U-Haul (NASDAQ:UHAL) & Hertz Global (OTCMKTS:HTZZ) Critical Review

U-Haul (NASDAQ:UHAL) and Hertz Global (OTCMKTS:HTZZ) are both transportation companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, risk, dividends, institutional ownership, profitability, valuation and analyst recommendations.

Analyst Ratings

This is a summary of recent ratings and price targets for U-Haul and Hertz Global, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
U-Haul	0	1	0	0	2.00
Hertz Global	0	0	0	0	0.00

Profitability

This table compares U-Haul and Hertz Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
U-Haul	7.77%	5.92%	2.28%
Hertz Global	N/A	N/A	N/A

Valuation and Earnings

This table compares U-Haul and Hertz Global”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
U-Haul	$5.91 billion	1.82	$628.71 million	$1.43	38.27
Hertz Global	N/A	N/A	N/A	$3.75	1.38

U-Haul has higher revenue and earnings than Hertz Global. Hertz Global is trading at a lower price-to-earnings ratio than U-Haul, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

3.6% of U-Haul shares are held by institutional investors. Comparatively, 41.7% of Hertz Global shares are held by institutional investors. 43.5% of U-Haul shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

U-Haul beats Hertz Global on 7 of the 9 factors compared between the two stocks.

About U-Haul

U-Haul Holding Co. engages in the insurance and moving and storage businesses. It operates through the following business segments: Moving and Storage, Property and Casualty Insurance, and Life Insurance. The Moving and Storage segment includes the rental of trucks, trailers, portable moving and storage units, specialty rental items, and self-storage spaces. The Property and Casualty Insurance segment is involved in providing loss adjusting and claims handling for U-Haul through regional offices. The Life Insurance segment offers life and health insurance products primarily to the senior market through the direct writing and reinsuring of life insurance, Medicare supplement, and annuity policies. The company was founded by Anna Mary Carty Shoen and Leonard Samuel Shoen in 1945 and is headquartered in Reno, NV.

About Hertz Global

Hertz Global Holdings, Inc., together with its subsidiaries, provides airport and off airport vehicle rental and leasing services. It operates through three segments: U.S. RAC, International RAC, and All Other Operations. The company provides its vehicle rental services under the Hertz, Dollar, Thrifty, Firefly, and Flexicar brands from approximately 12,000 corporate and franchisee locations in North America, Europe, Latin America, Africa, Asia, Australia, the Caribbean, the Middle East, and New Zealand. It rents vehicles on an hourly, daily, weekend, weekly, and monthly or multi-month basis. In addition, the company offers vehicle and lease financing; acquisition and remarketing; license, title, and registration; vehicle maintenance consultation; fuel, accident, and toll management; telematics-based location, and driver performance and scorecard reporting; and fleet management services. As of December 31, 2020, it operated a rental fleet of approximately 515,700 vehicles in the United States and 131,500 vehicles in international operations. The company serves corporate and leisure customers. Hertz Global Holdings, Inc. was founded in 1918 and is headquartered in Estero, Florida.