions, addressing the states specific demand for modular education spaces.

From a technical perspective, MGRC is currently trading at 106.32, below its SMA 50 (112.40) and SMA 200 (111.50), indicating potential resistance at these levels. The ATR of 3.97 suggests moderate volatility. Over the next three months, MGRC may face resistance near the SMA 200 level, with potential pullback support around 100-102. If the stock breaks above the SMA 50, it could test the 115-120 range. However, if it fails to reclaim the SMA 50, it may retest the lower end of its current range near 95-100.

Fundamentally, MGRCs market cap of 2,560.07M USD reflects its established position in the rental equipment market. The P/E of 10.71 and forward P/E of 16.72 suggest expectations for future earnings growth. The P/B of 2.24 indicates a premium relative to book value, while the RoE of 20.86 highlights strong profitability. These metrics collectively point to a company with stable cash flows and a focus on long-term growth.