A Business at a Glance
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AVIS BUDGET GROUP, INC.
CAR
$5.6B
Mkt Cap
$159.48
+0.28%
AVIS BUDGET GROUP, INC. (CAR) has a 5-year average return on invested capital (ROIC) of 13.5%. This indicates solid capital allocation.
AVIS BUDGET GROUP, INC. (CAR) has a market capitalization of $5.6B. It is classified as a mid-cap stock.
AVIS BUDGET GROUP, INC. (CAR) does not currently pay a regular dividend. However, the company returns capital to shareholders through share buybacks, with a buyback yield of 0.20%.
AVIS BUDGET GROUP, INC. (CAR) operates in the Services-Auto Rental & Leasing (No Drivers) industry, within the Consumer Cyclical sector.
AVIS BUDGET GROUP, INC. (CAR) reported annual revenue of $11.7 billion in its most recent fiscal year, based on SEC EDGAR filings.
AVIS BUDGET GROUP, INC. (CAR) has a net profit margin of -7.6%. The company is currently unprofitable.
AVIS BUDGET GROUP, INC. (CAR) generated $3.3 billion in free cash flow in its most recent fiscal year. Positive free cash flow supports dividends, buybacks, and debt reduction.
Avis Budget Group is a leading global provider of mobility solutions operating through three primary brands—Avis, Budget, and Zipcar—as well as regional brands including Payless, Apex, AmicoBlu, Maggiore, FranceCars, McNicoll Hire, and Turiscar. The company operates approximately 10,000 rental locations across approximately 180 countries, with a global fleet averaging approximately 684,000 vehicles that completed approximately 38 million rental transactions in 2025. The business model is organized into two reportable segments: Americas (North America, South America, Central America, and the Caribbean) and International (Europe, the Middle East, Africa, Asia, and Australasia), each encompassing company-operated locations, licensee operations, and car-sharing services. The company maintains a leading share of airport car rental revenues in North America, Europe, and Australasia, operates a leading car-sharing network through Zipcar, and runs one of the leading commercial truck rental businesses in the United States through Budget Truck. Revenue is generated through vehicle rental transactions, with the Avis brand alone generating approximately $6.6 billion in 2025 revenues, supplemented by royalty fees from licensees. The company benefits from complementary demand patterns, with mid-week commercial demand balanced by weekend and holiday leisure demand, and leverages shared facilities, systems, and infrastructure across brands to achieve operational efficiencies. Each brand is distinctly positioned to serve specific customer segments, with Avis offering premium service and convenience, while Budget and Zipcar serve value-conscious and car-sharing customers respectively.
【Strategic operational refinement ahead】 Management is focused on driving sustainable growth through strengthened operational efficiency, expanded analytics capabilities, and accelerated technology innovation, with particular emphasis on elevating the customer experience through digital scaling and the Avis First premium service launched in select markets during 2025. The company is pursuing a multi-year partnership with Waymo to support autonomous ride-hailing operations beginning in Dallas, with expectations to expand to additional cities, though benefits are anticipated primarily in 2027 as operations ramp. Management has implemented a tighter fleet management approach to reduce earnings volatility and improve margin durability, with depreciation expected to decline from elevated near-term levels toward a low-300s monthly run rate as the year progresses and fleet economics normalize. The company is pursuing disciplined capital allocation focused on maintaining a strong balance sheet, investing in fleet and technology modernization, and returning capital to shareholders opportunistically, while targeting a reduction in net corporate leverage to below 6x by year-end and ultimately to normalized levels of 2x–4x.
| Metric | Target | Period |
|---|---|---|
| Adjusted EBITDA | $850 million–$1 billion | FY2026 |
| Net corporate leverage ratio | below 6x | Year-end 2026 |
| Depreciation per unit | low 300s monthly run rate | Throughout 2026 |
Adjusted EBITDA (FY2026): “As a result, we're raising our full-year guidance to a range of $850 million-$1 billion in adjusted EBITDA.”
Net corporate leverage ratio (Year-end 2026): “Our net corporate leverage ratio was 7.6 x, and we expect to reduce that to below 6x by year-end through earnings growth and continued debt repayment.”
Depreciation per unit (Throughout 2026): “we do see a path towards a low 300s monthly run rate as we move throughout the year.”
Generated solely from the company's own reports listed below — not from third-party data. Hallucination risk is low. · Sources: 10-K, Q4 FY2025 Earnings Call, Q3 FY2025 Earnings Call, Q2 FY2025 Earnings Call, Q1 FY2025 Earnings Call
| Metric | TTM | FY2025 | FY2024 | FY2023 | FY2022 | FY2021 |
|---|---|---|---|---|---|---|
| Revenue | 11.8B | 11.7B | 11.8B | 12.0B | 12.0B | 9.3B |
| Net Income | -667M | -889M | -1.8B | 1.6B | 2.8B | 1.3B |
| EPS | $-18.93 | $-25.25 | $-51.23 | $42.08 | $57.16 | $19.44 |
| Free Cash Flow | 0 | 3.3B | 3.5B | 3.8B | 4.7B | 3.5B |
| ROIC | -0.7% | -29.8% | -48.6% | 14.3% | 88.1% | 43.6% |
| Gross Margin | - | 74.1% | 74.8% | 31.7% | 45.1% | 35.2% |
| Debt/Equity | 0.00 | -8.10 | -9.89 | -68.28 | -6.68 | -18.31 |
| Dividends/Share | $0.00 | $0.00 | $0.00 | $10.00 | $0.00 | $0.00 |
| Operating Income | -18M | -401M | -2.3B | 2.2B | 3.9B | 1.9B |
| Operating Margin | -0.2% | -3.4% | -19.3% | 18.4% | 32.5% | 20.7% |
| ROE | 0.0% | 32.6% | 136.1% | -310.3% | - | - |
| Shares Outstanding | 35M | 35M | 36M | 39M | 48M | 66M |
| Metric | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Income Statement | |||||||||||||
| Revenue | 8.5B | 8.5B | 8.7B | 8.8B | 9.1B | 9.2B | 5.4B | 9.3B | 12.0B | 12.0B | 11.8B | 11.7B | 11.8B |
| Gross Margin | 76.5% | 77.3% | 76.4% | 74.9% | 76.1% | 77.5% | 74.7% | 35.2% | 45.1% | 31.7% | 74.8% | 74.1% | N/A |
| R&D | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A | 1.1B | 1.1B | 1.1B | 1.1B | 1.2B | 1.2B | 703M | 1.1B | 1.3B | 1.4B | 1.4B | 1.4B | 1.5B |
| EBIT | 602M | 576M | 482M | 399M | 455M | 465M | -725M | 1.9B | 3.9B | 2.2B | -2.3B | -401M | -18M |
| Op. Margin | 7.1% | 6.8% | 5.6% | 4.5% | 5.0% | 5.1% | -13.4% | 20.7% | 32.5% | 18.4% | -19.3% | -3.4% | -0.2% |
| Net Income | 246M | 313M | 163M | 361M | 165M | 302M | -684M | 1.3B | 2.8B | 1.6B | -1.8B | -889M | -667M |
| Net Margin | 2.9% | 3.7% | 1.9% | 4.1% | 1.8% | 3.3% | -12.7% | 13.8% | 23.0% | 13.6% | -15.4% | -7.6% | -5.7% |
| Non-Recurring | 26M | 18M | 29M | 65M | 22M | 80M | 118M | 64M | 19M | 11M | 37M | 649M | 144M |
| Returns on Capital | |||||||||||||
| ROIC | 10.6% | 12.4% | 8.7% | 11.7% | 7.9% | 13.8% | -16.9% | 43.6% | 88.1% | 14.3% | -48.6% | -29.8% | -0.7% |
| ROE | 34.3% | 56.7% | 49.4% | 90.9% | 33.4% | 56.4% | -273.1% | N/A | N/A | -310.3% | 136.1% | 32.6% | 0.0% |
| ROA | 1.5% | 1.8% | 0.9% | 2.0% | 0.9% | 1.4% | -3.4% | 6.4% | 11.4% | 5.6% | -5.9% | -2.9% | -2.2% |
| Cash Flow | |||||||||||||
| Op. Cash Flow | 2.6B | 2.6B | 2.6B | 2.6B | 2.6B | 2.6B | 691M | 3.5B | 4.7B | 3.8B | 3.5B | 3.3B | 3.1B |
| Free Cash Flow | 2.6B | 2.6B | 2.6B | 2.6B | 2.6B | 2.6B | 691M | 3.5B | 4.7B | 3.8B | 3.5B | 3.3B | 0 |
| Owner Earnings | 2.4B | 2.4B | 2.4B | 2.4B | 2.4B | 2.4B | 464M | 3.3B | 4.5B | 3.6B | 3.3B | 3.1B | 1.8B |
| CapEx | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Maint. CapEx | 144M | 159M | 188M | 197M | 191M | 204M | 218M | 205M | 181M | 187M | 207M | 208M | 1.3B |
| Growth CapEx | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0 |
| D&A | 144M | 159M | 188M | 197M | 191M | 204M | 218M | 205M | 181M | 187M | 207M | 208M | 1.3B |
| CapEx/OCF | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0.0% |
| Capital Allocation | |||||||||||||
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 355M | 0 | 0 | 0 |
| Dividend Yield | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 4.9% | N/A | N/A | N/A |
| Share Buybacks | 297M | 436M | 398M | 210M | 216M | 67M | 119M | 1.5B | 3.3B | 951M | 70M | 7.0M | 11M |
| Buyback Yield | 4.4% | 10.9% | 12.2% | 5.8% | 12.1% | 2.9% | 4.9% | 11.1% | 45.8% | 13.8% | 2.4% | 0.2% | 0.2% |
| Stock-Based Comp | 25M | 28M | 27M | 13M | 24M | 22M | 9.0M | 30M | 25M | 30M | 19M | 19M | 14M |
| Debt Repayment | 5.0M | 22M | 4.0M | 4.0M | 4.0M | 1.0M | 0 | 1.0M | 1.0M | 818M | 939M | 1.1B | 1.1B |
| Balance Sheet | |||||||||||||
| Net Debt | 2.7B | 3.0B | 3.0B | 3.0B | 2.9B | 2.7B | 3.5B | 3.5B | 4.1B | 23.3B | 22.5B | 24.8B | 5.5B |
| Cash & Equiv. | 624M | 452M | 490M | 611M | 615M | 686M | 692M | 534M | 570M | 555M | 534M | 519M | 528M |
| Long-Term Debt | 3.3B | 3.4B | 3.2B | 3.6B | 3.5B | 3.4B | 4.2B | 4.0B | 4.6B | 4.8B | 5.4B | 6.0B | 6.0B |
| Debt/Equity | 5.05 | 7.83 | 15.96 | 6.27 | 8.57 | 5.23 | -27.16 | -18.31 | -6.68 | -68.28 | -9.89 | -8.10 | 0.00 |
| Interest Coverage | 2.9 | 3.0 | 2.4 | 2.1 | 2.4 | 2.6 | -3.1 | 8.8 | 15.6 | 7.5 | -6.3 | -1.0 | -1.0 |
| Equity | 665M | 439M | 221M | 573M | 414M | 656M | -155M | -220M | -703M | -349M | -2.3B | -3.1B | -3.4B |
| Total Assets | 16.8B | 17.6B | 17.6B | 17.7B | 19.1B | 23.1B | 17.5B | 22.6B | 25.9B | 32.6B | 29.0B | 31.3B | 30.6B |
| Total Liabilities | 16.2B | 17.2B | 17.4B | 17.1B | 18.7B | 22.5B | 17.7B | 22.8B | 26.6B | 32.9B | 31.4B | 34.4B | -5.0M |
| Intangibles | 886M | 917M | 870M | 850M | 825M | 798M | 774M | 724M | 666M | 670M | 601M | 589M | 624M |
| Retained Earnings | -2.1B | -1.8B | -1.6B | -1.2B | -1.1B | -785M | -1.5B | -185M | 2.6B | 3.9B | 2.0B | 1.1B | 856M |
| Working Capital | 160M | 116M | 50M | 421M | 458M | -80M | -258M | -561M | -688M | -520M | -686M | -796M | -770M |
| Current Assets | 1.7B | 1.6B | 1.8B | 2.1B | 2.2B | 2.1B | 1.8B | 1.8B | 1.9B | 2.1B | 2.0B | 2.1B | 2.2B |
| Current Liabilities | 1.5B | 1.5B | 1.8B | 1.6B | 1.7B | 2.2B | 2.1B | 2.4B | 2.6B | 2.7B | 2.7B | 2.9B | 2.9B |
| Per Share Data | |||||||||||||
| EPS | 2.22 | 2.98 | 1.75 | 4.25 | 2.06 | 3.98 | -9.71 | 19.44 | 57.16 | 42.08 | -51.23 | -25.25 | -18.93 |
| Owner EPS | 21.75 | 23.23 | 26.04 | 28.70 | 29.89 | 31.10 | 6.59 | 49.26 | 93.08 | 93.11 | 92.61 | 87.17 | 50.68 |
| Book Value | 6.00 | 4.18 | 2.37 | 6.75 | 5.17 | 8.65 | -2.20 | -3.33 | -14.54 | -9.00 | -65.47 | -88.87 | -96.74 |
| Cash Flow/Share | 23.27 | 25.01 | 28.34 | 31.17 | 32.57 | 34.08 | 9.81 | 52.81 | 97.34 | 98.70 | 98.97 | 93.62 | 18.16 |
| Dividends/Share | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 0.00 | 0.00 | 10.00 | 0.00 | 0.00 | 0.00 |
| Shares Out. | 110.8M | 105.0M | 93.1M | 84.9M | 80.1M | 75.9M | 70.4M | 66.1M | 48.4M | 38.8M | 35.5M | 35.2M | 35.3M |
| Valuation | |||||||||||||
| P/E Ratio | 27.8 | 11.5 | 20.0 | 9.9 | 10.9 | 7.7 | N/A | 10.3 | 2.6 | 4.2 | N/A | N/A | -8.4 |
| P/FCF | 2.7 | 1.4 | 1.2 | 1.4 | 0.7 | 0.9 | 3.5 | 3.8 | 1.5 | 1.8 | 0.8 | 1.4 | N/A |
| EV/EBIT | 14.9 | 10.7 | 12.6 | 15.0 | 9.1 | 9.5 | N/A | 8.4 | 2.8 | 13.4 | N/A | N/A | N/A |
| Price/Book | 10.3 | 8.2 | 14.7 | 6.3 | 4.3 | 3.6 | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Price/Sales | 0.7 | 0.6 | 0.3 | 0.3 | 0.3 | 0.2 | 0.4 | 0.7 | 0.8 | 0.6 | 0.3 | 0.4 | 0.5 |
| FCF Yield | 37.8% | 72.9% | 81.1% | 73.7% | 145.6% | 110.7% | 28.2% | 26.4% | 64.7% | 55.4% | 122.2% | 71.0% | N/A |
| Market Cap | 6.8B | 3.6B | 3.3B | 3.6B | 1.8B | 2.3B | 2.4B | 13.2B | 7.3B | 6.9B | 2.9B | 4.6B | 5.6B |
| Avg. Price | 51.54 | 47.53 | 30.31 | 31.79 | 35.93 | 29.42 | 26.93 | 104.14 | 186.75 | 186.07 | 108.00 | 124.45 | 159.48 |
| Year-End Price | 61.82 | 34.32 | 34.95 | 42.28 | 22.38 | 30.77 | 34.73 | 199.82 | 150.34 | 178.01 | 80.96 | 131.93 | 159.48 |
AVIS BUDGET GROUP, INC. passes 5 of 9 quality checks, suggesting mixed fundamentals.
On a free-cash-flow basis, the stock trades at 1.7x vs a median of 1.4x. The company's 5-year average ROIC is 13.5% with a gross margin of 52.2%. Total shareholder yield (buybacks) is 0.2%. At current prices, the estimated annualized return to fair value is +30.3%.
AVIS BUDGET GROUP, INC. (CAR) reported earnings per share (EPS) of $-25.25 in its most recent fiscal year.
AVIS BUDGET GROUP, INC. (CAR) has a return on equity (ROE) of 32.6%. This indicates the company generates strong returns for shareholders.
AVIS BUDGET GROUP, INC. (CAR) has a 5-year average gross margin of 52.2%. This high margin suggests strong pricing power and a potential competitive moat.
The Ledger Terminal provides 18 years of financial data for AVIS BUDGET GROUP, INC. (CAR), sourced directly from SEC EDGAR filings. This includes income statements, balance sheets, cash flow statements, and key financial ratios.
AVIS BUDGET GROUP, INC. (CAR) has a book value per share of $-88.87, based on its most recent annual SEC filing.
Based on recent SEC filings and earnings disclosures, Management is focused on driving sustainable growth through strengthened operational efficiency, expanded analytics capabilities, and accelerated technology innovation, with particular emphasis on elevating the customer experience through digital scaling and the Avis First premium service launched in select markets during 2025. The company is pursuing a multi-year partnership with Waymo to support autonomous ride-hailing operations beginning in Dallas, with expectations to expand to additional cities, though benefits are anticipated primarily in 2027 as operations ramp. Management has implemented a tighter fleet management approach to reduce earnings volatility and improve margin durability, with depreciation expected to decline from elevated near-term levels toward a low-300s monthly run rate as the year progresses and fleet economics normalize. The company is pursuing disciplined capital allocation focused on maintaining a strong balance sheet, investing in fleet and technology modernization, and returning capital to shareholders opportunistically, while targeting a reduction in net corporate leverage to below 6x by year-end and ultimately to normalized levels of 2x–4x.
Based on recent SEC filings and earnings calls, AVIS BUDGET GROUP, INC. (CAR) has provided the following forward guidance: Adjusted EBITDA: $850 million–$1 billion (FY2026); Net corporate leverage ratio: below 6x (Year-end 2026); Depreciation per unit: low 300s monthly run rate (Throughout 2026).
No recent press releases.