Global car rental company Hertz (NASDAQ: HTZ) will be reporting earnings this Thursday before the bell. Here’s what to look for.
Hertz beat analysts’ revenue expectations last quarter, reporting revenues of $2.03 billion, flat year on year. It was a slower quarter for the company, with a significant miss of analysts’ adjusted operating income estimates and a significant miss of analysts’ EPS estimates.
Is Hertz a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Hertz’s revenue to grow 4.3% year on year, a reversal from the 12.8% decrease it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Hertz has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Hertz’s peers in the ground transportation segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Heartland Express’s revenues decreased 19.7% year on year, beating analysts’ expectations by 2.6%, and Avis Budget Group reported revenues up 4.1%, topping estimates by 4.7%. Heartland Express traded up 12.5% following the results while Avis Budget Group’s stock price was unchanged.
Read our full analysis of Heartland Express’s results here and Avis Budget Group’s results here.
There has been positive sentiment among investors in the ground transportation segment, with share prices up 9.9% on average over the last month. Hertz is up 16.3% during the same time and is heading into earnings with an average analyst price target of $4.43 (compared to the current share price of $6.17).
ONE MORE THING: 3 Hidden Platforms Growing 3X Faster than Amazon, Google, and PayPal. Amazon, Google, and Meta all followed the same playbook: Dominate an ignored market. Build an unbeatable moat. Scale until you’re unstoppable.
These three platforms are running that exact playbook right now. The early investors in Amazon made fortunes. The early investors in these could do the same. Get All 3 Stocks Here for FREE.
