Avis Budget Group

Avis Budget Stock Crashes 38% After Record High, Echoes GameStop Saga

Avis Budget Group (ticker CAR) stock experienced extreme volatility, soaring from under $100 last month to a record $850 early Wednesday before closing down 38%. The stock was down another 6% in premarket trading Thursday, now around $417. Options volume surged with implied volatility at 235% versus 20% for the S&P 500. Brokers including Charles Schwab tightened margin requirements, requiring 100% margin for concentrated positions. The saga recalls GameStop's 2021 short squeeze, with only 36 million shares outstanding, largely controlled by Pentwater Capital Management and SRS Investment Management.