Analysts Set Lithia Motors, Inc. (NYSE:LAD) Price Target at $389.10

Shares of Lithia Motors, Inc. (NYSE:LAD) have been assigned an average recommendation of “Moderate Buy” from the eleven brokerages that are presently covering the stock, MarketBeat reports. Three analysts have rated the stock with a hold recommendation, seven have assigned a buy recommendation and one has given a strong buy recommendation to the company. The average 12-month price objective among brokers that have issued ratings on the stock in the last year is $392.20.

A number of brokerages recently issued reports on LAD. Wells Fargo & Company lifted their price target on shares of Lithia Motors from $327.00 to $358.00 and gave the stock an “equal weight” rating in a research note on Monday. Weiss Ratings lowered shares of Lithia Motors from a “buy (b-)” rating to a “hold (c+)” rating in a report on Wednesday, October 8th. Benchmark restated a “buy” rating on shares of Lithia Motors in a research note on Thursday, October 23rd. Citigroup lifted their price target on Lithia Motors from $385.00 to $399.00 and gave the stock a “buy” rating in a research note on Tuesday, October 28th. Finally, Evercore ISI boosted their price objective on Lithia Motors from $440.00 to $500.00 and gave the company an “outperform” rating in a report on Monday, November 24th.

Lithia Motors Stock Performance

Shares of LAD stock opened at $332.60 on Friday. The company’s fifty day moving average price is $324.80 and its two-hundred day moving average price is $321.65. The company has a debt-to-equity ratio of 1.35, a current ratio of 1.21 and a quick ratio of 0.30. The firm has a market capitalization of $8.07 billion, a P/E ratio of 9.63 and a beta of 1.18. Lithia Motors has a 12 month low of $262.10 and a 12 month high of $405.14.

Lithia Motors (NYSE:LAD) last released its quarterly earnings results on Wednesday, October 22nd. The company reported $9.50 EPS for the quarter, topping the consensus estimate of $8.53 by $0.97. Lithia Motors had a return on equity of 13.42% and a net margin of 2.39%.The business had revenue of $9.68 billion for the quarter, compared to analysts’ expectations of $9.38 billion. During the same quarter in the previous year, the firm posted $8.21 earnings per share. The company’s revenue was up 4.9% compared to the same quarter last year. On average, research analysts anticipate that Lithia Motors will post 34.45 earnings per share for the current fiscal year.

Lithia Motors Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, November 21st. Shareholders of record on Friday, November 7th were paid a dividend of $0.55 per share. The ex-dividend date was Friday, November 7th. This represents a $2.20 annualized dividend and a yield of 0.7%. Lithia Motors’s payout ratio is presently 6.37%.

Key Lithia Motors News

Here are the key news stories impacting Lithia Motors this week:

• Positive Sentiment: Zacks Research raised multiple near‑ and medium‑term EPS estimates (Q4 2025/Q4 2026/Q1‑Q4 2027 and FY2025/FY2027), boosting FY2027 to $43.72 and signaling stronger expected profitability. Zacks Research raises EPS estimates (MarketBeat)
• Positive Sentiment: Brokerage support remains strong: Benchmark recently reiterated a Buy with a $400 target and Evercore ISI reiterated a Buy with a $500 target, giving investors explicit upside targets to weigh against current valuation. Brokerage ratings roundup (InsiderMonkey)
• Positive Sentiment: Wells Fargo analyst commented that LAD’s stock price is expected to rise, adding another sell‑side bullish voice that can support short‑term buying interest. Wells Fargo outlook (American Banking News)
• Neutral Sentiment: Media roundups (MSN) summarized Wall Street’s views on Lithia as a potentially undervalued cyclical play; useful as context but largely a synthesis of analyst calls rather than new company-specific news. Wall Street roundup (MSN)
• Neutral Sentiment: Although analysts are lifting targets and forecasts, the stock is not responding uniformly — today’s weakness suggests investors may be weighing valuation, near‑term volume, or broader market/headline risk versus the upgrades. Market reaction context (InsiderMonkey)

Insider Buying and Selling at Lithia Motors

In other news, Director Congdon Stacy Loretz sold 75 shares of the firm’s stock in a transaction dated Friday, December 12th. The shares were sold at an average price of $360.00, for a total value of $27,000.00. Following the transaction, the director directly owned 1,810 shares in the company, valued at approximately $651,600. This trade represents a 3.98% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Company insiders own 0.87% of the company’s stock.

Hedge Funds Weigh In On Lithia Motors

A number of large investors have recently bought and sold shares of LAD. Abrams Capital Management L.P. boosted its stake in Lithia Motors by 1.9% in the third quarter. Abrams Capital Management L.P. now owns 2,490,534 shares of the company’s stock valued at $787,009,000 after acquiring an additional 45,856 shares during the period. Dimensional Fund Advisors LP boosted its position in Lithia Motors by 1.1% during the 3rd quarter. Dimensional Fund Advisors LP now owns 1,340,670 shares of the company’s stock valued at $423,662,000 after purchasing an additional 14,015 shares during the period. Canada Pension Plan Investment Board grew its stake in Lithia Motors by 5.9% during the 2nd quarter. Canada Pension Plan Investment Board now owns 612,377 shares of the company’s stock worth $206,873,000 after buying an additional 33,966 shares during the last quarter. Geode Capital Management LLC increased its position in Lithia Motors by 2.5% in the second quarter. Geode Capital Management LLC now owns 479,537 shares of the company’s stock worth $162,022,000 after buying an additional 11,859 shares during the period. Finally, Norges Bank bought a new stake in Lithia Motors in the second quarter valued at $148,540,000.

About Lithia Motors

Lithia Motors, Inc is an American automotive retailer headquartered in Medford, Oregon. Founded in 1946 as a small auto body and glass shop, the company has grown through organic expansion and strategic acquisitions to become one of the largest automotive retail networks in North America. Lithia operates dealerships across the United States and Canada, offering a broad portfolio of new and pre-owned vehicles from more than 40 different manufacturers.

The company’s core business activities include vehicle sales, financing, insurance, parts and service.