JPMorgan Chase & Co. Has Lowered Expectations for Avis Budget Group (NASDAQ:CAR) Stock Price

Key Points

• JPMorgan lowered Avis Budget Group’s price target from $145 to $105 and maintained an “underweight” rating, implying roughly 4.55% downside from the stock’s $110 price.
• Analyst sentiment remains cautious: Avis Budget has a consensus “Reduce” rating and a $125.71 average target, with six Hold ratings and three Sell ratings.
• The company’s latest quarterly results missed expectations, reporting $0.98 in earnings per share versus a $2.05 estimate and revenue of $3.0 billion, down 1.3% year over year.

Avis Budget Group (NASDAQ:CAR - Get Free Report) had its price objective decreased by analysts at JPMorgan Chase & Co. from $145.00 to $105.00 in a note issued to investors on Thursday, Benzinga reports. The brokerage currently has an "underweight" rating on the business services provider's stock. JPMorgan Chase & Co.'s price target would suggest a potential downside of 4.55% from the stock's current price.

Several other research firms have also weighed in on CAR. Wall Street Zen lowered Avis Budget Group from a "hold" rating to a "sell" rating in a report on Saturday, August 1st. Zacks Research upgraded shares of Avis Budget Group from a "strong sell" rating to a "hold" rating in a research note on Tuesday, September 1st. Morgan Stanley dropped their target price on shares of Avis Budget Group from $99.00 to $95.00 and set an "equal weight" rating on the stock in a report on Friday, September 11th. Weiss Ratings restated a "sell (d-)" rating on shares of Avis Budget Group in a report on Monday, August 17th. Finally, The Goldman Sachs Group lifted their price objective on Avis Budget Group from $85.00 to $95.00 and gave the stock a "sell" rating in a research note on Friday, July 24th. Six investment analysts have rated the stock with a Hold rating and three have issued a Sell rating to the stock. Based on data from MarketBeat.com, Avis Budget Group currently has a consensus rating of "Reduce" and a consensus target price of $125.71.

Avis Budget Group Trading Down 0.2%

CAR stock traded down $0.22 during mid-day trading on Thursday, reaching $110.00. 340,929 shares of the stock traded hands, compared to its average volume of 1,289,680. Avis Budget Group has a 52-week low of $85.96 and a 52-week high of $847.70. The company has a market cap of $3.89 billion, a P/E ratio of -6.05 and a beta of 2.12. The stock's fifty day moving average is $129.20 and its 200-day moving average is $173.65.

Avis Budget Group (NASDAQ:CAR - Get Free Report) last released its quarterly earnings results on Tuesday, July 28th. The business services provider reported $0.98 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $2.05 by ($1.07). The firm had revenue of $3 billion for the quarter, compared to analyst estimates of $3.10 billion. Avis Budget Group's revenue for the quarter was down 1.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned $0.10 EPS. Equities research analysts expect that Avis Budget Group will post 1.08 earnings per share for the current year.

Institutional Trading of Avis Budget Group

Institutional investors have recently modified their holdings of the company. Engineers Gate Manager LP raised its stake in shares of Avis Budget Group by 129.0% in the second quarter. Engineers Gate Manager LP now owns 16,821 shares of the business services provider's stock valued at $2,487,000 after purchasing an additional 9,474 shares in the last quarter. Integrated Wealth Concepts LLC bought a new stake in Avis Budget Group in the 2nd quarter valued at $448,000. Nykredit A S acquired a new position in shares of Avis Budget Group in the 2nd quarter valued at $80,000. Corient Private Wealth LP raised its stake in shares of Avis Budget Group by 217.2% in the 2nd quarter. Corient Private Wealth LP now owns 5,120 shares of the business services provider's stock valued at $757,000 after buying an additional 3,506 shares in the last quarter. Finally, Amundi boosted its position in shares of Avis Budget Group by 218.6% during the 2nd quarter. Amundi now owns 247,987 shares of the business services provider's stock valued at $36,660,000 after acquiring an additional 170,162 shares in the last quarter. Institutional investors and hedge funds own 96.35% of the company's stock.

Avis Budget Group Company Profile

Avis Budget Group, Inc is a global provider of vehicle rental and mobility services. The company operates through a portfolio of brands that includes Avis, Budget, Payless and Zipcar, offering cars, vans and other vehicles to leisure and business customers.

Avis and Budget provide short-term vehicle rentals through airport and neighborhood locations, while Payless focuses on value-oriented rental services. Zipcar operates a car-sharing network that allows members to reserve vehicles by the hour or day.

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