Avis Budget Group (CAR) Increases Yet Falls Behind Market: What Investors Need to Know
In the latest market close, Avis Budget Group (CAR) reached $166.04, with a +0.04% movement compared to the previous day. The stock's performance was behind the S&P 500's daily gain of 0.18%. Meanwhile, the Dow gained 0.07%, and the Nasdaq, a tech-heavy index, added 0.1%.
The car rental company's stock has dropped by 13.11% in the past month, falling short of the Transportation sector's gain of 2.25% and the S&P 500's gain of 2.75%.
Investors will be eagerly watching for the performance of Avis Budget Group in its upcoming earnings disclosure. The company is predicted to post an EPS of $4.38, indicating a 58.13% decline compared to the equivalent quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $2.8 billion, up 0.99% from the prior-year quarter.
Any recent changes to analyst estimates for Avis Budget Group should also be noted by investors. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, Avis Budget Group possesses a Zacks Rank of #3 (Hold).
Looking at its valuation, Avis Budget Group is holding a Forward P/E ratio of 6.68. This indicates a discount in contrast to its industry's Forward P/E of 14.85.
The Transportation - Services industry is part of the Transportation sector. This industry, currently bearing a Zacks Industry Rank of 205, finds itself in the bottom 19% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Avis Budget Group, Inc. (CAR) : Free Stock Analysis Report
