Penn Capital Management Company LLC Purchases New Stake in Herc Holdings Inc. $HRI

Penn Capital Management Company LLC acquired a new position in shares of Herc Holdings Inc. (NYSE:HRI) during the second quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm acquired 146,723 shares of the transportation company’s stock, valued at approximately $21,070,000. Herc makes up 1.3% of Penn Capital Management Company LLC’s holdings, making the stock its 25th biggest holding.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in HRI. Norges Bank purchased a new stake in Herc in the 4th quarter valued at $287,269,000. Northwestern Mutual Wealth Management Co. raised its holdings in shares of Herc by 86,823.0% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,335,138 shares of the transportation company’s stock worth $198,108,000 after acquiring an additional 1,333,602 shares during the period. Bank of New York Mellon Corp purchased a new position in shares of Herc during the 2nd quarter worth $86,054,000. Freestone Grove Partners LP boosted its position in shares of Herc by 667.9% during the 4th quarter. Freestone Grove Partners LP now owns 573,149 shares of the transportation company’s stock valued at $85,044,000 after acquiring an additional 498,511 shares during the last quarter. Finally, Invesco Ltd. boosted its position in shares of Herc by 11.2% during the 3rd quarter. Invesco Ltd. now owns 4,123,437 shares of the transportation company’s stock valued at $481,040,000 after acquiring an additional 413,719 shares during the last quarter. Institutional investors and hedge funds own 93.11% of the company’s stock.

Analysts Set New Price Targets

Several research firms recently issued reports on HRI. KeyCorp raised their price objective on shares of Herc from $165.00 to $185.00 and gave the stock an “overweight” rating in a research report on Wednesday, July 29th. Zacks Research upgraded shares of Herc from a “strong sell” rating to a “hold” rating in a report on Tuesday, June 9th. Wells Fargo & Company increased their price target on shares of Herc from $176.00 to $218.00 and gave the company an “overweight” rating in a research note on Monday, August 17th. Weiss Ratings upgraded shares of Herc from a “sell (d+)” rating to a “hold (c)” rating in a report on Tuesday, July 28th. Finally, JPMorgan Chase & Co. lifted their price target on shares of Herc from $140.00 to $165.00 and gave the company a “neutral” rating in a research report on Monday, July 13th. Five equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $183.00.

Herc Trading Down 3.2%

NYSE HRI opened at $150.43 on Friday. The company has a debt-to-equity ratio of 4.22, a current ratio of 1.10 and a quick ratio of 1.10. The stock has a market capitalization of $5.03 billion, a P/E ratio of 102.33, a PEG ratio of 20.91 and a beta of 1.87. The firm’s 50-day moving average is $154.26 and its two-hundred day moving average is $137.48. Herc Holdings Inc. has a 12 month low of $88.45 and a 12 month high of $188.35.

Herc (NYSE:HRI) last announced its quarterly earnings results on Tuesday, July 28th. The transportation company reported $1.43 earnings per share for the quarter, beating analysts’ consensus estimates of $0.76 by $0.67. Herc had a net margin of 1.01% and a return on equity of 10.33%. The business had revenue of $1.20 billion during the quarter, compared to analysts’ expectations of $1.16 billion. During the same period last year, the business earned $1.87 earnings per share. The business’s revenue for the quarter was up 20.2% on a year-over-year basis. On average, sell-side analysts anticipate that Herc Holdings Inc. will post 6.93 earnings per share for the current year.

Herc Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, September 16th. Shareholders of record on Wednesday, September 2nd will be given a $0.70 dividend. The ex-dividend date of this dividend is Wednesday, September 2nd. This represents a $2.80 dividend on an annualized basis and a yield of 1.9%. Herc’s payout ratio is presently 190.48%.

Herc Company Profile

Herc Holdings Inc (NYSE: HRI) operates as a leading equipment rental provider in North America, offering a wide range of machinery and support services to construction, industrial, government and event sectors. The company’s fleet includes aerial work platforms, earthmoving equipment, material handling solutions, power generation units and specialty tools, enabling clients to scale their operations without the capital expense of ownership. In addition to basic machinery rentals, Herc provides value-added services such as equipment maintenance, on-site safety training and project consulting to help customers optimize productivity and maintain compliance with industry standards.

Founded as part of Hertz Global Holdings, the equipment rental business was spun off as an independent public company in early 2016.