Herc (NYSE:HRI) Stock Price Expected to Rise, Citigroup Analyst Says

Key Points

• Citigroup raised Herc’s price target from $150 to $180 and maintained a “buy” rating, implying 8.65% upside from the prior close. Analysts overall rate the stock “Moderate Buy,” with an average target of $201.57.
• Herc shares rose 6.2% to $165.68 after the company reported quarterly EPS of $3.91, well above the $2.92 consensus estimate, while revenue increased 4.6% year over year to $1.36 billion.
• Despite strong earnings momentum and multiple analyst target increases, high leverage remains a risk; Herc has a debt-to-equity ratio of 4.22, which could limit financial flexibility if rental demand weakens.

Herc (NYSE:HRI - Get Free Report) had its price objective increased by research analysts at Citigroup from $150.00 to $180.00 in a report issued on Wednesday, Benzinga reports. The firm presently has a "buy" rating on the transportation company's stock. Citigroup's price target would suggest a potential upside of 8.65% from the company's previous close.

HRI has been the topic of a number of other reports. Robert W. Baird raised their target price on shares of Herc from $220.00 to $240.00 and gave the company an "outperform" rating in a research note on Wednesday. BNP Paribas Exane boosted their price target on shares of Herc from $165.00 to $176.00 and gave the stock a "neutral" rating in a research note on Wednesday. Zacks Research raised shares of Herc from a "hold" rating to a "strong-buy" rating in a report on Monday, September 14th. Weiss Ratings reissued a "hold (c)" rating on shares of Herc in a report on Monday. Finally, Wells Fargo & Company raised their price objective on shares of Herc from $176.00 to $200.00 and gave the company an "overweight" rating in a research report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating and two have issued a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $201.57.

Herc Stock Up 6.2%

Shares of NYSE HRI traded up $9.62 during mid-day trading on Wednesday, reaching $165.68. 1,514,504 shares of the company's stock traded hands, compared to its average volume of 620,149. The company has a debt-to-equity ratio of 4.22, a current ratio of 1.10 and a quick ratio of 1.10. The business has a 50-day simple moving average of $139.13 and a 200 day simple moving average of $139.38. The stock has a market cap of $5.54 billion, a P/E ratio of 112.70 and a beta of 2.04. Herc has a 1-year low of $88.45 and a 1-year high of $188.35.

Herc (NYSE:HRI - Get Free Report) last posted its earnings results on Tuesday, October 27th. The transportation company reported $3.91 earnings per share for the quarter, topping analysts' consensus estimates of $2.92 by $0.99. Herc had a net margin of 1.01% and a return on equity of 10.33%. The company had revenue of $1.36 billion for the quarter, compared to analyst estimates of $1.35 billion. During the same quarter in the prior year, the business posted $2.22 EPS. The firm's revenue was up 4.6% compared to the same quarter last year. On average, analysts expect that Herc will post 7.30 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the business. State of Wyoming boosted its position in Herc by 21.0% in the first quarter. State of Wyoming now owns 616 shares of the transportation company's stock valued at $61,000 after buying an additional 107 shares during the last quarter. HighTower Advisors LLC raised its position in shares of Herc by 4.1% in the second quarter. HighTower Advisors LLC now owns 3,386 shares of the transportation company's stock valued at $485,000 after buying an additional 134 shares during the last quarter. Blue Zone Wealth Advisors LLC lifted its stake in shares of Herc by 0.3% in the third quarter. Blue Zone Wealth Advisors LLC now owns 41,732 shares of the transportation company's stock worth $5,208,000 after buying an additional 142 shares in the last quarter. Swiss National Bank lifted its stake in shares of Herc by 0.3% in the first quarter. Swiss National Bank now owns 62,557 shares of the transportation company's stock worth $6,228,000 after buying an additional 200 shares in the last quarter. Finally, NewEdge Advisors LLC lifted its stake in shares of Herc by 61.4% in the first quarter. NewEdge Advisors LLC now owns 694 shares of the transportation company's stock worth $69,000 after buying an additional 264 shares in the last quarter. Hedge funds and other institutional investors own 93.11% of the company's stock.

Key Headlines Impacting Herc

Here are the key news stories impacting Herc this week:

• Positive Sentiment: Strong Q3 earnings: Herc reported adjusted earnings of $3.91 per share, well above the $2.92–$3.08 analyst estimates and up from $2.22 a year earlier. Revenue reached $1.36 billion, slightly exceeding expectations and rising 4.6% year over year. Equipment-rental revenue increased 12%. Herc Holdings Reports Third Quarter 2026 Results and Increases 2026 Full-Year Guidance
• Positive Sentiment: Guidance and acquisition execution: Management increased its 2026 full-year guidance, while analysts highlighted improving profitability and synergies from the H&E acquisition. The stronger outlook indicates demand for rental equipment is accelerating and that Herc’s expanded scale may be producing cost benefits. Herc Holdings jumps as earnings beat estimates, outlook rises
• Positive Sentiment: Analyst upgrades: JPMorgan raised its price target from $165 to $230 and assigned an “overweight” rating. Robert W. Baird lifted its target from $220 to $240 and retained an “outperform” rating. BNP Paribas Exane raised its target to $176 but remained “neutral,” signaling more limited near-term upside from that firm.
• Positive Sentiment: Technical momentum: The stock moved above its 200-day moving average, a development that can attract momentum-oriented investors and reinforce the positive reaction to the earnings report. Herc Shares Break Above 200-Day Moving Average
• Neutral Sentiment: Herc will participate in the Baird 2026 Global Industrial Conference on November 10, giving investors another opportunity to hear management discuss demand, integration and financial priorities. Herc to Participate in the Baird 2026 Global Industrial Conference
• Negative Sentiment: Leverage remains a risk: Herc’s debt load and high debt-to-equity ratio could constrain flexibility, particularly if rental demand weakens or integration costs remain elevated. Some coverage also noted that portions of the full-year sales outlook remained below expectations, tempering the otherwise strong earnings reaction.

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.

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