By Kuldip K. Ambastha
In this past week, Tuesday Morning Corporation (TUES), Hertz Global Holdings, Inc. (HTZ), and HP Inc. (HPQ) were all featured prominently in the news.
Tuesday Morning Corporation (TUES) is a retail business focused on the American home. Due to the coronavirus pandemic, the company was forced to close its stores for an extended period of time. Because of this fact, the company had to file for bankruptcy and plans to restructure its debts before re-emerging stronger in the fall of 2020. Tuesday Morning Corporation stock dropped by 13.8% on Tuesday, May 26, 2020, and closed the day at $0.25 / share.
Hertz Global Holdings, Inc. (HTZ) is a well-known car rental company which also has declared bankruptcy. In a period of social distancing and many canceled travel plans, car rentals have declined immensely across the USA. Carl Icahn was the largest shareholder in the company, and is rumored to have lost about $2 billion on his investment. Still, he is supportive of the company’s plan to use the bankruptcy process to restructure. Hertz Global Holdings, Inc. stock dropped by 80.5% on Tuesday, May 26, 2020, and closed the day at $0.55 / share.
HP Inc. (HPQ) has done well in the coronavirus pandemic era due to increased demand for work-from-home equipment such as laptop computers. However, the company has struggled with less demand for its printing business. HP Inc. stock dropped by 12.3% on Thursday, May 28, 2020, and closed the day at $15.01 / share after delivering a mixed earnings report and a lowered earnings guidance.
Keywords – Tuesday Morning Corporation, TUES, Hertz Global Holdings, Inc., HTZ, HP Inc., HPQ, COVID-19, coronavirus, pandemic, Chapter 11, bankruptcy, earnings, retail, car rentals, technology, tech, travel, work-from-home, Carl Icahn.
Disclosure – The clients and principals of Ambastha Financial LLC do not have any positions in TUES, HTZ, and HPQ.
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