Mountain Lake Investment Management LLC Has $8.21 Million Holdings in Avis Budget Group, Inc. $CAR

Key Points

• Mountain Lake Investment Management LLC raised its stake in Avis Budget Group, Inc. by 60.2% in the first quarter, owning 108,185 shares worth approximately $8.21 million, making it the firm's third largest position.
• Avis Budget Group reported a negative earnings per share (EPS) of $0.10 for the last quarter, missing estimates of $2.02, with revenues experiencing a 0.3% decline year-over-year.
• Wall Street analysts have mixed ratings on Avis Budget Group, with a consensus target price of $143.80 and one analyst rating it a Buy while others have given Hold and Sell ratings.

Mountain Lake Investment Management LLC raised its position in shares of Avis Budget Group, Inc. (NASDAQ:CAR - Free Report) by 60.2% during the 1st quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 108,185 shares of the business services provider's stock after purchasing an additional 40,638 shares during the quarter. Avis Budget Group accounts for about 7.7% of Mountain Lake Investment Management LLC's investment portfolio, making the stock its 3rd largest position. Mountain Lake Investment Management LLC owned approximately 0.31% of Avis Budget Group worth $8,211,000 at the end of the most recent reporting period.

Several other hedge funds have also recently modified their holdings of CAR. Price T Rowe Associates Inc. MD raised its stake in shares of Avis Budget Group by 17.5% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 14,180 shares of the business services provider's stock valued at $1,144,000 after acquiring an additional 2,111 shares during the period. Northern Trust Corp boosted its holdings in shares of Avis Budget Group by 21.0% in the 4th quarter. Northern Trust Corp now owns 156,176 shares of the business services provider's stock valued at $12,589,000 after buying an additional 27,127 shares in the last quarter. Schonfeld Strategic Advisors LLC bought a new stake in shares of Avis Budget Group in the 4th quarter valued at about $207,000. Algert Global LLC boosted its stake in Avis Budget Group by 3.9% in the 4th quarter. Algert Global LLC now owns 23,623 shares of the business services provider's stock worth $1,904,000 after purchasing an additional 878 shares in the last quarter. Finally, Captrust Financial Advisors acquired a new stake in Avis Budget Group during the 4th quarter valued at approximately $460,000. Hedge funds and other institutional investors own 96.35% of the company's stock.

Analysts Set New Price Targets

Several research firms have recently weighed in on CAR. Barclays lifted their target price on shares of Avis Budget Group from $105.00 to $150.00 and gave the company an "equal weight" rating in a report on Monday, August 4th. Bank of America reaffirmed an "underperform" rating and issued a $113.00 target price (down previously from $120.00) on shares of Avis Budget Group in a research report on Wednesday, August 20th. 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. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $196.00 price objective (up previously from $130.00) on shares of Avis Budget Group in a report on Thursday, July 10th. Finally, JPMorgan Chase & Co. restated a "neutral" rating and set a $155.00 target price on shares of Avis Budget Group in a research report on Thursday, July 31st. One analyst has rated the stock with a Buy rating, four have issued a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, Avis Budget Group presently has a consensus rating of "Reduce" and an average target price of $143.80.

Avis Budget Group Trading Down 0.5%

CAR traded down $0.71 during midday trading on Thursday, hitting $155.07. The company's stock had a trading volume of 121,001 shares, compared to its average volume of 1,247,258. Avis Budget Group, Inc. has a 52-week low of $54.03 and a 52-week high of $212.81. The firm has a market cap of $5.46 billion, a P/E ratio of -2.45 and a beta of 2.11. The firm has a 50-day moving average price of $171.26 and a two-hundred day moving average price of $123.22.

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

Insider Buying and Selling

In other Avis Budget Group news, 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 of the company's stock, valued at $18,246,023.39. This represents a 77.54% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. Also, EVP Edward P. Linnen sold 10,000 shares of the company's stock in a transaction that occurred 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 completion of the transaction, the executive vice president directly owned 40,915 shares in the company, valued at approximately $6,416,699.45. The trade was a 19.64% 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.

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.