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Herc HoldingsHRI -0.40%86 EV-to-EBITDA is 9.06 as of Jul. 26, 2026, which is 39% above its 10-year median of 6.52. GuruFocus rates HRI with a GF Score™ of 86/100 and a GF Value™ of $169.04 (Fairly Valued). The stock has 12 warning signs investors should review. Among 904 Business Services companies, Herc Holdings ranks worse than 58.52% on this metric.
EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Herc Holdings's enterprise value is $15,029 Mil.
Herc Holdings's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 was $1,658 Mil. Therefore, Herc Holdings's EV-to-EBITDA for today is 9.06.
The historical rank and industry rank for Herc Holdings's EV-to-EBITDA or its related term are showing as below:
HRI'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 4.25 Med: 6.52 Max: 11.8
Current: 9.06
During the past 13 years, the highest EV-to-EBITDA of Herc Holdings was 11.80. The lowest was 4.25. And the median was 6.52.
HRI's EV-to-EBITDA is ranked worse than 58.52% of 904
companies
in the Business Services industry
Industry Median: 7.73
vs HRI: 9.06
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).
Herc Holdings (NYSE:HRI) EV-to-EBITDA Explanation
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Herc Holdings's PE Ratio (TTM) for today is calculated as:
Herc Holdings's share price for today is $162.59.
Herc Holdings's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $-0.270.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).
The historical data trend for Herc Holdings's EV-to-EBITDA can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Rental & Leasing Services subindustry, Herc Holdings's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Herc Holdings EV-to-EBITDA vs Business Services Industry
For the Business Services industry and Industrials sector, Herc Holdings's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Herc Holdings's EV-to-EBITDA falls into.
Herc Holdings's current Enterprise Value is $15,029 Mil.
Herc Holdings's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,658 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Herc Holdings (HRI) has a EV-to-EBITDA of 9.06 as of Jul. 26, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Herc Holdings. This is 39% above median its historical median of 6.52. Over the past decade, Herc Holdings' EV-to-EBITDA has ranged from 4.25 to 11.80. According to the industry distribution chart, Herc Holdings ranks #529 out of 904 companies in the Business Services industry, placing it in the top 58.5%.
Is Herc Holdings' EV-to-EBITDA too high?
Herc Holdings' current EV-to-EBITDA of 9.06 is 39% above median its 10-year median of 6.52. Over the past 10 years, this metric has ranged from a low of 4.25 to a high of 11.80. The Business Services industry median EV-to-EBITDA is 7.73. Herc Holdings' value of 9.06 is 17.2% above this industry median. Based on the distribution chart, Herc Holdings ranks #529 out of 904 companies in the Business Services industry, which is below the industry midpoint. Overall, Herc Holdings has a GF Score™ of 86/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Herc Holdings' EV-to-EBITDA compare to EQPT and WSC?
According to the Business Services industry distribution chart, Herc Holdings ranks #529 out of 904 companies for EV-to-EBITDA. This places Herc Holdings in the lower half of its industry. The industry median EV-to-EBITDA is 7.73. Herc Holdings' value of 9.06 is 17.2% above this benchmark. Historically, Herc Holdings' own EV-to-EBITDA has ranged from 4.25 to 11.80 over the past decade. While the company's 10-year median is 6.52 vs. the industry median of 7.73, Herc Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBITDA for a Business Services company?
The median EV-to-EBITDA among Business Services companies is 7.73, based on 904 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Herc Holdings's current EV-to-EBITDA of 9.06 is 17.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Herc Holdings. For the Business Services industry, the median EV-to-EBITDA is 7.73 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Herc Holdings's current EV-to-EBITDA is 9.06, which is 39% above median its own 10-year median of 6.52. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Herc Holdings stock overvalued right now?
Based on GuruFocus' analysis, Herc Holdings (HRI) is currently considered Fairly Valued. The stock's GF Value™ is $169.04, compared to a current price of $162.59 — trading 3.8% below its estimated fair value. The current EV-to-EBITDA is 9.06, which is 39% above median its 10-year median of 6.52 and 17.2% above the Business Services industry median of 7.73. Herc Holdings' overall GF Score™ is 86/100 with 12 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For Herc Holdings (HRI), the current EV-to-EBITDA is 9.06 as of Jul. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Herc Holdings (HRI) Overvalued in 2026?
Based on GuruFocus' analysis, Herc Holdings stock appears to be undervalued.
The current stock price of $162.59 is trading 3.8% below its estimated GF Value™ of $169.04.
GuruFocus considers Herc Holdings to be Fairly Valued.
Key valuation signals for HRI:
EV-to-EBITDA: 9.06 (39% above median its 10-year median of 6.52)
GF Value™: $169.04 vs. price of $162.59 (3.8% below fair value)
Industry Position: 17.2% above the Business Services median (#529 of 904)
No single metric tells the full story. See the HRI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Herc Holdings is an equipment rental company that was spun out of Hertz Global in 2016. It is currently the third-largest player in North America, after United Rentals and Sunbelt Rentals, with an approximate 6% market share pro forma for its 2025 acquisition of H&E Equipment Services. It serves a similar mix of companies to its peers (industrial, commercial, and residential construction) from its 450 locations targeting the top 100 metropolitan markets in the US. Herc's rental fleet of approximately $7 billion is also similar in composition to its peer group in terms of equipment offered. The company is also pursuing diversification by bundling and increasing specialty solutions for its customer base. Herc's portfolio skews toward local customers versus national accounts (60%/40%).
86GF Score
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