Avis Budget Q2 EPS misses consensus at $0.98 versus $1.92 expected; revenue slightly below estimates
CAR sits 77% above its 52-week low of $85.96 on light trading volume (0.1× avg).
Summary
Avis Budget's Q2 2026 EPS of $0.98 missed consensus by nearly half, with revenue slightly below estimates. Adjusted EBITDA was in line, but higher non-controlling interest charges and restructuring costs weighed on the bottom line.
Key Events · Earnings and Guidance · CAR
-
Q2 EPS Miss
GAAP diluted EPS of $0.98 versus $1.92 consensus, driven by higher non-controlling interest charges and restructuring costs.
-
Revenue Slightly Below Estimates
Revenue of $2.998 billion versus $3.097 billion expected, down 1% year-over-year on a 2% volume decline.
-
Adjusted EBITDA In Line
Adjusted EBITDA of $286 million, in line with expectations, supported by lower per-unit fleet costs and higher gains on vehicle sales.
-
Pentwater Settlement Still Pending
The $650 million settlement with Pentwater Capital Management remains subject to court approval and is not yet recognized in the financial statements.
Analysis · CAR · Trade & Services
Avis Budget reported Q2 2026 GAAP diluted EPS of $0.98, nearly half the $1.92 consensus, on revenue of $2.998 billion versus $3.097 billion expected. While Adjusted EBITDA of $286 million was in line with expectations, the bottom-line miss was driven by higher non-controlling interest charges and restructuring costs. The company continues to benefit from lower per-unit fleet costs and higher gains on vehicle sales, but volume declined 2% year-over-year. The pending $650 million Pentwater settlement remains contingent on court approval and is not yet reflected in the financials. With $1.029 billion in total liquidity and no shares sold under the ATM program, the balance sheet remains stable, but the earnings miss may pressure the stock.
At the time of this filing, CAR was trading at $151.96 on NASDAQ in the Trade & Services sector, with a market capitalization of approximately $5.4B. The 52-week trading range was $85.96 to $847.70. This filing was assessed with negative market sentiment and an importance score of 7 out of 10.