Car rental firm, Hertz Global Holdings Inc., is showing signs of life as the company stocks’ jumped 115% since filing for Chapter 11 protection. The stock run is catapulted by the exceptional travel stock performance that has been up around 100% in the past week.
Hertz stocks have been rallying for three consecutive sessions and have tripled since Thursday trading, erasing all losses the company accrued since declaring bankruptcy.
Hertz stocks jumped at 83.8% on Thursday at 268 million shares volume. The increase continues Friday with stocks closing at a positive 71.3% at 342.2 million shares volume. And on Monday, stocks rose at 115.18% at 553 million shares volume, starting the week at $5.53 per share.
The improvement in Hertz stocks came after the travel industry has shown signs of revival. The Transport Security Administration reported a total of 441,255 checkpoint transits on June 7, 2020, an increase from the 352,947 travelers reported last week.
Rival company, Avis Budget Group Inc., stocks also jumped at 7.17% on Monday trading.
On May 22, 2020, Hertz declared to file for bankruptcy protection as the coronavirus pandemic hits its business to an all-time low, and left the company unable to repay and refinance its debt and cash flow to support operations. In its Chapter 11 filing, the company stated it had accumulated over $24 billion of debt.
