Morgan Stanley analyst Andrew Percoco lowered the price target on Hertz Global Holdings from $5 to $3 while maintaining a Hold rating. The cut reflects a sharp reduction in EBITDA estimates, with the 2026 adjusted EBITDA forecast lowered by 40% and the 2027 forecast by 17%. Higher depreciation per unit, driven by recent softness in the used car market, is squeezing profitability more than previously expected. Hertz shares declined roughly 62% last month to reach all-time lows, though the Street sees more than 143% upside from current levels.
Hertz Global Holdings IncMorgan Stanley lowered price target from $5 to $3 and cut EBITDA forecasts sharply due to higher depreciation from used car market softness.