Zacks Research Reduces Earnings Estimates for Lithia Motors

Lithia Motors, Inc. (NYSE:LAD) – Equities research analysts at Zacks Research lowered their Q1 2028 earnings per share estimates for Lithia Motors in a report released on Wednesday, November 4th. Zacks Research analyst Team now anticipates that the company will post earnings per share of $10.54 for the quarter, down from their prior estimate of $11.92. The consensus estimate for Lithia Motors’ current full-year earnings is $35.83 per share. Zacks Research also issued estimates for Lithia Motors’ Q2 2028 earnings at $10.91 EPS, Q3 2028 earnings at $11.09 EPS and FY2028 earnings at $44.87 EPS.

Lithia Motors (NYSE:LAD) last posted its quarterly earnings data on Wednesday, October 21st. The company reported $10.34 earnings per share for the quarter, topping the consensus estimate of $9.70 by $0.64. The business had revenue of $9.95 billion during the quarter, compared to analysts’ expectations of $9.75 billion. Lithia Motors had a net margin of 2.06% and a return on equity of 12.05%. Lithia Motors’s revenue was up 2.8% compared to the same quarter last year. During the same quarter in the prior year, the business posted $9.50 earnings per share.

A number of other research analysts have also recently issued reports on LAD. JPMorgan Chase & Co. decreased their price objective on shares of Lithia Motors from $320.00 to $315.00 and set a “neutral” rating on the stock in a research note on Thursday, October 22nd. Morgan Stanley cut their target price on Lithia Motors from $358.00 to $310.00 and set an “equal weight” rating for the company in a research note on Monday, October 5th. Wall Street Zen raised Lithia Motors from a “sell” rating to a “hold” rating in a report on Saturday, August 1st. UBS Group decreased their price target on Lithia Motors from $335.00 to $305.00 and set a “neutral” rating on the stock in a research note on Thursday, October 22nd. Finally, Wells Fargo & Company lifted their price target on Lithia Motors from $306.00 to $395.00 and gave the company an “equal weight” rating in a research note on Thursday, July 30th. Six equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $393.80.

Lithia Motors Stock Performance

Shares of Lithia Motors stock opened at $305.67 on Monday. The company has a 50 day moving average of $313.84 and a 200-day moving average of $307.07. Lithia Motors has a 1-year low of $239.78 and a 1-year high of $439.49. The company has a current ratio of 1.00, a quick ratio of 0.21 and a debt-to-equity ratio of 1.44. The company has a market cap of $6.61 billion, a PE ratio of 8.79, a price-to-earnings-growth ratio of 0.72 and a beta of 1.30.

Lithia Motors Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, November 20th. Stockholders of record on Friday, November 6th will be paid a $0.75 dividend. This represents a $3.00 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Friday, November 6th. This is an increase from Lithia Motors’s previous quarterly dividend of $0.70. Lithia Motors’s dividend payout ratio is 8.63%.

Insider Buying and Selling at Lithia Motors

In related news, Director Stacy Congdon sold 75 shares of Lithia Motors stock in a transaction that occurred on Friday, September 11th. The shares were sold at an average price of $370.73, for a total transaction of $27,804.75. Following the sale, the director directly owned 2,300 shares of the company’s stock, valued at approximately $852,679. The trade was a 3.16% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 1.08% of the company’s stock.

Institutional Trading of Lithia Motors

A number of hedge funds have recently added to or reduced their stakes in the stock. BlackRock Inc. bought a new stake in shares of Lithia Motors during the second quarter worth $696,482,000. Dimensional Fund Advisors LP lifted its stake in shares of Lithia Motors by 3.2% in the 1st quarter. Dimensional Fund Advisors LP now owns 1,389,870 shares of the company’s stock valued at $347,074,000 after acquiring an additional 43,087 shares during the last quarter. Madison Asset Management LLC bought a new position in shares of Lithia Motors in the 2nd quarter valued at $66,988,000. Bank of New York Mellon Corp bought a new position in shares of Lithia Motors in the 2nd quarter valued at $63,015,000. Finally, The Manufacturers Life Insurance Company boosted its holdings in shares of Lithia Motors by 22.5% during the 1st quarter. The Manufacturers Life Insurance Company now owns 159,363 shares of the company’s stock valued at $39,796,000 after acquiring an additional 29,308 shares in the last quarter.

About Lithia Motors

Lithia Motors, Inc. is an automotive retailer that sells new and pre-owned vehicles through a network of franchised dealerships. Its dealerships represent a range of vehicle manufacturers and also offer related products and services, including parts, maintenance and repairs, and vehicle financing and insurance options. The company traces its roots to a single dealership established in Ashland, Oregon, in 1946. It has since expanded its retail operations across the United States, Canada and the United Kingdom.