We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
What's in Store for Avis Budget (CAR) This Earnings Season?
Read MoreHide Full Article
Avis Budget Group, Inc. (CAR - Free Report) is scheduled to release fourth-quarter 2018 results on Feb 20, after market close.
Shares of the company have declined 30% in the past year, against the industry’s rise of 13.6%.
Let’s see how things shape up for this announcement.
Top-Line Expectations
The Zacks Consensus Estimate for fourth-quarter revenues is pegged at $2.06 billion, reflecting 2% improvement from the year-ago quarter’s figure. The upside is likely to be driven by strength in the Americas and International segments.
Revenues in the Americas segment are likely to benefit from higher rental volumes. The consensus mark for the segment in the fourth quarter is pegged at $1.39 billion, indicating year-over-year rise of 0.3%.
International segment revenues are likely to benefit from higher volume growth, which are likely to be partially offset by lower Revenue per Day. The consensus mark for the segment in the fourth quarter is pegged at $640 million, indicating year-over-year rise of 0.5%.
In third-quarter 2018, revenues of $2.8 billion moved up around 1% on a year-over-year basis. While revenues in the Americas segment increased by a slight margin year over year to $1.8 billion, revenues in the International segment were up 2.3% year over year to $934 million.
Seasonality to Affect the Bottom Line
The Zacks Consensus Estimate for earnings per share (EPS) is pegged at 31 cents, indicating year-over-year decline of 31.1%. Seasonality is expected to have a negative impact on the bottom line in the to-be-reported quarter. Customer demand is comparatively low in fall and winter seasons and high during the spring and summer vacation periods in most of the countries where Avis Budget operates. Also, the bottom line is to be hurt by higher investments in tuck-in acquisitions and degraded operational efficiency.
In third-quarter 2018, adjusted EPS of $3.33 increased 7.4% on a year-over-year basis.
Please note that according to the Zacks model, a company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) has a good chance of beating estimates if it also has a positive Earnings ESP.
Avis Budget has a Zacks Rank #3 and an Earnings ESP of 0.00%, a combination that makes surprise prediction difficult.
Stocks with a Zacks Rank #4 (Sell) or 5 (Strong Sell) are best avoided, especially if the companies are witnessing negative estimate revisions. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few stocks from the Zacks Business Services sector that investors may consider as our model shows that these have the right combination of elements to beat estimates.
EVO Payments, Inc. has an Earnings ESP of +1.89% and a Zacks Rank #3.
Conduent Incorporated (CNDT - Free Report) has an Earnings ESP of +0.95% and a Zacks Rank #3.
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, wouldn't you like to know about our 10 finest buy-and-holds for the year?
From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.
This year, the portfolio features a player that thrives on volatility, an AI comer, and a dynamic tech company that helps doctors deliver better patient outcomes at lower costs.
Image: Bigstock
What's in Store for Avis Budget (CAR) This Earnings Season?
Avis Budget Group, Inc. (CAR - Free Report) is scheduled to release fourth-quarter 2018 results on Feb 20, after market close.
Shares of the company have declined 30% in the past year, against the industry’s rise of 13.6%.
Let’s see how things shape up for this announcement.
Top-Line Expectations
The Zacks Consensus Estimate for fourth-quarter revenues is pegged at $2.06 billion, reflecting 2% improvement from the year-ago quarter’s figure. The upside is likely to be driven by strength in the Americas and International segments.
Revenues in the Americas segment are likely to benefit from higher rental volumes. The consensus mark for the segment in the fourth quarter is pegged at $1.39 billion, indicating year-over-year rise of 0.3%.
International segment revenues are likely to benefit from higher volume growth, which are likely to be partially offset by lower Revenue per Day. The consensus mark for the segment in the fourth quarter is pegged at $640 million, indicating year-over-year rise of 0.5%.
In third-quarter 2018, revenues of $2.8 billion moved up around 1% on a year-over-year basis. While revenues in the Americas segment increased by a slight margin year over year to $1.8 billion, revenues in the International segment were up 2.3% year over year to $934 million.
Seasonality to Affect the Bottom Line
The Zacks Consensus Estimate for earnings per share (EPS) is pegged at 31 cents, indicating year-over-year decline of 31.1%. Seasonality is expected to have a negative impact on the bottom line in the to-be-reported quarter. Customer demand is comparatively low in fall and winter seasons and high during the spring and summer vacation periods in most of the countries where Avis Budget operates. Also, the bottom line is to be hurt by higher investments in tuck-in acquisitions and degraded operational efficiency.
In third-quarter 2018, adjusted EPS of $3.33 increased 7.4% on a year-over-year basis.
Avis Budget Group, Inc. Price and EPS Surprise
Avis Budget Group, Inc. Price and EPS Surprise | Avis Budget Group, Inc. Quote
Our Model Doesn’t Suggest a Beat
Please note that according to the Zacks model, a company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) has a good chance of beating estimates if it also has a positive Earnings ESP.
Avis Budget has a Zacks Rank #3 and an Earnings ESP of 0.00%, a combination that makes surprise prediction difficult.
Stocks with a Zacks Rank #4 (Sell) or 5 (Strong Sell) are best avoided, especially if the companies are witnessing negative estimate revisions. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Stocks to Consider
Here are a few stocks from the Zacks Business Services sector that investors may consider as our model shows that these have the right combination of elements to beat estimates.
Copart, Inc. (CPRT - Free Report) has an Earnings ESP of +1.63% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
EVO Payments, Inc. has an Earnings ESP of +1.89% and a Zacks Rank #3.
Conduent Incorporated (CNDT - Free Report) has an Earnings ESP of +0.95% and a Zacks Rank #3.
Zacks' Top 10 Stocks for 2019
In addition to the stocks discussed above, wouldn't you like to know about our 10 finest buy-and-holds for the year?
From more than 4,000 companies covered by the Zacks Rank, these 10 were picked by a process that consistently beats the market. Even during 2018 while the market dropped -5.2%, our Top 10s were up well into double-digits. And during bullish 2012 – 2017, they soared far above the market's +126.3%, reaching +181.9%.
This year, the portfolio features a player that thrives on volatility, an AI comer, and a dynamic tech company that helps doctors deliver better patient outcomes at lower costs.
See Stocks Today >>