Channing Capital Management LLC Decreases Stake in Lithia Motors, Inc. $LAD

Key Points

• Channing Capital Management LLC reduced its stake in Lithia Motors, Inc. by 22.4%, now owning approximately 0.10% of the company valued at $7,688,000.
• Several large investors, including Osterweis Capital Management Inc. and Hsbc Holdings PLC, made significant adjustments to their holdings in Lithia Motors during the first quarter.
• Lithia Motors recently announced a $0.55 quarterly dividend, representing a 0.7% yield, with the ex-dividend date set for August 8th.

Channing Capital Management LLC lowered its position in Lithia Motors, Inc. (NYSE:LAD - Free Report) by 22.4% in the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 26,192 shares of the company's stock after selling 7,557 shares during the quarter. Channing Capital Management LLC owned about 0.10% of Lithia Motors worth $7,688,000 at the end of the most recent reporting period.

Other hedge funds have also recently modified their holdings of the company. NBC Securities Inc. purchased a new stake in shares of Lithia Motors in the first quarter valued at about $59,000. UMB Bank n.a. grew its holdings in shares of Lithia Motors by 63.7% in the first quarter. UMB Bank n.a. now owns 203 shares of the company's stock valued at $60,000 after purchasing an additional 79 shares during the period. CWM LLC grew its holdings in shares of Lithia Motors by 30.1% in the first quarter. CWM LLC now owns 212 shares of the company's stock valued at $62,000 after purchasing an additional 49 shares during the period. GAMMA Investing LLC grew its holdings in shares of Lithia Motors by 50.9% in the first quarter. GAMMA Investing LLC now owns 252 shares of the company's stock valued at $74,000 after purchasing an additional 85 shares during the period. Finally, Caitong International Asset Management Co. Ltd purchased a new stake in shares of Lithia Motors in the first quarter valued at about $143,000.

Lithia Motors Stock Up 6.1%

Shares of NYSE LAD traded up $18.6780 during midday trading on Friday, hitting $326.8080. The company's stock had a trading volume of 318,728 shares, compared to its average volume of 370,567. The business's fifty day simple moving average is $320.01 and its two-hundred day simple moving average is $316.72. The company has a debt-to-equity ratio of 1.24, a current ratio of 1.22 and a quick ratio of 0.29. Lithia Motors, Inc. has a 1 year low of $255.32 and a 1 year high of $405.67. The firm has a market capitalization of $8.38 billion, a price-to-earnings ratio of 9.69, a price-to-earnings-growth ratio of 0.51 and a beta of 1.30.

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

Lithia Motors Announces Dividend

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

Insider Activity at Lithia Motors

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 value of $75,020.80. Following the completion of the transaction, the director 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 transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 0.87% of the company's stock.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on LAD shares. Bank of America increased their target price on shares of Lithia Motors from $430.00 to $500.00 and gave the stock a "buy" rating in a research note on Monday, June 16th. JPMorgan Chase & Co. lowered their target price on shares of Lithia Motors from $335.00 to $315.00 and set an "overweight" rating for the company in a research note on Tuesday, August 5th. The Goldman Sachs Group started coverage on shares of Lithia Motors in a research note on Tuesday, June 3rd. They set a "neutral" rating and a $340.00 target price for the company. Wells Fargo & Company lowered their target price 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 lowered their target price 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. Seven research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat.com, Lithia Motors currently has a consensus rating of "Moderate Buy" and a consensus price target of $379.00.

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.