Shares of car rental service companies Hertz (HRI) - Get Report and Avis (CAR) - Get Report were gaining on Friday morning, after MKM Partners said it believes the negative sentiment on the sector has gone too far.

The analyst firm sees a "major disconnect" between car rental and other travel stocks in relation to expected travel trends, MarketWatch reports. The firm also believes used car fundamentals are better than the market is assuming.

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