NEW YORK, Aug. 17, 2026 (GLOBE NEWSWIRE) -- Levi & Korsinsky, LLP notifies investors in Avis Budget Group, Inc. (NASDAQ: CAR) that a class action has been filed on behalf of shareholders who purchased or acquired securities between February 20, 2025 and April 21, 2026. Submit your information. You may also contact Joseph E. Levi, Esq. at jlevi@levikorsinsky.com or (212) 363-7500.
Shares that reached an intraday high of $765.94 on April 21, 2026 closed at $182.005 on April 28, 2026. The single session of April 22, 2026 alone erased $270.03 per share, a drop of 37.82%. The lead plaintiff deadline is September 29, 2026.
Who Holds Rights Under This Action
The proposed class is broader than many investors assume. The action alleges that everyone who purchased or otherwise acquired CAR securities during the Class Period at prices affected by the alleged manipulation may seek damages, and the complaint expressly includes investors who bought Avis common stock to cover a short position during the alleged short squeeze. Purchasers of common stock and options are among those described in the pleading.
What Purchasers Were Allegedly Not Told
- That aggressive accumulation by a single private investment firm, rather than business fundamentals, allegedly drove the 419% price increase between April 1 and April 21, 2026.
- That a total economic interest of approximately 51% of the Company was allegedly held through common stock and cash-settled swaps as of March 2026.
- That the accumulation was allegedly occurring against heavy short interest, creating a squeeze dynamic that plaintiffs contend inflated share prices.
- That 4.3 million shares would be sold for gross proceeds of $1.75 billion across April 22 and April 23, 2026.
- That Avis's own full-year 2025 results had been disappointing while the stock surged.
- That a $650 million settlement of short-swing profit claims under Section 16(b) would follow on June 18, 2026.
"The rights of investors who purchased at allegedly manipulated prices do not depend on whether they still hold the shares, and the timeline here raises important questions about when the scale of this position and the intent to unwind it were known internally versus when the market could see it," -- Joseph E. Levi, Esq.
Preserving Your Position
The action alleges violations of Sections 9(a) and 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5, and is pending in the United States District Court for the Middle District of Florida. Class members who take no action before the deadline may still participate in any eventual recovery. Investors seeking to serve as lead plaintiff must move the Court by the date above.
Act now. Click here to learn more or call (212) 363-7500.
WHY LEVI & KORSINSKY: Over the past 20 years, Levi & Korsinsky LLP has established itself as a nationally-recognized securities litigation firm that has secured hundreds of millions of dollars for aggrieved shareholders and built a track record of winning high-stakes cases. The firm has extensive expertise representing investors in complex securities litigation and a team of over 70 employees to serve our clients. For seven years in a row, Levi & Korsinsky has ranked in ISS Securities Class Action Services' Top 50 Report as one of the top securities litigation firms in the United States.
Frequently Asked Questions About the CAR Lawsuit
Q: Who is eligible to join the CAR investor lawsuit? A: Investors who purchased CAR stock or securities between February 20, 2025 and April 21, 2026 and suffered financial losses may be eligible. Eligibility is based on purchase date and documented losses, not on whether you still hold the shares.
Q: What court was the CAR class action filed in? A: The case was filed in the United States District Court for the Middle District of Florida.
Q: Who are the defendants named in the CAR lawsuit? A: The complaint names Pentwater Capital Management LP, a private investment firm alleged to have become a 10% owner and Section 16 insider, and Matthew Halbower, its founder, Chief Executive Officer, and Chief Investment Officer.
Q: What do CAR investors need to do right now? A: Gather brokerage records including purchase dates, share quantities, and prices paid. Contact Levi & Korsinsky for a free, no-obligation evaluation at jlevi@levikorsinsky.com or (212) 363-7500. No immediate action is required to remain eligible as an absent class member.
Q: What is a lead plaintiff and why does it matter? A: A lead plaintiff is the investor appointed by the court to represent the entire class. Lead plaintiffs are typically investors with the largest documented losses. Being appointed does not increase individual recovery but gives direct oversight of how the case is run.
Q: What if I already sold my CAR shares, can I still recover losses? A: Yes. Eligibility is based on when you purchased, not whether you still hold the shares. Investors who bought during the Class Period and sold at a loss may still be eligible to participate.
Q: Do I need to go to court or give testimony? A: No. The overwhelming majority of class members never appear in court or give depositions. If there is a settlement or recovery, eligible class members generally submit a claim form to seek their portion.
Q: What does it cost me to participate? A: There is no upfront cost to contact the firm. Securities class actions are generally handled on a pure contingency basis, with no retainer and no out-of-pocket costs. Any attorneys' fees and expenses awarded to class counsel are subject to court approval.
Q: What if I live outside the United States? A: U.S. securities class actions generally cover purchases on U.S. exchanges regardless of the investor's country of residence.
CONTACT:
Levi & Korsinsky, LLP
Joseph E. Levi, Esq.
Ed Korsinsky, Esq.
33 Whitehall Street, 27th Floor
New York, NY 10004
jlevi@levikorsinsky.com
Tel: (212) 363-7500
Fax: (212) 363-7171
Attorney Advertising. Prior results do not guarantee similar outcomes.
