In the current study, mechanical, thermal, thermo‐mechanical, and shape memory behavior of polyurethane/carbon nanotube nanocomposites were investigated, and also a modified Halpin‐Tsai equation was used for the first time to model shape recovery stress of these smart composites. Results showed that strength enhanced with the addition of MWCNTs and improved to a maximum value of 130% for PU‐1wt%CNTs. SEM micrographs were also used to prove the presence of agglomerates at higher CNT contents. By investigating thermogravimetry curves, it was concluded that the incorporation of carbon nanotubes transferred thermal degradation to a higher temperature. Storage modulus improved for nanocomposite samples which showed the reinforcing effect of CNTs on polyurethane. Memory behavior showed that recovery stress was increased for PU‐CNTs samples to a maximum value of 100% and not any harmful effect on shape recoveries observed. Finally, modified Halpin‐Tsai equation was obtained with the correction factor of K = exp(−1.79‐152Vf).