Avis Budget Surges After Expressing Interest In Electric Vehicles

Avis Budget Surges After Expressing Interest In Electric Vehicles
Andrew Rummer

over 2 years ago1 min

Mentioned in story

Shares of US car rental firm Avis Budget more than doubled on Tuesday, fueled by a surge of retail trading, after executives expressed a desire to be more active in electric vehicles (EVs).

Avis stock (ticker: CAR) jumped 108% to $357.17, boosting its market value to more than $20 billion. Fifteen times more shares changed hands than the one-month average as the company leapt up lists of most-mentioned stocks on Reddit’s WallStreetBets forum and became the top trending ticker on Stocktwits. Avis briefly became the largest stock in the Russell 2000 Index of smaller US companies, topping even meme-stock darling AMC Entertainment.

Mentions of Avis Budget on WallStreetBets

The rally seems to have been sparked by fairly anodyne comments from the company. Avis’s CEO told analysts on a conference call that, “you’ll see us going forward be much more active in electric scenarios as the situation develops,” without announcing any firm orders for EVs.

But after EV poster child Tesla smashed through $1 trillion in market cap and Hertz shares rallied on plans to buy 100,000 Teslas, it appears investors once again can’t get enough of anything EV related. 

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