Lithia Motors (NYSE:LAD) Price Target Raised to $455.00

Lithia Motors (NYSE:LAD) had its price objective upped by Citigroup from $365.00 to $455.00 in a research report sent to investors on Monday,Benzinga reports. The brokerage currently has a buy rating on the stock.

A number of other analysts have also commented on the company. Zacks Research upgraded Lithia Motors from a “strong sell” rating to a “hold” rating in a report on Thursday, April 23rd. Wells Fargo & Company increased their price objective on Lithia Motors from $306.00 to $395.00 and gave the stock an “equal weight” rating in a report on Thursday, July 30th. Weiss Ratings raised Lithia Motors from a “hold (c-)” rating to a “hold (c)” rating in a research report on Tuesday, July 21st. Benchmark boosted their target price on Lithia Motors from $400.00 to $475.00 and gave the company a “buy” rating in a research note on Thursday, July 30th. Finally, Jefferies Financial Group reaffirmed a “buy” rating and set a $490.00 price target on shares of Lithia Motors in a research report on Thursday, July 30th. Seven equities 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.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $425.20.

Lithia Motors Stock Down 0.8%

Lithia Motors stock opened at $368.16 on Monday. The stock has a market capitalization of $8.40 billion, a PE ratio of 12.21, a price-to-earnings-growth ratio of 0.81 and a beta of 1.22. Lithia Motors has a twelve month low of $239.78 and a twelve month high of $439.49. The company has a quick ratio of 0.21, a current ratio of 1.00 and a debt-to-equity ratio of 1.46. The company has a 50 day moving average of $319.04 and a 200-day moving average of $296.58.

Lithia Motors (NYSE:LAD) last issued its quarterly earnings data on Wednesday, July 29th. The company reported $10.03 EPS for the quarter, topping analysts’ consensus estimates of $8.73 by $1.30. The business had revenue of $9.79 billion for the quarter, compared to analyst estimates of $9.64 billion. Lithia Motors had a net margin of 1.88% and a return on equity of 12.16%. The firm’s quarterly revenue was up 2.2% on a year-over-year basis. During the same period last year, the business posted $10.24 earnings per share. On average, equities research analysts anticipate that Lithia Motors will post 34.9 EPS for the current fiscal year.

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

Lithia Motors Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, August 21st. Investors of record on Friday, August 7th will be given a $0.70 dividend. This is an increase from Lithia Motors’s previous quarterly dividend of $0.57. This represents a $2.80 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend is Friday, August 7th. Lithia Motors’s dividend payout ratio (DPR) is presently 7.56%.

Insider Activity at Lithia Motors

In other Lithia Motors news, Director Shauna Mcintyre sold 245 shares of the business’s stock in a transaction that occurred on Monday, May 11th. The stock was sold at an average price of $294.64, for a total transaction of $72,186.80. Following the transaction, the director owned 1,846 shares of the company’s stock, valued at $543,905.44. The trade was a 11.72% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Richard J. Bailey, Jr. sold 297 shares of the company’s stock in a transaction that occurred 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 owned 760 shares in the company, valued at approximately $213,233.20. This represents a 28.10% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 782 shares of company stock valued at $229,572 over the last three months. Insiders own 1.08% of the company’s stock.

Hedge Funds Weigh In On Lithia Motors

Several hedge funds and other institutional investors have recently made changes to their positions in LAD. Dimensional Fund Advisors LP raised its position in Lithia Motors by 3.2% during the first quarter. Dimensional Fund Advisors LP now owns 1,389,870 shares of the company’s stock worth $347,074,000 after acquiring an additional 43,087 shares in the last quarter. River Road Asset Management LLC grew its position in shares of Lithia Motors by 33.6% in the 4th quarter. River Road Asset Management LLC now owns 742,677 shares of the company’s stock valued at $246,814,000 after acquiring an additional 186,628 shares during the period. Canada Pension Plan Investment Board increased its stake in shares of 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. Hotchkis & Wiley Capital Management LLC increased its stake in shares of Lithia Motors by 3.6% during the 3rd quarter. Hotchkis & Wiley Capital Management LLC now owns 426,120 shares of the company’s stock worth $134,654,000 after purchasing an additional 14,781 shares during the last quarter. Finally, Norges Bank acquired a new stake in Lithia Motors in the 4th quarter valued at about $125,214,000.

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.