Price to trailing twelve month operating cash flow for HRI is currently 0.85, higher than merely 9.06% of US stocks with positive operating cash flow.
For HRI, its debt to operating expenses ratio is greater than that reported by 88.56% of US equities we're observing.
Herc Holdings Inc's shareholder yield -- a measure of how much capital is returned to stockholders via dividends and buybacks -- is 30.33%, greater than the shareholder yield of 87.77% of stocks in our set.
Stocks with similar financial metrics, market capitalization, and price volatility to Herc Holdings Inc are HDSN, LAUR, TROX, TV, and PEIX.
HRI's SEC filings can be seen here. And to visit Herc Holdings Inc's official web site, go to ir.hercrentals.com.
Herc Rentals Inc. engages in the rental and lease of cars and trucks worldwide. It operates through four segments: U.S. Car Rental, International Car Rental, Worldwide Equipment Rental, and All Other Operations. The company rents various makes and models of cars, crossovers, and light trucks under the Hertz, Dollar, Thrifty, and Firefly car rental brands on hourly, daily, weekend, weekly, monthly, or multi-month basis through a network of company-owned rental airport and off-airport locations, as well as franchise locations. The company was founded in 1918 and is based in Estero, Florida.
HRI Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for HRI, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Herc Holdings Inc ranked in the 89th percentile in terms of potential gain offered. More precisely, our analysis suggests the stock is undervalued by approximately 1991.83% on a DCF basis. The most interesting components of our discounted cash flow analysis for Herc Holdings Inc ended up being:
20% of the company's capital comes from equity, which is greater than only 11.62% of stocks in our cash flow based forecasting set.
The business' balance sheet suggests that 80% of the company's capital is sourced from debt; this is greater than 88.34% of the free cash flow producing stocks we're observing.
As a business, Herc Holdings Inc experienced a tax rate of about 6% over the past twelve months; relative to its sector (Industrials), this tax rate is higher than only 23.62% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as HRI, try LTM, HEES, WLFC, WTTR, and USDP.