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Does anything beat buy & hold on United Rentals (URI)?

Every setup we tested on United Rentals (URI) — ranked out-of-sample, corrected for multiple testing, and forward-tracked in public from the day this page published. The honest answer is the headline.

NOTHING BEAT BUY-AND-HOLD

No setup beat simply holding once tested honestly. We say so plainly.

Its best setup only beat buy-and-hold in one window — a regime artifact, not a strategy. Buy-and-hold benchmark: +16.1% CAGR over 28.6 years (+25.9% CAGR in the out-of-sample window).

Educational research from historical backtests — not investment advice. Past performance does not predict future results.

URI: we tested 756 setups and none beat simply holding United Rentals

For United Rentals (URI), we ran 756 indicator configurations against a plain buy-and-hold benchmark, and none of them earned the right to replace it. Individual stocks carry idiosyncratic risk — earnings surprises, guidance changes, sector rotation — that indicators built on price history cannot see coming. The best-looking setup, Zero-Lag LSMA on the weekly timeframe, ranked at the top in-sample but delivered an out-of-sample Sharpe of 1.14, short of our hurdle of 1.24. Buy-and-hold returned +16.1% annualized over the test period; the top strategies mostly captured pieces of that same move while adding trading friction.

How to read this honestly: when you test 756 setups and keep the best one, something will always look impressive by chance alone. That is why we require the survivor to clear 1.24 out of sample. Zero-Lag LSMA managed 1.14, with out-of-sample alpha of +7.1% across 8.6 years and 92 trades, and only 2.5% of everything we tested beat the benchmark on unseen data — roughly what luck would produce. None of this predicts anything: the regime that generated these numbers can shift, and single stocks shift faster than most. Treat this page as a record of what failed under honest testing, not a forecast.

Every figure above is computed from our own backtests — nothing is estimated or invented. Hypothetical results; not investment advice.

Failure exhibit

The least-bad setups — shown with their failure numbers

Nothing here earned a verdict — these are the best of a losing field, published so you can see exactly how "best" still failed.

#1 · Trend · Weekly

Zero-Lag LSMA

Mechanical rule (exactly as backtested): Lag-corrected Least Squares MA — long while price holds above the ZLSMA. Signals are evaluated at weekly-bar close, the position changes on the NEXT bar, 0.08% cost per side, long/flat only — no leverage, no shorting.

>+999%
Total return
0.45
Sharpe
-80.4%
Max DD
52.2%
Win rate
92
Trades
-5.7%
vs B&H

Out-of-sample (last ~30% of the window, never used to pick this setup): Sharpe 1.14 · alpha +7.1% · 29 trades over 8.6 yrs.

#2 · Trend · Daily

Holt Double-Exp MA

Mechanical rule (exactly as backtested): MA variant — Holt's level+trend smoother; long above a rising line. Signals are evaluated at daily-bar close, the position changes on the NEXT bar, 0.08% cost per side, long/flat only — no leverage, no shorting.

>+999%
Total return
0.7
Sharpe
-79.7%
Max DD
47.7%
Win rate
631
Trades
+1.6%
vs B&H

Out-of-sample (last ~30% of the window, never used to pick this setup): Sharpe 1.12 · alpha +3.5% · 182 trades over 8.5 yrs.

#3 · Trend · Daily

Least Squares MA

Mechanical rule (exactly as backtested): Long while price is above the Least Squares (linear-regression) Moving Average. Signals are evaluated at daily-bar close, the position changes on the NEXT bar, 0.08% cost per side, long/flat only — no leverage, no shorting.

>+999%
Total return
0.6
Sharpe
-79.2%
Max DD
46.5%
Win rate
565
Trades
-0.1%
vs B&H

Out-of-sample (last ~30% of the window, never used to pick this setup): Sharpe 1.05 · alpha +4.8% · 160 trades over 8.5 yrs.

Forward test

Since publication — including if it loses

0.0%
the published setup, since 2026-07-02 (0 market days)
0.0%
buy & hold, same window

The forward record is just getting started — the gap between the two is the honest score. Marked to market nightly from real prices, rules frozen at publication, as of 2026-06-29. Currently FLAT.

How this verdict was computed (mode: out-of-sample)

We tested 756 setups (indicator × parameters × timeframe) on United Rentals (URI). Only setups with ≥30 trades qualify (679 did). Setups are ranked by out-of-sample Sharpe — the last ~30% of history, which standard-parameter rules never saw during selection. Because picking the best of 756 tries mines even the holdout, the VALIDATED verdict additionally requires the top setup’s OOS Sharpe to clear a selection hurdle of 1.24 (√(2 ln N)/√T) AND positive alpha in both windows. Of the eligible setups, 2.5% had positive out-of-sample alpha (median OOS Sharpe 0.57) — the table below is truncated, but this summary covers all of them. Full recipe: methodology · the engine’s contract lives in the repo as STRATEGY_METHODOLOGY.md.

Ranked table

Top 20 of 679 eligible setups

Ranked by out-of-sample Sharpe. Full + out-of-sample columns, costs included. Hypothetical.

#SetupTFTotal retSharpeMax DDWinTradesα vs B&HOOS SharpeOOS αOOS trades
1Zero-Lag LSMAWeekly>+999%0.45-80.4%52.2%92-5.7%1.14+7.1%29
2Holt Double-Exp MADaily>+999%0.7-79.7%47.7%631+1.6%1.12+3.5%182
3Least Squares MADaily>+999%0.6-79.2%46.5%565-0.1%1.05+4.8%160
4FRAMA 30 TrendDaily>+999%0.7-67.7%44.8%747+2.3%1.03+1.8%219
5SMC: Order BlockDaily>+999%0.71-65.4%41.7%175+3.7%1.02+3.1%57
6Least Squares MAWeekly>+999%0.63-78.7%51.4%105+1.4%1.0+1.6%35
7Q-StickWeekly>+999%0.56-72.5%49.2%120-2.1%0.99+3.8%30
8CCI (50)Daily>+999%0.71-69.5%40.4%178+2.8%0.99+2.1%49
9Rainbow MAWeekly>+999%0.63-74.6%48.4%153+0.8%0.99+1.9%47
10VIDYADaily>+999%0.69-79.1%41.9%279+2.6%0.98+2.0%75
11Williams %R (7)Daily>+999%0.62-76.2%41.9%677+0.6%0.96+1.4%205
12MBFX TimingDaily>+999%0.62-76.2%41.9%677+0.6%0.96+1.4%205
13Bandpass OscillatorDaily>+999%0.46-89.0%47.4%340-5.8%0.96+0.3%102
14WMA 20/50 CrossDaily>+999%0.52-82.3%47.7%88-3.9%0.95+0.7%23
15Perfect Trend LineDaily>+999%0.61-74.6%42.8%823+0.1%0.94+0.2%241
16TEMA 100 TrendDaily>+999%0.73-52.9%44.1%263+1.7%0.94-2.8%83
17Arnaud Legoux MAWeekly>+999%0.46-79.2%45.0%131-5.9%0.93+0.6%38
18TEMA 10/30 CrossDaily>+999%0.6-68.4%47.1%278-0.4%0.93-0.7%87
19Donchian 20 BreakDaily>+999%0.55-79.7%50.0%80-2.9%0.93-1.1%24
20Elder-RayWeekly+99.2%0.26-53.3%56.5%92-13.7%0.93-13.5%28

Hypothetical backtests with 0.08%/side costs. Not investment advice — see the full disclaimer.

Read this before acting on anything

These are historical backtests of mechanical rules. They are educational research, not investment advice, not a recommendation, and not tailored to you. Educational information only — not investment advice. Hypothetical backtested results; past performance does not guarantee future results. Trading involves risk of loss.

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