Hertz Global Holdings
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Hertz Global Holdings beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share expanded.
Margins grew across the board.
Hertz Global Holdings notched revenue of $2.01 billion. The five analysts polled by S&P Capital IQ expected revenue of $1.99 billion on the same basis. GAAP reported sales were 9.7% higher than the prior-year quarter's $1.84 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.24. The six earnings estimates compiled by S&P Capital IQ forecast $0.21 per share on the same basis. GAAP EPS were $0.11 for Q4 against -$0.07 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 21.3%, 690 basis points better than the prior-year quarter. Operating margin was 12.9%, 490 basis points better than the prior-year quarter. Net margin was 2.3%, 390 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $1.94 billion. On the bottom line, the average EPS estimate is $0.04.
Next year's average estimate for revenue is $8.90 billion. The average EPS estimate is $1.25.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 171 members out of 252 rating the stock outperform, and 81 members rating it underperform. Among 68 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 56 give Hertz Global Holdings a green thumbs-up, and 12 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Hertz Global Holdings is buy, with an average price target of $20.60.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool owns shares of Hertz Global Holdings. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.