Since my last post on Hertz (HTZ) (an overwhelming negative article on Hertz), I have reversed my opinion and believe that Hertz is in fact undervalued and that there is a margin of safety at the current price. I know that I may come across as being a fickle and inconsistent investor but this is absolutely not the case. I have had a lot of time to think over my position and believe that investors might be rewarded from the current valuation of Hertz. This decision on my part was not easy, but at least now I can see the reasons why Hertz might fail to succeed as a profitable investment.
Now, before we get started I want to highlight one thing. I have not missed that earnings will come out tomorrow and they will, most likely, be terrible. But I'm not investing in Hertz for a quarter. I'm here for a while.