Hertz Global Holdings Inc. HTZ stock bounced higher on Monday with record volumes, continuing a three-day streak of gains after the car rental company declared bankruptcy as COVID-19 severely impacted travel.
What Happened
Hertz stock rose 115.18% to $5.53, with a volume of 553 million shares on Monday. The shares climbed 71.3% on Friday and 83.8% on Thursday.
In total, Hertz shares have risen 7-fold, gaining 574.4% in three days. The shares had closed at a record low of 56 cents on May 26.
The New York Stock Exchange began the process of delisting last month after the company declared bankruptcy on May 22.
Why It matters
Filings made with the United States Securities and Exchange Commission indicate that Henry Keizer, a member of the company’s board, sold 7,438 shares of common stock on June 4, and 3000 shares were sold by Daniel Ninivaggi, another director, on June 5.
On May 25, Joseph McPherson, executive vice president of North America Operations, sold 11,865 shares of common stock.
Hertz shares are rising at a time when demand for travel is showing signs of revival. Data from the Transport Security Administration indicates that 441,255 travelers transited through TSA checkpoints on June 7, compared with 352,947 the previous week. Total travelers by June 7 a year ago was above 2.67 million.
Hertz has been selling vehicles used as collateral, to appease creditors and raise around $5 billion.
Rival Avis Budget Group Inc. CAR shares also rose 7.17% on Monday.
Hertz Price Action
Hertz shares traded 23.69% higher at $6.84 in the after-hours session on Monday. The shares had closed the regular session 112.69% higher at $5.53.
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