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Avis Budget Group · Pentwater Capital · Stock Sale · Volatility
Matthew Halbower's Pentwater Capital Management LP executed significant sales of Avis Budget Group (CAR) common stock and call options totaling approximately $510.9 million on April 22 and April 23, 2026, capitalizing on higher valuations before a dramatic 73.8% plunge in CAR shares over the past week.
Pentwater Capital Management LP and its CEO, Matthew Halbower, indirectly sold 1,342,246 shares at prices ranging from $250.61 to $438.74 per share, well above the current $182.01 trading level. The fund, identified as a 10% owner, still retains a substantial stake of 4,328,201 shares in Avis Budget Group, which has a market capitalization of $6.41 billion.
InvestingPro analysis rates Avis's financial health as "FAIR," citing a significant debt burden and rapid cash burn. Some of Pentwater's sales are "matchable" under Section 16(b) of the Securities Exchange Act of 1934, and the reporting persons agreed to voluntarily disgorge any short-swing profits.
This divestment coincides with Avis's announcement of an at-the-market equity offering of up to 5 million shares and recent analyst downgrades from Deutsche Bank and JPMorgan due to unsustainable valuation levels.
