Lithia Motors, Inc. (NYSE:LAD) Given Average Recommendation of “Hold” by Analysts

Lithia Motors, Inc. (NYSE:LAD) has received an average recommendation of “Hold” from the ten analysts that are currently covering the company, Marketbeat.com reports. One research analyst has rated the stock with a sell rating, four have given a hold rating and five have assigned a buy rating to the company. The average 1 year price target among brokerages that have covered the stock in the last year is $319.45.

LAD has been the subject of a number of recent research reports. Bank of America boosted their target price on Lithia Motors from $380.00 to $385.00 and gave the stock a “buy” rating in a research report on Wednesday, April 10th. JPMorgan Chase & Co. raised shares of Lithia Motors from a “neutral” rating to an “overweight” rating and raised their target price for the company from $270.00 to $280.00 in a research note on Monday, June 10th. Citigroup lowered their price target on shares of Lithia Motors from $320.00 to $280.00 and set a “neutral” rating for the company in a research report on Thursday, April 25th. StockNews.com upgraded shares of Lithia Motors from a “sell” rating to a “hold” rating in a report on Friday, April 26th. Finally, Craig Hallum lowered their target price on shares of Lithia Motors from $350.00 to $310.00 and set a “buy” rating for the company in a report on Thursday, April 25th.

Lithia Motors Stock Performance

Lithia Motors stock opened at $251.75 on Friday. Lithia Motors has a 12-month low of $231.36 and a 12-month high of $331.96. The stock has a 50-day simple moving average of $261.95 and a 200 day simple moving average of $283.42. The company has a quick ratio of 0.28, a current ratio of 1.17 and a debt-to-equity ratio of 1.17. The stock has a market capitalization of $6.90 billion, a price-to-earnings ratio of 7.43, a P/E/G ratio of 3.07 and a beta of 1.62.

Lithia Motors (NYSE:LAD) last announced its earnings results on Wednesday, April 24th. The company reported $6.11 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $7.85 by ($1.74). Lithia Motors had a return on equity of 15.62% and a net margin of 2.87%. The company had revenue of $8.56 billion for the quarter, compared to analyst estimates of $8.58 billion. During the same quarter in the previous year, the company posted $8.44 earnings per share. Lithia Motors’s revenue for the quarter was up 22.7% on a year-over-year basis. On average, research analysts anticipate that Lithia Motors will post 28.79 earnings per share for the current fiscal year.

Lithia Motors Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, May 24th. Investors of record on Friday, May 10th were given a $0.53 dividend. The ex-dividend date of this dividend was Thursday, May 9th. This represents a $2.12 dividend on an annualized basis and a dividend yield of 0.84%. This is a boost from Lithia Motors’s previous quarterly dividend of $0.50. Lithia Motors’s dividend payout ratio is currently 6.26%.

Insiders Place Their Bets

In other Lithia Motors news, Director Shauna Mcintyre sold 138 shares of the stock in a transaction dated Wednesday, May 1st. The stock was sold at an average price of $254.42, for a total value of $35,109.96. Following the completion of the sale, the director now directly owns 2,228 shares in the company, valued at $566,847.76. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Corporate insiders own 1.79% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Norges Bank bought a new stake in Lithia Motors in the 4th quarter valued at $123,976,000. Cadian Capital Management LP bought a new stake in shares of Lithia Motors in the fourth quarter valued at about $105,370,000. Wellington Management Group LLP boosted its position in shares of Lithia Motors by 413.6% during the fourth quarter. Wellington Management Group LLP now owns 65,142 shares of the company’s stock worth $21,450,000 after buying an additional 52,458 shares during the period. Canada Pension Plan Investment Board grew its holdings in shares of Lithia Motors by 7.2% during the first quarter. Canada Pension Plan Investment Board now owns 727,849 shares of the company’s stock worth $218,981,000 after buying an additional 48,938 shares in the last quarter. Finally, FMR LLC raised its position in Lithia Motors by 10.3% in the 3rd quarter. FMR LLC now owns 492,273 shares of the company’s stock valued at $145,383,000 after buying an additional 45,977 shares during the last quarter.

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.