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NEW ORLEANS, Aug. 7, 2026 – Shareholder notification service ClaimsFiler today reminded investors who purchased Avis Budget Group, Inc. (Nasdaq: CAR) securities between February 20, 2025 and April 21, 2026 to file lead plaintiff applications by September 29, 2026 in a pending securities class action lawsuit. The case, filed in the U.S. District Court for the Middle District of Florida, alleges that the company and certain executives failed to disclose material information during the Class Period, violating federal securities laws.
The lawsuit targets not only Avis but also its largest shareholder, Pentwater Capital Management LP, and its founder Matthew Halbower. According to the complaint, Pentwater held approximately 51% of Avis’s total economic interest through stock and cash-settled swaps as of March 2026. The complaint accuses Pentwater of orchestrating a scheme to artificially inflate Avis’s stock price by aggressively buying shares during the Class Period, triggering a dramatic short squeeze. The stock skyrocketed from an opening price of $147.52 on April 1, 2026 to an intraday high of $765.94 on April 21 — a 419% surge — before closing at $713.97 that day. Within the next five trading sessions, however, the shares collapsed by 74.51%, closing at $182.005 on April 28, 2026.
Investors who suffered losses exceeding $100,000 are strongly encouraged to contact the law firm Kahn Swick & Foti, LLC for a free case evaluation. The firm’s attorneys are available to discuss legal options and the requirements for serving as lead plaintiff. The lead plaintiff, typically the investor with the largest financial stake, acts on behalf of all class members. The deadline to file lead plaintiff applications is September 29, 2026.
“This case highlights the vulnerability of retail investors when a single large shareholder can use complex financial instruments and aggressive trading to manipulate the market,” said a spokesperson for ClaimsFiler. “The steep price collapse after the short squeeze underscores the importance of acting quickly to protect your rights.”
How to Participate
Affected investors can visit the dedicated case page at or call toll-free (833) 538-3604 to submit their information. ClaimsFiler, a free service, helps retail investors track class action settlements and file timely claims. The platform also offers portfolio monitoring and free case evaluations through its partner law firm.
Background on the Allegations
The complaint, Hakimian v. Pentwater Capital Management LP, et al. (Case No. 26-cv-02275), alleges that Pentwater and Halbower violated the Securities Exchange Act of 1934 by engaging in a manipulative scheme. The manipulative buying created a false appearance of market demand and caused extraordinary volatility, with the stock price rising over 400% in less than three weeks. The lawsuit claims that Pentwater’s actions were designed to benefit its own holdings at the expense of other investors, including those who sold short or purchased Avis shares during the inflated period.
Why This Matters
The case is one of the most dramatic examples of a short squeeze allegedly orchestrated by an insider shareholder. It echoes the 2021 GameStop (GME) and AMC episodes, but with the added complication of a majority shareholder using cash-settled swaps to avoid public disclosure of its full economic interest. Legal experts say this case could set a precedent for how courts treat undisclosed economic exposure and market manipulation by large institutional investors.
Next Steps for Investors
Investors should gather transaction records showing purchases of Avis common stock (or other securities) between February 20, 2025 and April 21, 2026, including those who bought shares to cover short positions. The class period covers both buyers and those who incurred losses from the post-squeeze collapse. The lead plaintiff deadline is a critical cutoff: only those who file applications by September 29, 2026 may be eligible to serve as lead plaintiff.
For more information on this and other securities class actions, visit .
About ClaimsFiler
ClaimsFiler is a free shareholder information service dedicated to helping retail investors recover their fair share of billions of dollars from securities class action settlements. The platform provides timely notifications, portfolio scanning, and access to settlement websites. All case evaluations are provided by Kahn Swick & Foti, LLC, a law firm with extensive experience in securities litigation.
Contact: ClaimsFiler Toll-free: (833) 538-3604 Web: www.claimsfiler.com
SOURCE ClaimsFiler
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Investors should consult with an attorney regarding their specific situation.
