Avis Budget Group (NASDAQ:CAR) Trading Down 6.7% – Time to Sell?

Avis Budget Group, Inc. (NASDAQ:CAR)’s share price was down 6.7% during mid-day trading on Monday . The company traded as low as $155.93 and last traded at $155.2750. Approximately 205,005 shares were traded during trading, a decline of 88% from the average session volume of 1,770,620 shares. The stock had previously closed at $166.49.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently commented on CAR shares. Jefferies Financial Group cut shares of Avis Budget Group from a “buy” rating to a “hold” rating and lifted their price target for the stock from $112.00 to $160.00 in a research report on Friday, May 1st. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $125.00 price objective on shares of Avis Budget Group in a research note on Friday, May 1st. Morgan Stanley lifted their target price on shares of Avis Budget Group from $97.00 to $99.00 and gave the stock an “equal weight” rating in a report on Wednesday, May 20th. Wall Street Zen upgraded shares of Avis Budget Group from a “sell” rating to a “hold” rating in a research report on Saturday, May 2nd. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Avis Budget Group in a research report on Wednesday, May 20th. Six research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company’s stock. Based on data from MarketBeat, Avis Budget Group currently has an average rating of “Reduce” and a consensus price target of $131.50.

Avis Budget Group Trading Down 6.2%

The company has a market capitalization of $5.52 billion, a P/E ratio of -8.18 and a beta of 1.87. The business has a 50 day moving average price of $209.64 and a 200 day moving average price of $162.62.

Avis Budget Group (NASDAQ:CAR) last released its quarterly earnings data on Wednesday, April 29th. The business services provider reported ($8.01) earnings per share for the quarter, missing the consensus estimate of ($6.82) by ($1.19). The company had revenue of $2.53 billion for the quarter, compared to analyst estimates of $2.43 billion. Avis Budget Group’s revenue was up 4.1% compared to the same quarter last year. During the same quarter last year, the firm earned ($14.35) earnings per share. On average, analysts forecast that Avis Budget Group, Inc. will post 2.93 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, major shareholder Pentwater Capital Management L sold 3,347 shares of Avis Budget Group stock in a transaction on Wednesday, April 22nd. The shares were sold at an average price of $438.74, for a total transaction of $1,468,462.78. Following the transaction, the insider directly owned 6,177,100 shares of the company’s stock, valued at $2,710,140,854. This trade represents a 0.05% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Ravi Simhambhatla sold 3,469 shares of Avis Budget Group stock in a transaction on Thursday, April 30th. The stock was sold at an average price of $184.09, for a total transaction of $638,608.21. Following the transaction, the executive vice president directly owned 13,876 shares in the company, valued at approximately $2,554,432.84. This represents a 20.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 16,299 shares of company stock worth $3,836,012. Company insiders own 50.48% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Caitong International Asset Management Co. Ltd grew its stake in Avis Budget Group by 1,845.5% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 214 shares of the business services provider’s stock valued at $27,000 after acquiring an additional 203 shares during the period. Quarry LP bought a new position in shares of Avis Budget Group during the 4th quarter valued at about $27,000. Basepoint Wealth LLC bought a new position in shares of Avis Budget Group during the 4th quarter valued at about $32,000. American Wealth Advisors LLC acquired a new position in shares of Avis Budget Group in the 3rd quarter valued at approximately $41,000. Finally, Hollencrest Capital Management bought a new stake in Avis Budget Group during the 1st quarter worth approximately $44,000. 96.35% of the stock is currently owned by institutional investors.

About Avis Budget Group

Avis Budget Group, Inc operates as a leading global provider of vehicle rental and mobility solutions. Through its two core brands, Avis® and Budget®, the company offers a broad range of rental options including daily, weekly and monthly car rentals for leisure and business travelers. In addition to traditional airport and off-airport car rental services, Avis Budget Group delivers innovative mobility platforms such as car-sharing programs and connected fleet solutions designed to meet the evolving needs of corporate, government and individual customers.

The company’s roots trace back to Avis Rent a Car, founded in 1946, and Budget Rent a Car, established in 1958.