very low stock prices tend to reflect the option values inherent in the asset
+1 to this specifically. There’s no way for Hertz’ creditors to charge stockholders money (other than what they paid to hold the stock), and there’s a nonzero chance that Hertz somehow ends up being worth something, so it would be an arbitrage opportunity in the strongest possible sense if Hertz’ shares were actually priced at $0.00. The value must be strictly greater than zero at the very least, although it’s not at all clear that it should be as high as it is.
+1 to this specifically. There’s no way for Hertz’ creditors to charge stockholders money (other than what they paid to hold the stock), and there’s a nonzero chance that Hertz somehow ends up being worth something, so it would be an arbitrage opportunity in the strongest possible sense if Hertz’ shares were actually priced at $0.00. The value must be strictly greater than zero at the very least, although it’s not at all clear that it should be as high as it is.