Vanguard Group Inc. Has $122.21 Million Stock Position in Avis Budget Group, Inc. $CAR

Key Points

• Vanguard Group Inc. increased its stakes in Avis Budget Group by 2.9%, owning approximately 4.58% of the company's shares valued at about $122.2 million.
• Avis Budget Group reported earnings of $0.10 per share, significantly missing expectations of $2.02, despite slightly exceeding revenue estimates.
• Insider trading activity included EVP Edward P. Linnen and Director Bernardo Hees selling substantial shares, indicating a notable decrease in their ownership percentages.

Vanguard Group Inc. raised its stake in Avis Budget Group, Inc. (NASDAQ:CAR - Free Report) by 2.9% during the first quarter, according to its most recent disclosure with the SEC. The fund owned 1,610,186 shares of the business services provider's stock after buying an additional 46,038 shares during the quarter. Vanguard Group Inc. owned approximately 4.58% of Avis Budget Group worth $122,213,000 as of its most recent SEC filing.

Other hedge funds also recently added to or reduced their stakes in the company. UMB Bank n.a. increased its holdings in shares of Avis Budget Group by 106.9% during the first 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. Sterling Capital Management LLC increased its holdings in shares of Avis Budget Group by 41.3% during the fourth quarter. Sterling Capital Management LLC now owns 736 shares of the business services provider's stock valued at $59,000 after purchasing an additional 215 shares during the period. New Age Alpha Advisors LLC acquired a new position in shares of Avis Budget Group during the first quarter valued at $104,000. Schonfeld Strategic Advisors LLC acquired a new position in shares of Avis Budget Group during the fourth quarter valued at $207,000. Finally, Ethic Inc. acquired a new position in shares of Avis Budget Group during the fourth quarter valued at $207,000. 96.35% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of research firms recently issued reports on CAR. Bank of America reaffirmed an "underperform" rating and set a $113.00 target price (down from $120.00) on shares of Avis Budget Group in a report on Wednesday, August 20th. JPMorgan Chase & Co. reaffirmed a "neutral" rating and set a $155.00 target price on shares of Avis Budget Group in a report on Thursday, July 31st. Wall Street Zen raised Avis Budget Group from a "sell" rating to a "hold" rating in a report on Saturday, May 3rd. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and set a $196.00 target price (up from $130.00) on shares of Avis Budget Group in a report on Thursday, July 10th. Finally, Barclays lifted their target price on Avis Budget Group from $105.00 to $150.00 and gave the stock an "equal weight" rating in a report on Monday, August 4th. One research analyst has rated the stock with a Buy rating, four have given a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Reduce" and a consensus target price of $143.80.

Insider Buying and Selling at Avis Budget Group

In other news, EVP Edward P. Linnen sold 10,000 shares of the company's stock in a transaction on Friday, August 15th. The shares were sold at an average price of $156.83, for a total value of $1,568,300.00. Following the transaction, the executive vice president directly owned 40,915 shares of the company's stock, valued at approximately $6,416,699.45. This represents a 19.64% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Bernardo Hees sold 402,200 shares of the stock in a transaction 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 sale, the director owned 116,521 shares of the company's stock, valued at approximately $18,246,023.39. This represents a 77.54% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 52.80% of the company's stock.

Avis Budget Group Stock Performance

Shares of CAR stock traded up $3.72 on Wednesday, reaching $156.95. 699,325 shares of the company's stock traded hands, compared to its average volume of 1,266,448. The company has a market capitalization of $5.52 billion, a P/E ratio of -2.48 and a beta of 2.19. Avis Budget Group, Inc. has a 12-month low of $54.03 and a 12-month high of $212.81. The business's 50 day moving average price is $172.31 and its two-hundred day moving average price is $118.57.

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

About Avis Budget Group

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.