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HTZ (Hertz Global Holdings) Beneish M-Score : -6.13 (As of Mar. 16, 2025)


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What is Hertz Global Holdings Beneish M-Score?

The zones of discrimination for M-Score is as such:

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator.
An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Good Sign:

Beneish M-Score -6.13 no higher than -1.78, which implies that the company is unlikely to be a manipulator.

The historical rank and industry rank for Hertz Global Holdings's Beneish M-Score or its related term are showing as below:

HTZ' s Beneish M-Score Range Over the Past 10 Years
Min: -6.13   Med: -3.04   Max: -2.35
Current: -6.13

During the past 13 years, the highest Beneish M-Score of Hertz Global Holdings was -2.35. The lowest was -6.13. And the median was -3.04.


Hertz Global Holdings Beneish M-Score Historical Data

The historical data trend for Hertz Global Holdings's Beneish M-Score 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.

* Premium members only.

Hertz Global Holdings Beneish M-Score Chart

Hertz Global Holdings Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Beneish M-Score
Get a 7-Day Free Trial Premium Member Only Premium Member Only -5.05 -3.08 -2.54 -2.35 -6.13

Hertz Global Holdings Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
Beneish M-Score Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -2.35 -2.11 -1.54 1.36 -6.13

Competitive Comparison of Hertz Global Holdings's Beneish M-Score

For the Rental & Leasing Services subindustry, Hertz Global Holdings's Beneish M-Score, along with its competitors' market caps and Beneish M-Score 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.


Hertz Global Holdings's Beneish M-Score Distribution in the Business Services Industry

For the Business Services industry and Industrials sector, Hertz Global Holdings's Beneish M-Score distribution charts can be found below:

* The bar in red indicates where Hertz Global Holdings's Beneish M-Score falls into.



Hertz Global Holdings Beneish M-Score Calculation

The M-score was created by Professor Messod Beneish. Instead of measuring the bankruptcy risk (Altman Z-Score) or business trend (Piotroski F-Score), M-score can be used to detect the risk of earnings manipulation. This is the original research paper on M-score.

The M-Score Variables:

The M-score of Hertz Global Holdings for today is based on a combination of the following eight different indices:

M=-4.84+0.92 * DSRI+0.528 * GMI+0.404 * AQI+0.892 * SGI+0.115 * DEPI
=-4.84+0.92 * 1.0478+0.528 * -4.2785+0.404 * 1.1668+0.892 * 0.9656+0.115 * 0.5819
-0.172 * SGAI+4.679 * TATA-0.327 * LVGI
-0.172 * 0.8816+4.679 * -0.184249-0.327 * 1.1765
=-6.13

* 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.

This Year (Dec24) TTM:Last Year (Dec23) TTM:
Total Receivables was $1,205 Mil.
Revenue was 2040 + 2576 + 2353 + 2080 = $9,049 Mil.
Gross Profit was -630 + 232 + 19 + -11 = $-390 Mil.
Total Current Assets was $2,338 Mil.
Total Assets was $21,802 Mil.
Property, Plant and Equipment(Net PPE) was $14,674 Mil.
Depreciation, Depletion and Amortization(DDA) was $4,122 Mil.
Selling, General, & Admin. Expense(SGA) was $819 Mil.
Total Current Liabilities was $3,164 Mil.
Long-Term Debt & Capital Lease Obligation was $17,218 Mil.
Net Income was -479 + -1332 + -865 + -186 = $-2,862 Mil.
Non Operating Income was 552 + -1417 + -12 + -192 = $-1,069 Mil.
Cash Flow from Operations was 414 + 894 + 546 + 370 = $2,224 Mil.
Total Receivables was $1,191 Mil.
Revenue was 2184 + 2703 + 2437 + 2047 = $9,371 Mil.
Gross Profit was 65 + 680 + 619 + 364 = $1,728 Mil.
Total Current Assets was $2,397 Mil.
Total Assets was $24,605 Mil.
Property, Plant and Equipment(Net PPE) was $17,575 Mil.
Depreciation, Depletion and Amortization(DDA) was $2,571 Mil.
Selling, General, & Admin. Expense(SGA) was $962 Mil.
Total Current Liabilities was $3,096 Mil.
Long-Term Debt & Capital Lease Obligation was $16,455 Mil.




1. DSRI = Days Sales in Receivables Index

Measured as the ratio of Revenue in Total Receivables in year t to year t-1.

A large increase in DSR could be indicative of revenue inflation.

DSRI=(Receivables_t / Revenue_t) / (Receivables_t-1 / Revenue_t-1)
=(1205 / 9049) / (1191 / 9371)
=0.133164 / 0.127094
=1.0478

2. GMI = Gross Margin Index

Measured as the ratio of gross margin in year t-1 to gross margin in year t.

Gross margin has deteriorated when this index is above 1. A firm with poorer prospects is more likely to manipulate earnings.

GMI=GrossMargin_t-1 / GrossMargin_t
=(GrossProfit_t-1 / Revenue_t-1) / (GrossProfit_t / Revenue_t)
=(1728 / 9371) / (-390 / 9049)
=0.184399 / -0.043099
=-4.2785

3. AQI = Asset Quality Index

AQI is the ratio of asset quality in year t to year t-1.

Asset quality is measured as the ratio of non-current assets other than Property, Plant and Equipment to Total Assets.

AQI=(1 - (CurrentAssets_t + PPE_t) / TotalAssets_t) / (1 - (CurrentAssets_t-1 + PPE_t-1) / TotalAssets_t-1)
=(1 - (2338 + 14674) / 21802) / (1 - (2397 + 17575) / 24605)
=0.219705 / 0.188295
=1.1668

4. SGI = Sales Growth Index

Ratio of Revenue in year t to sales in year t-1.

Sales growth is not itself a measure of manipulation. However, growth companies are likely to find themselves under pressure to manipulate in order to keep up appearances.

SGI=Sales_t / Sales_t-1
=Revenue_t / Revenue_t-1
=9049 / 9371
=0.9656

5. DEPI = Depreciation Index

Measured as the ratio of the rate of Depreciation, Depletion and Amortization in year t-1 to the corresponding rate in year t.

DEPI greater than 1 indicates that assets are being depreciated at a slower rate. This suggests that the firm might be revising useful asset life assumptions upwards, or adopting a new method that is income friendly.

DEPI=(Depreciation_t-1 / (Depreciaton_t-1 + PPE_t-1)) / (Depreciation_t / (Depreciaton_t + PPE_t))
=(2571 / (2571 + 17575)) / (4122 / (4122 + 14674))
=0.127618 / 0.219302
=0.5819

Note: If the Depreciation, Depletion and Amortization data is not available, we assume that the depreciation rate is constant and set the Depreciation Index to 1.

6. SGAI = Sales, General and Administrative expenses Index

The ratio of Selling, General, & Admin. Expense(SGA) to Sales in year t relative to year t-1.

SGA expenses index > 1 means that the company is becoming less efficient in generate sales.

SGAI=(SGA_t / Sales_t) / (SGA_t-1 /Sales_t-1)
=(819 / 9049) / (962 / 9371)
=0.090507 / 0.102657
=0.8816

7. LVGI = Leverage Index

The ratio of total debt to Total Assets in year t relative to yeat t-1.

An LVGI > 1 indicates an increase in leverage

LVGI=((LTD_t + CurrentLiabilities_t) / TotalAssets_t) / ((LTD_t-1 + CurrentLiabilities_t-1) / TotalAssets_t-1)
=((17218 + 3164) / 21802) / ((16455 + 3096) / 24605)
=0.934868 / 0.794595
=1.1765

8. TATA = Total Accruals to Total Assets

Total accruals calculated as the change in working capital accounts other than cash less depreciation.

TATA=(IncomefromContinuingOperations_t - CashFlowsfromOperations_t) / TotalAssets_t
=(NetIncome_t - NonOperatingIncome_t - CashFlowsfromOperations_t) / TotalAssets_t
=(-2862 - -1069 - 2224) / 21802
=-0.184249

An M-Score of equal or less than -1.78 suggests that the company is unlikely to be a manipulator. An M-Score of greater than -1.78 signals that the company is likely to be a manipulator.

Hertz Global Holdings has a M-score of -6.13 suggests that the company is unlikely to be a manipulator.


Hertz Global Holdings Beneish M-Score Related Terms

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Hertz Global Holdings Business Description

Traded in Other Exchanges
Address
8501 Williams Road, Estero, FL, USA, 33928
Hertz Global Holdings Inc is engaged in the vehicle rental and leasing business and operates an automotive vehicle rental service through the Hertz, Dollar, Thrifty, and Firefly brands. The company offers cars, crossovers, and light trucks for rent; ancillary products and services; rental of industrial, construction, and other services. Its operating segments and organized are based on the products and services provided and the geographic areas as :Americas RAC -which derives maximum revenue, includes Rental of vehicles, as well as sales of value-added services, in the U.S., Canada, Latin America and the Caribbean; and International RAC - Rental of vehicles, as well as sales of value-added services, in locations other than the U.S., Canada, Latin America and the Caribbean.
Executives
Eric Leef officer: EVP, Chief HR Officer 8501 WILLIAMS ROAD, ESTERO FL 33928
Mark Fields director FORD MOTOR COMPANY, ONE AMERICAN ROAD, DEARBORN MI 48126
Kelly Galloway officer: SVP, Chief Accounting Officer 8501 WILLIAMS ROAD, ESTERO FL 33928
Jeffrey Nedelman director 8501 WILLIAMS ROAD, ESTERO FL 33928
Fran Bermanzohn director 9 WEST 57TH STREET, SUITE 4200, NEW YORK NY 10019
Batcheler Colleen officer: EVP, General Counsel and Secy ONE CONAGRA DRIVE, OMAHA NE 68102
Stephen M Scherr director, officer: Chief Executive Officer C/O GOLDMAN SACHS & CO. LLC, 200 WEST STREET, NEW YORK NY 10282
Tim Langley-hawthorne officer: EVP, Tech & CIO 8501 WILLIAMS ROAD, ESTERO FL 33928
Evelina Vougessis Machas director 8501 WILLIAMS ROAD, ESTERO FL 33928
Jennifer Feikin director 8501 WILLIAMS ROAD, ESTERO FL 33928
Andrew Shannahan director 8501 WILLIAMS ROAD, ESTERO FL 33928
Christopher Lahoud director APOLLO, 212 ROSECRANS AVE., EL SEGUNDO CA 90245
Ck Amarillo Gp, Llc 10 percent owner C/O KNIGHTHEAD CAPITAL MANAGEMENT, LLC, 280 PARK AVENUE, 22ND FLOOR, NEW YORK NY 10017
Certares Opportunities Llc 10 percent owner 350 MADISON AVENUE, 8TH FLOOR, NEW YORK NY 10017
Ck Amarillo Lp 10 percent owner C/O KNIGHTHEAD CAPITAL MANAGEMENT, LLC, 280 PARK AVENUE, 22ND FLOOR, NEW YORK NY 10017