Avis Budget Group (CAR) reported earnings on Tue 23 Feb 2016 (a/h)

** charts after earnings **

Avis Budget Group  (CAR) stock is plummeting by 24.64% to $22.60 on heavy volume in early-afternoon trading on Wednesday, after the company issued 2016 earnings guidance below analysts' expectations.

For the full year, the car rental company anticipates that per-share earnings will range between $2.70 and $3.30, below analysts' estimates for earnings of $3.43 per share.

The reduced forecast includes a 17-cent negative impact from currency exchange rates. Avis also plans to invest more to improve customer experience.

In all, Avis reported 2015 fourth quarter adjusted earnings of 18 cents per share, above estimates for 17 cents per share. Revenue was $1.9 billion for the quarter, below expectations for $1.92 billion.