Herc HoldingsHRI +6.82%86 OCF Margin % is 24.32% as of Mar. 2026, which is 25% below its 10-year median of 32.45. GuruFocus rates HRI with a GF Score™ of 86/100 and a GF Value™ of $168.69 (Fairly Valued). The stock has 9 warning signs investors should review. Among 1,070 Business Services companies, Herc Holdings ranks better than 86.26% on this metric.
The historical rank and industry rank for Herc Holdings's OCF Margin % or its related term are showing as below:
HRI'
s OCF Margin % Range Over the Past 10 Years
Min: 19.9 Med: 32.45 Max: 36.31
Current: 25.86
During the past 13 years, the highest OCF Margin % of Herc Holdings was 36.31%. The lowest was 19.90%. And the median was 32.45%.
HRI's OCF Margin % is ranked better than 86.26% of 1070
companies
in the Business Services industry
Industry Median: 7.005
vs HRI: 25.86
Herc Holdings OCF Margin % Related Terms
Herc Holdings OCF Margin % Historical Data
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The historical data trend for Herc Holdings's OCF Margin % 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 OCF Margin %, along with its competitors' market caps and OCF Margin % 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 OCF Margin % vs Business Services Industry
For the Business Services industry and Industrials sector, Herc Holdings's OCF Margin % distribution charts can be found below:
* The bar in red indicates where Herc Holdings's OCF Margin % falls into.
* 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 OCF Margin % of 24.32% as of Mar. 2026. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Herc Holdings and its competitors. This is 25% below median its historical median of 32.45. Over the past decade, Herc Holdings' OCF Margin % has ranged from 19.90 to 36.31. According to the industry distribution chart, Herc Holdings ranks #147 out of 1070 companies in the Business Services industry, placing it in the top 13.7%.
Is Herc Holdings' OCF Margin % too high?
Herc Holdings' current OCF Margin % of 24.32% is 25% below median its 10-year median of 32.45. Over the past 10 years, this metric has ranged from a low of 19.90 to a high of 36.31. The Business Services industry median OCF Margin % is 7.01. Herc Holdings' value of 24.32% is 247.2% above this industry median. Based on the distribution chart, Herc Holdings ranks #147 out of 1070 companies in the Business Services industry, which is in the top quartile — a strong position relative to peers. 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' OCF Margin % compare to WSC and EQPT?
According to the Business Services industry distribution chart, Herc Holdings ranks #147 out of 1070 companies for OCF Margin %. This places Herc Holdings in the top 14% of its industry — outperforming the majority of peers. The industry median OCF Margin % is 7.01. Herc Holdings' value of 24.32% is 247.2% above this benchmark. Historically, Herc Holdings' own OCF Margin % has ranged from 19.90 to 36.31 over the past decade. While the company's 10-year median is 32.45 vs. the industry median of 7.01, 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 OCF Margin % for a Business Services company?
The median OCF Margin % among Business Services companies is 7.01, based on 1,070 companies in the industry. Companies in the top quartile (top 25%) have a OCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, OCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Herc Holdings's current OCF Margin % of 24.32% is 247.2% 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 OCF Margin % mean?
A high OCF Margin % can signal that a stock is expensive relative to its fundamentals. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Herc Holdings and its competitors. For the Business Services industry, the median OCF Margin % is 7.01 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Herc Holdings's current OCF Margin % is 24.32%, which is 25% below median its own 10-year median of 32.45. 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 $168.69, compared to a current price of $153.00 — trading 9.3% below its estimated fair value. The current OCF Margin % is 24.32%, which is 25% below median its 10-year median of 32.45 and 247.2% above the Business Services industry median of 7.01. Herc Holdings' overall GF Score™ is 86/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is OCF Margin % calculated?
OCF Margin % is calculated from a company's financial statements. For Herc Holdings (HRI), the current OCF Margin % is 24.32% as of Mar. 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 $153.00 is trading 9.3% below its estimated GF Value™ of $168.69.
GuruFocus considers Herc Holdings to be Fairly Valued.
Key valuation signals for HRI:
OCF Margin %: 24.32% (25% below median its 10-year median of 32.45)
GF Value™: $168.69 vs. price of $153.00 (9.3% below fair value)
Industry Position: 247.2% above the Business Services median (#147 of 1070)
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%).
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