NEW BULLISH Plays
Avis Budget Group - CAR - close: 22.01 change: +0.00
Stop Loss: 21.40
Current Gain/Loss: unopened
Entry on January -- at $--.--
Listed on January 29, 2012
Time Frame: Exit prior to earnings on Feb. 13th
Average Daily Volume = 1.7 million
New Positions: Yes, see below
Why We Like It:
Avis is a car rental company. What makes this company different from its competitors is that CAR is currently in process of buying Zipcar (ZIP) for $511 million. ZIP is a membership car-sharing plan. Whether you believe the ZIP concept will work or not shares of CAR are on the rise. The stock could see a short squeeze. The most recent data listed short interest at almost 15% of the 87.7 million share float.
Right now CAR is hovering near resistance at the $22.00 level. I am suggesting a trigger to open bullish positions at $22.25. If triggered our target is $24.75. However, we will plan on exiting prior to the company's earnings report on Feb. 13th.
Trigger @ 22.25
Suggested Position: buy CAR @ (trigger)