Why Hertz Global Holdings Shares Crashed Today

Shares of Hertz Global Holdings (NYSE: HTZ) fell 80% on Tuesday after the rental car giant filed for Chapter 11 bankruptcy in Delaware. The filing should help the company renegotiate some of its debt and keep the brand operational, but shareholders are unlikely to be so lucky.

Hertz fell into bankruptcy late Friday, a victim of the COVID-19 pandemic and its impact on travel demand. Hertz said that global revenue fell more than 70% year over year in April and was not enough to service its $19 billion in total debt.

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Source Fool.com