Avis Budget Group shares have soared on Tuesday morning as the company reported solid third-quarter earnings, with sales nearly doubling year over year as demand for car rentals recovers.
After retail traders flocked to Avis, the stock soared to a high of $545.11 and is now trading around $345, representing a 102 % gain.
The good earnings came after a surge in short interest in recent months. Today, the stock of Avis has been suspended many times due to high volatility. The firm had already made remarkable gains in 2021, jumping from roughly $35 per share to a high of $179.82 on Monday, prior to its third-quarter reporting.
Avis has become one of the top trending stocks on social media and one of the top four most discussed stocks on the Reddit WallStreetBets community, according to the APE Wisdom website.
Furthermore, Morgan Stanley analyst Billy Kovanis boosted Avis' price objective from $110 to $140. The analyst, however, maintained an underweight recommendation on the stock.