Overview

• Hertz shares rose 56% on Wednesday following Pershing Square's disclosure of a 4% direct stake, valued at $46.5 million, and a total economic exposure of 19.8%.
• Pershing Square utilized an SEC exemption to delay disclosure, enabling it to accumulate more shares and position itself as the second-largest shareholder.
• The hedge fund’s activist investment approach has boosted investor confidence in Hertz, which has faced significant losses from its electric vehicle strategy.
• Hertz reported a $2.9 billion loss in 2024 due to depreciation costs and the sell-off of its electric vehicle fleet, highlighting the need for a strategic overhaul.
• The stock rally reflects renewed optimism for operational improvements and potential strategic realignment under Pershing Square’s influence.