Lithia Motors, Inc. $LAD Stock Position Reduced by Assenagon Asset Management S.A.

Key Points

• Assenagon Asset Management S.A. reduced its holdings in Lithia Motors by 20.5% during the 2nd quarter, now owning approximately $33.63 million in shares.
• Lithia Motors recently declared a quarterly dividend of $0.55, translating to an annualized payout of $2.20 and a yield of 0.7%.
• The company authorized a stock repurchase plan for up to $750 million, allowing it to buy back up to 9% of its outstanding shares.

Assenagon Asset Management S.A. lowered its position in Lithia Motors, Inc. (NYSE:LAD - Free Report) by 20.5% during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 99,543 shares of the company's stock after selling 25,694 shares during the quarter. Assenagon Asset Management S.A. owned approximately 0.38% of Lithia Motors worth $33,628,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also bought and sold shares of LAD. Parallel Advisors LLC boosted its holdings in shares of Lithia Motors by 106.2% during the 2nd quarter. Parallel Advisors LLC now owns 134 shares of the company's stock worth $45,000 after purchasing an additional 69 shares during the last quarter. eCIO Inc. purchased a new stake in Lithia Motors in the first quarter valued at approximately $55,000. NBC Securities Inc. purchased a new stake in Lithia Motors in the first quarter valued at approximately $59,000. UMB Bank n.a. increased its position in shares of Lithia Motors by 63.7% during the first quarter. UMB Bank n.a. now owns 203 shares of the company's stock worth $60,000 after acquiring an additional 79 shares during the period. Finally, CWM LLC increased its position in shares of 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 during the period.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on the stock. Jefferies Financial Group assumed coverage on shares of Lithia Motors in a research note on Thursday, September 4th. They set a "buy" rating and a $400.00 target price for the company. Citigroup boosted their target price on shares of Lithia Motors from $378.00 to $383.00 and gave the stock a "buy" rating in a research note on Tuesday, August 5th. The Goldman Sachs Group initiated coverage on shares of Lithia Motors in a research note on Tuesday, June 3rd. They issued a "neutral" rating and a $340.00 price objective for the company. Wells Fargo & Company decreased their price objective on shares of 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. Finally, Guggenheim decreased their price objective on shares of Lithia Motors from $383.00 to $380.00 and set a "buy" rating for the company in a research note on Monday, August 11th. Eight research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $370.45.

Insider Activity at Lithia Motors

In other news, Director Shauna Mcintyre sold 256 shares of Lithia Motors stock in a transaction dated Thursday, July 31st. The shares were sold at an average price of $293.05, for a total value of $75,020.80. Following the completion of the transaction, the director directly owned 1,376 shares of the company's stock, valued at approximately $403,236.80. The trade was a 15.69% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Company insiders own 0.87% of the company's stock.

Lithia Motors Trading Up 0.4%

Shares of NYSE:LAD traded up $1.46 during midday trading on Monday, reaching $333.89. The company's stock had a trading volume of 264,939 shares, compared to its average volume of 268,448. The company has a quick ratio of 0.29, a current ratio of 1.22 and a debt-to-equity ratio of 1.24. The firm has a market cap of $8.56 billion, a price-to-earnings ratio of 9.90, a price-to-earnings-growth ratio of 0.67 and a beta of 1.31. Lithia Motors, Inc. has a 1 year low of $262.10 and a 1 year high of $405.67. The business has a 50 day moving average price of $317.90 and a 200 day moving average price of $313.87.

Lithia Motors (NYSE:LAD - Get Free Report) last posted its quarterly 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. Lithia Motors had a net margin of 2.39% and a return on equity of 13.21%. The company had revenue of $9.58 billion for the quarter, compared to the consensus estimate of $9.56 billion. Research analysts forecast that Lithia Motors, Inc. will post 34.45 EPS for the current year.

Lithia Motors Announces Dividend

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

Lithia Motors declared that its board has authorized a stock buyback plan on Tuesday, August 26th that allows the company to buyback $750.00 million in shares. This buyback authorization allows the company to buy up to 9% of its stock through open market purchases. Stock buyback plans are often an indication that the company's management believes its stock is undervalued.

About Lithia Motors

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.