Hertz Loses 70% of value this year

I hav not ver looked at the stock of Hertz, but I heard today that the shares have crashed 70% this year. What gives? One would think that is a steady and staid business. I am making a presumption here, correct me if I am wrong on this one, because perhaps there is fraud, corruption, or incompetence, but is this not another victim of technological disruption? Uber?

As a traveller, one often need not suffer cabs anymore, and can use the much more responsive Uber. I know a date of mine, after midnight, from the parking lot (inside my car), pulled out her phone, hit the Uber app. I’m like no biggie right. The dang Uber got there in less than 5 minutes!

Like friggin eh! But such is life in the Uberized world. Are companies like rental cars being disrupted as well? If so, we need to think broader about where this is all going investment opportunity wise.

Tinker
P.S. I did buy some TWLO today. Conventional wisdom has it market crashes if Trump wins, rallies if Clinton. In the end, it won’t matter either way, it will all come back to where it was anyways. Seen it too many times.

I am just deciding to live my life. I am making monthly contributions, buying, holding, following as I enjoy to, ignoring all the hype and fear, and see how it goes. So not looking to buy bottoms an sell tops, but who knows in the future, perhaps, but not today.

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But such is life in the Uberized world. Are companies like rental cars being disrupted as well? If so, we need to think broader about where this is all going investment opportunity wise.

I haven’t been following rental car company stocks, but you make a good point. When I travel (and I travel a lot!) I typically rent a car, but the last several times, I’ve relied upon Uber instead, with good results.

There are other areas we should also think about, such as good solid companies like Starbucks potentially losing foot traffic because people don’t go out as much anymore, i.e. they can stay at home and order almost anything on-line without leaving the house.

The concern for me is that it seems to me that technology is changing everything, yet I’ve had mixed results at best investing in tech companies. Competition seems to spring up fairly easily.

But I do agree with you that we need to think broader about where this, and more, is all going investment opportunity wise.

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I hav not ver looked at the stock of Hertz, but I heard today that the shares have crashed 70% this year. What gives?

Private equity massaged it!

Hertz IPO is latest private-equity flotation

Less than a year after private equity funds bought Hertz Global Holdings Inc. (HTZ.N), the world’s largest car rental company is on track for one of the largest U.S. stock flotations of the year.

http://www.reuters.com/article/us-markets-stocks-ipos-idUSN1…

https://ca.finance.yahoo.com/q/bc?s=HTZ&t=6m

Denny Schlesinger