Top 5 Rising Companies To Own For 2015

Top 5 Rising Companies To Own For 2015: Hertz Global Holdings Inc(HTZ)

Hertz Global Holdings, Inc., through its subsidiaries, engages in the car and equipment rental businesses worldwide. It operates in two segments, Car Rental and Equipment Rental. The Car Rental segment engages in the ownership and lease of cars. This segment operates car rental locations at or near airports, as well as in central business districts and suburban areas of cities in the United States, Canada, France, Germany, Italy, the United Kingdom, Spain, the Netherlands, Switzerland, Belgium, Luxembourg, the Czech Republic, the Slovak Republic, Australia, New Zealand, China, and Brazil. It also operates retail used car sales locations in the United States and France. The Equipment Rental segment rents earthmoving equipment, material handling equipment, aerial and electrical equipment, air compressors, generators, pumps, small tools, compaction equipment, and construction-related trucks. In addition, this segment sells new equipment, and consumables, such as gloves and ha rdhats. The company also offers claim administration services, such as investigating, evaluating, negotiating, and disposing of various claims, including third-party, first-party, bodily injury, property damage, general liability, and product liability. Hertz Global serves various industries, such as construction, petrochemical, automobile manufacturing, railroad, power generation, and shipbuilding. The company was founded in 1918 and is headquartered in Park Ridge, New Jersey.

Advisors' Opinion:

• [By Dan Dzombak]

  Icahn's newest position is Hertz Global (NYSE: HTZ  ) , which he first bought in the third quarter and subsequently enhanced so that he now holds a 10.8% stake in the car renter. Icahn purchased 49.3 million shares at an average price of $28.11 per share, making Hertz about a 3% position in his portfolio. The ! shares have been beaten down since the company fired its CEO and had to restate its financials dating back to 2011. The restatement is also freezing plans for Hertz to spin off its equipment rental business, which had boosted the stock last year. Like Icahn, Fool Special Situations Analyst Jim Royal sees opportunity in the stock.

• [By Ben Levisohn]

  Hertz Global (HTZ) appointed John Tague as its new CEO last night, a move that caught some investors by surprise because he’s an airline executive, not from the rental industry. MKM Partners’ Christopher Agnew discusses the implications:

  The Board favored the combination of Airline, revenue management/operational and merger integration experience over a candidate with car rental experience. John was Chairman and CEO of Cardinal Logistics Holdings (private), a leading transportation and logistics provider and private-equity backed company.

  Agnew lays out the positives for Hertz…

  (1) The announcement of a permanent CEO removes lingering uncertainty around the role for investors and the organization. (2) Brian MacDonald, who impressed in his short tenure as interim CEO, returns to focus on HERC which also needs strong leadership. (3) Hertz’s issues in 2014, in our view, highlight the dire need for improved revenue and yield management. Mr Tague’s background in revenue optimization at United Airlines (UAL) should be strongly suited to addressing this need. (4) John Tague’s experience with mergers is important for dealing with legacy issues around the Dollar Thrifty integration.

  …and the negatives:

  (1) The new CEO has no car rental experience. (2) Hertz issues are wide-ranging and pressing; important strategic issues need to be addressed as soon as possible. The new CEO will need to take time to get to grips with the industry and the company. (3) The ongoing financial review will limit investor interaction with the new CEO, who is little known by investors, fo! r an exte! nded period of time.

  Still, Agnew notes that another airline executive, Larry DeShon, who moved from United to Avis Budget (CAR) “made a very successful transition.”

  The market appears to like the choice. Shares of Hertz Global have gained 6.1% to $24.13 at 12:46 p.m. today, while Avis Budget has r

• [By Johanna Bennett]

  Hertz Global Holdings (HTZ) fell 4.58% after announcing Friday it would restate its results for 2012 and 2013 as the company continues investigating its financial statements dating back to 2011. The company previously said it would restate results for 2011 and revise results for 2012 and 2013. Hertz also announced changes to its rental-car fleet strategy and unveiled a $100 million cost-cutting plan.

• [By Nickey Friedman]

  As much as I'd love to analyze the earnings results and conference calls from different quarters of 2014, Hertz Global Holdings (NYSE: HTZ  ) still hasn't reported any. Normally, that in and of itself would be a red flag of epic proportions, but here are three basic reasons the stock price could still step on the gas and drive uphill anyway.

source from Top Stocks For 2015:http://www.topstocksblog.com/top-5-rising-companies-to-own-for-2015-2.html