Hertz Global (HTZ)
NASDAQ:HTZ
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Hertz Global
(NASDAQ:HTZ)
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Rating:49Neutral
Price Target:
$6.00
▼(-19.25% Downside)
Action:ReiteratedDate:05/09/26
The score is held down primarily by weak financial quality—negative equity, high leverage, ongoing net losses, and persistently negative free cash flow. Offsetting this are improving operating trends highlighted on the earnings call and a mixed-but-stabilizing technical setup, while valuation remains constrained by losses and no dividend support.
Positive Factors
Cash generation
Hertz’s trailing‑12‑month operating cash flow and positive free cash flow provide a durable liquidity cushion that supports fleet funding, working capital and reinvestment. Consistent cash generation reduces short‑term refinancing dependence and underpins operational continuity despite earnings volatility.
Negative Factors
High leverage and negative equity
Elevated net leverage and negative shareholders’ equity materially constrain financial flexibility. This structure raises refinancing risk, increases sensitivity to used‑vehicle markets and interest rates, and limits capacity for opportunistic investments or large new initiatives without incurring higher funding costs.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash generation
Hertz’s trailing‑12‑month operating cash flow and positive free cash flow provide a durable liquidity cushion that supports fleet funding, working capital and reinvestment. Consistent cash generation reduces short‑term refinancing dependence and underpins operational continuity despite earnings volatility.
Read all positive factors
Hertz Global (HTZ) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.89B
Dividend YieldN/A
Average Volume (3M)9.66M
Price to Earnings (P/E)―
Beta (1Y)0.69
Revenue Growth-0.99%
EPS Growth79.92%
CountryUS
Employees26,000
SectorIndustrials
Sector Strength72
IndustryRental & Leasing Services
Share Statistics
EPS (TTM)-2.04
Shares Outstanding312,360,700
10 Day Avg. Volume16,076,149
30 Day Avg. Volume9,664,290
Financial Highlights & Ratios
PEG Ratio0.03
Price to Book (P/B)-3.47
Price to Sales (P/S)0.19
P/FCF Ratio-0.18
Enterprise Value/Market Cap9.98
Enterprise Value/Revenue2.17
Enterprise Value/Gross Profit15.98
Enterprise Value/Ebitda7.81
Forecast
1Y Price Target
$4.30Price Target Upside-42.13% Downside
Rating ConsensusModerate Sell
Number of Analyst Covering6
EPS Forecast (FY)-0.69
Revenue Forecast (FY)$8.86B
Hertz Global Business Overview & Revenue Model
Company Description
Hertz Global Holdings, Inc. operates as a vehicle rental company. It operates through two segments, Americas Rental Car and International Rental Car. The company provides vehicle rental services under the Hertz, Dollar, and Thrifty brands from com...
How the Company Makes Money
Hertz makes money primarily by renting vehicles to customers and charging for associated products and services. Key revenue streams include: (1) Time-and-mileage rental charges: the core rental rate collected for vehicle use, typically priced by d...
Hertz Global Key Performance Indicators (KPIs)
Any
Income Before Taxes by Segment
Shows profitability across different business segments, highlighting which areas drive earnings and where there might be financial challenges.
Shows profitability across different business segments, highlighting which areas drive earnings and where there might be financial challenges.
Data provided by:
The Fly
The FlyHertz Global Earnings Call Summary
Earnings Call Date:May 07, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Aug 12, 2026
Earnings Call Sentiment Positive
Overall the call emphasizes materially improved top-line momentum, improving unit economics and strategic progress on building a mobility platform (Oro) while acknowledging significant near-term headwinds from elevated recalls, ongoing GAAP losses and a modest pullback in capacity guidance. The operational and commercial trends (double-digit revenue growth vs. recent years, RPD gains, improved adjusted EBITDA performance, partnerships and product launches) are substantial positives that management believes will drive continued progress, but meaningful execution risk remains in managing recalls, returning to sustained profitability and scaling new mobility businesses.Positive Updates
Strong Revenue Growth
Revenue of $2.0 billion in Q1 2026, up 11% year-over-year — the company's strongest year-over-year revenue growth in three years; sequential improvements in RPU and RPD throughout the quarter.
Negative Updates
Continued GAAP Losses and Negative Adjusted EBITDA
GAAP net loss of $333 million in Q1 2026; adjusted EBITDA remains negative $161 million (though improved), indicating the company has not yet reached sustained GAAP profitability.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong Revenue Growth
Revenue of $2.0 billion in Q1 2026, up 11% year-over-year — the company's strongest year-over-year revenue growth in three years; sequential improvements in RPU and RPD throughout the quarter.
Read all positive updates
Company Guidance
On guidance, Hertz said it still expects to hit full‑year EBITDA margin of about 3%–6% (and is targeting $1.0B EBITDA in 2027) while modestly dialing back capacity: days are now expected up mid‑single‑digits (vs. prior mid‑to‑high) and fleet up low‑single‑digits (vs. prior mid‑single‑digits), with DOE per day roughly flat year‑over‑year; for Q2 specifically they expect days down 2–3% YoY, fleet down 1–2%, RPD improvement greater than Q1 (Q1 RPD ~5–5.5%), Q2 EBITDA margin in the low‑to‑mid single digits, and net DPU “well below” $300/month in Q2 (full‑year net DPU expected below the $300/month North Star). For context Q1 metrics included $2.0B revenue (+11% YoY), adjusted EBITDA of –$161M (improved $141M YoY), adjusted net loss of –$224M (improved ~$105M YoY), adjusted DOE/day $38.43 (+1.7% YoY), gross depreciation per unit/month $296 (Q1 net DPU $312), recalls up ~300% (removing ~16,000 vehicles/month and reducing utilization ~200 bps), and liquidity of ~$837M at quarter‑end (plus $200M ABS in April) with ~<$1B expected end‑Q2 and >$1.5B expected year‑end.Hertz Global Financial Statement Overview
Summary
Income Statement
34
Negative
Balance Sheet
18
Very Negative
Cash Flow
27
Negative
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 8.70B | 8.50B | 9.05B | 9.37B | 8.69B | 7.34B |
| Gross Profit | 1.18B | 1.03B | 283.00M | 1.73B | 3.03B | 2.74B |
| EBITDA | 2.42B | 2.51B | 1.85B | 3.64B | 3.84B | 1.95B |
| Net Income | -637.00M | -747.00M | -2.86B | 616.00M | 2.06B | 366.00M |
Balance Sheet | ||||||
| Total Assets | 23.29B | 22.31B | 21.80B | 24.61B | 22.50B | 19.78B |
| Cash, Cash Equivalents and Short-Term Investments | 1.22B | 1.17B | 592.00M | 764.00M | 943.00M | 2.26B |
| Total Debt | 18.20B | 19.20B | 18.41B | 17.83B | 15.66B | 4.50B |
| Total Liabilities | 24.07B | 22.77B | 21.65B | 21.51B | 19.85B | 16.81B |
| Stockholders Equity | -786.00M | -459.00M | 153.00M | 3.09B | 2.65B | 2.98B |
Cash Flow | ||||||
| Free Cash Flow | -4.86B | -8.65B | -8.40B | -7.23B | -1.71B | -5.42B |
| Operating Cash Flow | 1.39B | 1.63B | 2.22B | 2.47B | 2.54B | 1.81B |
| Investing Cash Flow | -2.38B | -2.00B | -2.93B | -4.02B | -4.23B | -3.54B |
| Financing Cash Flow | 1.16B | 372.00M | 658.00M | 1.31B | 487.00M | 2.85B |
Hertz Global Technical Analysis
Positive
7.43
Price Trends
4.92
Positive
5.10
Positive
5.62
Positive
Market Momentum
0.69
Negative
75.63
Negative
84.12
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HTZ, the sentiment is Positive. The current price of 7.43 is above the 20-day moving average (MA) of 5.50, above the 50-day MA of 4.92, and above the 200-day MA of 5.62, indicating a bullish trend. The MACD of 0.69 indicates Negative momentum. The RSI at 75.63 is Negative, neither overbought nor oversold. The STOCH value of 84.12 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HTZ.
Hertz Global Risk Analysis
Hertz Global disclosed 50 risk factors in its most recent earnings report. Hertz Global reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Hertz Global Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $1.57B | 11.50 | 16.75% | 0.82% | 23.13% | 12.80% | |
73 Outperform | $2.82B | 25.10 | 12.84% | 1.79% | 3.14% | -34.73% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
57 Neutral | $5.09B | 27.93 | -7.11% | 1.44% | -4.12% | -487.73% | |
56 Neutral | $4.46B | -34.53 | -0.26% | 1.79% | 28.39% | -105.83% | |
49 Neutral | $1.89B | -1.09 | 193.77% | ― | -0.99% | 79.92% | |
46 Neutral | $5.15B | -4.55 | 22.83% | ― | 0.72% | 69.91% |
* Industrials Sector Average
HTZ
Hertz Global
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Hertz Global Corporate Events
Business Operations and StrategyPrivate Placements and Financing
Hertz Global Expands U.S. and European Fleet Financing Capacity
Positive
Apr 30, 2026
On April 24, 2026, Hertz Vehicle Financing III LLC, a special-purpose subsidiary of The Hertz Corporation, amended multiple U.S. securitization series to issue a new tranche of subordinated Class E fixed-rate rental car asset-backed notes totaling...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.