Avis Budget Group, Inc. (NASDAQ:CAR) Given Consensus Rating of "Reduce" by Brokerages

Key Points

• Avis Budget Group, Inc. has received a consensus rating of "Reduce" from analysts, with two sell recommendations, four holds, and one buy recommendation.
• Shares of Avis Budget Group opened at $156.95 and have seen a significant price fluctuation with a 12-month low of $54.03 and a high of $212.81.
• Recent insider sales include EVP Edward P. Linnen and Director Bernardo Hees, who sold their shares for significant amounts, indicating potential concerns about the company's stock performance.

Shares of Avis Budget Group, Inc. (NASDAQ:CAR - Get Free Report) have earned an average rating of "Reduce" from the seven analysts that are currently covering the company, Marketbeat reports. Two equities research analysts have rated the stock with a sell recommendation, four have assigned a hold recommendation and one has issued a buy recommendation on the company. The average 1 year target price among brokers that have covered the stock in the last year is $143.80.

Several brokerages have weighed in on CAR. Wall Street Zen raised Avis Budget Group from a "sell" rating to a "hold" rating in a research report on Saturday, May 3rd. JPMorgan Chase & Co. restated a "neutral" rating and issued a $155.00 price objective on shares of Avis Budget Group in a report on Thursday, July 31st. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and issued a $196.00 target price (up from $130.00) on shares of Avis Budget Group in a research note on Thursday, July 10th. Barclays boosted their target price on shares of Avis Budget Group from $105.00 to $150.00 and gave the stock an "equal weight" rating in a research report on Monday, August 4th. Finally, Zacks Research upgraded shares of Avis Budget Group from a "strong sell" rating to a "hold" rating in a research note on Thursday, August 21st.

Insider Buying and Selling at Avis Budget Group

In other Avis Budget Group news, EVP Edward P. Linnen sold 10,000 shares of the firm's stock in a transaction dated Friday, August 15th. The stock was sold at an average price of $156.83, for a total transaction of $1,568,300.00. Following the transaction, the executive vice president directly owned 40,915 shares in the company, valued at $6,416,699.45. This trade represents a 19.64% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Bernardo Hees sold 402,200 shares of the business's stock in a transaction dated Monday, August 4th. The stock was sold at an average price of $156.59, for a total value of $62,980,498.00. Following the completion of the sale, the director directly owned 116,521 shares of the company's stock, valued at $18,246,023.39. This represents a 77.54% decrease in their position. The disclosure for this sale can be found here. Corporate insiders own 52.80% of the company's stock.

Institutional Investors Weigh In On Avis Budget Group

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Caxton Associates LLP bought a new position in shares of Avis Budget Group in the second quarter worth about $4,628,000. National Bank of Canada FI boosted its stake in Avis Budget Group by 166.7% during the 2nd quarter. National Bank of Canada FI now owns 880,239 shares of the business services provider's stock valued at $148,804,000 after purchasing an additional 550,239 shares during the period. State of Tennessee Department of Treasury acquired a new stake in Avis Budget Group in the 2nd quarter valued at approximately $1,100,000. Captrust Financial Advisors bought a new position in Avis Budget Group in the 2nd quarter worth approximately $330,000. Finally, Vident Advisory LLC bought a new position in Avis Budget Group in the 2nd quarter worth approximately $211,000. 96.35% of the stock is owned by institutional investors and hedge funds.

Avis Budget Group Stock Up 2.4%

Shares of NASDAQ:CAR opened at $156.95 on Thursday. The firm has a fifty day moving average of $172.31 and a two-hundred day moving average of $118.57. Avis Budget Group has a 12-month low of $54.03 and a 12-month high of $212.81. The firm has a market capitalization of $5.52 billion, a P/E ratio of -2.48 and a beta of 2.19.

Avis Budget Group (NASDAQ:CAR - Get Free Report) last posted its quarterly earnings results on Tuesday, July 29th. The business services provider reported $0.10 earnings per share for the quarter, missing analysts' consensus estimates of $2.02 by ($1.92). The company had revenue of $3.04 billion during the quarter, compared to analyst estimates of $3.02 billion. Avis Budget Group had a negative return on equity of 14.74% and a negative net margin of 19.06%.The company's revenue was down .3% compared to the same quarter last year. During the same period last year, the company posted $0.41 earnings per share. Equities research analysts expect that Avis Budget Group will post 8.91 earnings per share for the current fiscal year.

Avis Budget Group Company Profile

Avis Budget Group, Inc engages in the provision of vehicle sharing and rental services. It operates through the following segments: Americas, International, and Corporate and Other. The Americas segment includes the vehicle rental and car sharing operations in North America, South America, Central America, and the Caribbean.

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