CAR Shareholder Alert: Pentwater Capital Management LP Securities Class Action Lawsuit - Investors Should Contact Levi & Korsinsky

Pension funds, asset managers, and other fiduciaries holding Avis Budget Group shares are alleged to have absorbed portfolio losses when Pentwater Capital Management LP allegedly ran a pump-and-dump scheme, accumulating a 51% economic interest before unloading 4.3 million shares for $1.75 billion.

NEW YORK, Sept. 16, 2026 /PRNewswire/ -- Levi & Korsinsky, LLP notifies institutional investors in Avis Budget Group, Inc. (NASDAQ: CAR) that a class action has been filed on behalf of shareholders who purchased securities between February 20, 2025 and April 21, 2026. Request an institutional investor loss assessment. You may also contact Joseph E. Levi, Esq. at [email protected] or (212) 363-7500.

CAR shares collapsed 74.51%, a decline of $531.97 per share from the April 22, 2026 closing price, to a close of $182 on April 28, 2026. Those wishing to serve as lead plaintiff must act by September 29, 2026.

Portfolio Impact Assessment for Fiduciary Holders

Funds that held or added to CAR positions during the run-up face concentrated mark-to-market damage in a single equity line. The complaint recounts that Avis stock rose approximately 419% between its $147.52 open on April 1, 2026 and the April 21 peak, then gave back nearly three quarters of its value within days. Institutions that rebalanced into the position at elevated prices, or that were short and forced to cover during the alleged squeeze, may hold among the largest documented losses in the proposed class.

ERISA and Fiduciary Considerations

As detailed in the action, Pentwater crossed the 10% ownership threshold and became a Section 16 insider, and by March 2026 disclosed a 51% total economic interest in Avis through common stock and cash-settled swaps. Avis later disclosed that Pentwater agreed to pay $650 million to resolve alleged short-swing profit violations under Section 16(b). Plan fiduciaries evaluating loss recovery obligations may wish to document their review of this matter.

Fiduciary Obligations and Recovery Options

• Class Period: February 20, 2025 through April 21, 2026, covering purchasers and short-position coverers of CAR securities.
• Claims are pleaded under Sections 9(a) and 10(b) of the Exchange Act and Rule 10b-5 in the Middle District of Florida.
• Institutions with the largest provable losses are typically best positioned for lead plaintiff consideration.
• Serving as lead plaintiff does not increase an institution's individual recovery but provides oversight of case strategy and counsel.
• Absent class members retain the ability to participate in any recovery without applying for lead plaintiff status.
• Loss analyses are prepared at no cost and require only transaction-level trading data.

"Institutional investors play a critical role in securities class actions, and this case involves an alleged accumulation of a 51% economic interest followed by the reported sale of 4.3 million shares for $1.75 billion. Fiduciaries holding CAR during the Class Period may wish to review their trading records against the allegations." -- Joseph E. Levi, Esq.

Contact us for institutional recovery options or call (212) 363-7500.

INSTITUTIONAL INVESTOR REPRESENTATION — Levi & Korsinsky, LLP provides sophisticated counsel to institutional investors evaluating lead plaintiff opportunities. The firm has recovered hundreds of millions of dollars. Ranked among ISS Top 50 for seven consecutive years.

Frequently Asked Questions About the CAR Lawsuit

Q: How much did CAR stock drop? A: Shares reached a peak closing price of $713.97 on April 21, 2026. The following day, the stock fell approximately 37.82%, or $270.03, to close at $443.94. Shares slid a further approximate $261.94, closing at only $182.005 on April 28, 2026. Investors who purchased during the Class Period at allegedly inflated prices may be eligible to seek compensation.

Q: Who are the defendants named in the CAR lawsuit? A: The complaint names Pentwater Capital Management LP and Matthew Halbower, Pentwater's Founder, Chief Executive Officer, and Chief Investment Officer.

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: 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 documents do I need to submit my information? A: Brokerage statements or trade confirmations showing purchase dates, share quantities, prices paid, and any subsequent sale dates and prices.

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: 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\
[email protected]\
Tel: (212) 363-7500\
Fax: (212) 363-7171

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SOURCE Levi & Korsinsky, LLP