Avis Budget Group (NASDAQ:CAR) Upgraded to "Hold" at Wall Street Zen

Key Points

• Wall Street Zen upgraded Avis Budget Group from a "sell" to a "hold", but the stock still carries a consensus Strong Sell analyst rating with an average price target of $125.00.
• Q1 results delivered a top‑line beat—revenue $2.53B vs. $2.43B expected and Americas revenue grew year‑over‑year—but EPS missed sharply (‑$8.01 vs. est. ‑$6.82), driving volatility.
• Recent insider selling (18,249 shares, roughly $4.0M over 90 days) combined with an ongoing short‑squeeze/legal dispute and heightened trading activity have increased downside risk and market unpredictability.

Avis Budget Group (NASDAQ:CAR - Get Free Report) was upgraded by investment analysts at Wall Street Zen from a "sell" rating to a "hold" rating in a research note issued to investors on Saturday.

Other research analysts also recently issued reports about the company. JPMorgan Chase & Co. reduced their target price on Avis Budget Group from $165.00 to $140.00 and set an "underweight" rating for the company in a research note on Friday. Jefferies Financial Group reiterated a "hold" rating and set a $160.00 price target (up from $112.00) on shares of Avis Budget Group in a research report on Friday. Barclays cut Avis Budget Group from an "equal weight" rating to an "underweight" rating and boosted their price target for the stock from $95.00 to $150.00 in a research report on Monday, April 20th. Deutsche Bank Aktiengesellschaft reiterated a "hold" rating and set a $125.00 price target on shares of Avis Budget Group in a research report on Friday. Finally, Zacks Research cut Avis Budget Group from a "hold" rating to a "strong sell" rating in a research report on Thursday, February 19th. Four equities research analysts have rated the stock with a Hold rating and six have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Strong Sell" and an average price target of $125.00.

Avis Budget Group Price Performance

Shares of CAR stock opened at $185.55 on Friday. The company has a market cap of $6.56 billion, a price-to-earnings ratio of -9.74 and a beta of 1.92. The stock has a 50 day simple moving average of $197.79 and a 200-day simple moving average of $154.39. Avis Budget Group has a 1-year low of $85.96 and a 1-year high of $847.70.

Avis Budget Group (NASDAQ:CAR - Get Free Report) last announced its earnings results on Wednesday, April 29th. The business services provider reported ($8.01) earnings per share for the quarter, missing the consensus estimate of ($6.82) by ($1.19). The firm had revenue of $2.53 billion during the quarter, compared to analyst estimates of $2.43 billion. Avis Budget Group's revenue for the quarter was up 4.1% on a year-over-year basis. During the same period last year, the firm posted ($14.35) earnings per share. Analysts anticipate that Avis Budget Group will post 3.87 earnings per share for the current fiscal year.

Insider Transactions at Avis Budget Group

In related news, EVP Edward P. Linnen sold 9,483 shares of the business's stock in a transaction that occurred on Thursday, April 30th. The stock was sold at an average price of $182.32, for a total transaction of $1,728,940.56. Following the completion of the sale, the executive vice president directly owned 37,932 shares in the company, valued at approximately $6,915,762.24. The trade was a 20.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Ravi Simhambhatla sold 3,469 shares of the business's stock in a transaction that occurred on Thursday, April 30th. The stock was sold at an average price of $184.09, for a total value of $638,608.21. Following the sale, the executive vice president owned 13,876 shares of the company's stock, valued at $2,554,432.84. The trade was a 20.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 18,249 shares of company stock valued at $4,014,515 over the last ninety days. Company insiders own 50.48% of the company's stock.

Institutional Trading of Avis Budget Group

Large investors have recently added to or reduced their stakes in the stock. Deseret Mutual Benefit Administrators grew its holdings in Avis Budget Group by 102.3% in the 3rd quarter. Deseret Mutual Benefit Administrators now owns 174 shares of the business services provider's stock valued at $28,000 after buying an additional 88 shares in the last quarter. Caitong International Asset Management Co. Ltd grew its holdings in Avis Budget Group by 1,845.5% in the 4th quarter. Caitong International Asset Management Co. Ltd now owns 214 shares of the business services provider's stock valued at $27,000 after buying an additional 203 shares in the last quarter. Quarry LP purchased a new stake in Avis Budget Group in the 4th quarter valued at $27,000. Basepoint Wealth LLC purchased a new stake in Avis Budget Group in the 4th quarter valued at $32,000. Finally, Hantz Financial Services Inc. grew its holdings in Avis Budget Group by 136.4% in the 3rd quarter. Hantz Financial Services Inc. now owns 253 shares of the business services provider's stock valued at $41,000 after buying an additional 146 shares in the last quarter. 96.35% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting Avis Budget Group

Here are the key news stories impacting Avis Budget Group this week:

• Positive Sentiment: Q1 top-line beat and improving Americas demand — Avis reported revenue of $2.53B, above consensus, and Americas revenue showed its first year-over-year growth since 2023, supporting a recovery narrative. Read More.
• Neutral Sentiment: Ongoing trading/legal dispute tied to the recent short‑squeeze — Avis says a hedge fund owes it money; outcome uncertain but could move the stock if resolved. Read More.
• Neutral Sentiment: Analyst stance mixed — Jefferies reaffirmed a “hold” and raised its PT to $160 (still below the stock), signaling cautious steadiness rather than a clear buy signal. Read More.
• Neutral Sentiment: Relative peer action — Hertz jumped after an unrelated Uber robotaxi deal while Avis’s move was modest, showing some catalysts are idiosyncratic to peers. Read More.
• Negative Sentiment: Analyst downgrade from JPMorgan — JPM lowered its price target to $140 and moved to an “underweight” stance, signaling ~24% downside from current levels and adding selling pressure. Read More.
• Negative Sentiment: Q1 EPS miss — the company posted a wider loss (‑$8.01 vs. est. ‑$6.82), which triggered headline‑driven selling and contributed to intraday volatility. Read More.
• Negative Sentiment: Significant insider/institutional selling — recent EVP sales (Ravi Simhambhatla and Edward Linnen) and a major shareholder block sale (~$1.47M) have increased share supply and pressured sentiment. SEC filing for Ravi Simhambhatla: Read More.; major holder sale coverage: Read More.
• Negative Sentiment: Heightened volatility and bearish flows — trading halts, a surge in put buying and headlines about short‑squeeze reversals increase downside risk and make trading unpredictable. Read More.

Avis Budget Group Company Profile

Avis Budget Group, Inc operates as a leading global provider of vehicle rental and mobility solutions. Through its two core brands, Avis® and Budget®, the company offers a broad range of rental options including daily, weekly and monthly car rentals for leisure and business travelers. In addition to traditional airport and off-airport car rental services, Avis Budget Group delivers innovative mobility platforms such as car-sharing programs and connected fleet solutions designed to meet the evolving needs of corporate, government and individual customers.

The company's roots trace back to Avis Rent a Car, founded in 1946, and Budget Rent a Car, established in 1958.

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