Avis Budget Group (NASDAQ:CAR) Shares Gap Up - Should You Buy?

Avis Budget Group, Inc. (NASDAQ:CAR - Get Free Report) gapped up prior to trading on Friday . The stock had previously closed at $83.00, but opened at $87.00. Avis Budget Group shares last traded at $95.90, with a volume of 281,759 shares trading hands.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on CAR shares. StockNews.com downgraded Avis Budget Group from a "hold" rating to a "sell" rating in a research note on Wednesday, August 14th. Barclays started coverage on shares of Avis Budget Group in a research note on Thursday, September 19th. They issued an "equal weight" rating and a $105.00 target price for the company. The Goldman Sachs Group decreased their target price on shares of Avis Budget Group from $105.00 to $90.00 and set a "neutral" rating for the company in a research report on Friday, October 11th. Susquehanna cut their price target on shares of Avis Budget Group from $120.00 to $95.00 and set a "neutral" rating on the stock in a report on Friday, August 9th. Finally, Deutsche Bank Aktiengesellschaft decreased their price objective on shares of Avis Budget Group from $155.00 to $146.00 and set a "buy" rating for the company in a report on Friday, August 30th. One research analyst has rated the stock with a sell rating, three have given a hold rating and five have assigned a buy rating to the stock. According to data from MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $136.63.

Avis Budget Group Stock Up 10.9 %

The stock has a market capitalization of $3.28 billion, a P/E ratio of 4.51 and a beta of 2.13. The firm has a 50-day moving average of $81.90 and a 200 day moving average of $96.90.

Avis Budget Group (NASDAQ:CAR - Get Free Report) last issued its earnings results on Thursday, October 31st. The business services provider reported $6.65 earnings per share for the quarter, missing the consensus estimate of $8.55 by ($1.90). Avis Budget Group had a net margin of 6.58% and a negative return on equity of 230.71%. The business had revenue of $3.48 billion for the quarter, compared to analyst estimates of $3.53 billion. During the same quarter last year, the firm posted $16.78 earnings per share. Avis Budget Group's revenue was down 2.4% on a year-over-year basis. Analysts predict that Avis Budget Group, Inc. will post 6.66 EPS for the current fiscal year.

Institutional Trading of Avis Budget Group

Large investors have recently bought and sold shares of the stock. Central Valley Advisors LLC bought a new position in shares of Avis Budget Group in the second quarter valued at approximately $25,000. EntryPoint Capital LLC raised its position in Avis Budget Group by 119.2% in the 1st quarter. EntryPoint Capital LLC now owns 228 shares of the business services provider's stock valued at $28,000 after purchasing an additional 124 shares during the last quarter. Strategic Investment Solutions Inc. IL boosted its stake in Avis Budget Group by 198.3% in the third quarter. Strategic Investment Solutions Inc. IL now owns 361 shares of the business services provider's stock worth $32,000 after purchasing an additional 240 shares in the last quarter. Nisa Investment Advisors LLC grew its holdings in shares of Avis Budget Group by 293.3% during the third quarter. Nisa Investment Advisors LLC now owns 409 shares of the business services provider's stock worth $36,000 after purchasing an additional 305 shares during the last quarter. Finally, Signaturefd LLC increased its holdings in shares of Avis Budget Group by 180.0% in the second quarter. Signaturefd LLC now owns 714 shares of the business services provider's stock valued at $75,000 after purchasing an additional 459 shares in the last quarter. 96.35% of the stock is currently owned by institutional investors.

About Avis Budget Group

Avis Budget Group, Inc, together with its subsidiaries, provides car and truck rentals, car sharing, and ancillary products and services to businesses and consumers in the Americas, Europe, the Middle East and Africa, Asia, and Australasia. It operates the Avis brand, that offers vehicle rental and other mobility solutions to the premium commercial and leisure segments of the travel industry; and the Zipcar brand, a car sharing network, as well as the Budget brand, a supplier of vehicle rental and other mobility solutions focused primarily on more value-conscious customers comprising Budget car rental, and Budget Truck, a local, and one-way truck and cargo van rental businesses with a fleet of approximately 19,000 vehicles, which are rented through a network of dealer-operated and company-operated locations that serve the light commercial and consumer sectors in the continental United States.