McGRATH RENTCORP

MGRC · Technology · $2.9B mkt cap · FY2025 filings · Narrow moat

Wonderful & reasonably priced

Narrow moat

The four filters

Pricing power70

Median gross margin 198.8% over 10y, variable.

Returns on capital80

Median ROIC 15.4%, above the 9% hurdle in 100% of years.

Balance-sheet safety42

Net debt/EBITDA n/ax, interest coverage 8x.

Capital discipline61

Owner earnings +8.1%/yr, share count growing (dilution).

Margin of safety

Above valueOn sale

22% below value

Owner earnings (normalized): $219.0M
Est. intrinsic value / share: $151.16
Recent price: $117.75
Discount to value: 22% below value

Conservative model: 9% discount rate, 3% assumed growth (capped at 4%), maintenance capex ≈ min(capex, D&A).

Moat Score history

Score history begins 2026-07-17. Check back as the record builds.

Scores are logged append-only and never overwritten — this record can't be backfilled, which is exactly why it's worth keeping.

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Scored from primary SEC filings via the public methodology. Educational only — not a recommendation to buy or sell MGRC. See the disclaimer.