Herc (NYSE:HRI) Price Target Raised to $176.00

Herc (NYSE:HRI) had its price target lifted by BNP Paribas Exane from $165.00 to $176.00 in a research note published on Wednesday morning,Benzinga reports. The brokerage currently has a neutral rating on the transportation company’s stock.

A number of other equities research analysts have also recently issued reports on the stock. Zacks Research raised shares of Herc from a “hold” rating to a “strong-buy” rating in a research report on Monday, September 14th. Weiss Ratings reissued a “hold (c)” rating on shares of Herc in a research report on Monday. Citigroup reduced their target price on Herc from $175.00 to $150.00 and set a “buy” rating on the stock in a report on Monday, October 12th. KeyCorp increased their price objective on shares of Herc from $165.00 to $185.00 and gave the stock an “overweight” rating in a research note on Wednesday, July 29th. Finally, JPMorgan Chase & Co. raised shares of Herc from a “neutral” rating to an “overweight” rating and upped their price target for the stock from $165.00 to $175.00 in a report on Thursday, September 10th. One research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and two have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $201.57.

Herc Price Performance

Shares of NYSE HRI opened at $165.24 on Wednesday. The firm has a market cap of $5.53 billion, a P/E ratio of 22.83 and a beta of 2.04. The company has a current ratio of 1.08, a quick ratio of 1.10 and a debt-to-equity ratio of 4.08. Herc has a 1-year low of $88.45 and a 1-year high of $188.35. The business’s 50 day moving average is $139.30 and its 200-day moving average is $139.39.

Herc (NYSE:HRI) last released its quarterly earnings results on Tuesday, October 27th. The transportation company reported $3.91 earnings per share for the quarter, topping the consensus estimate of $2.92 by $0.99. The business had revenue of $1.36 billion during the quarter, compared to analysts’ expectations of $1.35 billion. Herc had a return on equity of 13.21% and a net margin of 2.50%. The firm’s revenue for the quarter was up 4.6% compared to the same quarter last year. During the same period last year, the firm posted $2.22 EPS. Equities research analysts predict that Herc will post 7.87 earnings per share for the current year.

Herc Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, September 16th. Shareholders of record on Wednesday, September 2nd were issued a $0.70 dividend. This represents a $2.80 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date of this dividend was Wednesday, September 2nd. Herc’s dividend payout ratio is presently 76.29%.

Institutional Trading of Herc

A number of hedge funds have recently made changes to their positions in HRI. Dimensional Fund Advisors LP increased its stake in Herc by 17.1% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,164,022 shares of the transportation company’s stock valued at $115,872,000 after purchasing an additional 170,189 shares in the last quarter. First Trust Advisors LP lifted its stake in shares of Herc by 13.4% in the first quarter. First Trust Advisors LP now owns 873,338 shares of the transportation company’s stock valued at $86,941,000 after buying an additional 103,047 shares in the last quarter. Bank of New York Mellon Corp bought a new position in shares of Herc in the second quarter valued at $86,054,000. Bank of America Corp DE lifted its stake in shares of Herc by 147.8% in the first quarter. Bank of America Corp DE now owns 235,320 shares of the transportation company’s stock valued at $23,426,000 after buying an additional 140,355 shares in the last quarter. Finally, Cooper Creek Partners Management LLC acquired a new position in shares of Herc during the first quarter valued at about $21,866,000. 93.11% of the stock is owned by institutional investors and hedge funds.

Herc News Summary

Here are the key news stories impacting Herc this week:

• Positive Sentiment: Strong earnings beat: Herc reported third-quarter adjusted earnings of $3.91 per share, well above the $2.92 analyst consensus. Revenue reached approximately $1.36 billion, up 4.6% year over year and slightly ahead of expectations. Why Herc Holdings Stock Surged This Week
• Positive Sentiment: Improved rental economics: Equipment rental revenue increased 12% despite fleet growth of less than 2%, indicating better utilization and operating efficiency. These results helped drive the stock’s recent gains. HRI Q3 Deep Dive
• Positive Sentiment: Favorable growth outlook: Expansion in specialty equipment and demand tied to large infrastructure and industrial projects are improving management’s outlook and could support future revenue and margins. HRI Q3 Deep Dive
• Positive Sentiment: Analyst support: Analysts at Robert W. Baird, JPMorgan, BNP Paribas Exane and Citigroup issued positive forecasts or indicated potential for further appreciation, reinforcing bullish sentiment. Baird Forecast
• Neutral Sentiment: Momentum remains strong: Zacks highlighted HRI as a strong momentum stock, while reports noted that it has outperformed many transportation-related peers. Momentum-based interest may continue attracting investors. Why Herc Is a Strong Momentum Stock
• Negative Sentiment: Profit-taking and financial risk: After rising substantially toward its 52-week high, HRI may face short-term selling pressure. Its elevated debt-to-equity ratio and relatively modest net margin remain risks, particularly if equipment demand or rental pricing weakens.

Herc Company Profile

Herc Holdings Inc, operating primarily through the Herc Rentals brand, is an equipment rental supplier serving construction, industrial, commercial and government customers. The company provides access to equipment and related services intended to help customers complete projects without purchasing and maintaining their own fleets.

Its rental fleet includes aerial work platforms, earthmoving equipment, material-handling equipment, trucks and trailers, power generation and climate-control equipment, pumps, and general tools.