Avis Budget Group (NASDAQ:CAR) Rating Lowered to Sell at Wall Street Zen

Avis Budget Group (NASDAQ:CAR) was downgraded by analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a note issued to investors on Saturday.

Several other brokerages also recently commented on CAR. Barclays reduced their target price on 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. Weiss Ratings reissued a “sell (d)” rating on shares of Avis Budget Group in a research note on Wednesday, January 21st. Morgan Stanley reiterated an “equal weight” rating and set a $142.00 target price (up previously from $115.00) on shares of Avis Budget Group in a report on Monday, December 8th. Zacks Research upgraded Avis Budget Group from a “strong sell” rating to a “hold” rating in a report on Tuesday, November 18th. Finally, Susquehanna dropped their target price on Avis Budget Group from $145.00 to $130.00 and set a “neutral” rating on the stock in a research report on Wednesday, October 29th. One equities research analyst has rated the stock with a Buy rating, five have given a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, Avis Budget Group presently has a consensus rating of “Reduce” and an average target price of $137.57.

Avis Budget Group Trading Down 0.3%

Shares of Avis Budget Group stock opened at $96.47 on Friday. The company’s fifty day simple moving average is $123.10 and its 200-day simple moving average is $139.50. Avis Budget Group has a 1 year low of $54.03 and a 1 year high of $212.81. The company has a market cap of $3.40 billion, a price-to-earnings ratio of -3.80 and a beta of 2.33.

Institutional Investors Weigh In On Avis Budget Group

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in CAR. UBS Group AG grew its stake in Avis Budget Group by 37.3% during the 4th quarter. UBS Group AG now owns 2,964,807 shares of the business services provider’s stock valued at $380,444,000 after purchasing an additional 804,814 shares during the last quarter. Morgan Stanley boosted its position in shares of Avis Budget Group by 38.1% during the 4th quarter. Morgan Stanley now owns 1,975,675 shares of the business services provider’s stock valued at $253,519,000 after acquiring an additional 545,574 shares during the last quarter. Hsbc Holdings PLC raised its position in shares of Avis Budget Group by 48,706.7% during the 2nd quarter. Hsbc Holdings PLC now owns 1,552,542 shares of the business services provider’s stock valued at $256,629,000 after buying an additional 1,549,361 shares during the period. National Bank of Canada FI grew its holdings in shares of Avis Budget Group by 46.6% during the 3rd quarter. National Bank of Canada FI now owns 1,290,000 shares of the business services provider’s stock worth $207,142,000 after purchasing an additional 409,761 shares during the period. Finally, ING Groep NV increased its position in shares of Avis Budget Group by 440.2% during the third quarter. ING Groep NV now owns 1,035,000 shares of the business services provider’s stock valued at $166,195,000 after acquiring an additional 843,400 shares during the last quarter. 96.35% of the stock is currently owned by hedge funds and other institutional investors.

Avis Budget Group News Summary

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

• Positive Sentiment: Management outlined a structural reset and plans to drive higher fleet utilization in 2026, signaling a clear operational plan to restore margins and cash flow over the coming year. Avis Budget Group outlines structural reset and plans for higher fleet utilization in 2026
• Neutral Sentiment: The company released its Q4 and full-year 2025 results and the earnings presentation/call transcript (useful for details on adjustments, segment results, and management commentary). Avis Budget Group Reports Fourth Quarter and Full Year Results Q4 2025 Earnings Call Transcript
• Neutral Sentiment: Company said the recent U.S. government shutdown contributed to weaker Q4 demand, providing a partial, but limited, explanation for the quarter’s softness. Avis Budget: Gov’t Shutdown Contributed to ‘Difficult’ Q4
• Negative Sentiment: Management posted a roughly $500M impairment tied to its EV fleet, and signaled a strategic pullback from EV deployment — a large one-time charge that materially reduced reported profitability. Avis Budget Group outlines structural reset and plans for higher fleet utilization in 2026
• Negative Sentiment: Q4 and full-year results missed consensus: revenue and adj. EBITDA came in below Street expectations, with near-zero Q4 EBITDA versus guidance — raising questions on near-term profit recovery. Avis Budget Group: A Broad Q4 Miss, A Big Impairment, And A Familiar Outcome
• Negative Sentiment: Shares had an earlier sharp drop after the Q4 release as investors digested the EV write-down, revenue miss and weaker demand trends; press coverage highlights the continued cost of the EV strategy shift. Avis Budget shares tumble 14% as EV fleet challenges drive Q4 loss, revenue miss
• Neutral Sentiment: Reported short-interest data in the notes appears anomalous/zeroed and is not a reliable signal from the latest filings. (No actionable change indicated.)

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.