Avis Budget Group (NASDAQ:CAR) Upgraded to "Hold" at Zacks Research

Key Points

• Avis Budget Group has been upgraded by Zacks Research from a "strong sell" to a "hold" rating, indicating a shift in analysts' outlook on the company.
• The company reported a loss of $1.92 per share in its recent quarterly earnings, missing the consensus estimate of $2.02.
• As of now, Avis Budget Group's stock has a consensus rating of "Reduce" with an average target price of $143.80.

Avis Budget Group (NASDAQ:CAR - Get Free Report) was upgraded by analysts at Zacks Research from a "strong sell" rating to a "hold" rating in a research note issued to investors on Thursday,Zacks.com reports. Zacks Research also issued estimates for Avis Budget Group's Q3 2025 earnings at $8.99 EPS, Q4 2025 earnings at $0.86 EPS, FY2025 earnings at ($4.40) EPS, Q1 2026 earnings at ($1.83) EPS, Q2 2026 earnings at $3.42 EPS, Q3 2026 earnings at $6.56 EPS, Q4 2026 earnings at $1.41 EPS, FY2026 earnings at $9.56 EPS, Q1 2027 earnings at $1.56 EPS, Q2 2027 earnings at $2.95 EPS and FY2027 earnings at $10.32 EPS.

Other equities analysts have also issued reports about the company. Wall Street Zen raised Avis Budget Group from a "sell" rating to a "hold" rating in a research note on Saturday, May 3rd. JPMorgan Chase & Co. restated a "neutral" rating and set a $155.00 price target on shares of Avis Budget Group in a report on Thursday, July 31st. The Goldman Sachs Group reaffirmed a "sell" rating and issued a $105.00 price objective (up from $87.00) on shares of Avis Budget Group in a research note on Friday, August 1st. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and set a $196.00 price objective (up from $130.00) on shares of Avis Budget Group in a research report on Thursday, July 10th. Finally, Bank of America restated an "underperform" rating and issued a $113.00 target price (down previously from $120.00) on shares of Avis Budget Group in a report on Wednesday. One investment analyst has rated the stock with a Buy rating, four have issued a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Reduce" and an average target price of $143.80.

Avis Budget Group Stock Performance

Shares of NASDAQ:CAR opened at $155.49 on Thursday. Avis Budget Group has a 52 week low of $54.03 and a 52 week high of $212.81. The firm has a market cap of $5.47 billion, a PE ratio of -2.46 and a beta of 2.19. The firm's fifty day moving average is $170.75 and its 200-day moving average is $117.21.

Avis Budget Group (NASDAQ:CAR - Get Free Report) last announced its earnings results on Tuesday, July 29th. The business services provider reported $0.10 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.02 by ($1.92). The company had revenue of $3.04 billion for the quarter, compared to the consensus estimate 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 firm's revenue for the quarter was down .3% on a year-over-year basis. During the same period in the prior year, the business earned $0.41 earnings per share. Sell-side analysts forecast that Avis Budget Group will post 8.91 EPS for the current year.

Insider Buying and Selling at Avis Budget Group

In other news, EVP Edward P. Linnen sold 10,000 shares of the stock in a transaction dated Friday, August 15th. The shares were sold at an average price of $156.83, for a total transaction of $1,568,300.00. Following the transaction, the executive vice president owned 40,915 shares of the company's stock, valued at $6,416,699.45. This represents a 19.64% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Bernardo Hees sold 402,200 shares of the company's stock in a transaction that occurred on 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 transaction, the director directly owned 116,521 shares in the company, valued at approximately $18,246,023.39. This trade represents a 77.54% decrease in their ownership of the stock. The disclosure for this sale can be found here. 52.80% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Avis Budget Group

A number of large investors have recently modified their holdings of CAR. UMB Bank n.a. grew its position in Avis Budget Group by 106.9% in the 1st quarter. UMB Bank n.a. now owns 478 shares of the business services provider's stock valued at $36,000 after purchasing an additional 247 shares during the period. Fifth Third Bancorp grew its holdings in shares of Avis Budget Group by 32.6% during the second quarter. Fifth Third Bancorp now owns 228 shares of the business services provider's stock valued at $39,000 after buying an additional 56 shares during the last quarter. Caitong International Asset Management Co. Ltd raised its holdings in shares of Avis Budget Group by 421.1% in the 1st quarter. Caitong International Asset Management Co. Ltd now owns 839 shares of the business services provider's stock worth $64,000 after acquiring an additional 678 shares during the last quarter. Quarry LP boosted its position in shares of Avis Budget Group by 399.5% during the first quarter. Quarry LP now owns 909 shares of the business services provider's stock valued at $69,000 after buying an additional 727 shares during the last quarter. Finally, EverSource Wealth Advisors LLC lifted its position in shares of Avis Budget Group by 19.6% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 427 shares of the business services provider's stock worth $72,000 after buying an additional 70 shares in the last quarter. 96.35% of the stock is currently owned by institutional investors.

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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