Deutsche Bank’s analysts maintained their Hold rating for Avis Budget Group (NASDAQ:CAR) with a price target of $260.00, while opening a Catalyst Call Buy Idea on the stock.
The analysts noted that Avis shares currently seem undervalued, highlighting their positive operational metrics. They suggest that the market might be overestimating potential future challenges related to pricing or asset depreciation.
The upcoming Q3/23 results, set to be released after the market closes on November 1, along with the November 2 conference call, could prompt a positive market reaction for several reasons. These include low current expectations, anticipated positive trends for October, potential aggressive share repurchases by Avis since mid-September, and potential impacts of the UAW strike on used car prices.