Herc Holdings shares surge following strong earnings and raised guidance

Herc Holdings shares rose significantly after the company reported third-quarter financial results that exceeded Wall Street expectations. Total revenue grew 4.6% to $1.36 billion, while adjusted earnings per share rose 76.1% to $3.91, beating analyst estimates.

The company's growth was driven by a 12% increase in equipment rental revenue and improved fleet utilization. These results suggest a successful integration of H&E Equipment Services, an acquisition completed in June 2025. Despite previous investor concerns regarding debt from the acquisition, the company's resilient growth and expansion into mega-projects, such as data centers and oil and gas, helped allay those fears.

Following the report, Herc Holdings raised its full-year 2026 guidance for both equipment rental revenue and adjusted EBITDA. The company also increased its forecast for net rental equipment capital spending to between $1 billion and $1.1 billion, signaling confidence in continued customer demand.