Avis Budget (CAR, $357.17) crushes Q3 expectations
Shares of Avis Budget Group as much as tripled on Tuesday, following the company’s third-quarter results.
The car rental company’s adjusted earnings came in at $10.74 a share, compared with $1.13 a share a year earlier. Analysts polled by FactSet had expected earnings of $6.87 a share.
Revenue almost doubled from the year-ago quarter to $3 billion. Analysts expected $2.67 billion.
"Our third quarter results are a testament to our team’s on-going focus around cost discipline and ability to execute operationally,” said Chief Executive Joe Ferraro in a statement.
CAR's RSI Indicator is sitting in oversold zone for 5 days
The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an uptrend is expected.
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 13 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where CAR advanced for three days, in of 309 cases, the price rose further within the following month. The odds of a continued upward trend are .
CAR may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on December 09, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on CAR as a result. In of 75 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for CAR turned negative on December 03, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 48 similar instances when the indicator turned negative. In of the 48 cases the stock turned lower in the days that followed. This puts the odds of success at .
CAR moved below its 50-day moving average on December 13, 2024 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for CAR crossed bearishly below the 50-day moving average on December 20, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 11 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where CAR declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for CAR entered a downward trend on December 24, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. CAR’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 72, placing this stock worse than average.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating slightly worse than average price growth. CAR’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: CAR's P/B Ratio (256.410) is very high in comparison to the industry average of (4.868). P/E Ratio (2.989) is within average values for comparable stocks, (55.482). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (3.039). CAR has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.040). P/S Ratio (0.385) is also within normal values, averaging (3.429).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
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General Information
an oparator of vehicle rental and car sharing services
Industry FinanceRentalLeasing