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Herc Holdings Inc. (HRI) Stock Verdict & Ratings | Investment Bastion

Stock Verdict·Updated 1d ago

Herc Holdings Inc.

HRIMarket cap $4.16BPrice $124.4

Country🇺🇸United States

SectorIndustrials

IndustryTrading & Distribution

Rents heavy equipment and trucks to construction, industrial, and disaster-recovery crews across North America. When hurricanes hit or highways need rebuilding, Herc's fleet of bulldozers and generators shows up before the cleanup crews do.

In Bastion Portfolios?

52W Return+0%Global Market +16%?

01Key Ratings

How does this stock score across Bastion factors?

Growth

Historical Revenue

Rev CAGR (3y)+17%9

Revenue Forecast

Rev CAGR (1y)+13%7

Rev CAGR (3y)+10%7

Rev CAGR (5y)+9%7

Earnings Forecast

EPS Growth Y+1-3%3

EPS Growth Y+2+59%9

EPS Growth Y+3+37%9

Quality

Margins

EBIT Margin13%5

Net Income Margin1%2

Free Cash Flow Margin8%5

Debt

Net Debt/EBITDA8.81

Efficiency

ROE3%2

ROA0%2

Earnings Stability77

GEAR+AVERAGE37

Overall rating across all five factors

Value

Price Multiples

P/E Ratio (Forward)146

P/E Ratio (Forward 3y)89

P/BV2.26

EV Multiples

EV/EBITDA Fwd79

EV/EBIT Fwd175

Yield

Free Cash Flow Yield8.8%9

Dividend Yield2.3%6

Momentum

Short term

1 month return-15%1

3 month return-11%3

YTD return-15%3

Mid term

Price vs 52wHigh67%3

1 year return+2%5

Long term

3 year return+21%4

5 year return-18%3

Risk Shield

Price Risk

Beta1.62

Volatility57%2

Free Cash Flow

Free Cash Flow Margin8%5

Free Cash Flow Yield8.8%9

Quality

ROCE5%3

Earnings Stability77

Net Debt/EBITDA8.81

02Growth

Is it actually growing, and how fast?

HRIHerc Holdings

Revenue FY25$3.4B

GROWTH RATING↗

STRONG70 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+17%9

Revenue, next 1Y+13%7

Revenue, next 3Y, CAGR+10%7

Revenue, next 5Y, CAGR+9%7

EARNINGS FORECAST▾SCORE

EPS growth, FY26E-3%3

EPS growth, FY27E+59%9

EPS growth, FY28E+37%9

GROWTH ASSESSMENT

STRENGTHS

It out-grows 70% of companies worldwide.

Revenue grew 17%/yr over the last 3 years, ahead of 80% of companies worldwide.9/10

Revenue is set to grow 10%/yr over the next 3 years, ahead of most of the market.7/10

The runway holds up: revenue is set to grow 9%/yr over five years.7/10

WATCH

Revenue grew 17%/yr over the last 3 years; forecasts see it cooling to 10%/yr.

Earnings are set to grow faster than sales (EPS about 37%/yr vs revenue 10%/yr), so margins should widen. One year dips: EPS falls 3% next year.

WEAKNESSES

None flagged.

BOTTOM LINE

Elite Compounder

A top-tier grower that is slowing. The one thing to watch: the pace is cooling.

03Price Momentum

Is the market behind it right now?

MOMENTUM RATING↗

VERY WEAK14 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-15%1

3-month return-11%3

YTD return-15%3

MID & LONG-TERM▾SCORE

% of 52-week high67%3

1-year return+2%5

3-year return+21%4

5-year return-18%3

MOMENTUM ASSESSMENT

STRENGTHS

None flagged.

WATCH

It's up 2% over the past year, but 33% below its 52-week high. That is a touch behind the market.

WEAKNESSES

Weak long-term results. It has been a disappointing long-term hold (+21% over three years and -18% over five), behind 60% of the market.

The stock is underperforming over the past month (-15%), over three months (-11%) and so far this year (-15%).

BOTTOM LINE

Falling Knife

Returns rank poorly over both the short and long run, and the price is still falling. Momentum is firmly negative — catching this is a bet against the tape, not with it. Wait for a base to form. The one thing to watch: the multi-year record is weak.

04Value

Are you paying a fair price for it?

Stop guessing on Herc Holdings Inc.. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

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Loading charts…

02Growth

Is it actually growing, and how fast?

HRIHerc Holdings

Revenue FY25$3.4B

GROWTH RATING↗

STRONG70 / 100

REVENUE GROWTH▾SCORE

Revenue, last 3Y, CAGR+17%9

Revenue, next 1Y+13%7

Revenue, next 3Y, CAGR+10%7

Revenue, next 5Y, CAGR+9%7

EARNINGS FORECAST▾SCORE

EPS growth, FY26E-3%3

EPS growth, FY27E+59%9

EPS growth, FY28E+37%9

GROWTH ASSESSMENT

STRENGTHS

It out-grows 70% of companies worldwide.

Revenue grew 17%/yr over the last 3 years, ahead of 80% of companies worldwide.9/10

Revenue is set to grow 10%/yr over the next 3 years, ahead of most of the market.7/10

The runway holds up: revenue is set to grow 9%/yr over five years.7/10

WATCH

Revenue grew 17%/yr over the last 3 years; forecasts see it cooling to 10%/yr.

Earnings are set to grow faster than sales (EPS about 37%/yr vs revenue 10%/yr), so margins should widen. One year dips: EPS falls 3% next year.

WEAKNESSES

None flagged.

BOTTOM LINE

Elite Compounder

A top-tier grower that is slowing. The one thing to watch: the pace is cooling.

03Price Momentum

Is the market behind it right now?

MOMENTUM RATING↗

VERY WEAK14 / 100

SHORT-TERM RETURNS▾SCORE

1-month return-15%1

3-month return-11%3

YTD return-15%3

MID & LONG-TERM▾SCORE

% of 52-week high67%3

1-year return+2%5

3-year return+21%4

5-year return-18%3

MOMENTUM ASSESSMENT

STRENGTHS

None flagged.

WATCH

It's up 2% over the past year, but 33% below its 52-week high. That is a touch behind the market.

WEAKNESSES

Weak long-term results. It has been a disappointing long-term hold (+21% over three years and -18% over five), behind 60% of the market.

The stock is underperforming over the past month (-15%), over three months (-11%) and so far this year (-15%).

BOTTOM LINE

Falling Knife

04Value

Are you paying a fair price for it?

Stop guessing on Herc Holdings Inc.. Get the full investment case.

Premium

$20.75/month

Billed annually at $249/year $348

✓
Stock VerdictValuation and investment strategy for 4,000+ stocks. Days of hedge fund analyst research, done in 2 minutes.
✓
RadarFind your next investment idea: top-ranked stocks across all 9 Bastion strategies.
✓
Portfolio ManagerCheck if Bastion algorithms added the stock you care about to their portfolios.

Secure via Stripe

Trusted by 1,000+ investors in our community