Hertz Global Stock Rises 12.4% Since Q2 Earnings Release

Hertz Global Holdings, Inc.HTZ reported better-than-expected second-quarter 2026 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate.

Quarterly adjusted loss was 11 cents per share, narrower than the Zacks Consensus Estimate of a loss of 23 cents. The result represented a positive surprise of 52.2% and improved from the adjusted loss of 29 cents per share reported in the year-ago quarter.

Revenues of $2.40 billion beat the consensus estimate of $2.28 billion by 4.9% and increased 9.7% year over year. Growth was driven by strong pricing execution, with revenues per day up 9% and revenues per unit rose 8%, while the company operated with a 1% smaller fleet.

Hertz Global Holdings, Inc. Price, Consensus and EPS Surprise

Hertz Global Holdings, Inc. price-consensus-eps-surprise-chart | Hertz Global Holdings, Inc. Quote

The impressive results had a positive impact on the market, as the company’s shares have risen 12.4% since the earnings release on Aug. 6.

Image Source: Zacks Investment Research

Adjusted corporate EBITDA was $81 million, up $63 million from the prior-year quarter. Adjusted corporate EBITDA margin improved to 3.4% from 0.8% a year earlier. The results included an estimated $30 million EBITDA headwind from elevated vehicle recalls.

Direct vehicle and operating expenses increased 4.3% year over year to $1.45 billion. Net depreciation of revenue-earning vehicles and lease charges rose 17.3% to $487 million, while selling, general and administrative expenses increased 4.9% to $258 million. As a percentage of revenues, SG&A improved to 10.8% from 11.3%.

HTZ's Key Balance Sheet and Cash Flow Figures

HTZ exited the second quarter with total cash, cash equivalents and restricted cash and cash equivalents of $1.30 billion compared with $1.17 billion at the end of 2025. The company generated $381 million of net cash from operating activities and $162 million of adjusted free cash flow during the second quarter. Quarter-end liquidity was $984 million.

HTZ's 2026 Guidance

For the third quarter of 2026, Hertz expects adjusted corporate EBITDA of $275 million to $325 million and positive earnings per share. Transaction days are projected to increase approximately 1% year over year, while net depreciation per unit is expected to range from $285-$295 per month.

For full-year 2026, the company expects adjusted corporate EBITDA of $225 million to $275 million, net depreciation per unit of approximately $300 per month and transaction days growth of approximately 2%. Hertz expects to end 2026 with liquidity between $1.0 billion and $1.4 billion and anticipates positive free cash flow in the second half of the year.

Currently, HTZ has a Zacks Rank #4 (Sell). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Q2 Performances of Other Transportation Companies

Westinghouse Air Brake Technologies WAB, operating as Wabtec Corporation, reported encouraging second-quarter 2026 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate and increased year over year.

Quarterly adjusted earnings of $2.76 per share beat the Zacks Consensus Estimate of $2.63 by 4.9% and increased 21.6% year over year, owing to higher sales and operating margin expansion.

Revenues climbed 17.5% to $3.18 billion and surpassed the consensus mark of $3.08 billion by 3.2%.

United Airlines Holdings, Inc. UAL reported second-quarter 2026 adjusted earnings of $1.99 per share, down 48.6% year over year but above the Zacks Consensus Estimate of $1.92 by 3.7%.

Operating revenues rose 16% to $17.67 billion and were essentially in line with the $17.68 billion consensus mark. A 12.1% increase in total revenues per available seat mile or TRASM, and broad-based gains across premium, loyalty and cargo revenues, supported the top line despite sharply higher fuel costs.

Zacks' Research Chief Names "Stock Most Likely to Double"

Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.

This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research