Lithia Motors (NYSE:LAD) Announces Quarterly Earnings Results

Lithia Motors (NYSE:LAD) released its quarterly earnings results on Wednesday. The company reported $6.11 earnings per share (EPS) for the quarter, missing the consensus estimate of $7.85 by ($1.74), Briefing.com reports. Lithia Motors had a return on equity of 17.33% and a net margin of 3.22%. The firm had revenue of $8.56 billion during the quarter, compared to analysts’ expectations of $8.58 billion. During the same period in the prior year, the firm posted $8.44 earnings per share. Lithia Motors’s revenue for the quarter was up 22.7% compared to the same quarter last year.

Lithia Motors Price Performance

Shares of LAD stock traded up $4.78 on Thursday, reaching $253.12. 311,171 shares of the company were exchanged, compared to its average volume of 215,399. The company has a market cap of $6.97 billion, a price-to-earnings ratio of 6.88, a P/E/G ratio of 2.24 and a beta of 1.58. The business has a 50-day moving average price of $284.15 and a 200 day moving average price of $283.85. The company has a debt-to-equity ratio of 1.15, a quick ratio of 0.45 and a current ratio of 1.41. Lithia Motors has a 1 year low of $206.69 and a 1 year high of $331.96.

Lithia Motors Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, May 24th. Shareholders of record on Friday, May 10th will be issued a $0.53 dividend. This is a boost from Lithia Motors’s previous quarterly dividend of $0.50. The ex-dividend date is Thursday, May 9th. This represents a $2.12 dividend on an annualized basis and a yield of 0.84%. Lithia Motors’s payout ratio is presently 5.51%.

Wall Street Analyst Weigh In

Several research firms have recently commented on LAD. Stephens reiterated an “overweight” rating and set a $375.00 price objective on shares of Lithia Motors in a research note on Wednesday, February 14th. StockNews.com downgraded shares of Lithia Motors from a “hold” rating to a “sell” rating in a research note on Thursday, April 18th. The Goldman Sachs Group lifted their price objective on shares of Lithia Motors from $300.00 to $334.00 and gave the stock a “neutral” rating in a research note on Thursday, February 15th. Evercore ISI initiated coverage on shares of Lithia Motors in a research report on Wednesday, January 17th. They set an “outperform” rating and a $400.00 target price for the company. Finally, Guggenheim decreased their target price on shares of Lithia Motors from $320.00 to $297.00 and set a “buy” rating for the company in a research report on Wednesday, April 17th. Two equities research analysts have rated the stock with a sell rating, four have assigned a hold rating and four have assigned a buy rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Hold” and a consensus price target of $327.90.

Insider Transactions at Lithia Motors

In related news, Director Shauna Mcintyre sold 135 shares of the company’s stock in a transaction dated Friday, February 16th. The shares were sold at an average price of $297.84, for a total transaction of $40,208.40. Following the completion of the sale, the director now owns 1,662 shares of the company’s stock, valued at approximately $495,010.08. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Corporate insiders own 1.79% of the company’s stock.

Lithia Motors Company Profile

Lithia Motors, Inc operates as an automotive retailer worldwide. It operates in two segments, Vehicle Operations and Financing Operations. The company's Vehicle Operations segment sells new and used vehicles; provides parts, repair, and maintenance services; vehicle finance; and insurance products.