Concentric Capital Strategies LP Takes $7.54 Million Position in Lithia Motors, Inc. $LAD

Concentric Capital Strategies LP acquired a new stake in Lithia Motors, Inc. (NYSE:LAD) during the 4th quarter, according to its most recent filing with the SEC. The institutional investor acquired 22,688 shares of the company’s stock, valued at approximately $7,540,000. Concentric Capital Strategies LP owned 0.09% of Lithia Motors at the end of the most recent quarter.

Several other large investors also recently modified their holdings of LAD. Norges Bank bought a new stake in shares of Lithia Motors in the 4th quarter valued at approximately $125,214,000. Life Cycle Investment Partners Ltd bought a new stake in shares of Lithia Motors in the 4th quarter valued at approximately $58,409,000. Marshall Wace LLP grew its stake in shares of Lithia Motors by 183.6% in the 4th quarter. Marshall Wace LLP now owns 162,937 shares of the company’s stock valued at $54,149,000 after purchasing an additional 105,478 shares during the period. Hook Mill Capital Partners LP bought a new stake in shares of Lithia Motors in the 3rd quarter valued at approximately $29,130,000. Finally, Bank of America Corp DE grew its stake in shares of Lithia Motors by 57.5% in the 2nd quarter. Bank of America Corp DE now owns 197,417 shares of the company’s stock valued at $66,691,000 after purchasing an additional 72,061 shares during the period.

Insider Buying and Selling at Lithia Motors

In other Lithia Motors news, Director Richard J. Bailey, Jr. sold 297 shares of the company’s stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $280.57, for a total transaction of $83,329.29. Following the transaction, the director owned 760 shares of the company’s stock, valued at approximately $213,233.20. This represents a 28.10% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Shauna Mcintyre sold 245 shares of the company’s stock in a transaction on Monday, May 11th. The stock was sold at an average price of $294.64, for a total value of $72,186.80. Following the transaction, the director directly owned 1,846 shares in the company, valued at approximately $543,905.44. This represents a 11.72% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 782 shares of company stock worth $229,572. Company insiders own 1.08% of the company’s stock.

Lithia Motors Stock Down 4.8%

Shares of LAD opened at $292.60 on Thursday. The business’s 50 day simple moving average is $284.05 and its 200-day simple moving average is $298.49. Lithia Motors, Inc. has a one year low of $239.78 and a one year high of $360.55. The company has a debt-to-equity ratio of 1.41, a current ratio of 0.99 and a quick ratio of 0.24. The company has a market capitalization of $6.67 billion, a P/E ratio of 10.27, a PEG ratio of 0.68 and a beta of 1.26.

Lithia Motors (NYSE:LAD) last posted its quarterly earnings data on Wednesday, April 29th. The company reported $7.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $7.06 by $0.28. Lithia Motors had a return on equity of 12.49% and a net margin of 1.88%.The firm had revenue of $9.27 billion for the quarter, compared to the consensus estimate of $9.22 billion. During the same quarter in the prior year, the business earned $7.66 EPS. The business’s revenue for the quarter was up 1.0% compared to the same quarter last year. As a group, sell-side analysts predict that Lithia Motors, Inc. will post 34.37 EPS for the current fiscal year.

Lithia Motors declared that its board has initiated a stock repurchase program on Tuesday, May 26th that permits the company to buyback $500.00 million in outstanding shares. This buyback authorization permits the company to buy up to 7.9% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s board believes its shares are undervalued.

Lithia Motors Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, May 22nd. Shareholders of record on Friday, May 8th were issued a dividend of $0.57 per share. The ex-dividend date of this dividend was Friday, May 8th. This represents a $2.28 annualized dividend and a yield of 0.8%. This is a positive change from Lithia Motors’s previous quarterly dividend of $0.55. Lithia Motors’s dividend payout ratio (DPR) is currently 8.01%.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on LAD shares. Bank of America lowered their price objective on Lithia Motors from $335.00 to $320.00 in a research note on Monday, April 13th. Barclays reduced their target price on Lithia Motors from $380.00 to $370.00 and set an “overweight” rating on the stock in a report on Tuesday, April 7th. Zacks Research raised Lithia Motors from a “strong sell” rating to a “hold” rating in a report on Thursday, April 23rd. Weiss Ratings downgraded Lithia Motors from a “hold (c)” rating to a “hold (c-)” rating in a report on Monday, May 4th. Finally, Citigroup boosted their target price on Lithia Motors from $326.00 to $365.00 and gave the stock a “buy” rating in a report on Friday, May 1st. Seven investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $368.11.

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.