Wall Street Zen Downgrades Lithia Motors (NYSE:LAD) to Sell

Lithia Motors (NYSE:LAD) was downgraded by stock analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a report issued on Saturday.

Several other equities analysts have also commented on the stock. Wells Fargo & Company decreased their price objective on shares of Lithia Motors from $358.00 to $355.00 and set an “equal weight” rating for the company in a research report on Thursday, February 12th. JPMorgan Chase & Co. cut shares of Lithia Motors from an “overweight” rating to a “neutral” rating and set a $335.00 price target for the company. in a report on Friday, February 20th. Weiss Ratings reiterated a “hold (c+)” rating on shares of Lithia Motors in a research note on Thursday, January 22nd. Evercore upped their target price on Lithia Motors from $440.00 to $500.00 and gave the company an “outperform” rating in a research report on Monday, November 24th. Finally, Barclays lowered their price target on Lithia Motors from $390.00 to $380.00 and set an “overweight” rating for the company in a research report on Tuesday, February 17th. Seven equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to data from MarketBeat.com, Lithia Motors currently has a consensus rating of “Moderate Buy” and a consensus price target of $386.00.

Lithia Motors Stock Down 0.6%

Lithia Motors stock opened at $279.72 on Friday. Lithia Motors has a 1-year low of $262.10 and a 1-year high of $360.55. The business has a fifty day moving average price of $323.09 and a 200-day moving average price of $320.95. The company has a debt-to-equity ratio of 1.46, a current ratio of 1.17 and a quick ratio of 0.26. The stock has a market capitalization of $6.78 billion, a price-to-earnings ratio of 8.70 and a beta of 1.21.

Lithia Motors (NYSE:LAD) last announced its earnings results on Wednesday, February 11th. The company reported $6.74 earnings per share (EPS) for the quarter, missing the consensus estimate of $8.09 by ($1.35). Lithia Motors had a net margin of 2.18% and a return on equity of 12.76%. The company’s quarterly revenue was up .3% compared to the same quarter last year. During the same period last year, the business earned $7.79 EPS. Equities research analysts forecast that Lithia Motors will post 34.45 EPS for the current fiscal year.

Insider Buying and Selling at Lithia Motors

In other news, Director Congdon Stacy Loretz sold 75 shares of the business’s stock in a transaction dated Friday, December 12th. The stock was sold at an average price of $360.00, for a total value of $27,000.00. Following the completion of the transaction, the director owned 1,810 shares of the company’s stock, valued at $651,600. The trade was a 3.98% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Insiders own 0.87% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of the stock. Parallel Advisors LLC boosted its position in Lithia Motors by 26.8% in the 4th quarter. Parallel Advisors LLC now owns 156 shares of the company’s stock worth $52,000 after purchasing an additional 33 shares in the last quarter. AGP Franklin LLC lifted its stake in shares of Lithia Motors by 0.3% in the 3rd quarter. AGP Franklin LLC now owns 10,459 shares of the company’s stock valued at $3,305,000 after purchasing an additional 34 shares during the period. Arizona State Retirement System boosted its holdings in Lithia Motors by 0.4% during the third quarter. Arizona State Retirement System now owns 7,702 shares of the company’s stock worth $2,434,000 after buying an additional 34 shares in the last quarter. GAMMA Investing LLC grew its position in Lithia Motors by 9.2% during the fourth quarter. GAMMA Investing LLC now owns 403 shares of the company’s stock valued at $134,000 after buying an additional 34 shares during the period. Finally, M&T Bank Corp increased its holdings in Lithia Motors by 2.4% in the second quarter. M&T Bank Corp now owns 1,488 shares of the company’s stock valued at $503,000 after buying an additional 35 shares in the last quarter.

Key Stories Impacting Lithia Motors

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

• Positive Sentiment: Zacks raised a near‑term EPS estimate (Q1), a positive revision that suggests better-than-expected short‑term profitability. Q1 EPS Estimates for Lithia Motors Raised by Zacks Research
• Positive Sentiment: Zacks also lifted its Q4 2027 EPS forecast to $14.66 from $11.38, indicating some expectations for stronger late‑cycle earnings, which could support longer‑term upside if realized. MarketBeat LAD overview (Zacks note)
• Neutral Sentiment: The street consensus cited in these notes still lists the current full‑year estimate at $34.45, showing that despite revisions from Zacks the broader market view for the near term is stable. MarketBeat LAD overview
• Negative Sentiment: Zacks cut multiple near‑term and mid‑cycle forecasts: Q2–Q4 2026 quarter estimates were trimmed (e.g., Q2 2026 to $9.37, Q3 2026 to $9.97, Q4 2026 to $9.63) and FY2026 was lowered to $37.25 from $38.19 — reductions that signal weaker expected earnings in the coming year. MarketBeat LAD overview (Zacks cuts)
• Negative Sentiment: Zacks also trimmed several 2027 quarterly estimates (Q1–Q3 2027) and reduced FY2027 to $42.55 from $43.72, indicating more conservative medium‑term expectations that could weigh on sentiment and valuation multiple. MarketBeat LAD overview (Zacks cuts)
• Negative Sentiment: Independent outlet Wall Street Zen lowered its stock rating on LAD, adding downward pressure from sentiment/technical traders and investors who follow third‑party ratings. Lithia Motors (NYSE:LAD) Stock Rating Lowered by Wall Street Zen

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.