OP Asset Management Ltd Purchases New Stake in Lithia Motors, Inc. $LAD

OP Asset Management Ltd acquired a new position in Lithia Motors, Inc. (NYSE:LAD) in the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm acquired 7,940 shares of the company’s stock, valued at approximately $1,983,000.

Several other institutional investors and hedge funds have also recently added to or reduced their stakes in LAD. Clearstead Advisors LLC boosted its stake in shares of Lithia Motors by 111.4% in the 4th quarter. Clearstead Advisors LLC now owns 93 shares of the company’s stock valued at $31,000 after purchasing an additional 49 shares during the last quarter. V Square Quantitative Management LLC bought a new stake in shares of Lithia Motors during the fourth quarter worth approximately $34,000. Quarry LP raised its stake in shares of Lithia Motors by 101.9% during the fourth quarter. Quarry LP now owns 109 shares of the company’s stock worth $36,000 after buying an additional 55 shares during the last quarter. Los Angeles Capital Management LLC acquired a new position in Lithia Motors in the fourth quarter valued at approximately $38,000. Finally, eCIO Inc. acquired a new position in Lithia Motors in the fourth quarter valued at approximately $42,000.

Analysts Set New Price Targets

Several brokerages have commented on LAD. Barclays dropped their target price on shares of Lithia Motors from $380.00 to $370.00 and set an “overweight” rating for the company in a research report on Tuesday, April 7th. UBS Group started coverage on Lithia Motors in a research report on Wednesday, May 27th. They issued a “buy” rating and a $348.00 price target on the stock. Weiss Ratings cut Lithia Motors from a “hold (c)” rating to a “hold (c-)” rating in a research note on Monday, May 4th. Wall Street Zen downgraded Lithia Motors from a “hold” rating to a “sell” rating in a report on Saturday. Finally, Citigroup increased their target price on Lithia Motors from $326.00 to $365.00 and gave the company a “buy” rating in a research note on Friday, May 1st. Seven investment analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $368.11.

Insider Transactions at Lithia Motors

In other Lithia Motors news, Director Richard J. Bailey, Jr. sold 297 shares of the stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $280.57, for a total value of $83,329.29. Following the completion of the sale, the director directly owned 760 shares in the company, valued at $213,233.20. This represents a 28.10% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Shauna Mcintyre sold 245 shares of the firm’s stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $294.64, for a total value of $72,186.80. Following the sale, the director directly owned 1,846 shares in the company, valued at approximately $543,905.44. This represents a 11.72% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 782 shares of company stock valued at $229,572. Insiders own 1.08% of the company’s stock.

Lithia Motors Stock Down 0.0%

Shares of NYSE:LAD opened at $291.99 on Monday. The company has a 50 day moving average price of $287.58 and a two-hundred day moving average price of $297.19. The company has a debt-to-equity ratio of 1.41, a quick ratio of 0.24 and a current ratio of 0.99. The company has a market capitalization of $6.66 billion, a PE ratio of 10.25, a PEG ratio of 0.64 and a beta of 1.26. Lithia Motors, Inc. 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, April 29th. The company reported $7.34 earnings per share (EPS) for the quarter, beating the consensus estimate of $7.06 by $0.28. Lithia Motors had a net margin of 1.88% and a return on equity of 12.49%. The company had revenue of $9.27 billion during the quarter, compared to analyst estimates of $9.22 billion. During the same quarter in the previous year, the business earned $7.66 EPS. The firm’s revenue was up 1.0% on a year-over-year basis. Analysts forecast that Lithia Motors, Inc. will post 34.37 earnings per share for the current year.

Lithia Motors Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 22nd. Shareholders of record on Friday, May 8th were paid a $0.57 dividend. The ex-dividend date of this dividend was Friday, May 8th. This is a positive change from Lithia Motors’s previous quarterly dividend of $0.55. This represents a $2.28 dividend on an annualized basis and a yield of 0.8%. Lithia Motors’s payout ratio is presently 8.01%.

Lithia Motors declared that its board has authorized a stock buyback plan on Tuesday, May 26th that authorizes the company to repurchase $500.00 million in shares. This repurchase authorization authorizes the company to buy up to 7.9% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s leadership believes its shares are undervalued.

Lithia Motors 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.