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Lithia Motors (LAD) Dips More Than Broader Markets: What You Should Know
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Lithia Motors (LAD - Free Report) closed at $283.95 in the latest trading session, marking a -1.63% move from the prior day. This move lagged the S&P 500's daily loss of 0.72%.
Prior to today's trading, shares of the auto dealership chain had lost 9.36% over the past month. This has lagged the Retail-Wholesale sector's loss of 2.61% and the S&P 500's gain of 0.11% in that time.
Investors will be hoping for strength from Lithia Motors as it approaches its next earnings release. In that report, analysts expect Lithia Motors to post earnings of $9.77 per share. This would mark year-over-year growth of 78.94%. Our most recent consensus estimate is calling for quarterly revenue of $6.39 billion, up 62.1% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $38.21 per share and revenue of $22.74 billion. These totals would mark changes of +110.06% and +73.26%, respectively, from last year.
Any recent changes to analyst estimates for Lithia Motors should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.58% higher within the past month. Lithia Motors is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Lithia Motors's current valuation metrics, including its Forward P/E ratio of 7.55. Its industry sports an average Forward P/E of 7, so we one might conclude that Lithia Motors is trading at a premium comparatively.
Meanwhile, LAD's PEG ratio is currently 0.36. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Automotive - Retail and Whole Sales stocks are, on average, holding a PEG ratio of 0.36 based on yesterday's closing prices.
The Automotive - Retail and Whole Sales industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 16, which puts it in the top 7% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Lithia Motors (LAD) Dips More Than Broader Markets: What You Should Know
Lithia Motors (LAD - Free Report) closed at $283.95 in the latest trading session, marking a -1.63% move from the prior day. This move lagged the S&P 500's daily loss of 0.72%.
Prior to today's trading, shares of the auto dealership chain had lost 9.36% over the past month. This has lagged the Retail-Wholesale sector's loss of 2.61% and the S&P 500's gain of 0.11% in that time.
Investors will be hoping for strength from Lithia Motors as it approaches its next earnings release. In that report, analysts expect Lithia Motors to post earnings of $9.77 per share. This would mark year-over-year growth of 78.94%. Our most recent consensus estimate is calling for quarterly revenue of $6.39 billion, up 62.1% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $38.21 per share and revenue of $22.74 billion. These totals would mark changes of +110.06% and +73.26%, respectively, from last year.
Any recent changes to analyst estimates for Lithia Motors should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 1.58% higher within the past month. Lithia Motors is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Lithia Motors's current valuation metrics, including its Forward P/E ratio of 7.55. Its industry sports an average Forward P/E of 7, so we one might conclude that Lithia Motors is trading at a premium comparatively.
Meanwhile, LAD's PEG ratio is currently 0.36. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Automotive - Retail and Whole Sales stocks are, on average, holding a PEG ratio of 0.36 based on yesterday's closing prices.
The Automotive - Retail and Whole Sales industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 16, which puts it in the top 7% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.