April 29 (Reuters) - Shares of Avis Budget CAR.O were on track for a sixth straight session of declines on Wednesday after the car-rental firm reported a second consecutive quarterly loss and a major investor cut its stake in the company.

The company's stock has had a roller-coaster ride this month, with shares hitting an all-time high of $847.7 on April 22 and plunging more than 78% since then, in a "meme-stock" -like frenzy.

Analysts had attributed the stock's eye-watering surge to a short squeeze - where investors betting against the company are forced to unwind their positions due to a rapidly rising share price.

Short interest on the stock last stood at around 69% of its free float, according to data analytics firm Ortex, falling from an all-time high of 94.2% of free float recorded last week.

Shares of Avis were last down 4.4% to $ 174 in early trading and the stock was the third most trending ticker on retail investor forum Stocktwits.

The Parsippany, New Jersey-based company reported a narrower first-quarter loss of $8.01 per share on Wednesday, compared with a loss of $14.35 per share a year ago.

Meanwhile, filings on Tuesday showed that a majority investor, Pentwater Capital Management, had offloaded millions of Avis shares between April 22 and April 23.

Two hedge funds - SRS Investment Management and Pentwater - own more than 64% of Avis' total outstanding shares, data compiled by LSEG showed. Pentwater had trimmed its stake from around 7.77 million shares to about 4.33 million shares.

Pentwater did not immediately respond to a Reuters request for comment.

Avis posted a 4% rise in first-quarter revenue to $2.53 billion, beating analysts' average estimate of $2.43 billion, according to data compiled by LSEG.

As per LSEG calculations, the company clocked an adjusted loss of $7.85 per share, compared with expectations of a loss of $6.84 per share.