• Recently, Zacks highlighted Custom Truck One Source with a Zacks Rank #2 (Buy) and an A grade for value, pointing to attractive valuation metrics such as a favorable price‑to‑book ratio versus peers.
• This positive third‑party assessment underscores how Custom Truck One Source’s current earnings outlook and perceived undervaluation may be drawing renewed investor attention.
• Next, we’ll examine how this value-focused Zacks coverage might influence Custom Truck One Source’s existing investment narrative built around rental growth and leverage reduction.

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Custom Truck One Source Investment Narrative Recap

To own Custom Truck One Source, you need to believe in steady equipment rental demand from utility and infrastructure work, coupled with progress on cutting leverage and improving profitability. The recent Zacks value-focused upgrade mainly reinforces an existing view that the shares look inexpensive, but it does not materially change the key near term catalyst of balance sheet improvement or the main risk from still-elevated leverage in a higher rate setting.

The most relevant recent development alongside this Zacks recognition is management’s reaffirmed full year 2025 revenue guidance of US$1,970 million to US$2,060 million. That guidance sits in the background of the value case, since achieving it could support stronger rental economics and free cash flow, which in turn matter for reducing net leverage and easing pressure from interest costs if revenue momentum were to come under strain.

Yet against this improving story, investors should be aware that elevated net leverage and interest costs could quickly matter if revenue growth were to...

Custom Truck One Source's narrative projects $2.3 billion revenue and $28.6 million earnings by 2028. This assumes 6.6% yearly revenue growth and a $64.6 million earnings increase from -$36.0 million today.

Uncover how Custom Truck One Source's forecasts yield a $7.67 fair value, a 24% upside to its current price.

Exploring Other Perspectives

Two fair value estimates from the Simply Wall St Community cluster between US$6.00 and US$7.67 per share, underlining how differently individual investors can view the same numbers. You should weigh those views against the central risk that high leverage could strain earnings if demand or margins weaken, and then explore how that might affect your own expectations for Custom Truck One Source.

Explore 2 other fair value estimates on Custom Truck One Source - why the stock might be worth just $6.00!

Build Your Own Custom Truck One Source Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Custom Truck One Source research is our analysis highlighting 5 key rewards that could impact your investment decision.
• Our free Custom Truck One Source research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Custom Truck One Source's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.