02:03 PM EDT, 03/14/2024 (MT Newswires) -- Hertz Global Holdings ( HTZ ) should start to see revenue per transaction day, or RPD, improving this year as comparisons ease and demand remains solid across leisure, corporate, and rideshare, Oppenheimer said in a note Thursday.

Following a meeting with the company, Oppenheimer analysts said it has updated its model and lowered its 2024 EBITDA forecast to $620 million from $701 million previously on the assumption of higher depreciation. They also expect the RPD to fall about 7% in Q1 and about 5% in Q2, flat in Q3 and up roughly 1% in Q4.

"Overall, 2024 remains a transition year, but appears to be an improvement over a very challenging 2023," the analysts said. "The company should continue to reduce its EV fleet, enjoy healthy demand across leisure/corporate travel, and benefit from new productivity and cost-out initiatives."

"Nevertheless, we remain on the sidelines, as the company works through this process," they said. Oppenheimer maintained its perform rating on Hertz stock.

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