Hertz Global Holdings, Inc. (HTZ): Are Hedge Funds Right About This Stock?

Because Hertz Global Holdings, Inc. (NYSE:HTZ) has experienced a declination in interest from the aggregate hedge fund industry, we can see that there exists a select few money managers that decided to sell off their entire stakes last quarter. Intriguingly, David Einhorn’s Greenlight Capital sold off the largest stake of all the hedgies followed by Insider Monkey, comprising about $97.8 million in stock. First Eagle Investment Management, also dropped its stock, about $52.1 million worth. These bearish behaviors are important to note, as total hedge fund interest was cut by 13 funds last quarter.

Let’s go over hedge fund activity in other stocks similar to Hertz Global Holdings, Inc. (NYSE:HTZ). These stocks are Everest Re Group Ltd (NYSE:RE), CDK Global Inc (NASDAQ:CDK), Acuity Brands, Inc. (NYSE:AYI), and E TRADE Financial Corporation (NASDAQ:ETFC). This group of stocks’ market valuations are closest to HTZ’s market valuation.

As you can see these stocks had an average of 38.75 hedge funds with bullish positions and the average amount invested in these stocks was $1,203 million. That figure was $3,484 million in HTZ’s case. E TRADE Financial Corporation (NASDAQ:ETFC) is the most popular stock in this table. On the other hand Everest Re Group Ltd (NYSE:RE) is the least popular one with only 27 bullish hedge fund positions. Given that Hertz Global Holdings, Inc. (NYSE:HTZ) is the most popular stock in this group along with ETFC, hedge fund sentiment says HTZ is worth a closer look.