NYSE:HTZ

Stock Analysis Report

Executive Summary

Hertz Global Holdings, Inc., together with its subsidiaries, provides airport and off airport vehicle rental and leasing services.


Snowflake Analysis

Slightly overvalued with weak fundamentals.


Similar Companies

Share Price & News

How has Hertz Global Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: HTZ's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

2.7%

HTZ

0.1%

US Transportation

-1.1%

US Market


1 Year Return

5.0%

HTZ

11.3%

US Transportation

17.8%

US Market

Return vs Industry: HTZ underperformed the US Transportation industry which returned 10.8% over the past year.

Return vs Market: HTZ underperformed the US Market which returned 17.9% over the past year.


Shareholder returns

HTZIndustryMarket
7 Day2.7%0.1%-1.1%
30 Day24.6%1.6%1.5%
90 Day28.6%8.7%6.6%
1 Year15.2%5.0%13.4%11.3%20.2%17.8%
3 Year11.1%1.3%61.4%54.0%47.5%38.1%
5 Year-83.3%-94.3%63.3%30.6%71.2%52.4%

Price Volatility Vs. Market

How volatile is Hertz Global Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Hertz Global Holdings undervalued compared to its fair value and its price relative to the market?

8.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: HTZ ($20.25) is trading below our estimate of fair value ($22.17)

Significantly Below Fair Value: HTZ is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: HTZ is unprofitable, so we can't compare its PE Ratio to the Transportation industry average.

PE vs Market: HTZ is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate HTZ's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: HTZ is good value based on its PB Ratio (1.5x) compared to the US Transportation industry average (2.4x).


Next Steps

Future Growth

How is Hertz Global Holdings forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

2.8%

Forecasted annual revenue growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: Insufficient data to determine if HTZ's forecast earnings growth is above the savings rate (1.7%).

Earnings vs Market: Insufficient data to determine if HTZ's earnings are forecast to grow faster than the US market

High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: HTZ's revenue (2.8% per year) is forecast to grow slower than the US market (7.6% per year).

High Growth Revenue: HTZ's revenue (2.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: HTZ's Return on Equity is forecast to be low in 3 years time (12.8%).


Next Steps

Past Performance

How has Hertz Global Holdings performed over the past 5 years?

7.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: HTZ is currently unprofitable.

Growing Profit Margin: HTZ is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: HTZ is unprofitable, but has reduced losses over the past 5 years at a rate of 7% per year.

Accelerating Growth: Unable to compare HTZ's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: HTZ is unprofitable, making it difficult to compare its past year earnings growth to the Transportation industry (-14.1%).


Return on Equity

High ROE: HTZ has a negative Return on Equity (-1.86%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Hertz Global Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: HTZ's short term assets ($3.5B) do not cover its short term liabilities ($3.5B).

Long Term Liabilities: HTZ's short term assets ($3.5B) do not cover its long term liabilities ($20.1B).


Debt to Equity History and Analysis

Debt Level: HTZ's debt to equity ratio (907%) is considered high.

Reducing Debt: HTZ's debt to equity ratio has increased from 611.6% to 907% over the past 5 years.


Balance Sheet

Inventory Level: HTZ has a low level of unsold assets or inventory.

Debt Coverage by Assets: HTZ's debt is not covered by short term assets (assets are 0.2x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: HTZ has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if HTZ has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Hertz Global Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.6%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate HTZ's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate HTZ's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if HTZ's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if HTZ's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of HTZ's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.9yrs

Average management tenure


CEO

Kathy Marinello (63yo)

3.1yrs

Tenure

US$8,005,121

Compensation

Ms. Kathryn Vanstrom Marinello, also known as Kathy, has been the Chief Executive Officer, President and Director at Hertz Global Holdings, Inc. since January 3, 2017. Ms. Marinello has been the Chief Exec ...


CEO Compensation Analysis

Compensation vs Market: Kathy's total compensation ($USD8.01M) is above average for companies of similar size in the US market ($USD4.87M).

Compensation vs Earnings: Kathy's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Kathryn Marinello
President3.1yrsUS$8.01m0.11% $3.3m
Jamere Jackson
CFO & Executive VP1.4yrsUS$4.15m0.065% $1.9m
Jodi Allen
Executive VP & Chief Marketing Officer2.3yrsUS$1.54m0.0033% $96.1k
Murali Kuppuswamy
Executive VP & Chief Human Resources Officer2.4yrsUS$1.79m0.0066% $189.4k
Paul Stone
Executive VP & Chief Retail Operations Officer of North America1.9yrsUS$1.86m0.0071% $204.3k
Richard Esper
Senior VP & Chief Accounting Officer1.3yrsno data0.0026% $74.0k
Opal Perry
Executive VP & Chief Information Officer1.6yrsno data0.015% $439.8k
Leslie Hunziker
Senior Vice President of Investor Relations11.2yrsno datano data
M. Galainena
Executive VP0.8yrsno datano data
Robert Stuart
Executive Vice President of Global Sales0yrsUS$2.02mno data

1.9yrs

Average Tenure

51.5yo

Average Age

Experienced Management: HTZ's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Kathryn Marinello
President3.1yrsUS$8.01m0.11% $3.3m
Kevin Sheehan
Director1.5yrsUS$121.94k0.017% $495.9k
Daniel Ninivaggi
Independent Director3.7yrsUS$267.68k0.032% $922.7k
Vincent Intrieri
Independent Director3.7yrsUS$276.73k0.018% $529.0k
David Barnes
Independent Director3.7yrsUS$282.61k0.029% $841.2k
Henry Keizer
Independent Non-Executive Chairman3.1yrsUS$523.72k0.047% $1.3m
SungHwan Cho
Independent Director2.8yrsUS$247.19k0.025% $712.3k
Anindita Mukherjee
Independent Director1.8yrsUS$192.29k0.0095% $272.0k

3.1yrs

Average Tenure

62yo

Average Age

Experienced Board: HTZ's board of directors are considered experienced (3.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 24.7%.


Top Shareholders

Company Information

Hertz Global Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hertz Global Holdings, Inc.
  • Ticker: HTZ
  • Exchange: NYSE
  • Founded: 1918
  • Industry: Trucking
  • Sector: Transportation
  • Market Cap: US$2.878b
  • Shares outstanding: 142.12m
  • Website: https://www.hertz.com

Number of Employees


Location

  • Hertz Global Holdings, Inc.
  • 8501 Williams Road
  • Estero
  • Florida
  • 33928
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HRI *BMV (Bolsa Mexicana de Valores)USD0.01MXMXNNo data
H9B1DB (Deutsche Boerse AG)USD0.01DEEURNo data
HTZ *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNNov 2006
HTZNYSE (New York Stock Exchange)YesCommon StockUSUSDNov 2006
AZKDB (Deutsche Boerse AG)YesCommon StockDEEURNov 2006
0J4ZLSE (London Stock Exchange)YesCommon StockGBUSDNov 2006

Biography

Hertz Global Holdings, Inc., together with its subsidiaries, provides airport and off airport vehicle rental and leasing services. It operates through three segments: U.S. RAC, International RAC, and All Other Operations. The company provides its vehicle rental services under the Hertz, Dollar, Thrifty, Firefly, and Flexicar brands from approximately 10,200 corporate and franchisee locations in North America, Europe, Latin America, Africa, Asia, Australia, the Caribbean, the Middle East, and New Zealand. It rents vehicles on an hourly, daily, weekend, weekly, and monthly or multi-month basis. Hertz Global Holdings, Inc. also sells value-added products and services; and vehicles, as well as offers car and van membership sharing services. In addition, the company offers vehicle and lease financing; acquisition and remarketing; license, title, and registration; vehicle maintenance consultation; fuel, accident, and toll management; telematics-based location, and driver performance and scorecard reporting; and fleet management services. As of December 31, 2018, it operated a rental fleet of approximately 535,100 vehicles in the United States and 207,100 vehicles in international operations. The company serves corporate and leisure customers. Hertz Global Holdings, Inc. was founded in 1918 and is headquartered in Estero, Florida. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/24 02:59
End of Day Share Price2020/02/21 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.