Shares of car rental company Hertz (HTZ) are plunging after the company retracted an earlier conditional notice of redemption for part of its debt. An analyst downgrade and a cautionary note from CreditSights are also weighing on shares.

REDEMPTION RESCINDED: In a regulatory filing out late Friday night, Hertz disclosed that it notifies its trustee that it will not be able to move forward with its prior notice to redeem $450M of outstanding notes. the redemption was supposed to happen on July 29, but the filing ended any hopes of that. The beleaguered car rental company said in its most recent filing that "that all of the conditions precedent to the consummation of the redemption of the 2019 Notes set forth in the Conditional Redemption Notice have not been, and will not be, satisfied by July 29, 2017, and thus the Conditional Redemption Notice has been rescinded and is of no further force and effect for any purpose."

ANALYST SEES EARNINGS MISS: In a note out Monday morning, Barclay's analyst Brian Johnson downgraded Hertz Global Holdings to Underweight with an unchanged price target of $9. Fundamentals may have bottomed, but the stock is ignoring the challenges ahead in the company's earnings recovery following the nearly 100% rally since June 21, Johnson told investors in the research note. He expects a "sharp miss" relative to expectations when Hertz reports Q2 results. Adding to the decline was a note out over the weekend by CreditSights, saying, "HTZ seems determined to keep investors on razor edge with its latest headline rescinding the redemption of the 2019s. The 'conditions precedent ' could be tied to numerous factors, and the lack of transparency hurts -- yet again."

PRICE ACTION: Shares of Hertz are near a session low of $14.50 per, down almost 16% in early afternoon trading.