Hertz Global Holdings Inc

NASDAQ:HTZ

In the dynamic landscape of transportation, Hertz Global Holdings Inc. has carved a niche for itself as a leading name in car rental services. Tracing its origins back to 1918, the company started with a fleet of just a dozen Model T Fords. Over the decades, Hertz expanded its reach globally, establishing a ubiquitous presence at airports and metropolitan cities around the world. Its business model is straightforward yet effective: Hertz acquires vehicles in bulk from manufacturers, leveraging its purchasing power for significant discounts. These vehicles form the core of its rental fleets, which are offered to a variety of customer segments including business travelers, tourists, and corporate clients. Hertz generates revenue primarily through short-term rentals, but its operations extend beyond just renting out cars. It has developed a strong foothold in leasing and fleet management services, providing long-term vehicle solutions to businesses and government agencies. Furthermore, the company capitalizes on the resale of its rental vehicles through its direct-to-consumer Car Sales program, adding another revenue stream. The operational efficiency is key; maximizing vehicle utilization rates and optimizing the sell-off timing ensures Hertz maintains a steady pipeline of revenue across its business cycles. As the automotive and travel industries evolve, Hertz continues to innovate with initiatives in mobility solutions and ventures into electric vehicle rentals to align with sustainability trends.