Lithia Motors Option Alert: Dec 19 $300 Calls at the Bid: 150 vs 0 OI; Earnings 4/23 Before Open [est] 

Lithia Motors Option Alert: Dec 19 $300 Calls at the Bid: 150 @ $44.0 vs 0 OI; Earnings 4/23 Before Open [est] Ref=$297.747

Lithia Motors (NYSE:LAD) Stock

Lithia Motors

Lithia Motors is a retailer of new and used vehicles and related services. The company offers over 50 brands of vehicles at nearly 500 stores globally across the US, Canada, and UK. The company has expanded largely through the acquisition of dealerships in smaller regional markets but now seeks to grow in any part of the US and we expect more deals over time in the US and, at times, abroad. Annual revenue in 2024 was $36.2 billion and we see over $50 billion possible in a few years. The US was 78% of 2024 revenue and the UK second at 19%, due to the 2024 Pendragon acquisition. In 2024, new vehicle sales were about 49% of total revenue. Lithia was founded in 1946, went public in 1996, and is the largest US auto dealer. It is based in Medford, Oregon.

Lithia Motors Inc

Ladder Capital Corp

LadRx Corp

Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) will release its quarterly earnings report on Wednesday, 2025-04-23. Here's a brief overview for investors ahead of the announcement.
Analysts anticipate Lithia Motors to report an earnings per share (EPS) of $7.75.
The market awaits Lithia Motors's announcement, with hopes high for news of surpassing estimates and providing upbeat guidance for the next quarter.
It's important for new investors to understand that guidance can be a significant driver of stock prices.
<h3>Overview of Past Earnings</h3>
During the last quarter, the company reported an EPS beat by $0.55, leading to a 0.26% drop in the share price on the subsequent day.
Here's a look at Lithia Motors's past performance and the resulting price change:

<table>
<thead>
<tr>
<th>Quarter</th>
<th>Q4 2024</th>
<th>Q3 2024</th>
<th>Q2 2024</th>
<th>Q1 2024</th>
</tr>
</thead>
<tbody>
<tr>
<td>EPS Estimate</td>
<td>7.24</td>
<td>7.59</td>
<td>7.54</td>
<td>7.89</td>
</tr>
<tr>
<td>EPS Actual</td>
<td>7.79</td>
<td>8.21</td>
<td>7.87</td>
<td>6.11</td>
</tr>
<tr>
<td>Price Change %</td>
<td>-0.0%</td>
<td>0.0%</td>
<td>-2.0%</td>
<td>4.0%</td>
</tr>
</tbody>
</table>

<img src="https://www.benzinga.com/files/images/story/2025/1745348576_0.png" alt="eps graph" />
<h3>Tracking Lithia Motors's Stock Performance</h3>
Shares of Lithia Motors were trading at $283.82 as of April 21. Over the last 52-week period, shares are up 19.26%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release. 
<h3>Analyst Insights on Lithia Motors</h3>
Understanding market sentiments and expectations within the industry is crucial for investors. This analysis delves into the latest insights on Lithia Motors.
The consensus rating for Lithia Motors is Outperform, based on 7 analyst ratings. With an average one-year price target of $383.0, there's a potential 34.94% upside.
<h3>Analyzing Ratings Among Peers</h3>
In this analysis, we delve into the analyst ratings and average 1-year price targets of AutoNation, CarMax and Group 1 Automotive, three key industry players, offering insights into their relative performance expectations and market positioning.
<ul>
<li>Analysts currently favor an Neutral trajectory for AutoNation, with an average 1-year price target of $194.75, suggesting a potential 31.38% downside.</li>
<li>Analysts currently favor an Outperform trajectory for CarMax, with an average 1-year price target of $90.3, suggesting a potential 68.18% downside.</li>
<li>Analysts currently favor an Outperform trajectory for Group 1 Automotive, with an average 1-year price target of $454.0, suggesting a potential 59.96% upside.</li>
</ul>
<h3>Snapshot: Peer Analysis</h3>
The peer analysis summary offers a detailed examination of key metrics for AutoNation, CarMax and Group 1 Automotive, providing valuable insights into their respective standings within the industry and their market positions and comparative performance.

<table>
<thead>
<tr>
<th>Company</th>
<th>Consensus</th>
<th>Revenue Growth</th>
<th>Gross Profit</th>
<th>Return on Equity</th>
</tr>
</thead>
<tbody>
<tr>
<td>Lithia Motors</td>
<td>Outperform</td>
<td>19.54%</td>
<td>$1.37B</td>
<td>3.26%</td>
</tr>
<tr>
<td>AutoNation</td>
<td>Neutral</td>
<td>6.59%</td>
<td>$1.24B</td>
<td>7.71%</td>
</tr>
<tr>
<td>CarMax</td>
<td>Outperform</td>
<td>6.69%</td>
<td>$667.89M</td>
<td>1.44%</td>
</tr>
<tr>
<td>Group 1 Automotive</td>
<td>Outperform</td>
<td>23.80%</td>
<td>$879.20M</td>
<td>3.12%</td>
</tr>
</tbody>
</table>

Key Takeaway:
Lithia Motors ranks at the top for Revenue Growth and Gross Profit among its peers. However, it has the lowest Return on Equity. Overall, Lithia Motors is positioned favorably compared to its peers in terms of financial performance metrics.
<h3>Delving into Lithia Motors's Background</h3>
Lithia Motors is a retailer of new and used vehicles and related services. The company offers over 50 brands of vehicles at nearly 500 stores globally across the US, Canada, and UK. The company has expanded largely through the acquisition of dealerships in smaller regional markets but now seeks to grow in any part of the US and we expect more deals over time in the US and, at times, abroad. Annual revenue in 2024 was $36.2 billion and we see over $50 billion possible in a few years. The US was 78% of 2024 revenue and the UK second at 19%, due to the 2024 Pendragon acquisition. In 2024, new vehicle sales were about 49% of total revenue. Lithia was founded in 1946, went public in 1996, and is the largest US auto dealer. It is based in Medford, Oregon.
<h3>Financial Milestones: Lithia Motors's Journey</h3>
Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.
Revenue Growth: Over the 3 months period, Lithia Motors showcased positive performance, achieving a revenue growth rate of 19.54% as of 31 December, 2024. This reflects a substantial increase in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher than the average among peers.
Net Margin: Lithia Motors's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 2.36%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Lithia Motors's ROE excels beyond industry benchmarks, reaching 3.26%. This signifies robust financial management and efficient use of shareholder equity capital.
Return on Assets (ROA): Lithia Motors's ROA excels beyond industry benchmarks, reaching 0.93%. This signifies efficient management of assets and strong financial health.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 2.08.
<a href="https://www.benzinga.com/quote/LAD/earnings">To track all earnings releases for Lithia Motors visit their earnings calendar on our site.</a>
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Earnings

A Preview Of Lithia Motors's Earnings

Guggenheim analyst Ronald Jewsikow maintains Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) with a Buy and lowers the price target from $417 to $356.

News

Price Target

Analyst Ratings

Guggenheim Maintains Buy on Lithia Motors, Lowers Price Target to $356

Wells Fargo analyst Colin Langan maintains Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) with a Equal-Weight and lowers the price target from $397 to $308.

Wells Fargo Maintains Equal-Weight on Lithia Motors, Lowers Price Target to $308

Management

Lithia Motors Announces That Adam Chamberlain Will Transition From His Current Role As Executive Vice President And Chief Operating Officer 
Effective June 1, 2025

Across the recent three months, 8 analysts have shared their insights on Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>), expressing a variety of opinions spanning from bullish to bearish.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
<table>
<thead>
<tr>
<th></th>
<th align="right">Bullish</th>
<th align="right">Somewhat Bullish</th>
<th align="right">Indifferent</th>
<th align="right">Somewhat Bearish</th>
<th align="right">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td align="right">2</td>
<td align="right">4</td>
<td align="right">2</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td align="right">0</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td align="right">1</td>
<td align="right">2</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td align="right">1</td>
<td align="right">1</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
</tbody>
</table>
Insights from analysts' 12-month price targets are revealed, presenting an average target of $395.38, a high estimate of $440.00, and a low estimate of $346.00. Marking an increase of 1.98%, the current average surpasses the previous average price target of $387.71. 
<img src="https://www.benzinga.com/files/images/story/2025/1743098416_0.png" alt="price target chart" />
<h2>Understanding Analyst Ratings: A Comprehensive Breakdown</h2>
The perception of Lithia Motors by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Rajat Gupta</td>
<td>JP Morgan</td>
<td>Lowers</td>
<td>Overweight</td>
<td>$360.00</td>
<td>$420.00</td>
</tr>
<tr>
<td>Michael Albanese</td>
<td>Benchmark</td>
<td>Maintains</td>
<td>Buy</td>
<td>$400.00</td>
<td>$400.00</td>
</tr>
<tr>
<td>Rajat Gupta</td>
<td>JP Morgan</td>
<td>Raises</td>
<td>Overweight</td>
<td>$420.00</td>
<td>$400.00</td>
</tr>
<tr>
<td>Douglas Dutton</td>
<td>Evercore ISI Group</td>
<td>Raises</td>
<td>Outperform</td>
<td>$440.00</td>
<td>$400.00</td>
</tr>
<tr>
<td>Colin Langan</td>
<td>Wells Fargo</td>
<td>Raises</td>
<td>Equal-Weight</td>
<td>$397.00</td>
<td>$346.00</td>
</tr>
<tr>
<td>Rajat Gupta</td>
<td>JP Morgan</td>
<td>Lowers</td>
<td>Overweight</td>
<td>$400.00</td>
<td>$405.00</td>
</tr>
<tr>
<td>Colin Langan</td>
<td>Wells Fargo</td>
<td>Raises</td>
<td>Equal-Weight</td>
<td>$346.00</td>
<td>$343.00</td>
</tr>
<tr>
<td>Michael Ward</td>
<td>Benchmark</td>
<td>Announces</td>
<td>Buy</td>
<td>$400.00</td>
<td>-</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Lithia Motors. This offers insight into analysts' perspectives on the current state of the company.</li>
<li>Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Lithia Motors compared to the broader market.</li>
<li>Price Targets: Analysts provide insights into price targets, offering estimates for the future value of Lithia Motors's stock. This comparison reveals trends in analysts' expectations over time.</li>
</ul>
Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into Lithia Motors's market standing. Stay informed and make well-considered decisions with our Ratings Table.
<a href="https://www.benzinga.com/quote/LAD/analyst-ratings?adType=benzinga-insights&amp;ad=analyst-ratings&amp;campaign=wallstreetadvantage">Stay up to date on Lithia Motors analyst ratings.</a>
<h2>Delving into Lithia Motors's Background</h2>
Lithia Motors is a retailer of new and used vehicles and related services. The company offers over 50 brands of vehicles at nearly 500 stores globally across the US, Canada, and UK. The company has expanded largely through the acquisition of dealerships in smaller regional markets but now seeks to grow in any part of the US and we expect more deals over time in the US and, at times, abroad. Annual revenue in 2024 was $36.2 billion and we see over $50 billion possible in a few years. The US was 78% of 2024 revenue and the UK second at 19%, due to the 2024 Pendragon acquisition. In 2024, new vehicle sales were about 49% of total revenue. Lithia was founded in 1946, went public in 1996, and is the largest US auto dealer. It is based in Medford, Oregon.
<h3>Lithia Motors: Delving into Financials</h3>
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Revenue Growth: Over the 3 months period, Lithia Motors showcased positive performance, achieving a revenue growth rate of 19.54% as of 31 December, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.
Net Margin: Lithia Motors's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 2.36% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): Lithia Motors's ROE stands out, surpassing industry averages. With an impressive ROE of 3.26%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.93%, the company showcases effective utilization of assets.
Debt Management: Lithia Motors's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 2.08.
<h2>Analyst Ratings: Simplified</h2>
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
Which Stocks Are Analysts Recommending Now?
Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-checkout/?t=be8be9arja3be22bz21&amp;adType=benzinga-insights&amp;ad=analyst-ratings&amp;campaign=wallstreetadvantage">Click here to stay ahead of the market</a>.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Demystifying Lithia Motors: Insights From 8 Analyst Reviews

JP Morgan analyst Rajat Gupta maintains Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) with a Overweight and lowers the price target from $420 to $360.

JP Morgan Maintains Overweight on Lithia Motors, Lowers Price Target to $360

<a href="https://www.autonews.com/retail/an-amazon-eyes-used-car-sales-0319/">https://www.autonews.com/retail/an-amazon-eyes-used-car-sales-0319/</a>
While Amazon continues to refine its <a href="https://www.autonews.com/retail/hyundai-will-sell-cars-amazon-2024/">new car-shopping platform</a> with customers and dealers in certain U.S. markets, the online retail giant is already eying its next endeavor: used cars.

ACVA

AMZN

CARG

CRMT

CVNA

'Amazon Eyes Used-Car Sales' - Automotive News

Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) Lithia &amp; Driveway announced the acquisition of Elk Grove Subaru in California, further strengthening its presence in the Sacramento area and expanding its Southwest regional network. Deal <a target="_blank" href="https://www.benzinga.com/pressreleases/25/03/n44102953/lithia-driveway-lad-expands-retail-network-in-southwest-region-and-announces-share-repurchase-auth" rel="noreferrer noopener">terms were not disclosed.</a>
The acquisition is expected to generate $100 million in annual revenue, bringing LAD&#8217;s total year-to-date acquired annualized revenue to $180 million.
The company funded the transaction using existing on-balance sheet capacity. It held $445.8 million in <a target="_blank" href="https://www.benzinga.com//node/43650714" rel="noreferrer noopener">cash and equivalents as of December 31, 2024.</a>
&#8220;This addition strengthens our presence in the Southwest region and continues our strategy of expanding our network with high-performing partners like Subaru,&#8221; stated Bryan DeBoer, Lithia &amp; Driveway President and CEO.
Also Read: <a target="_blank" href="https://www.benzinga.com/25/02/43654652/lithia-motors-record-q4-propels-stock-higher-earnings-beat-sales-jump-dividend-more" rel="noreferrer noopener">Lithia Motors&#8217; Solid Q4 Propels Stock Higher: Earnings Beat, Sales Jump, Dividend &amp; More</a>
Additionally, LAD announced a $350 million increase in its share repurchase authorization, bringing total available funds to approximately $748 million.
So far this year, the company has repurchased over 197,500 shares for $71 million at an average price of $361 per share, representing 0.75% of outstanding shares.
Price Action: LAD shares traded lower by 2.24% at $318.03 at the last check Tuesday.
Read Next:
<ul>
<li><a href="https://www.benzinga.com/25/03/44103610/taiwan-semiconductor-doubles-down-on-us-chipmaking-165-billion-investment-set-to-reshape-tech-jobs" target="_blank" rel="noreferrer noopener">Taiwan Semiconductor Doubles Down On US Chipmaking, Plans $165 Billion Investment</a></li>
</ul>
Image: Shutterstock/ bangoland.

Equities

Buybacks

Lithia & Driveway Bolsters Retail Network And Boosts Stock Buyback: Details

Lithia & Driveway Board of Directors Authorize $350M Increase In Share Repurchase

General

Lithia & Driveway Acquires Elk Grove Subaru In Elk Grove, California To Expand Retail Network In Southwest Region

Billionaire hedge fund manager Leon Cooperman says he&#8217;s taken a &#8220;conservative view&#8221; for his portfolio amid President Donald Trump&#8216;s second term and a long-term <a href="https://www.benzinga.com/government/regulations/25/01/43143201/higher-for-longer-interest-rates-shift-investors-to-value-tariff-fears-overstated">high interest rate environment</a>.
Cooperman <a href="https://www.youtube.com/watch?v=S7N7_gb-0iE&amp;ab_channel=CNBCTelevision">appeared</a> on CNBC on Monday to discuss the macroeconomic environment informing his pivot toward cash and stocks trading at lower valuations.
Cooperman, the chairman and CEO of Omega Advisors, says Trump&#8217;s focus on the deficit is the &#8220;right thing to do&#8221; but is concerning for markets.
&#8220;The president&#8217;s on the right track, but I think he&#8217;s doing things in a very destabilizing manner,&#8221; Cooperman said. &#8220;&#8230;he&#8217;s trying to change the whole ethos of the country&#8230; I understand what he&#8217;s doing, focusing on the deficit, but focusing on the deficit is contractionary.&#8221;
Cooperman has donated to Republican campaigns in the past <a href="https://www.fec.gov/data/receipts/individual-contributions/?contributor_name=Leon+Cooperman">according</a> to FEC filings and <a href="https://www.benzinga.com/general/politics/23/10/35526976/billionaire-hedge-funder-leon-cooperman-says-trump-belongs-in-jail-would-be-terrible-for-the-cou">criticized both Trump</a> and his predecessor, President Joe Biden.
The Goldman Sachs alum says market valuation multiples are too high at 23 times earnings. For his portfolio, Cooperman is looking at stocks trading at a discount with high growth prospects, particularly Fidelis Insurance Holdings Ltd (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FIHL#NYSE">FIHL</a>) and Lithia Motors Inc (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>).
Vertiv Holdings Co (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/VRT#NYSE">VRT</a>) is among Cooperman&#8217;s top holdings, though he does not plan to sell at high current valuations due to tax considerations.
He holds around 15% of his portfolio in short-term cash and thinks that stocks are better protected than bonds to inflation risk.
&#8220;I have a very negative view of bonds — bonds don&#8217;t make any sense to me at 4.2% [yields],&#8221; Cooperman said. &#8220;Rates are going to head up in the long run.&#8221;
Also Read:
<ul>
<li><a href="https://www.benzinga.com/news/25/03/44092335/trumps-tariffs-threaten-canada-mexico-china-and-american-wallets">Trump&#8217;s Tariffs Threaten Canada, Mexico, China — And American Wallets</a></li>
</ul>
Image created using artificial intelligence via Midjourney.

Bonds

Hedge Funds

Politics

Economics

FIHL

Leon Cooperman Says He Likes Cash, Calls Trump's Deficit Cutting 'Contractionary'

Benchmark analyst Michael Albanese reiterates Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) with a Buy and maintains $400 price target.

Reiteration

Benchmark Reiterates Buy on Lithia Motors, Maintains $400 Price Target

JP Morgan analyst Rajat Gupta maintains Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) with a Overweight and raises the price target from $400 to $420.

JP Morgan Maintains Overweight on Lithia Motors, Raises Price Target to $420

Evercore ISI Group analyst Douglas Dutton maintains Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) with a Outperform and raises the price target from $400 to $440.

Evercore ISI Group Maintains Outperform on Lithia Motors, Raises Price Target to $440

Lithia Motors's (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) short percent of float has fallen 6.4% since its last report. The company recently reported that it has 1.88 million shares sold short, which is 8.05% of all regular shares that are available for trading. Based on its trading volume, it would take traders 3.25 days to cover their short positions on average.
<h3>Why Short Interest Matters</h3>
Short interest is the number of shares that have been sold short but have not yet been covered or closed out. <a href="https://www.benzinga.com/money/how-to-short-a-stock/">Short selling</a> is when a trader sells shares of a company they do not own, with the hope that the price will fall. Traders make money from short selling if the price of the stock falls and they lose if it rises.
Short interest is important to track because it can act as an indicator of market sentiment towards a particular stock. An increase in short interest can signal that investors have become more bearish, while a decrease in short interest can signal they have become more bullish.
See Also: <a href="https://www.benzinga.com/short-interest">List of the most shorted stocks</a>
<h3>Lithia Motors Short Interest Graph (3 Months)</h3>
<img src="https://www.benzinga.com/files/images/story/2025/1739798124_0.png" alt="short_fig" />
As you can see from the chart above the percentage of shares that are sold short for Lithia Motors has declined since its last report. This does not mean that the stock is going to rise in the near-term but traders should be aware that less shares are being shorted.
<h3>Comparing Lithia Motors's Short Interest Against Its Peers</h3>
Peer comparison is a popular technique amongst analysts and investors for gauging how well a company is performing. A company's peer is another company that has similar characteristics to it, such as industry, size, age, and financial structure. You can find a company's peer group by reading its 10-K, proxy filing, or by doing your own similarity analysis.
According to <a href="https://pro.benzinga.com/">Benzinga Pro</a>, Lithia Motors's peer group average for short interest as a percentage of float is 10.08%, which means the company has less short interest than most of its peers.
Did you know that increasing short interest can actually be bullish for a stock? <a href="https://www.benzinga.com/money/how-to-make-money-on-a-short-squeeze/">This post by Benzinga Money explains how you can profit from it.</a>
This article was generated by Benzinga's automated content engine and was reviewed by an editor.

Short Sellers

Short Ideas

Trading Ideas

Peering Into Lithia Motors's Recent Short Interest

During the last three months, 6 analysts shared their evaluations of Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>), revealing diverse outlooks from bullish to bearish.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
<table>
<thead>
<tr>
<th></th>
<th align="right">Bullish</th>
<th align="right">Somewhat Bullish</th>
<th align="right">Indifferent</th>
<th align="right">Somewhat Bearish</th>
<th align="right">Bearish</th>
</tr>
</thead>
<tbody>
<tr>
<td>Total Ratings</td>
<td align="right">3</td>
<td align="right">1</td>
<td align="right">2</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>Last 30D</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>1M Ago</td>
<td align="right">0</td>
<td align="right">1</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>2M Ago</td>
<td align="right">1</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
<tr>
<td>3M Ago</td>
<td align="right">2</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
<td align="right">0</td>
</tr>
</tbody>
</table>
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $401.83, a high estimate of $450.00, and a low estimate of $346.00. This upward trend is apparent, with the current average reflecting a 8.37% increase from the previous average price target of $370.80.
<img src="https://www.benzinga.com/files/images/story/2025/1739469652_0.png" alt="price target chart" />
<h2>Interpreting Analyst Ratings: A Closer Look</h2>
A clear picture of Lithia Motors's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Colin Langan</td>
<td>Wells Fargo</td>
<td>Raises</td>
<td>Equal-Weight</td>
<td>$397.00</td>
<td>$346.00</td>
</tr>
<tr>
<td>Rajat Gupta</td>
<td>JP Morgan</td>
<td>Lowers</td>
<td>Overweight</td>
<td>$400.00</td>
<td>$405.00</td>
</tr>
<tr>
<td>Colin Langan</td>
<td>Wells Fargo</td>
<td>Raises</td>
<td>Equal-Weight</td>
<td>$346.00</td>
<td>$343.00</td>
</tr>
<tr>
<td>Michael Ward</td>
<td>Benchmark</td>
<td>Announces</td>
<td>Buy</td>
<td>$400.00</td>
<td>-</td>
</tr>
<tr>
<td>Glenn Chin</td>
<td>Seaport Global</td>
<td>Raises</td>
<td>Buy</td>
<td>$450.00</td>
<td>$380.00</td>
</tr>
<tr>
<td>Ali Faghri</td>
<td>Guggenheim</td>
<td>Raises</td>
<td>Buy</td>
<td>$418.00</td>
<td>$380.00</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li>Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Lithia Motors. This offers insight into analysts' perspectives on the current state of the company.</li>
<li>Rating: Offering insights into predictions, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Lithia Motors compared to the broader market.</li>
<li>Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Lithia Motors's stock. This examination reveals shifts in analysts' expectations over time.</li>
</ul>
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Lithia Motors's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
<a href="https://www.benzinga.com/quote/LAD/analyst-ratings?utm_source=Benzinga Insights">Stay up to date on Lithia Motors analyst ratings.</a>
<h2>Delving into Lithia Motors's Background</h2>
Lithia Motors is a retailer of new and used vehicles and related services. The company offers over 50 brands of vehicles at nearly 500 stores globally across the US, Canada, and UK. The company has expanded largely through the acquisition of dealerships in smaller regional markets but now seeks to grow in any part of the US and we expect more deals over time in the US and, at times, abroad. Annual revenue in 2023 was $31 billion and we see over $50 billion possible in a few years. The US was 90% of 2023 revenue and the UK second at 6%, the latter should rise to around 20% with the 2024 Pendragon acquisition. In 2023, new-car sales were about 49% of total revenue. Lithia was founded in 1946, went public in 1996, and is the largest US auto dealer. It is based in Medford, Oregon.
<h3>Lithia Motors's Financial Performance</h3>
Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.
Revenue Growth: Over the 3 months period, Lithia Motors showcased positive performance, achieving a revenue growth rate of 11.41% as of 30 September, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.
Net Margin: Lithia Motors's net margin is impressive, surpassing industry averages. With a net margin of 2.27%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): Lithia Motors's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 3.22%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): Lithia Motors's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 0.9%, the company showcases efficient use of assets and strong financial health.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 2.13.
<h2>Analyst Ratings: Simplified</h2>
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in <a href="https://benzinga.grsm.io/register174">Benzinga Pro</a>.
Which Stocks Are Analysts Recommending Now?
Benzinga Edge gives you instant access to all major analyst upgrades, downgrades, and price targets. Sort by accuracy, upside potential, and more. <a href="https://www.benzinga.com/premium/ideas/benzinga-edge-checkout/?t=be8be9arja3be22bz21&amp;utm_source=benzinga-insights">Click here to stay ahead of the market</a>.
This article was generated by Benzinga's automated content engine and reviewed by an editor.

Beyond The Numbers: 6 Analysts Discuss Lithia Motors Stock

Wells Fargo analyst Colin Langan maintains Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) with a Equal-Weight and raises the price target from $346 to $397.

Wells Fargo Maintains Equal-Weight on Lithia Motors, Raises Price Target to $397

WIIM

Lithia Motors shares are trading higher following better-than-expected Q4 reported financial results

Lithia Motors, Inc. (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) reported fourth-quarter adjusted earnings per share of $7.79 on Wednesday, beating the street view of $7.24. Quarterly sales of $9.22 billion (up 20% year over year) outpaced <a target="_blank" href="https://www.benzinga.com/pressreleases/25/02/n43650714/lithia-driveway-lad-reports-record-fourth-quarter-revenue-of-9-2-billion-a-20-increase-and-the-fir" rel="noreferrer noopener">the analyst consensus estimate of $9.10 billion</a>.
&#8220;2024 marks&nbsp;another milestone year for Lithia &amp; Driveway, with record-breaking fourth-quarter revenues, the first profitable year for Driveway Finance, and the continued maturity of foundational elements to our strategy,&#8221; said&nbsp;Bryan DeBoer, President and CEO.
Lithia Motors said that the fourth quarter adjusted results exclude a&nbsp;33&nbsp;cents per diluted share impact resulting from non-core items, including a net gain on the disposal of stores and tax attributes.
Also Read:<a target="_blank" href="https://www.benzinga.com/25/02/43635863/is-ibms-red-hat-bet-the-game-changer-ahead-oppenheimer-analyst-predicts-20-growth" rel="noreferrer noopener"> &#8216;Not Your Father&#8217;s IBM&#8217; &#8211; Analyst Says Company&#8217;s Shift To A Software-Centric Company Is Overlooked</a>
The new retail units in the quarter under review increased 7.4 % on a same-store basis, while aftersales gross profit increased 4.5% on a same-store basis.
Last month, Lithia Motors expanded its network in the Mid-Atlantic region by acquiring the Stohlman Subaru store in&nbsp;Sterling, Virginia, which will add an expected annual revenue of&nbsp;$80 million.
The company ended the quarter with approximately&nbsp;$402.2 million&nbsp;in cash and equivalents, with net inventories worth $5.911 billion. In addition, unfinanced real estate could provide additional liquidity of approximately&nbsp;$0.3 billion.
Lithia Motors&#8217; long-term debt, less current maturities, totaled $6.119 billion.
Dividend: The company approved a dividend of&nbsp;$0.53&nbsp;per share related to fourth-quarter results. The dividend is expected to be paid on March&nbsp;21 to shareholders of record on March&nbsp;7.
Price Action: LAD shares are trading higher by 6.59% to $393.00 premarket at last check Wednesday.
Read Next:
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<li><a href="https://www.benzinga.com/24/11/42015996/tesla-to-partner-with-lyft-uber-analyst-says-rising-conviction-for-partnership-in-future" target="_blank" rel="noreferrer noopener">Tesla To Partner With Lyft, Uber? Analyst Has ‘Rising Conviction' For Future Partnership</a></li>
</ul>

Guidance

Markets

Movers

Lithia Motors' Solid Q4 Propels Stock Higher: Earnings Beat, Sales Jump, Dividend & More

Lithia Motors (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/LAD#NYSE">LAD</a>) reported quarterly adjusted earnings of $7.79 per share which beat the analyst consensus estimate of $7.24 by 7.6 percent. This is a 5.46 percent decrease over earnings of $8.24 per share from the same period last year. The company reported quarterly sales of $9.22 billion which beat the analyst consensus estimate of $9.10 billion by 1.33 percent. This is a 20.17 percent increase over sales of $7.67 billion the same period last year.

Earnings Beats

Lithia Motors Q4 Adj $7.79 Beats $7.24 Estimate, Sales $9.22B Beat $9.10B Estimate

Press Releases

Lithia & Driveway (LAD) Schedules Release of Third Quarter 2024 Results

Lithia & Driveway (LAD) Reports Record Third Quarter Revenue of $9.2 billion, an 11% Increase

Performance Brokerage Services Represents Lithia & Driveway (LAD) on the Sale of Carson Nissan in California

Performance Brokerage Services Represents Lithia & Driveway (LAD) on the Sale of North Branch Chevrolet in Minnesota

Lithia & Driveway (LAD) Schedules Release of Fourth Quarter 2024 Results

Lithia & Driveway (LAD) Expands Footprint in the Mid-Atlantic Region

Lithia & Driveway (LAD) Reports Record Fourth Quarter Revenue of $9.2 billion, a 20% Increase, and the First Profitable Year for Finance Operations

Lithia & Driveway (LAD) Expands Retail Network in Southwest Region and Announces Share Repurchase Authorization Increase

Lithia & Driveway (LAD) Schedules Release of First Quarter 2025 Results

Lithia & Driveway (LAD) Announces Chief Operating Officer Transition

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