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Avis Budget Group (CAR) Outpaces Stock Market Gains: What You Should Know
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Avis Budget Group (CAR - Free Report) closed at $239.18 in the latest trading session, marking a +1.26% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.67%. Meanwhile, the Dow gained 0.93%, and the Nasdaq, a tech-heavy index, added 9.29%.
Heading into today, shares of the car rental company had gained 17.57% over the past month, outpacing the Business Services sector's gain of 2.2% and the S&P 500's gain of 2.65% in that time.
Avis Budget Group will be looking to display strength as it nears its next earnings release, which 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.
It is also important to note the recent changes to analyst estimates for Avis Budget Group. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 3.17% higher. Avis Budget Group is holding a Zacks Rank of #1 (Strong Buy) right now.
Digging into valuation, Avis Budget Group currently has a Forward P/E ratio of 6.72. For comparison, its industry has an average Forward P/E of 14.87, which means Avis Budget Group is trading at a discount to the group.
The Business - Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 85, putting it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Avis Budget Group (CAR) Outpaces Stock Market Gains: What You Should Know
Avis Budget Group (CAR - Free Report) closed at $239.18 in the latest trading session, marking a +1.26% move from the prior day. The stock outpaced the S&P 500's daily gain of 0.67%. Meanwhile, the Dow gained 0.93%, and the Nasdaq, a tech-heavy index, added 9.29%.
Heading into today, shares of the car rental company had gained 17.57% over the past month, outpacing the Business Services sector's gain of 2.2% and the S&P 500's gain of 2.65% in that time.
Avis Budget Group will be looking to display strength as it nears its next earnings release, which 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.
It is also important to note the recent changes to analyst estimates for Avis Budget Group. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 3.17% higher. Avis Budget Group is holding a Zacks Rank of #1 (Strong Buy) right now.
Digging into valuation, Avis Budget Group currently has a Forward P/E ratio of 6.72. For comparison, its industry has an average Forward P/E of 14.87, which means Avis Budget Group is trading at a discount to the group.
The Business - Services industry is part of the Business Services sector. This group has a Zacks Industry Rank of 85, putting it in the top 34% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.