|HRI Overview
HRI

HERC HOLDINGS INC

Technology • CIK: 0001364479

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Market Cap
$4.64B
P/E (TTM)
-1236.5x
Rev Growth (TTM)
+22.6%
Net Margin (TTM)
0.0%
FCF Yield (TTM)
20.0%
FCF Margin (TTM)
21.2%

LATEST EARNINGS

Q4 FY2025
16 days ago
View source
Revenue
$6.00M
Net Income
$24.00M
EPS
$0.72
Net
2.0% +6.8%
  • Record total revenues of $4,376 million, an increase of 23% year-over-year.
  • Record equipment rental revenue of $3,770 million, an increase of 18% year-over-year.
  • Integration of H&E acquisition is advancing with strong execution and run-rate cost synergies ahead of schedule.
  • Announced 2026 guidance for equipment rental revenue between $4.275 billion to $4.4 billion and Adjusted EBITDA between $2.0 billion to $2.1 billion.

Cash Flow Health

Free Cash Flow8/8 positive
TTM$928M
Q4 '25
$281M-11%
Q3 '25
$315M+62%
FCF Margin
TTM21.2%
Q4 '2523.2%-4%
Sector: 10.0%Top 25%
OCF Margin24.8%
OCF/NI1085.00x
CapEx Coverage6.9x
FCF Yield20.0%
FCF Growth (2Y)+5%
Cash Conversion Cycle
59 days
DSO: 59+DIO: DPO:

Capital Allocation & Returns

Growth Focused
Total Shareholder Yield
TTM1.9%
Div Yield1.9%

Prioritizing reinvestment over distributions

Dividend & Payout Metrics
Dividend Yield (TTM)1.9%
FCF Payout Ratio9.4%
Free Cash Flow (TTM)$928.0M
Stock Repurchases ()$0
Capital Return / FCF9.4%
Est. Dividends Paid (TTM)$87.0M
Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM
45.7%
Volatile
+0.1% YoY+7.4%
P25MedianP75
75th pctl (med: 0.1%)
DuPont BreakdownROIC = Margin × Turn × (1+D/E)
NOPAT Margin
87.1%
8Q: 69.0%
Asset Turnover
0.38x
8Q: 0.45x
Leverage (1+D/E)
5.12x
D/E: 4.12x
DuPont: 168.0%45.7% ROIC
Asset & CapEx Efficiency
Fixed Asset Turn
5.80x
8Q:6.45x
-151.4%
Invested Cap Turn
0.80x
8Q:1.27x
-81.1%
CapEx Intensity
2.9%
8Q:4.7%
Asset-based ROIC formula

QUARTERLY TRENDS

Last 8 quarters + TTM

MetricTTMQ4 2025Q3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
Revenue
$4.4B
$1.2B7.3%
$1.3B30.1%
$1.0B16.4%
$861.0M9.5%
$951.0M1.5%
$965.0M13.8%
$848.0M5.5%
$804.0M
Operating Income
$3.8B
$1.1B7.2%
$1.1B30.1%
$875.0M17.8%
$743.0M10.6%
$831.0M1.7%
$845.0M15.6%
$731.0M5.6%
$692.0M
Net Income
$1.0M
$24.0M20.0%
$30.0M185.7%
$-35.0M94.4%
$-18.0M60.9%
$-46.0M137.7%
$122.0M74.3%
$70.0M7.7%
$65.0M
Operating Cash Flow
$1.1B
$315.0M12.0%
$358.0M48.5%
$241.0M40.9%
$171.0M48.3%
$331.0M1.5%
$336.0M5.7%
$318.0M32.5%
$240.0M
Free Cash Flow
$928.0M
$281.0M10.8%
$315.0M62.4%
$194.0M40.6%
$138.0M53.5%
$297.0M6.1%
$280.0M1.1%
$277.0M31.9%
$210.0M
Total Equity
N/A

Valuation Analysis

Fair Value
Price-to-EarningsTTM
-1236.5x
Volatile
8Q: 45.6x+5429%
Valuation Lenses
Earnings
-1236.5x
vs sector
Cash Flow
12.1x
EV/FCF vs
Growth-Adj
PEG
N/A
Quality-Adj
P/E per %ROIC
ROIC: 45.7%
Shareholder Returns
Dividend
1.9%
Buyback
Total Yield
1.9%
Market Cap$4.64B
EV$11.21B
Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score
70/100
High Quality

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Below Avg
0.1%
8Q:
Return on Invested Capital (ROIC)Top 25%
45.7%
8Q:
+7.4%
vs Sector:0.1%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 87.1%
Asset Turnover: 0.38x

Earnings Quality

Cash Conversion

1085.00x

OCF / Net Income

FCF Consistency

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin

Capital Efficiency

Invested Capital Turnover0.80x

Working Capital

Cash Conversion Cycle59 days

Growth Quality & Momentum

Moderate Growth
Growth Quality Score
72/100
Growth 40%
Margins 30%
FCF 20%
Consistency 10%

Growth Rates

Revenue Growth YoY
22.6%
OpInc Growth YoY
27.1%
EPS Growth YoY
N/A
FCF 3Y CAGR
4.5%

Growth Quality Analysis

Working Capital Drag: FCF growth lagging revenue by 18.1%
Sustainability Index: 7.5/10 - Highly sustainable growth

Margin Quality & Sustainability

Low Quality
Profitability Cascade
Gross
Operating
87.1%
Top 25% in sector
Net
0.0%
Margins Unknown
Earnings Quality Signals
SBC / Revenue
FCF vs Net Gap
+21.2 pts
FCF: 21.2% | Net: 0.0%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Leveraged
Net Debt / EBITDA
Net Debt: $7.97B
Interest Coverage
Leverage Metrics
Debt-to-Equity
4.12x
Balance sheet risk & solvency analysis