Hertz Global (HTZ) is like that driver motoring down the highway with the ever-blinking turn signal. Those following along behind are left wondering if that turn will ever come.
Late Thursday, the care rental service reported better-than-expected third quarter earnings, fueled by improved prices for its rental cars, improved fleet costs and strong overseas profits. To MKM Partners analyst Christopher Agnew, who rates Hertz at a Buy with a $36 price target, these results confirm that the company has “turned a corner.”
Not everyone agrees. Shares of Hertz’s are falling today, dipping below $19 a share to continue a month-long downward slide that’s cut the stock price by 28% in that span.
For Credit Suisse’s Anjaneya Singh Hertz’s third quarter earnings beat came as a surprise. He rates Hertz at Underperform, with a $10 price target. That suggests the stock could fall more than 47% in the next year.
Morgan Stanley’s Adam Jonas, meanwhile, also maintained an Underweight rating, predicting steep declines ahead for Hertz, according to Theflyonethewall.com.
Now at $18.96, Hertz has fallen 5.2% in recent market action.