Summary
Hernangomez had some success early in his career in Denver, particularly in '18-'19 when he shot 37% from three and played over 19 minutes per game on a team that finished as the 2nd seed in the Western Conference. However, he has struggled to replicate that level of success since then. His outside shooting as dropped to the low thirties, and he has consistently been a poor shooter from inside the arc.

On defense, Hernangomez isn't terrible but certainly isn't a stopper, and doesn't make disruptive plays by getting blocks or steals either. It's possible there's a role for Hernangomez as a decent rotation-level player that is skilled and can play either forward spot, but he needs to hit outside shots at a higher level to stay on the court. If not, he could be waived as early as the summer of 2022 and either on a minimum contract after that or even out of the league entirely.

Hernangomez actually had a decent finish to the season, getting some rotational minutes for the Jazz, even in the playoffs. The sample size was small, but he hit over 40% from three for the Jazz as well. If the Jazz make a major trade or two to get below the luxury tax, they may keep him around. Otherwise, I expect him to be waived.
 
Cap Considerations
Hernangomez's $7.4 million salary for 2022-2023 is non-guaranteed, and if he is waived he will become an unrestricted free agent and the Jazz will have no form of Bird rights on him.

If Hernangomez becomes a free agent, other teams will have multiple ways to sign him as he could be had for the Non-Taxpayer MLE, Taxpayer MLE, Room MLE or the Bi-Annual Exception. It's also possible that Hernangomez only gets minimum offers.