Q2 EPS Estimates for Lithia Motors Lowered by Zacks Research

Key Points

• Zacks Research cut its Q2 2027 EPS estimate for Lithia Motors to $9.17 (from $9.40) and currently has a “Strong Sell” rating on the stock.
• Lithia last reported EPS of $6.74, missing the consensus of $8.09, and shares trade around $257 with a low trailing PE of 8.0 and a market cap near $6.01 billion.
• Analyst coverage is mixed (six Buys, five Holds, one Sell) with an average rating of Hold and a consensus price target of $382.33.

Lithia Motors, Inc. (NYSE:LAD - Free Report) - Analysts at Zacks Research dropped their Q2 2027 earnings per share estimates for shares of Lithia Motors in a research note issued to investors on Thursday, March 26th. Zacks Research analyst Team now anticipates that the company will post earnings of $9.17 per share for the quarter, down from their previous estimate of $9.40. Zacks Research currently has a "Strong Sell" rating on the stock. The consensus estimate for Lithia Motors' current full-year earnings is $34.45 per share. Zacks Research also issued estimates for Lithia Motors' Q3 2027 earnings at $8.92 EPS and FY2027 earnings at $41.77 EPS.

Several other equities research analysts also recently issued reports on the stock. Wall Street Zen downgraded shares of Lithia Motors from a "hold" rating to a "sell" rating in a research report on Saturday, February 28th. Bank of America assumed coverage on Lithia Motors in a research report on Wednesday, March 4th. They issued a "neutral" rating on the stock. Barclays lowered their target price on Lithia Motors from $390.00 to $380.00 and set an "overweight" rating on the stock in a research note on Tuesday, February 17th. Citigroup reduced their price target on Lithia Motors from $399.00 to $366.00 and set a "buy" rating for the company in a research note on Thursday, March 5th. Finally, Weiss Ratings reaffirmed a "hold (c+)" rating on shares of Lithia Motors in a report on Thursday, January 22nd. Six research analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus price target of $382.33.

Lithia Motors Price Performance

Shares of LAD opened at $257.03 on Friday. The company's 50-day moving average is $293.72 and its 200-day moving average is $312.27. The company has a debt-to-equity ratio of 1.46, a current ratio of 1.17 and a quick ratio of 0.26. The firm has a market capitalization of $6.01 billion, a PE ratio of 8.00, a PEG ratio of 0.59 and a beta of 1.20. Lithia Motors has a fifty-two week low of $239.78 and a fifty-two week high of $360.55.

Lithia Motors (NYSE:LAD - Get Free Report) last posted its quarterly earnings results on Wednesday, February 11th. The company reported $6.74 earnings per share for the quarter, missing analysts' consensus estimates of $8.09 by ($1.35). Lithia Motors had a net margin of 2.18% and a return on equity of 12.76%. The business had revenue of $9.20 billion during the quarter, compared to the consensus estimate of $9.19 billion. During the same quarter last year, the company posted $7.79 EPS. The firm's revenue was up .3% on a year-over-year basis.

Institutional Trading of Lithia Motors

Large investors have recently modified their holdings of the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in Lithia Motors by 13.9% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 8,474 shares of the company's stock worth $2,487,000 after buying an additional 1,032 shares in the last quarter. Goldman Sachs Group Inc. raised its position in shares of Lithia Motors by 67.6% in the 1st quarter. Goldman Sachs Group Inc. now owns 113,346 shares of the company's stock valued at $33,272,000 after buying an additional 45,716 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in shares of Lithia Motors by 16.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 93,170 shares of the company's stock worth $27,349,000 after acquiring an additional 13,407 shares during the period. Cetera Investment Advisers lifted its holdings in shares of Lithia Motors by 3.4% during the 2nd quarter. Cetera Investment Advisers now owns 5,531 shares of the company's stock worth $1,868,000 after acquiring an additional 184 shares during the period. Finally, Legal & General Group Plc boosted its position in shares of Lithia Motors by 4.2% during the 2nd quarter. Legal & General Group Plc now owns 60,493 shares of the company's stock worth $20,436,000 after acquiring an additional 2,413 shares in the last quarter.

Lithia Motors Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, March 20th. Shareholders of record on Friday, March 6th were issued a $0.55 dividend. The ex-dividend date of this dividend was Friday, March 6th. This represents a $2.20 annualized dividend and a yield of 0.9%. Lithia Motors's payout ratio is currently 6.85%.

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.

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