Sifting through countless of stocks in the Trading Companies & Distributors industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in McGrath RentCorp or Herc Holdings Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how McGrath RentCorp and Herc Holdings Inc. compare based on key financial metrics to determine which better meets your investment needs.

About McGrath RentCorp and Herc Holdings Inc.

McGrath RentCorp operates as a business-to-business rental company in the United States and internationally. The company also engages in renting and selling relocatable modular buildings, portable storage containers, and electronic test equipment. The company operates through four segments: Mobile Modular, Portable Storage, TRS-RenTelco, and Enviroplex. The Mobile Modular segment rents and sells modular buildings designed for use as classrooms, temporary offices adjacent to existing facilities, sales offices, construction field offices, restroom buildings, health care clinics, childcare facilities, office spaces, and various other purposes. The Portable Storage segment offers steel containers, such as storage and office containers, to provide temporary storage solutions to construction, retail, commercial and industrial, energy and petrochemical, manufacturing, education, and healthcare markets. The TRS-RenTelco segment rents and sells general purpose electronic test equipment, such as oscilloscopes, amplifiers, analyzers, signal source, and power source test equipment primarily for the aerospace, defense, electronics, industrial, research, and semiconductor industries. This segment also provides communications test equipment, including network and transmission test equipment for various fiber, copper, and wireless networks to the manufacturers of communications equipment and products, electrical and communications installation contractors, field technicians, and service providers. The Enviroplex segment manufactures and sells portable classrooms directly to public school districts and other educational institutions in California. The company was incorporated in 1979 and is based in Livermore, California.

Herc Holdings Inc., together with its subsidiaries, operates as an equipment rental supplier in the United States and internationally. It rents aerial, earthmoving, material handling, trucks and trailers, air compressors, compaction, and lighting equipment. The company offers ProSolutions, an industry specific solution-based services, which include power generation, climate control, remediation and restoration, pump, trench shoring, and studio and production equipment; and ProContractor professional grade tools. In addition, it provides various services, including repair, maintenance, equipment management, and safety training; and equipment re-rental and on-site support services, as well as ancillary services, such as equipment transport, rental protection, cleaning, refueling, and labor. Further, the company sells used equipment and contractor supplies, such as construction consumables, tools, small equipment, and safety supplies. It serves non-residential and residential construction, specialty trade, restoration, remediation and environment, and facility maintenance contractors; industrial manufacturing industries, including refineries and petrochemical, automotive and aerospace, power, metals and mining, agriculture, pulp, paper and wood, and food and beverage industries; infrastructure and government sectors; and commercial facilities, commercial warehousing, education, healthcare, data centers, hospitality, retail, special event management and non-account customers. The company sells its products through its sales team and industry catalogs, as well as through participation and sponsorship of industry events, trade shows, and Internet. Herc Holdings Inc. was incorporated in 1965 and is based in Bonita Springs, Florida.

Latest Trading Companies & Distributors and McGrath RentCorp, Herc Holdings Inc. Stock News

As of September 2, 2026, McGrath RentCorp had a $2.7 billion market capitalization, compared to the Trading Companies & Distributors median of $5.3 million. McGrath RentCorp’s stock is NA in 2026, NA in the previous five trading days and down 9.21% in the past year.

Currently, McGrath RentCorp’s price-earnings ratio is 17.6. McGrath RentCorp’s trailing 12-month revenue is $932.9 million with a 16.4% net profit margin. Year-over-year quarterly sales growth most recently was -6.2%. Analysts expect adjusted earnings to reach $6.350 per share for the current fiscal year. McGrath RentCorp currently has a 1.8% dividend yield.

Currently, Herc Holdings Inc.’s price-earnings ratio is 94.0. Herc Holdings Inc.’s trailing 12-month revenue is $4.9 billion with a 1.0% net profit margin. Year-over-year quarterly sales growth most recently was 20.2%. Analysts expect adjusted earnings to reach $7.478 per share for the current fiscal year. Herc Holdings Inc. currently has a 2.0% dividend yield.

How We Compare McGrath RentCorp and Herc Holdings Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at McGrath RentCorp and Herc Holdings Inc.’s stock grades to see how they measure up against one another.

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McGrath RentCorp and Herc Holdings Inc. Growth Grades

Company	Ticker	Growth
McGrath RentCorp	MGRC	A
Herc Holdings Inc.	HRI	B

The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.

In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.

The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.

McGrath RentCorp has a Growth Score of 82, which is Very Strong. Herc Holdings Inc. has a Growth Score of 69, which is Strong.

The Growth Grade Winner: McGrath RentCorp

As you can clearly see from the Growth Grade breakdown above, McGrath RentCorp has a more attractive growth grade than Herc Holdings Inc.. For investors who focus solely on how a company is growing relative to other companies in the same industry, McGrath RentCorp could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

McGrath RentCorp and Herc Holdings Inc.’s Momentum Grades

Company	Ticker	Momentum
McGrath RentCorp	MGRC	D
Herc Holdings Inc.	HRI	C

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

McGrath RentCorp has a Momentum Score of 34, which is Weak. Herc Holdings Inc. has a Momentum Score of 43, which is Average.

The Momentum Stock Winner: No Clear Winner

Neither McGrath RentCorp or Herc Holdings Inc. has a strong enough Momentum Grade to be considered a “winner.” Investors considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolios. It’s important to look at a wide range of financial metrics in order to determine if McGrath RentCorp or Herc Holdings Inc. is the better investment when it comes to momentum.

McGrath RentCorp and Herc Holdings Inc.’s Estimate Revisions Grades

Company	Ticker	Earnings Estimate
McGrath RentCorp	MGRC	D
Herc Holdings Inc.	HRI	B

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

McGrath RentCorp has a Earnings Estimate Score of 27, which is Negative. Herc Holdings Inc. has a Earnings Estimate Score of 62, which is Positive.

The Earnings Estimate Revisions Grade Winner: Herc Holdings Inc.

As you can clearly see from the Earnings Estimate Revisions Grade breakdown above, Herc Holdings Inc. has a better Earnings Estimate Revisions Grade than McGrath RentCorp. For those who are specifically looking for companies with better short-term prospects when compared to other companies in the same industry, Herc Holdings Inc. could be a good stock to invest in. However, it’s important to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Other McGrath RentCorp and Herc Holdings Inc. Grades

In addition to Estimate Revisions, Momentum and Growth, A+ Investor also provides grades for Value and Quality.

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether McGrath RentCorp and Herc Holdings Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, McGrath RentCorp or Herc Holdings Inc. Stock?

Overall, McGrath RentCorp stock has a Growth Score of 82, Momentum Score of 34 and Estimate Revisions Score of 27.

Herc Holdings Inc. stock has a Growth Score of 69, Momentum Score of 43 and Estimate Revisions Score of 62.

Comparing McGrath RentCorp and Herc Holdings Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.