Avis Budget Group (NASDAQ:CAR) Shares Gap Up – Time to Buy?

Avis Budget Group, Inc. (NASDAQ:CAR) gapped up prior to trading on Tuesday. The stock had previously closed at $118.83, but opened at $126.22. Avis Budget Group shares last traded at $125.4290, with a volume of 11,123 shares changing hands.

Analyst Ratings Changes

A number of research analysts have commented on the company. The Goldman Sachs Group upped their price target on Avis Budget Group from $94.00 to $108.00 and gave the stock a “sell” rating in a research note on Thursday, November 5th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Avis Budget Group in a research note on Monday, August 17th. Zacks Research downgraded Avis Budget Group from a “hold” rating to a “strong sell” rating in a report on Monday, October 19th. Barclays decreased their target price on Avis Budget Group from $160.00 to $115.00 and set an “equal weight” rating on the stock in a research note on Monday, November 2nd. Finally, Morgan Stanley decreased their target price on Avis Budget Group from $99.00 to $95.00 and set an “equal weight” rating on the stock in a research note on Friday, September 11th. Five equities research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company. According to MarketBeat, Avis Budget Group presently has an average rating of “Reduce” and an average target price of $116.14.

Avis Budget Group Stock Up 2.6%

The business’s fifty day moving average is $113.23 and its two-hundred day moving average is $152.95.

Avis Budget Group (NASDAQ:CAR) last released its earnings results on Tuesday, November 3rd. The business services provider reported $5.15 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $8.01 by ($2.86). The business had revenue of $3.44 billion for the quarter, compared to the consensus estimate of $3.42 billion. During the same quarter in the previous year, the business posted $10.11 EPS. The firm’s quarterly revenue was down 2.4% compared to the same quarter last year. Research analysts expect that Avis Budget Group, Inc. will post 1.08 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, Director Lynn Krominga sold 28,404 shares of the stock in a transaction on Friday, November 6th. The stock was sold at an average price of $120.25, for a total value of $3,415,581.00. Following the sale, the director directly owned 1,762 shares in the company, valued at approximately $211,880.50. This trade represents a 94.16% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Glenn Lurie sold 6,101 shares of the stock in a transaction on Friday, November 6th. The shares were sold at an average price of $120.38, for a total value of $734,438.38. Following the completion of the sale, the director owned 11,508 shares in the company, valued at approximately $1,385,333.04. The trade was a 34.65% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 50.48% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Avis Budget Group

A number of hedge funds have recently bought and sold shares of the stock. Pentwater Capital Management LP purchased a new position in shares of Avis Budget Group in the 2nd quarter valued at about $371,541,000. Hsbc Holdings PLC purchased a new stake in shares of Avis Budget Group during the second quarter worth approximately $247,773,000. BlackRock Inc. purchased a new stake in shares of Avis Budget Group during the second quarter worth approximately $245,413,000. Cibc World Market Inc. acquired a new stake in Avis Budget Group in the second quarter valued at approximately $73,915,000. Finally, Mizuho Markets Americas LLC raised its holdings in Avis Budget Group by 7.4% in the first quarter. Mizuho Markets Americas LLC now owns 400,000 shares of the business services provider’s stock valued at $58,340,000 after acquiring an additional 27,500 shares in the last quarter. Institutional investors and hedge funds own 96.35% of the company’s stock.

Avis Budget Group Company Profile

Avis Budget Group, Inc. is a global vehicle rental provider operating primarily through the Avis and Budget brands. Its services include short- and longer-term car rentals for leisure and business travelers, as well as vehicle rental solutions for businesses and other organizations. The company also operates Zipcar, a car-sharing service that lets members reserve vehicles for short periods. In the United States, its offerings include Budget Truck rentals. Avis Budget Group serves customers through company-operated locations and licensees across North America and other regions worldwide.