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.
The stock has increased 6.3% since its earnings release on Aug 5 despite the earnings and revenue miss.
CAR’s earnings of 41 cents per share missed the Zacks Consensus Estimate by 84.2% and decreased 96.3% from the year-ago quarter’s actual. Total revenues of $3 billion missed the consensus estimate by 4% and decreased 2.4% on a year-over-year basis.
Avis Budget’s shares have declined 47% in the past six months compared with the 7.8% decrease of the industry. The Zacks S&P 500 composite has risen 3.8% in the said time frame.
Revenues from the Americas amounted to $2.4 billion, reflecting a decrease of 3% from the year-ago quarter. The metric was in line with our estimate.
International revenues were $687 million, up 3% on a year-over-year basis. However, the figure missed our estimate of $716.3 million. The segment is likely to have been driven by improvements in inter-European cross-border travel and significant strength in international inbound volume.
Profitability
Adjusted EBITDA was $214 million, down 71% from second-quarter 2023. The Americas segment reported an adjusted EBITDA of $186 million, which declined 71% from the year-ago quarter. Internationally, adjusted EBITDA of $48 million plunged 62% on a year-over-year basis.
Balance Sheet and Cash Flow
Avis Budget exited the second quarter with cash and cash equivalents of $511 million compared with $522 million at the end of the first quarter of 2024. Corporate debt amounted to $5.3 billion versus $5.4 billion reported in the preceding quarter.
CAR generated $884 million in net cash from operating activities. Adjusted free cash flow amounted to $171 million. Capital expenditures were $52 million.
Avis Budget currently carries a Zacks Rank #5 (Strong Sell).
S&P Global Inc. (SPGI - Free Report) reported impressive second-quarter results.
SPGI’s adjusted EPS (excluding 82 cents from non-recurring items) of $4.04 surpassed the Zacks Consensus Estimate by 10.1% and increased 29.5% year over year. Revenues of $3.5 billion beat the consensus estimate by 3.4% and improved 14.5% year over year.
Quarterly adjusted earnings (excluding 2.1 cents from non-recurring items) of $3.9 per share surpassed the Zacks Consensus Estimate by 2.9% and increased 7.7% from the year-ago quarter’s actual. Revenues of $673.5 million missed the consensus estimate marginally but rose 8.4% on a year-over-year basis.
TRU’s quarterly adjusted earnings (adjusting 55 cents from non-recurring items) of 99 cents per share beat the consensus mark by 1% and increased 15.1% on a year-over-year basis. Total revenues of $1 billion beat the consensus mark by 1.6% and grew 7.5% from the year-ago quarter’s level.
See More Zacks Research for These Tickers
Pick one free report - opportunity may be withdrawn at any time
Image: Shutterstock
Avis Budget (CAR) Stock Gains 6% Since Q2 Earnings Miss
Avis Budget Group, Inc. (CAR - Free Report) reported lower-than-expected second-quarter 2024 results.
The stock has increased 6.3% since its earnings release on Aug 5 despite the earnings and revenue miss.
CAR’s earnings of 41 cents per share missed the Zacks Consensus Estimate by 84.2% and decreased 96.3% from the year-ago quarter’s actual. Total revenues of $3 billion missed the consensus estimate by 4% and decreased 2.4% on a year-over-year basis.
Avis Budget’s shares have declined 47% in the past six months compared with the 7.8% decrease of the industry. The Zacks S&P 500 composite has risen 3.8% in the said time frame.
Avis Budget Group, Inc. Price and EPS Surprise
Avis Budget Group, Inc. price-eps-surprise | Avis Budget Group, Inc. Quote
Segmental Revenues
Revenues from the Americas amounted to $2.4 billion, reflecting a decrease of 3% from the year-ago quarter. The metric was in line with our estimate.
International revenues were $687 million, up 3% on a year-over-year basis. However, the figure missed our estimate of $716.3 million. The segment is likely to have been driven by improvements in inter-European cross-border travel and significant strength in international inbound volume.
Profitability
Adjusted EBITDA was $214 million, down 71% from second-quarter 2023. The Americas segment reported an adjusted EBITDA of $186 million, which declined 71% from the year-ago quarter. Internationally, adjusted EBITDA of $48 million plunged 62% on a year-over-year basis.
Balance Sheet and Cash Flow
Avis Budget exited the second quarter with cash and cash equivalents of $511 million compared with $522 million at the end of the first quarter of 2024. Corporate debt amounted to $5.3 billion versus $5.4 billion reported in the preceding quarter.
CAR generated $884 million in net cash from operating activities. Adjusted free cash flow amounted to $171 million. Capital expenditures were $52 million.
Avis Budget currently carries a Zacks Rank #5 (Strong Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Earnings Snapshot
S&P Global Inc. (SPGI - Free Report) reported impressive second-quarter results.
SPGI’s adjusted EPS (excluding 82 cents from non-recurring items) of $4.04 surpassed the Zacks Consensus Estimate by 10.1% and increased 29.5% year over year. Revenues of $3.5 billion beat the consensus estimate by 3.4% and improved 14.5% year over year.
WEX Inc. (WEX - Free Report) reported mixed second-quarter 2024 results.
Quarterly adjusted earnings (excluding 2.1 cents from non-recurring items) of $3.9 per share surpassed the Zacks Consensus Estimate by 2.9% and increased 7.7% from the year-ago quarter’s actual. Revenues of $673.5 million missed the consensus estimate marginally but rose 8.4% on a year-over-year basis.
TransUnion (TRU - Free Report) reported impressive second-quarter 2024 results.
TRU’s quarterly adjusted earnings (adjusting 55 cents from non-recurring items) of 99 cents per share beat the consensus mark by 1% and increased 15.1% on a year-over-year basis. Total revenues of $1 billion beat the consensus mark by 1.6% and grew 7.5% from the year-ago quarter’s level.