Zacks Research Raises Earnings Estimates for Lithia Motors

Lithia Motors, Inc. (NYSE:LAD) – Equities research analysts at Zacks Research upped their Q1 2026 EPS estimates for shares of Lithia Motors in a note issued to investors on Wednesday, November 5th. Zacks Research analyst Team now forecasts that the company will earn $7.96 per share for the quarter, up from their previous estimate of $7.88. The consensus estimate for Lithia Motors’ current full-year earnings is $34.45 per share. Zacks Research also issued estimates for Lithia Motors’ Q2 2026 earnings at $9.53 EPS and Q2 2027 earnings at $10.76 EPS.

Several other brokerages have also commented on LAD. Weiss Ratings lowered Lithia Motors from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, October 8th. Bank of America decreased their price target on shares of Lithia Motors from $500.00 to $385.00 and set a “buy” rating for the company in a research note on Wednesday, September 10th. Citigroup lifted their price target on shares of Lithia Motors from $385.00 to $399.00 and gave the company a “buy” rating in a research report on Tuesday, October 28th. Jefferies Financial Group initiated coverage on shares of Lithia Motors in a report on Thursday, September 4th. They issued a “buy” rating and a $400.00 price objective on the stock. Finally, JPMorgan Chase & Co. raised their target price on shares of Lithia Motors from $320.00 to $350.00 and gave the company an “overweight” rating in a research note on Tuesday, October 14th. Seven research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. Based on data from MarketBeat, Lithia Motors currently has a consensus rating of “Moderate Buy” and a consensus target price of $380.11.

Lithia Motors Stock Up 0.5%

Shares of LAD stock traded up $1.44 during midday trading on Friday, reaching $291.87. 17,412 shares of the stock were exchanged, compared to its average volume of 330,306. The firm has a market cap of $7.08 billion, a PE ratio of 8.46, a price-to-earnings-growth ratio of 0.67 and a beta of 1.29. The company has a current ratio of 1.21, a quick ratio of 0.30 and a debt-to-equity ratio of 1.35. The company’s 50 day moving average is $321.18 and its two-hundred day moving average is $318.01. Lithia Motors has a 1 year low of $262.10 and a 1 year high of $405.67.

Lithia Motors (NYSE:LAD) last announced its earnings results on Wednesday, October 22nd. The company reported $9.50 earnings per share for the quarter, beating analysts’ consensus estimates of $8.53 by $0.97. Lithia Motors had a net margin of 2.39% and a return on equity of 13.42%. The firm had revenue of $9.68 billion for the quarter, compared to analyst estimates of $9.38 billion. During the same quarter in the previous year, the firm posted $8.21 EPS. The company’s revenue for the quarter was up 4.9% compared to the same quarter last year.

Hedge Funds Weigh In On Lithia Motors

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Teacher Retirement System of Texas raised its stake in Lithia Motors by 47.8% during the 1st quarter. Teacher Retirement System of Texas now owns 5,959 shares of the company’s stock valued at $1,749,000 after purchasing an additional 1,928 shares during the period. Principal Financial Group Inc. lifted its stake in Lithia Motors by 0.3% in the 1st quarter. Principal Financial Group Inc. now owns 61,283 shares of the company’s stock worth $17,989,000 after purchasing an additional 211 shares in the last quarter. Crossmark Global Holdings Inc. grew its position in shares of Lithia Motors by 219.7% during the first quarter. Crossmark Global Holdings Inc. now owns 7,391 shares of the company’s stock valued at $2,170,000 after purchasing an additional 5,079 shares in the last quarter. State of Michigan Retirement System grew its position in shares of Lithia Motors by 1.6% during the first quarter. State of Michigan Retirement System now owns 6,387 shares of the company’s stock valued at $1,875,000 after purchasing an additional 100 shares in the last quarter. Finally, Stephens Inc. AR increased its holdings in shares of Lithia Motors by 127.4% in the first quarter. Stephens Inc. AR now owns 1,567 shares of the company’s stock worth $460,000 after purchasing an additional 878 shares during the last quarter.

Lithia Motors declared that its Board of Directors has approved a share repurchase plan on Tuesday, August 26th that permits the company to buyback $750.00 million in shares. This buyback authorization permits the company to repurchase up to 9% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s management believes its shares are undervalued.

Lithia Motors Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, November 21st. Shareholders of record on Friday, November 7th will be issued a $0.55 dividend. The ex-dividend date of this dividend is Friday, November 7th. This represents a $2.20 dividend on an annualized basis and a yield of 0.8%. Lithia Motors’s dividend payout ratio is currently 6.37%.

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. Its Financing Operations segment provides financing to customers buying and leasing retail vehicles.