Â© Reuters. Hertz vs Avis Budget Group: Which rental car inventory is the best buy?
The rental car market has seen a significant rebound in demand this year. Leading players Budget Notice Group (NASDAQ 🙂 and Hertz (HTZ) should benefit from increased pricing power and demand. But let’s see which of those stocks is a better buy now. Avis Budget Group, Inc. (CAR) and Hertz Global Holdings (OTC :), Inc. (HTZ) are two leading rental and leasing service companies. . CAR provides luxury cars, specialty vehicles, light commercial vehicles and truck rentals, carsharing and ancillary services to businesses and consumers. It also offers optional insurance products and coverage, fuel service options, roadside assistance services and an online portal for business travel. HTZ provides vehicle rental services under the Hertz, Dollar and Thrifty brands from company owned, licensed and franchised locations internationally. It also sells vehicles and operates the Firefly car rental brand and Hertz 24/7 carsharing business in international markets.
Pandemic lockdowns and travel restrictions crushed demand in the car rental market last year, as the U.S. car rental industry’s revenues fell 27.4% d year on year in 2020. However, the industry recovered quickly this year, due to strong vaccination. driving, rising new car prices and a growing interest in sustainability. Rising energy prices and growing interest in electric vehicles are prompting car rental companies to add more battery-powered vehicles to their fleets, which in turn promotes long-term growth prospects. industry term. The global car rental market is expected to grow at a CAGR of 4.6% to reach $ 141.17 billion by 2028. Thus, CAR and HTZ are expected to benefit in the long term.
CAR is a winner with gains of 181.6% against HTZ’s 56.6% returns in terms of performance over the past three months. But which of these titles is the best choice now? Let us know.
Continue reading on StockNews
Fusion media or anyone involved with Fusion Media will not accept any responsibility for any loss or damage resulting from reliance on any information, including data, quotes, graphics and buy / sell signals contained in this website. Please be fully informed about the risks and costs associated with trading in the financial markets, it is one of the riskiest forms of investing possible.