Herc Holdings, Inc. (HRI)

In June 2025, Herc Holdings completed its acquisition of H&E Equipment Services. In July 2025, the company sold its Cinelease studio entertainment business. Herc Holdings reported its third-quarter 2025 financial results on October 28, 2025, with total revenues up 35% and equipment rental revenue up 30% year-over-year; GAAP net income was $30 million, and adjusted diluted earnings per share were $2.22, a decrease of 40%. The company completed the full IT integration of the acquired H&E branches in Q3 2025. In December 2025, Herc Holdings declared a regular quarterly dividend of $0.70 per share and announced a proposed private offering of $1.2 billion in senior unsecured notes. KeyBanc upgraded HRI to 'Overweight' with a $200.00 price target, and Citigroup maintained a 'Buy' rating while raising its price target from $160.00 to $170.00 in December 2025. Wells Fargo initiated coverage with an 'Overweight' rating and a $170.00 price target in November 2025. JP Morgan maintained a 'Neutral' rating, raising its price target to $150.00, and Citigroup maintained a 'Buy' rating, raising its price target to $160.00 in October 2025. On January 13, 2026, Citigroup maintained its 'Buy' rating and further raised its price target to $195.00. The stock price experienced a decline of 20.23% between January 2, 2025, and December 31, 2025. The 52-week high for Herc Holdings stock was $212.19, and the 52-week low was $96.19.

The equipment rental market is cyclical and impacted by economic downturns, but Herc Holdings mitigates seasonality through a broad customer base, diversification into specialty solutions, and national accounts. The company's increasing presence in national accounts, mega-projects, and high-value-added specialty equipment provides a more stable revenue stream. However, Q3 2025 earnings were affected by high interest rates in local markets, and a labor strike impacted Herc's adjusted EBITDA margin, though the company later sold its Cinelease entertainment business.

Herc Holdings, Inc. is a full-service equipment rental company operating through its subsidiary, Herc Rentals Inc. It provides a comprehensive fleet of equipment and related services to a diverse customer base within the Industrials sector, specifically in the Equipment Rental and Leasing Services industry. The company offers a wide range of equipment, including aerial lifts, earthmoving equipment, and trucks, along with industry-specific solutions like power generation and climate control. Herc Holdings also provides professional-grade tools, sells used equipment, and offers repair, maintenance, and equipment management services.

Herc Holdings has an extensive geographic footprint across North America and Europe. As of September 30, 2025, it operated approximately 612 to 622 company-operated branches in the United States and Canada. The acquisition of H&E Equipment Services expanded its North American presence, giving Herc a leading position in 11 of the top 20 rental regions. The company focuses on building density in the top 100 U.S. metropolitan markets.

Herc Holdings has demonstrated a strong commitment to corporate citizenship and sustainability, releasing its 2025 Corporate Citizenship Report. The company was named one of Newsweek's Most Responsible Companies for the fourth consecutive year and earned Great Place to Work® certification for the second time. Herc Holdings received an EcoVadis Bronze Medal for quality in sustainability management and was recognized on USA Today's list of America's Climate Leaders for the third year. The company was also designated a Military Friendly® Employer for the 10th time. Herc Holdings reported a Total Recorded Incident Rate (TRIR) of 0.87, better than the industry's safety benchmark, and maintained strong employee metrics, with a low voluntary turnover rate and a best-in-class Employee Net Promoter Score (eNPS) of 40.

Approximately 78.03% of Herc Holdings Inc.'s stock is owned by institutional investors, with 2.20% held by insiders and 19.77% by public companies and individual investors. Major institutional owners include Invesco Ltd., Vanguard Group Inc., and BlackRock, Inc.