(HTZ) Hertz Global Holdings - Overview
Sector: Industrials | Industry: Rental & Leasing Services | Exchange: NASDAQ (USA) | Market Cap: 1.674m USD | Total Return: -19.4% in 12m
Avg Turnover: 41.8M
Qual. Beats: 0
Rev. Trend: -81.1%
Qual. Beats: 1
Warnings
Negative Equity with losses - insolvent profile
High Debt/EBITDA (8.3) with thin interest coverage (0.4)
High Debt while negative Cash Flow
Interest Coverage Ratio 0.4 is critical
Altman Z'' -0.87 < 1.0 - financial distress zone
Choppy Below Avwap Earnings
Tailwinds
No distinct edge detected
Hertz Global Holdings, Inc. (HTZ) is a major international vehicle rental provider operating primarily through its Americas RAC and International RAC segments. The company maintains a multi-brand strategy, utilizing the Hertz, Dollar, and Thrifty labels across a global network of corporate, licensee, and franchisee locations. Its revenue model encompasses short-term rentals, vehicle sales from its fleet, and the provision of supplemental value-added services.
The passenger ground transportation sector is characterized by high capital intensity, as firms must continuously manage the lifecycle of large vehicle fleets through strategic acquisition and timely liquidation. Hertz operates within a cyclical industry where demand is heavily influenced by broader trends in commercial travel and the global tourism market. For a deeper look at these fundamental drivers, consider reviewing the latest valuation metrics on ValueRay.
- Fleet depreciation costs and residual values impact bottom line profitability
- Electric vehicle maintenance expenses and repair costs pressure operating margins
- Global travel demand and airport passenger volume drive rental revenue
- Interest rate fluctuations influence fleet financing costs and debt servicing
- Used vehicle market pricing affects gains on fleet disposal strategies
| Net Income: -637.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.21 > 0.02 and ΔFCF/TA -12.64 > 1.0 |
| NWC/Revenue: -13.80% < 20% (prev -11.68%; Δ -2.12% < -1%) |
| CFO/TA 0.06 > 3% & CFO 1.39b > Net Income -637.0m |
| Net Debt (21.7b) to EBITDA (2.62b): 8.26 < 3 |
| Current Ratio: 0.75 > 1.5 & < 3 |
| Outstanding Shares: last quarter (314.0m) vs 12m ago 2.28% < -2% |
| Gross Margin: 12.81% > 18% (prev 0.04%; Δ 1.28k% > 0.5%) |
| Asset Turnover: 38.36% > 50% (prev 39.83%; Δ -1.47% > 0%) |
| Interest Coverage Ratio: 0.41 > 6 (EBITDA TTM 2.62b / Interest Expense TTM 1.09b) |
| A: -0.05 (Total Current Assets 3.53b - Total Current Liabilities 4.73b) / Total Assets 23.3b |
| B: -0.15 (Retained Earnings -3.58b / Total Assets 23.3b) |
| C: 0.02 (EBIT TTM 446.0m / Avg Total Assets 22.7b) |
| D: -0.16 (Book Value of Equity -3.81b / Total Liabilities 24.1b) |
| Altman-Z'' = -0.87 = CCC |
| DSRI: 0.92 (Receivables 1.12b/1.23b, Revenue 8.70b/8.78b) |
| GMI: 0.29 (GM 12.81% / 3.72%) |
| AQI: 0.75 (AQ_t 0.17 / AQ_t-1 0.22) |
| SGI: 0.99 (Revenue 8.70b / 8.78b) |
| TATA: -0.09 (NI -637.0m - CFO 1.39b) / TA 23.3b) |
| Beneish M = -3.98 (Cap -4..+1) = AAA |
As of May 30, 2026, the stock is trading at USD 5.40 with a total of 4,598,403 shares traded.
Over the past week, the price has changed by +6.72%,
over one month by -3.57%,
over three months by +18.94% and
over the past year by -19.40%.
Hertz Global Holdings has received a consensus analysts rating of 2.60. Therefore, it is recommended to hold HTZ.
- StrongBuy: 0
- Buy: 0
- Hold: 6
- Sell: 4
- StrongSell: 0
| Analysts Target Price | 4.6 | -14.1% |
P/E Forward = 11.7786
P/S = 0.1925
P/B = 0.5369
Revenue TTM = 8.70b USD
EBIT TTM = 446.0m USD
EBITDA TTM = 2.62b USD
Long Term Debt = 17.1b USD (from longTermDebt, last quarter)
Short Term Debt = 2.45b USD (from shortTermDebt, last quarter)
Debt = 22.9b USD (from shortLongTermDebtTotal, last quarter) + Leases 2.39b
Net Debt = 21.7b USD (calculated: Debt 22.9b - CCE 1.22b)
Enterprise Value = 23.3b USD (1.67b + Debt 22.9b - CCE 1.22b)
Interest Coverage Ratio = 0.41 (Ebit TTM 446.0m / Interest Expense TTM 1.09b)
EV/FCF = -4.80x (Enterprise Value 23.3b / FCF TTM -4.86b)
FCF Yield = -20.82% (FCF TTM -4.86b / Enterprise Value 23.3b)
FCF Margin = -55.86% (FCF TTM -4.86b / Revenue TTM 8.70b)
Net Margin = -7.33% (Net Income TTM -637.0m / Revenue TTM 8.70b)
Gross Margin = 12.81% ((Revenue TTM 8.70b - Cost of Revenue TTM 7.58b) / Revenue TTM)
Gross Margin QoQ = 8.78% (prev 4.29%)
Tobins Q-Ratio = 1.00 (Enterprise Value 23.3b / Total Assets 23.3b)
Interest Expense / Debt = 4.75% (Interest Expense 1.09b / Debt 22.9b)
Taxrate = 21.0% (US default 21%)
NOPAT = 352.3m (EBIT 446.0m * (1 - 21.00%))
Current Ratio = 0.75 (Total Current Assets 3.53b / Total Current Liabilities 4.73b)
Debt / Equity = -29.10 (negative equity) (Debt 22.9b / totalStockholderEquity, last quarter -786.0m)
Debt / EBITDA = 8.26 (Net Debt 21.7b / EBITDA 2.62b)
Debt / FCF = -4.46 (negative FCF - burning cash) (Net Debt 21.7b / FCF TTM -4.86b)
Total Stockholder Equity = -516.5m (last 4 quarters mean from totalStockholderEquity)
RoA = -2.81% (Net Income -637.0m / Total Assets 23.3b)
RoE = -20.78% (Net Income TTM -637.0m / Total Stockholder Equity 3.07b)
RoCE = 2.21% (EBIT 446.0m / Capital Employed (Equity 3.07b + L.T.Debt 17.1b))
RoIC = 1.68% (NOPAT 352.3m / Invested Capital 21.0b)
WACC = 4.12% (E(1.67b)/V(24.5b) * Re(9.15%) + D(22.9b)/V(24.5b) * Rd(4.75%) * (1-Tc(0.21)))
Discount Rate = 9.15% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 76.83 | Cagr: 1.15%
[DCF] Fair Price = unknown (Cash Flow -4.86b)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.0 | # QB: 0
Revenue Correlation: -81.12 | Revenue CAGR: -3.34% | SUE: 1.12 | # QB: 1
EPS current Quarter (2026-06-30): EPS=-0.22 | Chg30d=-50.21% | Revisions=-43% | Analysts=6
EPS next Quarter (2026-09-30): EPS=0.44 | Chg30d=+21.11% | Revisions=+43% | Analysts=5
EPS current Year (2026-12-31): EPS=-0.69 | Chg30d=-0.48% | Revisions=-11% | GrowthEPS=+66.2% | GrowthRev=+7.1%
EPS next Year (2027-12-31): EPS=0.31 | Chg30d=-1.89% | Revisions=+0% | GrowthEPS=+144.9% | GrowthRev=+3.1%
[Analyst] Revisions Ratio: -43%