Hertz soars after Bill Ackman discloses stake

Rental car company Hertz jumped more than 20% after Bill Ackman’s investment firm Perishing Square announced a roughly 4% stake in the company.

Perishing Square bought 12.71 million shares of Hertz, valued at $46.5 million, according to regulatory filings submitted Wednesday. Even Avis, a Hertz competitor, rose 5% premarket on the news.

Hertz and other rental car companies rose after President Trump initially announced tariffs on the auto sector, threatening to raise car prices in the US. Trump has since dialed back those tariffs and suggested giving automakers some tariff relief.

Hertz stock has been slammed recently, having lost more than 80% of its value in the past five years. The company emerged from bankruptcy in 2021.

More Markets

See all Markets

Tasha Matsumoto

12h

Tech and finance lead sell-off as traders brace themselves for Nvidia earnings and the September jobs report

While speculative assets were hardest hit, all sector ETFs were trading lower except utilities.

NFC Playoffs: Chicago Bears Walter Payton (34) upset, sitting on sidelines bench after losing game vs Washington Redskins

Goldman: “We see three main areas of risk” for the market

If fresh data on the state of the US economy starts to confirm slowdown fears, buckle up.

Matt Phillips13h

Luke Kawa

16h

Assets tied to the riskiest parts of the market and the economy are getting dumped in unison

If you’re looking for things to worry about, this combination of risk appetite souring on thematic, volatile stocks at the same time as companies that are in the business of giving money to less creditworthy companies should probably be near the top of the list.

Max Knoblauch16h

Lucid continues its autumn rout, hitting a fresh all-time low following a price target cut by Stifel

It’s been a rough 48 days for luxury EV maker Lucid, which fell to a fresh all-time low on Monday following a price target cut by analysts at Stifel.

Stifel lowered its Lucid price target to $17, from $21, with analyst Stephen Gengaro writing that the company will likely require additional capital over the next few years. According to Stifel’s note, published Monday, Lucid’s production is improving but it’s still in the “prove-it-to-me” stage, and vehicles that could elevate sales volumes are “likely two years away.”

Last week, Lucid announced that it plans to raise $875 million through a private offering of convertible senior notes due in 2031. The company lowered its production outlook and reported negative free cash flow of $955 million in its third quarter.

Since the end of the EV tax credit on September 30 — which Lucid’s pricey vehicles only qualified for through leasing loopholes — its shares are down more than 40%. Zooming out, Lucid’s stock has shed 98% of its value from its 2021 highs amid peak electric vehicle optimism.

Dell dives on double downgrade from Morgan Stanley

JPMorgan analysts, on the other hand, have a much different view.

Matt Phillips17h

Latest Stories

Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate, including Robinhood Markets, Inc., Robinhood Financial LLC, Robinhood Securities, LLC, Robinhood Crypto, LLC, or Robinhood Money, LLC.