Is the business good?
How good a business is CAR?
Avis Budget Group, Inc. earns −22% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.
−22%
Return on invested capital · cost of capital 9.0% · 31 points below what the capital costs: growth destroys value
- Operating margin
- −5.0%
Operating margin · Rental & Leasing Services median 7.9% · 12 months to Q1 2026
- Share count, year on year
- +0.28%
Share count, year on year · flat: no meaningful dilution
| Year | Operating margin |
|---|---|
| FY2020 | −18% |
| FY2021 | 18% |
| FY2022 | 30% |
| FY2023 | 16% |
| FY2024 | −22% |
| FY2025 | −8.0% |
Details›
- Operating margin12 months to Q1 2026
- −5.0%
- Net margin12 months to Q1 2026
- −5.7%
- Revenue, trailing twelve months
- $11.8B
- Net income, trailing twelve months
- −$667M
- Return on invested capitaloperating profit after tax ÷ debt + equity − cash
- −22%
Margins, capital and share counts from the statements as filed with the SEC; cash conversion from the cash flow statement.
Rental & Leasing Services
Ranks #11 of 15 by Smart Score