Herc Holdings Inc. (HRI): Mario Gabelli Makes Minor Adjustment to Stake

Herc Holdings Inc. (NYSE:HRI) is featured on the Mario Gabelli Stock Portfolio: Top 10 Stock Picks.

Herc Holdings Inc. (NYSE:HRI) is a relatively recent addition to the 13F portfolio of GAMCO Investors, compared to other top holdings. The fund first disclosed a stake in the company in the third quarter of 2016. This holding comprised nearly 2.5 million shares. By early 2019, the fund had grown this position to just under 4 million shares. Since then, Gabelli has steadily trimmed this stake. Filings for the fourth quarter of 2025 show that the fund owned just over a million shares in the company, down 3% compared to filings for the previous quarter.

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Hedge funds are increasingly focused on Herc Holdings Inc. (NYSE:HRI) as a strategic play on the North American infrastructure super-cycle. As of April 2026, the company has positioned itself as a primary beneficiary of large-scale federal and private construction projects. Hedge funds are betting on a massive wave of industrial construction. Management recently highlighted that roughly $600 billion in new mega-projects are slated to begin in 2026. Investors see the current market as being in the early to mid-innings of a long-term investment cycle in chip plants, EV battery factories, and renewable energy infrastructure. These massive projects require specialized equipment and long-term rental commitments, which provide Herc with highly predictable, high-margin revenue.

While we acknowledge the risk and potential of HRI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than HRI and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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