If you’d looked at Hertz Global Holdings stock a year ago, you probably would’ve run the other way. Fast. It was a mess. Between the botched electric vehicle (EV) bet and a balance sheet that looked like a horror novel, investors weren't just skeptical—they were out.
But something shifted over the last few months.
Honestly, the narrative is changing. We're seeing a "back-to-basics" play that’s actually showing teeth. As of January 14, 2026, Hertz Global Holdings stock (HTZ) is hovering around $5.32. That’s a far cry from its 52-week high of $9.38, but it’s a massive jump from the $3.26 basement it hit during the darkest days of the fleet transition.
The EV Hangover and the Great Fleet Purge
Most people get the Hertz story wrong because they think it’s just about cars. It’s not. It’s about depreciation.
Hertz famously bet big on Tesla and other EVs under previous leadership. It was a disaster. Why? Because Tesla slashed prices on new cars, which absolutely nuked the resale value of Hertz's used fleet. In the rental world, if your assets lose value faster than you can rent them out, you're toast.
Enter Gil West. The CEO, who came from Delta and Cruise, didn't waste time. He initiated what basically amounted to a fire sale. Hertz has been dumping tens of thousands of EVs—over 30,000 in the last year alone—and pivoting back to high-margin gas and hybrid vehicles.
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The Numbers That Actually Matter
By the end of 2025, Hertz reported that 60% of its fleet was one year old or less. That’s huge. Newer cars mean lower maintenance costs and better resale value. In Q3 2025, the company finally clawed its way back to profitability with a net income of $184 million and an EPS of $0.42.
It was the first time they’d seen black ink in two years.
You've got to realize that the market is still punishing them for the past. But the underlying metrics—like 84% vehicle utilization and a massive reduction in depreciation per unit—suggest the "trash" phase might be over.
Why Hertz Global Holdings Stock is a Battleground
Wall Street is split down the middle on this one. It's a classic tug-of-war.
On one side, you have the bears. They look at the debt. And yeah, it’s a lot. We’re talking about a company with a negative stockholders' equity of roughly $317 million as of late 2025. They’re basically a giant pile of debt that happens to rent cars.
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On the other side, you have the contrarians.
The Ackman Effect and Analyst Shifts
In late 2025, prominent investor Bill Ackman caused a stir by highlighting a bullish outlook for the company on social media. Suddenly, people started looking at the Price-to-Sales (P/S) ratio. At 0.2x, Hertz is trading way below the industry average of 1.1x.
Basically, the market is pricing Hertz like it’s going out of business, even though it just turned a profit.
Susquehanna recently bumped their price target from $4 to $7. They aren't saying it’s a "strong buy" yet—most analysts are still parked at "hold"—but they’re acknowledging that the "strategic shift" is working.
The Risks: What Could Still Go Sideways?
Don't get it twisted; this isn't a "set it and forget it" investment. There are real traps here.
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- Interest Rates: Hertz lives and dies by its ability to finance its fleet. Even though they’ve extended their credit facilities to 2028, high rates eat their margins for breakfast.
- The Used Car Market: If used car prices crater across the board in 2026, the "Sell Right" part of their strategy fails.
- The EV Residuals: They still have some EVs left. If those continue to depreciate at record rates, it’s a constant drag on the balance sheet.
What Really Happens Next?
If you're watching Hertz Global Holdings stock, you aren't looking for a stable dividend play. You’re looking for a turnaround.
The company is leaning hard into digital. They’ve launched a fully online car-buying experience at HertzCarSales.com to bypass traditional auction losses. They’re using AI to handle 72% of customer service calls. They’re trimming the fat.
It’s a leaner, meaner version of the company that went bankrupt in 2020.
Actionable Insights for Investors
If you're thinking about moving on HTZ, keep these three things in your pocket:
- Watch the Earnings Call on February 12, 2026. Analysts are bracing for a seasonal loss (around -$0.52 EPS). If they beat that, the stock could pop. If they miss, expect the $5 support level to be tested.
- Monitor the DPU (Depreciation Per Unit). This is the "God Metric" for Hertz. If it stays below $300, the turnaround is real.
- Keep an eye on the "Short Float." With short interest sitting around 46%, any bit of surprisingly good news could trigger a short squeeze.
Hertz is no longer the "broken" company of 2024. It’s a high-risk, high-reward recovery play in a sector that most people find boring. But as we've seen, boring can be very profitable if you get the timing right.
Start by checking the company's Q4 2025 utilization rates when they drop in February. If utilization stays above 80% during the off-season, the management team is officially winning the operational war. From there, evaluate your risk tolerance; this is a stock for the patient, not the faint of heart.