Put Options on CAR on 6/30/2015

Avis Budget Group, Inc. (CAR) provides car and truck rentals, car sharing, and ancillary services to businesses and consumers worldwide.

The company has three segments: North America, International, and Truck Rental.

It operates the Avis car rental system with approximately 5,450 locations, that supply rental cars to the premium commercial and leisure segments of the travel industry; the Budget vehicle rental system with approximately 3,500 car rental locations, which serve the value-conscious segments of the industry; and Zipcar, a membership-based car sharing network that provides vehicles to approximately 915,000 members.

The company also operates the Payless brand, which comprises approximately 160 vehicle rental locations, as well as operates Apex brand primarily in the deep-value segment of the car rental industry with approximately 19 rental locations.

In addition, it is involved in the local and one-way truck rental businesses with a fleet of approximately 23,000 trucks, which are rented through a network of approximately 1,150 dealers and 400 company-operated locations that serve the consumer and light commercial sectors.

Further, the company provides a range of optional insurance products and coverages, such as supplemental liability insurance, personal accident insurance, personal effects protection, automobile towing protection, and cargo insurance.

Shares have formed a bearish "flag" and lower share prices are expected for the stock.

52-Weeks Trading Range: $44.96 - $69.76

Last Trade: $44.96

Trade Buy 1 July $45.00 Put at $1.45 For a net debit of $1.45 Profit/Loss Analysis Breakeven at $43.55 Maximum profit is unbounded Maximum loss is ($145.00) at strike of $45.00 Closing Summary Sold 1 July $45.00 Put at $2.85

Position closed on 7/9/2015 at price of $2.85 with a 96.55% gain in 9 days.

Updates

7/9/2015 10:58:19 AM

We are taking profits on CAR July 17, $45 Put Options. Bought at $1.45. Closed at $2.85.

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