Overview
- Shares fell as much as 19% in early trading Wednesday after Avis reported a GAAP loss of $8.01 per share that missed forecasts.
- Revenue rose to $2.53 billion and beat estimates, yet the larger loss kept pressure on a stock already in retreat.
- The share price has now dropped more than 70% from its April 21 peak after an intraday high near $847 earlier that week.
- The surge and reversal traced to aggressive call-option buying against a tight float, with filings showing Pentwater Capital built a large stake and exercised calls to sell shares.
- Management cited $80 million in adjusted free cash flow, $915 million in liquidity, and better pricing and vehicle use, though a prior $518 million EV fleet impairment underscores ongoing financial strain.