Zacks Research Lifts Earnings Estimates for Lithia Motors

Lithia Motors, Inc. (NYSE:LAD) – Zacks Research boosted their Q3 2026 earnings per share (EPS) estimates for Lithia Motors in a research note issued on Wednesday, August 12th. Zacks Research analyst Team now anticipates that the company will earn $9.30 per share for the quarter, up from their prior forecast of $8.95. Zacks Research has a “Hold” rating on the stock. The consensus estimate for Lithia Motors’ current full-year earnings is $35.72 per share. Zacks Research also issued estimates for Lithia Motors’ Q4 2026 earnings at $8.51 EPS, FY2026 earnings at $35.18 EPS, Q1 2027 earnings at $9.43 EPS, Q2 2027 earnings at $10.50 EPS, Q3 2027 earnings at $10.44 EPS, Q4 2027 earnings at $9.83 EPS, FY2027 earnings at $40.20 EPS, Q1 2028 earnings at $11.92 EPS, Q2 2028 earnings at $12.83 EPS and FY2028 earnings at $49.77 EPS.

Lithia Motors (NYSE:LAD) last released its quarterly earnings results on Wednesday, July 29th. The company reported $10.03 EPS for the quarter, topping the consensus estimate of $8.73 by $1.30. The firm had revenue of $9.79 billion during the quarter, compared to analyst estimates of $9.64 billion. Lithia Motors had a return on equity of 12.16% and a net margin of 1.88%.The business’s revenue for the quarter was up 2.2% compared to the same quarter last year. During the same period in the previous year, the company posted $10.24 EPS.

Several other analysts have also commented on the company. Bank of America increased their price objective on Lithia Motors from $350.00 to $417.00 and gave the company a “buy” rating in a report on Thursday, July 9th. Jefferies Financial Group reaffirmed a “buy” rating and issued a $490.00 price target on shares of Lithia Motors in a report on Thursday, July 30th. Wells Fargo & Company upped their target price on Lithia Motors from $306.00 to $395.00 and gave the company an “equal weight” rating in a research report on Thursday, July 30th. JPMorgan Chase & Co. lifted their price target on Lithia Motors from $325.00 to $340.00 and gave the stock a “neutral” rating in a research report on Tuesday, August 4th. Finally, Wall Street Zen upgraded Lithia Motors from a “sell” rating to a “hold” rating in a research note on Saturday, August 1st. Six equities research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $430.22.

Lithia Motors Stock Performance

Shares of Lithia Motors stock opened at $378.31 on Thursday. Lithia Motors has a one year low of $239.78 and a one year high of $439.49. The company has a market capitalization of $8.32 billion, a PE ratio of 12.55, a P/E/G ratio of 0.80 and a beta of 1.22. The company has a debt-to-equity ratio of 1.46, a quick ratio of 0.21 and a current ratio of 1.00. The company has a 50-day simple moving average of $327.43 and a two-hundred day simple moving average of $298.15.

Lithia Motors Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Friday, August 21st. Investors of record on Friday, August 7th will be issued a dividend of $0.70 per share. This represents a $2.80 annualized dividend and a dividend yield of 0.7%. This is a boost from Lithia Motors’s previous quarterly dividend of $0.57. The ex-dividend date of this dividend is Friday, August 7th. Lithia Motors’s dividend payout ratio is 9.29%.

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

Insiders Place Their Bets

In other Lithia Motors news, Director Richard J. Bailey, Jr. sold 297 shares of the company’s stock in a transaction on Tuesday, May 26th. The shares were 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 of the company’s stock, valued at approximately $213,233.20. This represents a 28.10% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Shauna Mcintyre sold 165 shares of the stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $305.64, for a total value of $50,430.60. Following the sale, the director directly owned 1,681 shares in the company, valued at $513,780.84. This represents a 8.94% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 537 shares of company stock valued at $157,385 over the last 90 days. 1.08% of the stock is currently owned by insiders.

Institutional Trading of Lithia Motors

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Addison Advisors LLC purchased a new position in Lithia Motors in the 2nd quarter valued at $30,000. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in Lithia Motors during the second quarter worth $30,000. Clearstead Advisors LLC grew its holdings in 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 buying an additional 49 shares in the last quarter. Quarry LP grew its holdings in Lithia Motors by 101.9% in the 4th quarter. Quarry LP now owns 109 shares of the company’s stock valued at $36,000 after buying an additional 55 shares in the last quarter. Finally, Versant Capital Management Inc raised its holdings in shares of Lithia Motors by 1,311.1% during the 2nd quarter. Versant Capital Management Inc now owns 127 shares of the company’s stock worth $37,000 after acquiring an additional 118 shares during the period.

About Lithia Motors

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.