Avis Budget Group (CAR) Stock Sinks As Market Gains: What You Should Know
Avis Budget Group (CAR) closed at $224.44 in the latest trading session, marking a -0.84% move from the prior day. This move lagged the S&P 500's daily gain of 0.4%. Meanwhile, the Dow gained 0.52%, and the Nasdaq, a tech-heavy index, added 10.86%.
Heading into today, shares of the car rental company had gained 1.13% over the past month, lagging the Business Services sector's gain of 2.98% and the S&P 500's gain of 3.98% in that time.
Wall Street will be looking for positivity from Avis Budget Group as it approaches its next earnings report date. This is expected to be July 31, 2023. On that day, Avis Budget Group is projected to report earnings of $9.78 per share, which would represent a year-over-year decline of 38.64%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.19 billion, down 1.64% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $35.14 per share and revenue of $12.11 billion. These totals would mark changes of -39.47% and +0.98%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for Avis Budget Group. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 2.85% higher within the past month. Avis Budget Group is holding a Zacks Rank of #2 (Buy) right now.
Valuation is also important, so investors should note that Avis Budget Group has a Forward P/E ratio of 6.44 right now. Its industry sports an average Forward P/E of 15.16, so we one might conclude that Avis Budget Group is trading at a discount comparatively.
The Business - Services industry is part of the Business Services sector. This industry currently has a Zacks Industry Rank of 119, which puts it in the top 48% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Avis Budget Group, Inc. (CAR) : Free Stock Analysis Report
