Despite a post-pandemic boom in business, the general scenario of the stock market has been depressing. Hertz Global (OTCMKTS: HTZGQ) is one of the best examples of this. Hertz stock has experienced some huge ups and downs in 2020.
Hertz stock had been crashing even prior to the COVID-19 pandemic. Their share prices have only brought loss to their investors. With a crashing economy and fluctuating stock market, there is no guarantee for investment in business enterprises. Consequently, in the post-pandemic era, investors must drop all hopes of profitable returns from the company.
At the beginning of October, there were claims that investors of Hertz stock will most definitely lose all their money. As of this moment, the company has proved all of these claims to be absolutely on point.
But before anyone could consider any advice regarding the Hertz stock, they witnessed an upsurge in share prices by the 2nd week of October. Out of the blue, Hertz stock was seen being traded at $2.50. Analysts are invested in the matter thinking if this is one of their many rallies?
This sudden upswing in the share prices saw some turbulence in the transactions within the final leg of the month of October. Investors started flocking towards Hertz stock. Despite it being a bankrupt enterprise, the company started experiencing a high rise in the number of investors. In some of the write-ups on Hertz in October, there were mentions of minimal profit returns from a re-organized enterprise for the members in possession of equity.
Although, it cannot be forgotten that the nominal re-organization rates received from Hertz stock are merely a further renovation of a sinking ship. This renovation only functions as a superficial decoration but adds no actual value. So, these meaningless transactions serve no purpose and cannot save this sinking ship.
With this unseen increase in prices, Hertz is trying to lure more investors to invest in their short-term profitable venture.
Earlier, it was stated that Carl Icahn could explain the real intentions of Hertz stock and the real price of their equity. As known by everyone that Icahn is a renowned investor ever known by the stock markets. He was also the largest shareholder of Hertz stock till the month of May 2020. After the filing of chapter 11, he sold his entire stock at less than $1, incurring a loss of $1.6 billion.
Hertz Stock Will Soon See The End Of Market Speculations
Pre-pandemic Hertz stock price was $20 which seemed viable for many. Hertz officials have attracted investors by saying they are a virtual casino and some may get a jackpot. Numerous investors have incurred irretrievable losses following this method which could have been avoided.
Hertz stock has lately de-registered from the NY Stock Exchange. Though a positive business is expected by the aviation industry, Hertz stock will continue its bankrupt situation. In an uncertain trading world in this new normal, it is best for investors to stave off Hertz stock for their own benefit. They have no hope in the near or remote future.