DTG will benefit from the end of the bull market in oil and a subsequent decrease in gasoline prices. This should bring an increase in discretionary spending including spending for travel. The addition of DTG to the Expedia network should bring an increase to bookings. With the difficulties in the airline industry and the drop in gasoline prices, consumers may increase the use of rental automobiles for travel. DTG should benefit from this shift. Technically, the stock is moving off of multi-year low at $2.30. It appears to have successfully tested near-term support near $3.50 and is moving up on heavy volume. Next resistance is near 10.
$3.68 (08/13/08)
