Avis Budget Group (NASDAQ:CAR) Stock Price Crosses Above 50 Day Moving Average on Disappointing Earnings

Avis Budget Group, Inc. (NASDAQ:CAR) passed above its fifty day moving average during trading on Wednesday after the company announced better than expected quarterly earnings. The stock has a fifty day moving average of $115.06 and traded as high as $126.88. Avis Budget Group shares last traded at $119.81, with a volume of 878,874 shares trading hands.

The business services provider reported $5.15 earnings per share for the quarter, missing the consensus estimate of $8.01 by ($2.86). The company had revenue of $3.44 billion for the quarter, compared to analysts’ expectations of $3.42 billion. During the same quarter last year, the business posted $10.11 EPS. The firm’s revenue for the quarter was down 2.4% compared to the same quarter last year.

Key Headlines Impacting Avis Budget Group

Here are the key news stories impacting Avis Budget Group this week:

• Positive Sentiment: Avis projected approximately $850 million in full-year 2026 adjusted EBITDA and said it is targeting tangible benefits from revenue-management initiatives by summer 2027. Avis Budget 2026 outlook
• Positive Sentiment: Utilization gains helped offset a slowdown in travel demand, while quarterly revenue of $3.44 billion came in slightly above analyst expectations. Q3 deep dive
• Negative Sentiment: Third-quarter EPS was $5.15, well below the cited consensus estimate of $8.01 and down from $10.11 a year earlier. Revenue fell 2.4% year over year, and reports pointed to higher costs and mobility competition as pressures on profits. Competition and fleet costs weigh on profits

Analysts Set New Price Targets

A number of equities research analysts have issued reports on CAR shares. Wall Street Zen cut Avis Budget Group from a “hold” rating to a “sell” rating in a research note on Saturday, August 1st. Susquehanna reaffirmed a “neutral” rating and issued a $125.00 price objective on shares of Avis Budget Group in a report on Wednesday. The Goldman Sachs Group lifted their price objective on shares of Avis Budget Group from $85.00 to $95.00 and gave the company a “sell” rating in a research report on Friday, July 24th. Morgan Stanley reduced their target price on shares of Avis Budget Group from $99.00 to $95.00 and set an “equal weight” rating for the company in a research note on Friday, September 11th. Finally, Barclays decreased their target price on shares of Avis Budget Group from $160.00 to $115.00 and set an “equal weight” rating for the company in a research report on Monday. Five equities research analysts have rated the stock with a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Reduce” and a consensus target price of $117.14.

Institutional Investors Weigh In On Avis Budget Group

Several institutional investors have recently bought and sold shares of the stock. Hollencrest Capital Management acquired a new position in Avis Budget Group during the 1st quarter valued at about $44,000. Allworth Financial LP bought a new stake in shares of Avis Budget Group during the 2nd quarter worth about $77,000. Nykredit A S bought a new stake in shares of Avis Budget Group during the 2nd quarter worth about $80,000. Parallel Advisors LLC raised its position in shares of Avis Budget Group by 11.6% during the 1st quarter. Parallel Advisors LLC now owns 587 shares of the business services provider’s stock worth $86,000 after buying an additional 61 shares in the last quarter. Finally, GAMMA Investing LLC lifted its stake in shares of Avis Budget Group by 11.0% in the 3rd quarter. GAMMA Investing LLC now owns 1,140 shares of the business services provider’s stock worth $122,000 after acquiring an additional 113 shares during the period. Institutional investors and hedge funds own 96.35% of the company’s stock.

Avis Budget Group Stock Performance

The business’s 50 day moving average price is $115.06 and its two-hundred day moving average price is $152.96. The company has a market capitalization of $4.23 billion, a price-to-earnings ratio of -5.18 and a beta of 1.95.

Avis Budget Group Company Profile

Avis Budget Group, Inc is a provider of mobility and vehicle-rental services. Through its Avis and Budget brands, the company offers car and truck rentals to business and leisure customers, serving travelers through airport and neighborhood locations as well as digital booking channels.

The company also operates Zipcar, a car-sharing service that provides members with access to vehicles for short-term use. Its brand portfolio has also included Payless, which serves value-oriented rental customers.