Hertz CEO Responds to Bill Ackman’s Endorsement After Major Investment

The CEO of Hertz, Gil West, says he feels "humbled" after billionaire investor Bill Ackman and his firm Pershing Square disclosed a major stake in the car rental giant.

In a letter to employees obtained by Reuters, West expressed gratitude and renewed energy, citing Ackman's supportive comments as a catalyst for optimism across the company.

Ackman's Strategic Bet on Hertz

Ackman recently revealed that Pershing Square now holds a 19.8% stake in Hertz, making it the second-largest shareholder. He praised the company's new management initiatives focused on boosting unit revenue and cutting operating costs, predicting these moves will drive sustainable margin improvements over the coming years.

"I believe Gil West and his management team's efforts will significantly improve profitability," Ackman said via X.

Despite challenges—including tariff announcements clouding the travel sector's near-term outlook—Ackman remains bullish. He acknowledged potential weakness in Hertz's Q1 and first-half results but emphasized strong intermediate-term prospects, citing the company's robust capital structure as key to delivering highly attractive returns for shareholders.

Following the news, Hertz shares skyrocketed 44.3% on Thursday and have now gained over 125% since the beginning of 2025.

Key Financial Considerations for Investors

Hertz's strategic transformation under Gil West is gathering momentum, but how sustainable is the rally? To get a deeper view:

• 📄 SEC Filings - Review Hertz's latest regulatory filings to understand shifts in financial structure, debt levels, and shareholder strategies after Pershing Square's investment.

• 📈 Price Target Summary - Track updated analyst forecasts and average price targets to gauge whether Hertz's momentum is expected to continue.