Update shared on 05 Dec 2025
Analysts have slightly trimmed their price target on Hertz Global Holdings to reflect a modestly higher discount rate and a lower future earnings multiple, even as profit margin expectations have inched higher.
What's in the News
- The company reported that between July 1, 2025 and September 30, 2025, it repurchased zero shares under its existing authorization, leaving total completed buybacks at 66.7 million shares (19.34 percent of shares outstanding) for approximately $1.13 billion under the June 15, 2022 program (Key Developments).
- Hertz expects to receive a net settlement distribution of about $154.1 million around September 30, 2025 from its participation in the In re Automotive Parts Antitrust Litigation class action, following deductions for administrator fees from the gross $171.2 million award (Key Developments).
Valuation Changes
- Fair Value remains unchanged at approximately 4.39x, indicating no revision to the intrinsic value estimate.
- The Discount Rate has risen slightly from about 8.50 percent to 8.52 percent, reflecting a modestly higher perceived risk profile.
- Revenue Growth is effectively unchanged at roughly 2.92 percent, suggesting stable top line expectations.
- The Net Profit Margin has risen moderately from about 3.07 percent to 3.25 percent, pointing to improved profitability assumptions.
- The Future P/E has fallen slightly from around 6.43x to 6.06x, implying a modestly lower valuation multiple on projected earnings.
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