Lithia Motors (NYSE:LAD) Announces Earnings Results

Lithia Motors (NYSE:LAD) posted its earnings results on Wednesday. The company reported $6.11 EPS for the quarter, missing analysts’ consensus estimates of $7.85 by ($1.74), Briefing.com reports. Lithia Motors had a return on equity of 15.59% and a net margin of 2.87%. The firm had revenue of $8.56 billion for the quarter, compared to analysts’ expectations of $8.58 billion. During the same quarter in the previous year, the firm posted $8.44 earnings per share. The firm’s revenue for the quarter was up 22.7% compared to the same quarter last year.

Lithia Motors Stock Performance

NYSE:LAD traded up $4.99 during trading hours on Friday, reaching $262.72. 399,224 shares of the stock were exchanged, compared to its average volume of 296,284. The company has a quick ratio of 0.45, a current ratio of 1.17 and a debt-to-equity ratio of 1.16. The firm has a 50 day simple moving average of $283.22 and a 200-day simple moving average of $283.67. Lithia Motors has a 52 week low of $206.69 and a 52 week high of $331.96. The stock has a market capitalization of $7.23 billion, a P/E ratio of 7.76, a P/E/G ratio of 2.18 and a beta of 1.58.

Lithia Motors Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, May 24th. Shareholders of record on Friday, May 10th will be issued a dividend of $0.53 per share. This represents a $2.12 dividend on an annualized basis and a yield of 0.81%. The ex-dividend date of this dividend is Thursday, May 9th. This is an increase from Lithia Motors’s previous quarterly dividend of $0.50. Lithia Motors’s dividend payout ratio (DPR) is currently 5.90%.

Wall Street Analysts Forecast Growth

Several equities analysts recently weighed in on the company. Guggenheim reduced their target price on Lithia Motors from $320.00 to $297.00 and set a “buy” rating on the stock in a research report on Wednesday, April 17th. Bank of America upped their price target on Lithia Motors from $380.00 to $385.00 and gave the stock a “buy” rating in a research note on Wednesday, April 10th. Citigroup dropped their price target on Lithia Motors from $320.00 to $280.00 and set a “neutral” rating for the company in a research note on Thursday. The Goldman Sachs Group upped their price target on Lithia Motors from $300.00 to $334.00 and gave the stock a “neutral” rating in a research note on Thursday, February 15th. Finally, Morgan Stanley upped their price target on Lithia Motors from $220.00 to $230.00 and gave the stock an “underweight” rating in a research note on Thursday, February 29th. One equities research analyst has rated the stock with a sell rating, five have issued a hold rating and five have issued a buy rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $320.82.

Insiders Place Their Bets

In other Lithia Motors news, Director Shauna Mcintyre sold 135 shares of the stock in a transaction that occurred on Friday, February 16th. The stock was sold at an average price of $297.84, for a total transaction of $40,208.40. Following the transaction, the director now owns 1,662 shares of the company’s stock, valued at approximately $495,010.08. The transaction was disclosed in a document filed with the SEC, which is available at this link. 1.79% of the stock is currently owned by company insiders.

About Lithia Motors

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.