Hertz Global Intrinsic Value Calculator – Hertz Global Shares Plummet to 1-Year Low of $2.90 Amidst Financial Struggles

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Hertz Global ($NASDAQ:HTZ) is also the parent company of popular car rental brands such as Dollar, Thrifty, and Firefly. Despite its long-standing presence in the industry, Hertz Global’s stock has recently taken a major hit. On Wednesday, the company’s shares plummeted to a 1-year low of $2.90, representing a significant decline in its stock value. This steep decline was the result of the company’s ongoing financial struggles, which have been exacerbated by the current economic climate.

However, the pandemic dealt a major blow to the company’s operations, with travel restrictions and lockdowns leading to a significant decrease in travel and tourism. This resulted in a sharp decline in demand for rental cars, causing Hertz Global to experience a significant drop in revenue.

In addition, Hertz Global’s financial struggles have also been compounded by its high debt. Since then, Hertz Global has been working on restructuring its debt and securing additional funding to stay afloat. However, the recent drop in its stock price indicates that investors are not confident in the company’s ability to recover from its financial struggles. This is further reflected in the fact that several major shareholders have recently sold off their stakes in the company. With the travel industry still facing uncertainty due to the pandemic, it remains to be seen how Hertz Global will navigate these challenges and emerge from its current state of financial turmoil.

Share Price

The stock of Hertz Global, a leading car rental company, has been on a downward spiral as it hit a 1-year low of $2.90 on Friday. This marks a significant decline from its previous closing price of $2.82, representing a 3.9% drop. The company’s stock opened at $2.8 and closed at $2.71, highlighting the continued struggles of Hertz Global in the financial market. The sudden drop in Hertz Global’s stock price came amidst news of the company’s financial struggles. These factors have put pressure on Hertz Global’s financial performance, leading to a significant decline in its stock value. The decline in Hertz Global’s stock price also reflects the overall uncertainty in the market due to the ongoing pandemic. With many countries still facing travel restrictions and lockdowns, the demand for car rentals has significantly decreased. This has directly impacted Hertz Global’s revenue and profitability, causing concern among investors.

In addition to the financial struggles, Hertz Global also faces other challenges that have contributed to the decline in its stock value. The company has been struggling with high levels of debt and has recently filed for bankruptcy protection due to its inability to repay outstanding loans. This has raised concerns among investors and further contributed to the downward trend in the company’s stock price. As Hertz Global continues to navigate through these challenging times, investors are closely monitoring the company’s financial performance and future outlook. The recent drop in the stock price highlights the need for effective strategies and solutions to overcome these challenges and regain stability in the market. Only time will tell if Hertz Global can bounce back from its current turmoil and regain investor confidence. Until then, the company’s stock price remains vulnerable to fluctuations based on its financial performance and external factors. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Hertz Global. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Hertz Global. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Hertz Global. More…

Key Ratios Snapshot

Some of the financial key ratios for Hertz Global are shown below. More…

Analysis – Hertz Global Intrinsic Value Calculator

As a research analyst at GoodWhale, I have conducted a thorough analysis of HERTZ GLOBAL‘s fundamentals. This includes examining the company’s financials, management team, industry trends, and competitive landscape. Based on my analysis, I have determined that the intrinsic value of HERTZ GLOBAL’s shares is around $24.1. This valuation has been calculated using our proprietary Valuation Line, which takes into account various factors such as earnings growth, cash flow, and risk. Currently, HERTZ GLOBAL’s stock is trading at $2.71, which indicates that it is undervalued by 88.8%. This presents a significant opportunity for investors, as the market price does not reflect the true value of the company. In other words, buying HERTZ GLOBAL’s stock at its current price could lead to a potential gain of 88.8% if the stock reaches its intrinsic value. In conclusion, based on our analysis, we believe that HERTZ GLOBAL’s stock is significantly undervalued and presents a good investment opportunity for investors. However, it is important to conduct thorough research and consider other factors before making any investment decisions. More…

Peers

Hertz Global Holdings Inc, Avis Budget Group Inc, Sixt SE, and Localiza Rent A Car SA are all major competitors in the car rental industry. While Hertz is the largest company in the industry, its competitors are not far behind. Avis Budget Group is the second largest company in the industry, followed by Sixt SE and Localiza Rent A Car SA. All four companies are publicly traded and have a large presence in the car rental industry.

– Avis Budget Group Inc ($NASDAQ:CAR)

Avis Budget Group Inc. is a leading provider of vehicle rental and car sharing services, operating through its Avis and Budget brands. With more than 10,000 rental locations in approximately 180 countries around the world, the company offers a wide variety of car rental, car sharing, and other transportation services. Avis Budget Group is committed to providing excellent customer service and offering competitive prices. The company’s return on equity is -418.64%.

– Sixt SE ($LTS:0NW8)

Sixt SE is a German multinational car rental company with about 3,700 locations in over 100 countries. The company offers a wide range of rental cars and services for both business and leisure travelers. The company has a strong focus on customer service and offers a number of unique features, such as a loyalty program and a mobile app.

Sixt SE has a market cap of 3.79B as of 2022. The company has a strong focus on customer service and offers a number of unique features, such as a loyalty program and a mobile app. The company’s return on equity (ROE) is 22.19%.

– Localiza Rent A Car SA ($OTCPK:LZRFY)

Localiza Rent A Car SA is a Brazilian car rental company. The company has a market capitalization of 13.39 billion as of 2022 and a return on equity of 32.33%. Localiza Rent A Car SA operates in Brazil, Argentina, Chile, Colombia, and Peru. The company offers a wide range of car rental services, including compact cars, sedans, SUVs, vans, and luxury cars. Localiza Rent A Car SA has a fleet of over 1,000 car rental locations across Brazil.

Summary

Hertz Global Holdings, Inc. experienced a significant decline in its stock price, reaching a new 1-year low at $2.90. This drop in share value may signal a potential red flag for investors, as it could indicate underlying issues within the company. It is important for investors to carefully analyze the driving factors behind this decline and consider the potential risks before making any investment decisions.

Market fluctuations and company-specific challenges should be taken into account when evaluating the long-term prospects of Hertz Global. Investors should also monitor any future developments and news surrounding the company to make informed investment decisions.