ChainThink reports that, on August 10, according to BIT market data, the U.S. low-priced stock Hertz Global (HTZ) surged consecutively following its Q2 earnings report, rising approximately 30% on Thursday and continuing to climb during Friday’s trading session, with significantly increased trading volume, sparking discussions on Reddit communities such as WallStreetBets.
MarketBeat data shows that, as of July 15, the short interest in HTZ was approximately 97.54 million shares, representing about 31.2% of the float, with a days-to-cover ratio of approximately 3.9 days.
The high short interest ratio, combined with a sudden surge in stock price, made short covering a key driver of this market rally. Hertz's second-quarter revenue was approximately $2.396 billion, up about 10% year-over-year; net profit was approximately $640 million, compared to a net loss of $294 million in the same period last year.
The company reported an earnings loss of $0.11 per share, better than the market expectation of a $0.24 loss; adjusted EBITDA was approximately $81 million, nearing the upper end of the guidance range.
However, compared to the GME short squeeze in 2021, HTZ’s current short squeeze structure still has room to grow. According to the SEC’s report at the time, GME’s short interest once exceeded 100% of its float, whereas HTZ’s current short interest stands at approximately 30% of its float, still short of extreme levels.