1,664 Shares in Lithia Motors, Inc. $LAD Purchased by United Services Automobile Association

Key Points

• United Services Automobile Association acquired 1,664 shares of Lithia Motors, valued at approximately $482,000, marking a new position in the company.
• Lithia Motors reported a Q2 earnings per share of $10.24, exceeding analysts' estimates of $9.78, alongside a revenue of $9.58 billion.
• The company announced a $750 million share buyback plan that allows for the repurchase of up to 9% of its stock, signaling confidence in its market value.

United Services Automobile Association bought a new position in shares of Lithia Motors, Inc. (NYSE:LAD - Free Report) during the 1st quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor bought 1,664 shares of the company's stock, valued at approximately $482,000.

Other hedge funds have also recently bought and sold shares of the company. Vident Advisory LLC raised its stake in shares of Lithia Motors by 4.3% during the 4th quarter. Vident Advisory LLC now owns 780 shares of the company's stock worth $279,000 after purchasing an additional 32 shares in the last quarter. Cambridge Investment Research Advisors Inc. increased its holdings in Lithia Motors by 1.5% during the first quarter. Cambridge Investment Research Advisors Inc. now owns 2,421 shares of the company's stock worth $711,000 after buying an additional 35 shares during the last quarter. CWM LLC raised its position in Lithia Motors by 30.1% during the first quarter. CWM LLC now owns 212 shares of the company's stock worth $62,000 after acquiring an additional 49 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its stake in Lithia Motors by 8.2% in the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 844 shares of the company's stock valued at $302,000 after acquiring an additional 64 shares during the last quarter. Finally, ProShare Advisors LLC grew its position in shares of Lithia Motors by 6.8% in the 4th quarter. ProShare Advisors LLC now owns 1,245 shares of the company's stock valued at $445,000 after acquiring an additional 79 shares during the period.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on LAD shares. Citigroup upped their target price on shares of Lithia Motors from $378.00 to $383.00 and gave the company a "buy" rating in a report on Tuesday, August 5th. The Goldman Sachs Group started coverage on Lithia Motors in a research note on Tuesday, June 3rd. They issued a "neutral" rating and a $340.00 price objective on the stock. Wells Fargo & Company reduced their target price on Lithia Motors from $364.00 to $317.00 and set an "equal weight" rating for the company in a research note on Wednesday, July 30th. JPMorgan Chase & Co. decreased their target price on Lithia Motors from $335.00 to $315.00 and set an "overweight" rating on the stock in a report on Tuesday, August 5th. Finally, Bank of America cut their price target on Lithia Motors from $500.00 to $385.00 and set a "buy" rating for the company in a report on Wednesday. Eight investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to MarketBeat, Lithia Motors has an average rating of "Moderate Buy" and a consensus target price of $370.45.

Insider Activity

In other news, Director Shauna Mcintyre sold 256 shares of the firm's stock in a transaction that occurred on Thursday, July 31st. The shares were sold at an average price of $293.05, for a total transaction of $75,020.80. Following the transaction, the director directly owned 1,376 shares of the company's stock, valued at approximately $403,236.80. This trade represents a 15.69% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.87% of the stock is currently owned by insiders.

Lithia Motors Stock Performance

LAD traded down $9.66 during trading on Friday, hitting $334.34. The stock had a trading volume of 234,700 shares, compared to its average volume of 287,090. The company has a debt-to-equity ratio of 1.24, a current ratio of 1.22 and a quick ratio of 0.29. The company has a 50 day moving average price of $319.94 and a 200-day moving average price of $313.53. Lithia Motors, Inc. has a one year low of $262.10 and a one year high of $405.67. The firm has a market cap of $8.57 billion, a price-to-earnings ratio of 9.91, a P/E/G ratio of 0.70 and a beta of 1.31.

Lithia Motors (NYSE:LAD - Get Free Report) last posted its earnings results on Tuesday, July 29th. The company reported $10.24 earnings per share for the quarter, topping analysts' consensus estimates of $9.78 by $0.46. The company had revenue of $9.58 billion during the quarter, compared to the consensus estimate of $9.56 billion. Lithia Motors had a return on equity of 13.21% and a net margin of 2.39%. As a group, research analysts predict that Lithia Motors, Inc. will post 34.45 EPS for the current year.

Lithia Motors Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Friday, August 22nd. Shareholders of record on Friday, August 8th were issued a $0.55 dividend. The ex-dividend date of this dividend was Friday, August 8th. This represents a $2.20 dividend on an annualized basis and a yield of 0.7%. Lithia Motors's payout ratio is currently 6.52%.

Lithia Motors announced that its Board of Directors has initiated a share buyback program on Tuesday, August 26th that authorizes the company to buyback $750.00 million in outstanding shares. This buyback authorization authorizes the company to reacquire up to 9% of its shares through open market purchases. Shares buyback programs are usually a sign that the company's board of directors believes its stock is undervalued.

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. Its Financing Operations segment provides financing to customers buying and leasing retail vehicles.