Lithia Motors (NYSE:LAD) Stock Rating Lowered by Wall Street Zen

Lithia Motors (NYSE:LAD) was downgraded by investment analysts at Wall Street Zen from a “hold” rating to a “sell” rating in a report released on Saturday.

Several other equities research analysts also recently weighed in on the company. Citigroup raised their price target on Lithia Motors from $326.00 to $365.00 and gave the stock a “buy” rating in a report on Friday, May 1st. Barclays lowered their price target on shares of Lithia Motors from $380.00 to $370.00 and set an “overweight” rating on the stock in a report on Tuesday, April 7th. Bank of America cut their price objective on shares of Lithia Motors from $335.00 to $320.00 in a report on Monday, April 13th. JPMorgan Chase & Co. increased their target price on Lithia Motors from $320.00 to $325.00 and gave the company a “neutral” rating in a research report on Thursday, May 7th. Finally, Zacks Research upgraded Lithia Motors from a “strong sell” rating to a “hold” rating in a research note on Thursday, April 23rd. Seven research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $368.11.

Lithia Motors Stock Down 1.6%

Lithia Motors stock opened at $291.99 on Friday. The company has a quick ratio of 0.24, a current ratio of 0.99 and a debt-to-equity ratio of 1.41. The firm has a market cap of $6.66 billion, a P/E ratio of 10.25, a P/E/G ratio of 0.65 and a beta of 1.26. Lithia Motors has a twelve month low of $239.78 and a twelve month high of $360.55. The business has a fifty day moving average of $287.58 and a two-hundred day moving average of $297.38.

Lithia Motors (NYSE:LAD) last issued its quarterly earnings data on Wednesday, April 29th. The company reported $7.34 earnings per share for the quarter, beating analysts’ consensus estimates of $7.06 by $0.28. Lithia Motors had a return on equity of 12.49% and a net margin of 1.88%.The company had revenue of $9.27 billion for the quarter, compared to the consensus estimate of $9.22 billion. During the same quarter last year, the company earned $7.66 earnings per share. The firm’s revenue for the quarter was up 1.0% compared to the same quarter last year. On average, analysts forecast that Lithia Motors will post 34.37 earnings per share for the current fiscal year.

Lithia Motors declared that its board has approved a stock repurchase program on Tuesday, May 26th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the company to purchase up to 7.9% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

Insider Activity at Lithia Motors

In other news, Director Shauna Mcintyre sold 245 shares of the firm’s stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $294.64, for a total value of $72,186.80. Following the completion of the transaction, the director owned 1,846 shares of the company’s stock, valued at approximately $543,905.44. This trade represents a 11.72% 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. Also, Director Richard J. Bailey, Jr. sold 297 shares of the company’s stock in a transaction on Tuesday, May 26th. The stock was sold at an average price of $280.57, for a total value of $83,329.29. Following the sale, the director directly owned 760 shares in the company, valued at $213,233.20. This represents a 28.10% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders sold 782 shares of company stock valued at $229,572. Insiders own 1.08% of the company’s stock.

Institutional Trading of Lithia Motors

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

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.