Traders Purchase Large Volume of Put Options on Avis Budget Group (NASDAQ:CAR)

Avis Budget Group, Inc. (NASDAQ:CAR) was the recipient of unusually large options trading on Wednesday. Stock investors bought 43,035 put options on the company. This represents an increase of approximately 727% compared to the average volume of 5,205 put options.

Avis Budget Group Price Performance

CAR stock traded down $7.02 during trading on Wednesday, hitting $127.89. The stock had a trading volume of 182,494 shares, compared to its average volume of 1,111,961. Avis Budget Group has a twelve month low of $54.03 and a twelve month high of $212.81. The company’s 50-day moving average price is $137.92 and its two-hundred day moving average price is $153.73. The stock has a market capitalization of $4.50 billion, a P/E ratio of -2.14 and a beta of 2.29.

Avis Budget Group (NASDAQ:CAR) last released its earnings results on Monday, October 27th. The business services provider reported $10.11 earnings per share for the quarter, beating the consensus estimate of $8.11 by $2.00. The firm had revenue of $3.52 billion during the quarter, compared to analysts’ expectations of $3.47 billion. The business’s revenue was up 1.1% compared to the same quarter last year. During the same quarter last year, the business earned $6.65 EPS. As a group, sell-side analysts expect that Avis Budget Group will post 8.91 EPS for the current fiscal year.

Institutional Trading of Avis Budget Group

A number of hedge funds have recently bought and sold shares of CAR. Deseret Mutual Benefit Administrators boosted its stake in Avis Budget Group by 102.3% during the third quarter. Deseret Mutual Benefit Administrators now owns 174 shares of the business services provider’s stock worth $28,000 after buying an additional 88 shares during the period. Fifth Third Bancorp boosted its position in shares of Avis Budget Group by 32.6% during the 2nd quarter. Fifth Third Bancorp now owns 228 shares of the business services provider’s stock worth $39,000 after purchasing an additional 56 shares during the period. Hantz Financial Services Inc. increased its holdings in Avis Budget Group by 136.4% in the 3rd quarter. Hantz Financial Services Inc. now owns 253 shares of the business services provider’s stock valued at $41,000 after purchasing an additional 146 shares during the last quarter. American Wealth Advisors LLC acquired a new position in Avis Budget Group during the third quarter worth $41,000. Finally, Northwestern Mutual Wealth Management Co. boosted its position in shares of Avis Budget Group by 26.5% during the third quarter. Northwestern Mutual Wealth Management Co. now owns 363 shares of the business services provider’s stock worth $58,000 after buying an additional 76 shares during the period. Institutional investors and hedge funds own 96.35% of the company’s stock.

Wall Street Analysts Forecast Growth

CAR has been the subject of a number of analyst reports. Weiss Ratings reissued a “sell (d)” rating on shares of Avis Budget Group in a report on Wednesday, October 8th. Morgan Stanley reaffirmed an “equal weight” rating and set a $142.00 target price (up from $115.00) on shares of Avis Budget Group in a report on Monday, December 8th. Zacks Research upgraded shares of Avis Budget Group from a “strong sell” rating to a “hold” rating in a research note on Tuesday, November 18th. Barclays lowered their price target on shares of Avis Budget Group from $150.00 to $120.00 and set an “equal weight” rating on the stock in a report on Monday, November 3rd. Finally, Susquehanna decreased their price objective on shares of Avis Budget Group from $145.00 to $130.00 and set a “neutral” rating for the company in a research report on Wednesday, October 29th. One equities research analyst has rated the stock with a Buy rating, five have assigned a Hold rating and three have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Reduce” and a consensus price target of $137.57.

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.