CAR - Avis Budget Group is a buy as it maintains growth in price and EPS

Avis Budget Group Inc. ( NASDAQ:CAR ) is a car rental business. The stock is trading at $200.98, a significant support level. Since September 2021, the stock has been reliably trending upwards. The bottom is at $177, and the top is $297. We think that the stock will maintain this trend.

Avis Budget, at the price of $200, has a PE of 5.59. The PEG ratio is at 0.29, making the stock highly attractive. The latter is an indication that the market potentially undervalues the company. Avis Budget has a lot of headway in its pricing. The company’s EPS for the last full financial year was $19.8. This year, the EPS is projected to grow to $33. Considering strong long-term expected growth of 19%, the company is likely to surprise the market in the next earnings release.

Avis Budget Group is at a significant level for trend traders

Technical analysis shows that the stock has support at the valuation of $200. Further, the analysis shows that the stock is at the bottom limit of the regression channel. From here, the stock is likely to advance upwards. If the stock maintains the current trend, it will hit a valuation of $260 by August. That is a compelling reason to invest in Avis Budget Group.

Summary

Avis Budget Group is a strong buy for trend investors. At a price of $200, the stock is at an important buying signal. We project the price target at $260.

The post Avis Budget Group is a buy as it maintains growth in price and EPS appeared first on Invezz .