Zacks Research Issues Pessimistic Forecast for CAR Earnings

Key Points

• Zacks Research has lowered its earnings per share estimates for Avis Budget Group's Q3 2025 from $10.01 to $8.99, with the full-year estimate set at $8.91.
• Institutional investors hold 96.35% of Avis Budget Group's stock, with significant purchases noted from HSBC Holdings PLC and National Bank of Canada FI in the latest quarter.
• After reporting Q2 earnings that missed analysts' expectations, Avis Budget Group's stock received a mixed bag of ratings, with price targets ranging from $105 to $155.

Avis Budget Group, Inc. (NASDAQ:CAR - Free Report) - Analysts at Zacks Research dropped their Q3 2025 earnings estimates for Avis Budget Group in a research report issued on Tuesday, August 19th. Zacks Research analyst Team now anticipates that the business services provider will post earnings per share of $8.99 for the quarter, down from their previous estimate of $10.01. Zacks Research currently has a "Hold" rating on the stock. The consensus estimate for Avis Budget Group's current full-year earnings is $8.91 per share. Zacks Research also issued estimates for Avis Budget Group's FY2025 earnings at ($4.40) EPS, Q1 2026 earnings at ($1.83) 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.

Avis Budget Group (NASDAQ:CAR - Get Free Report) last issued its earnings results 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). 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 period last year, the firm earned $0.41 earnings per share. Avis Budget Group's revenue for the quarter was down .3% on a year-over-year basis.

A number of other brokerages have also recently weighed in on CAR. 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. Barclays upped their price target on shares of Avis Budget Group from $105.00 to $150.00 and gave the company an "equal weight" rating in a research report on Monday, August 4th. Bank of America reiterated an "underperform" rating and issued a $113.00 price target (down previously from $120.00) on shares of Avis Budget Group in a research report on Wednesday. The Goldman Sachs Group restated a "sell" rating and set a $105.00 price objective (up previously from $87.00) on shares of Avis Budget Group in a research report on Friday, August 1st. Finally, Wall Street Zen raised shares of Avis Budget Group from a "sell" rating to a "hold" rating in a research note on Saturday, May 3rd. 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 stock. According to MarketBeat.com, the company has an average rating of "Reduce" and an average price target of $143.80.

Avis Budget Group Stock Up 3.5%

Shares of CAR traded up $5.20 during trading on Friday, reaching $155.49. 1,290,462 shares of the company traded hands, compared to its average volume of 1,280,600. Avis Budget Group has a twelve month low of $54.03 and a twelve month high of $212.81. The stock has a market cap of $5.47 billion, a PE ratio of -2.46 and a beta of 2.19. The stock has a 50-day simple moving average of $170.75 and a 200-day simple moving average of $117.60.

Institutional Trading of Avis Budget Group

Several institutional investors and hedge funds have recently bought and sold shares of CAR. Hsbc Holdings PLC increased its holdings in shares of Avis Budget Group by 48,706.7% in the 2nd quarter. Hsbc Holdings PLC now owns 1,552,542 shares of the business services provider's stock valued at $256,629,000 after purchasing an additional 1,549,361 shares during the period. National Bank of Canada FI increased its holdings in shares of Avis Budget Group by 166.7% in 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. Steadfast Capital Management LP acquired a new position in shares of Avis Budget Group in the 4th quarter valued at about $25,747,000. Mizuho Markets Americas LLC acquired a new position in shares of Avis Budget Group in the 1st quarter valued at about $18,975,000. Finally, Nomura Holdings Inc. increased its holdings in shares of Avis Budget Group by 93.2% in the 4th quarter. Nomura Holdings Inc. now owns 490,473 shares of the business services provider's stock valued at $39,537,000 after purchasing an additional 236,576 shares during the period. Institutional investors and hedge funds own 96.35% of the company's stock.

Insider Transactions at Avis Budget Group

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

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.