Hertz Global Reduces Its Fiscal 2013 Outlook and 2 More Heavily Traded Stocks to Follow
Hertz Global Holdings Inc. (NYSE:HTZ): Current price $22.32
Thanks to weak volume trends in its biggest business segment, Hertz Global decreased its outlook for fiscal 2013, now guiding revenue between $10.8 billion and $10.9 billion range versus $10.85 billion to $10.95 billion guided previously. Adjusted pre-tax income is now anticipated in the range of $1.2 billion to $1.27 billion against $1.27 billion to $1.34 billion earlier. However, Hertz projects adjusted pre-tax income to increase by over 30 percent on a year-over-year basis. Lately, the firm’s Hertz brand in the domestic airport car rental market has been generating lower volumes, thus impacting revenue growth. Still, the weakness in volume trends is outweighed by strong pricing trends in the domestic airport car rental market.