In recent trading activity, Hertz (HTZ, Financial) experienced a significant increase in short interest, reaching an all-time high of 44% of free float. This comes after the stock briefly dipped to 38% earlier in the month. The days-to-cover ratio has improved slightly, decreasing from 14.3 to 13.5 due to increased trading volumes over the past ten sessions.
Hertz is currently embroiled in legal challenges concerning its stock buyback strategies. The company's stock received a temporary boost on March 27 following the revelation that CK Amarillo LP had acquired nearly a 60% stake. However, concerns about future demand in the travel sector and rising operational costs have begun to weigh on investor sentiment. Despite a 9% increase over the past week, Hertz shares faced profit-taking, dropping 6% on Friday.
Meanwhile, other companies like B. Riley (RILY) and Frontier Group (ULCC) also saw notable shifts in their short interest positions. B. Riley's short interest climbed to 54.7%, affecting the stock's performance due to compliance issues and impairment charges. Frontier Group’s short interest increased to over 29%, reflecting industry-wide cautious forecasts and a projected Q1 net loss.
Westrock Coffee (WEST) experienced a jump in short interest, reaching 46.5%, as volatility in the broader market influenced trading. Despite recent Q4 losses, the company expects growth in volume for the rest of the year.
In contrast, Lovesac (LOVE) saw a decline in short interest, falling to 25.4% following better-than-expected Q4 earnings. The company's positive outlook supports its stock rebound, though it has not entirely recouped earlier losses this year.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 7 analysts, the average target price for Hertz Global Holdings Inc (HTZ, Financial) is $3.39 with a high estimate of $4.45 and a low estimate of $3.00. The average target implies an downside of 12.44% from the current price of $3.88. More detailed estimate data can be found on the Hertz Global Holdings Inc (HTZ) Forecast page.
Based on the consensus recommendation from 10 brokerage firms, Hertz Global Holdings Inc's (HTZ, Financial) average brokerage recommendation is currently 3.4, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Hertz Global Holdings Inc (HTZ, Financial) in one year is $19.54, suggesting a upside of 404.26% from the current price of $3.875. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Hertz Global Holdings Inc (HTZ) Summary page.
