Herc Holdings Inc. $HRI Stock: Penn Capital Management Company LLC Grows Position

Key Points

• Penn Capital Management increased its Herc Holdings stake by 4.6% in the third quarter, ending the period with 153,511 shares valued at about $19.2 million. Institutional investors collectively own 93.11% of the company.
• Herc reported quarterly EPS of $3.91, beating the $2.92 consensus, while revenue of $1.36 billion slightly exceeded estimates and rose 4.6% year over year.
• Analysts’ consensus rating is “Moderate Buy,” with an average price target of $201.57; shares opened at $166.65 in the article’s report. The company’s annualized dividend is $2.80 per share, a 1.7% yield.

Penn Capital Management Company LLC raised its position in shares of Herc Holdings Inc. (NYSE:HRI - Free Report) by 4.6% in the third quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 153,511 shares of the transportation company's stock after purchasing an additional 6,788 shares during the period. Herc comprises 1.4% of Penn Capital Management Company LLC's portfolio, making the stock its 22nd biggest position. Penn Capital Management Company LLC owned 0.46% of Herc worth $19,193,000 at the end of the most recent reporting period.

Other hedge funds have also made changes to their positions in the company. Dimensional Fund Advisors LP raised its holdings in shares of Herc by 17.1% in the first quarter. Dimensional Fund Advisors LP now owns 1,164,022 shares of the transportation company's stock valued at $115,872,000 after acquiring an additional 170,189 shares in the last quarter. First Trust Advisors LP grew its holdings in Herc by 13.4% during the 1st quarter. First Trust Advisors LP now owns 873,338 shares of the transportation company's stock worth $86,941,000 after acquiring an additional 103,047 shares in the last quarter. Bank of New York Mellon Corp bought a new position in Herc during the 2nd quarter worth about $86,054,000. Allspring Global Investments Holdings LLC grew its holdings in Herc by 65.7% during the 3rd quarter. Allspring Global Investments Holdings LLC now owns 318,458 shares of the transportation company's stock worth $41,992,000 after acquiring an additional 126,263 shares in the last quarter. Finally, Bank of America Corp DE increased its position in Herc by 147.8% during the 1st quarter. Bank of America Corp DE now owns 235,320 shares of the transportation company's stock valued at $23,426,000 after purchasing an additional 140,355 shares during the period. 93.11% of the stock is currently owned by hedge funds and other institutional investors.

Herc Trading Up 9.7%

Shares of NYSE HRI opened at $166.65 on Tuesday. Herc Holdings Inc. has a 1-year low of $88.45 and a 1-year high of $188.35. The business has a fifty day moving average price of $139.86 and a 200 day moving average price of $139.42. The stock has a market capitalization of $5.58 billion, a P/E ratio of 45.41 and a beta of 1.99. The company has a debt-to-equity ratio of 4.08, a current ratio of 1.08 and a quick ratio of 1.08.

Herc (NYSE:HRI - Get Free Report) last posted its earnings results on Tuesday, October 27th. The transportation company reported $3.91 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.92 by $0.99. The company had revenue of $1.36 billion for the quarter, compared to analyst estimates of $1.35 billion. Herc had a return on equity of 13.21% and a net margin of 2.50%. The firm's quarterly revenue was up 4.6% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $2.22 earnings per share. Equities research analysts expect that Herc Holdings Inc. will post 7.87 EPS for the current fiscal year.

Herc Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Wednesday, September 16th. Stockholders of record on Wednesday, September 2nd were issued a $0.70 dividend. This represents a $2.80 dividend on an annualized basis and a dividend yield of 1.7%. The ex-dividend date was Wednesday, September 2nd. Herc's dividend payout ratio (DPR) is currently 76.29%.

Analysts Set New Price Targets

Several equities research analysts have recently commented on the stock. Barclays boosted their price target on shares of Herc from $175.00 to $200.00 and gave the company an "overweight" rating in a report on Wednesday, October 28th. Weiss Ratings reiterated a "hold (c)" rating on shares of Herc in a research note on Monday, October 26th. JPMorgan Chase & Co. increased their price objective on shares of Herc from $165.00 to $230.00 and gave the company an "overweight" rating in a research note on Wednesday, October 28th. Citigroup lifted their price objective on shares of Herc from $150.00 to $180.00 and gave the company a "buy" rating in a report on Wednesday, October 28th. Finally, Wells Fargo & Company boosted their price objective on shares of Herc from $176.00 to $200.00 and gave the stock an "overweight" rating in a research note on Wednesday, October 28th. One equities research analyst has rated the stock with a Strong Buy rating, six have given a Buy rating and two have given a Hold rating to the company's stock. According to data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and an average price target of $201.57.

About Herc

Herc Holdings Inc, operating as Herc Rentals, provides equipment rental and related services to customers in construction, industrial, infrastructure, government and other sectors. Its offerings include aerial work platforms, earthmoving and material-handling equipment, power-generation and climate-control systems, pumps, and tools and accessories.

The company also provides equipment sales, repair and maintenance, and specialized services such as trench shoring and remediation. Herc Rentals serves customers across the United States and Canada through its rental locations and service network.

Herc's roots are in Hertz Equipment Rental Corporation, which separated from Hertz Global Holdings in 2016 and became an independent publicly traded company.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.