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Avis Budget Group Surges 38% This Week on Airport Delays and Short Interest

Airport delays with heavy short interest helped fuel the jump.

Overview

  • Avis Budget Group shares are up about 38% for the week after nearly touching a 50% gain intraday, based on S&P Global Market Intelligence data.
  • Airport security delays tied to a partial U.S. government shutdown are sending more travelers to rental counters, according to Yahoo Finance.
  • Hertz has seen roughly a 15% rise in web traffic, according to reports cited in the coverage, which points to stronger interest in rentals.
  • Short interest stood at 23.5% of Avis’s available shares in mid-March, MarketWatch reported, a setup that can force rapid buying when prices jump.
  • Analysts caution that volatility is high for Avis after its 2021 meme-stock episode, and Motley Fool’s Stock Advisor did not include the stock in its latest top-10 picks.