Avis Budget price target lowered to $240 from $280 at JPMorgan

JPMorgan analyst Ryan Brinkman lowered the firm’s price target on Avis Budget to $240 from $280 and keeps an Overweight rating on the shares. The analyst trimmed estimates after the company reported modestly softer than expected Q4 results. The firm says macro-related investor concerns that interest rates could persist higher for longer, which could place downward pressure on used vehicle prices and upward pressure vehicle interest expense, attributed to the share selloff. The largest contributor was Avis Budget’s relative lack of guidance, the analyst tells investors in a research note. JPMorgan believes the shares “screen highly inexpensive” at current levels.