The Hertz stock surge on Wednesday caught major attention as shares skyrocketed 56% to end the day at $5.71. This sharp rebound came shortly after billionaire investor Bill Ackman’s firm, Pershing Square, revealed it had taken a significant position in the struggling car rental company.
According to a regulatory filing, Pershing Square owned over 12.7 million Hertz shares by the end of Q4, translating to about a 4% stake. Although Hertz hasn’t publicly commented yet, the news gave investors a fresh reason to rally behind the stock.
Hertz stock surge driven by Pershing Square’s bet
The bold move by Ackman comes after a turbulent year for Hertz, which posted a staggering $2.86 billion loss in 2024. The company faced heavy setbacks, particularly from vehicle devaluation and its rocky attempt to electrify its fleet.
Despite the dramatic Hertz stock surge, shares remain down roughly 11% year-over-year, having lost nearly two-thirds of their value during 2024. Still, the latest momentum signals renewed hope in the company’s future direction.
Hertz stock as tech partnership gains spotlight
In a separate development on Wednesday, Hertz announced a collaboration with UVeye, a tech company known for its cutting-edge AI vehicle inspection systems. This move aims to modernize Hertz’s U.S. operations and could play a vital role in streamlining its fleet management going forward.
With Bill Ackman’s confidence and new tech innovations on the table, the Hertz stock surge may mark the beginning of a turnaround story for the rental car giant.
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Source: www.investopedia.com
