Lithia Motors Q2 EPS Estimate Decreased by Zacks Research

Lithia Motors, Inc. (NYSE:LAD) – Research analysts at Zacks Research reduced their Q2 2027 EPS estimates for shares of Lithia Motors in a report issued on Thursday, March 26th. Zacks Research analyst Team now forecasts that the company will earn $9.17 per share for the quarter, down from their prior estimate of $9.40. Zacks Research 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 analysts also recently issued reports on the company. Wells Fargo & Company lowered their price target on Lithia Motors from $358.00 to $355.00 and set an “equal weight” rating for the company in a report on Thursday, February 12th. Citigroup reduced their price objective on Lithia Motors from $399.00 to $366.00 and set a “buy” rating on the stock in a research note on Thursday, March 5th. Barclays decreased their target price on Lithia Motors from $390.00 to $380.00 and set an “overweight” rating for the company in a research report on Tuesday, February 17th. JPMorgan Chase & Co. lowered Lithia Motors from an “overweight” rating to a “neutral” rating and set a $335.00 target price for the company. in a research note on Friday, February 20th. Finally, Wall Street Zen downgraded Lithia Motors from a “hold” rating to a “sell” rating in a report on Saturday, February 28th. Six analysts have rated the stock with a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company has an average rating of “Hold” and an average target price of $382.33.

Lithia Motors Stock Performance

Shares of LAD stock opened at $250.04 on Friday. The company has a current ratio of 1.17, a quick ratio of 0.26 and a debt-to-equity ratio of 1.46. The company has a market cap of $5.85 billion, a PE ratio of 7.78, a P/E/G ratio of 0.59 and a beta of 1.20. The company’s fifty day simple moving average is $292.08 and its 200-day simple moving average is $311.41. Lithia Motors has a 52 week low of $239.78 and a 52 week high of $360.55.

Lithia Motors (NYSE:LAD) last announced 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 for the quarter, compared to analyst estimates of $9.19 billion. During the same period last year, the firm earned $7.79 earnings per share. The company’s quarterly revenue was up .3% on a year-over-year basis.

Lithia Motors Dividend Announcement

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

Institutional Trading of Lithia Motors

Several large investors have recently modified their holdings of LAD. Abrams Capital Management L.P. lifted its stake in shares of Lithia Motors by 1.9% in the third quarter. Abrams Capital Management L.P. now owns 2,490,534 shares of the company’s stock worth $787,009,000 after acquiring an additional 45,856 shares in the last quarter. Dimensional Fund Advisors LP grew its stake in Lithia Motors by 0.5% during the 4th quarter. Dimensional Fund Advisors LP now owns 1,346,783 shares of the company’s stock valued at $447,583,000 after purchasing an additional 6,113 shares in the last quarter. River Road Asset Management LLC increased its holdings in Lithia Motors by 33.6% during the 4th quarter. River Road Asset Management LLC now owns 742,677 shares of the company’s stock worth $246,814,000 after purchasing an additional 186,628 shares during the last quarter. Canada Pension Plan Investment Board increased its holdings in Lithia Motors by 5.9% during the 2nd quarter. Canada Pension Plan Investment Board now owns 612,377 shares of the company’s stock worth $206,873,000 after purchasing an additional 33,966 shares during the last quarter. Finally, Norges Bank acquired a new position in shares of Lithia Motors in the 2nd quarter valued at approximately $148,540,000.

Key Stories Impacting Lithia Motors

Here are the key news stories impacting Lithia Motors this week:

• Positive Sentiment: Some analyst coverage remains constructive — the consensus analyst view cited by an aggregation site still shows an average recommendation of “Moderate Buy,” which could provide support if other brokers stick to buy/hold views. Analyst average recommendation
• Neutral Sentiment: Market commentary and buy/sell screen articles (e.g., Yahoo Finance piece) are discussing whether LAD is a good buy now — such coverage can drive short-term interest but is unlikely to change fundamentals immediately. Is LAD a Good Stock To Buy Now?
• Negative Sentiment: Zacks Research lowered Q2/Q3 and FY2027 EPS estimates and moved its rating to “Strong Sell” (Q2 from $9.40→$9.17, Q3 from $9.53→$8.92, FY to $41.77). That combination of a formal downgrade plus lower near‑term earnings expectations is the main immediate negative catalyst pressuring the stock. Zacks research downgrade
• Negative Sentiment: Recent reported results (Feb 11 quarter) showed an EPS miss versus consensus and very slim year‑over‑year revenue growth; lingering concerns about margin pressure and inventory/used-car dynamics remain relevant for near‑term earnings visibility. Quarterly results and background

Lithia Motors Company Profile

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.