Buying 100,000 Teslas continues to haunt Hertz
Hertz purchased 100,000 Teslas in anticipation of an EV wave that never came. Now the rental giant has said it will sell tens of thousands of Teslas this year.
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TechTranscript
00:00Hertz bet big on Tesla, and now it's losing millions.
00:04In 2021, the rental giant bought 100,000 Teslas, anticipating customers would jump to rent them.
00:10The order pushed Tesla stock to $1 trillion for the first time,
00:14but years later, Tesla started slashing prices to deal with slowing demands.
00:18Cars were also costly to repair and had several recalls.
00:22Now, Hertz is scrambling to sell more cars after reporting that fleet refreshment efforts
00:27had driven per-unit depreciation to $600 a month.
00:31To stem the financial toll,
00:33Hertz's CEO plans to offload the Teslas at a loss and revamp its management team.