Custom Truck One Source, Inc. (CTOS) - Stock Analysis

Last updated: Jan 19, 2026

IndustrialsClosed

Research Idea

Research content for general circulation. Not individualized advice. Methodology & Disclosures

Custom Truck One Source (CTOS) reported 20.9% revenue growth, expanding EBITDA, and new product launches (Outback Series) with ongoing geographic expansion. The stock shows strong technical momentum (+10% gain in 3 weeks) and upcoming Q3 earnings on Oct 27 provide further catalysts.

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Idea window: 10/20/2025 – 10/27/2025Sector: Industrials

AI Analyst Overview

Last Price
$6.28
Market Cap
$1422.79
1D Return
-1.88%
YTD Return
+9.03%

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Valuation Metrics

P/E
-58.4
P/B
1.8
P/S
0.7
EV/EBITDA
9.2
Div Yield
—

Fundamental Analysis

4.0

Key Financial Insights: • High leverage • Tight liquidity • Positive EBITDA CTOS delivers stable margins and positive EBITDA from strong revenues but faces acute solvency and liquidity strain due to heavy debt, high interest and non‑cash charges, negative free cash flow, and shrinking cash balances.

Leverage
StableMargins

Price Behavior

6.0

Key Price Behavior Insights: • Firm support • Resistance cap • Gradual recovery Support Level: $5.80 Resistance Level: $6.40 CTOS has consolidated over the last month between a firm support near $5.80 and resistance around $6.40, showing gradual upside momentum but failing to break above $6.40 decisively.

Breakout
Breakdown

Sentiment & News

5.0

Key News Insights: • Institutional stake • Mixed sentiment • Valuation debate Institutional buying, mixed analyst ratings with a $7.13 consensus "Hold," and debate over possible undervaluation point to cautious optimism for CTOS.

SteadyInterest
ValuationDebate
AI

AI Summary

5.0
Neutral

CTOS has shifted from a steady deleveraging story to a capital‑intensive push to grow rental fleet and capture T&D tailwinds, so the investment decision hinges on whether incremental rental CapEx reliably converts into higher quarterly EBITDA and faster deleveraging without triggering liquidity stress. Monitor ROI on incremental fleet spend (EBITDA vs. CapEx), net leverage trajectory and ABL/cash runway as immediate go/no‑go indicators.

CapitalAllocation
LiquidityRisk
EBITDA
AI summary updated today

Description

Custom Truck One Source, Inc. supplies specialty equipment and related services to electric utility transmission and distribution, telecommunications, rail and other infrastructure industries across North America. The company operates three businesses—a rental fleet of specialty vehicles and heavy machinery, a new equipment sales unit that can configure units to customer specifications, and an aftermarket division that provides maintenance, repair and parts. Founded in 1988, the company changed its name from Nesco Holdings to Custom Truck One Source in April 2021 and is based in Kansas City, Missouri.

Idea History

DateCloseTickerCompanySummaryStatusP/L
Oct 20Oct 27CTOSCustom Truck One Source, Inc.
Custom Truck One Source (CTOS) reported 20.9% revenue growth, expanding EBITDA, and new product launches (Outback Series) with ongoing geographic expansion. The stock shows strong technical momentum (+10% gain in 3 weeks) and upcoming Q3 earnings on Oct 27 provide further catalysts.
Closed+2.4%
Research content for educational purposes only. Not investment advice. All decisions are your responsibility.