Back to top

Image: Bigstock

Has Lithia Motors (LAD) Outpaced Other Retail-Wholesale Stocks This Year?

Read MoreHide Full Article

The Retail-Wholesale group has plenty of great stocks, but investors should always be looking for companies that are outperforming their peers. Has Lithia Motors (LAD - Free Report) been one of those stocks this year? A quick glance at the company's year-to-date performance in comparison to the rest of the Retail-Wholesale sector should help us answer this question.

Lithia Motors is a member of the Retail-Wholesale sector. This group includes 232 individual stocks and currently holds a Zacks Sector Rank of #13. The Zacks Sector Rank considers 16 different groups, measuring the average Zacks Rank of the individual stocks within the sector to gauge the strength of each group.

The Zacks Rank is a successful stock-picking model that emphasizes earnings estimates and estimate revisions. The system highlights a number of different stocks that could be poised to outperform the broader market over the next one to three months. Lithia Motors is currently sporting a Zacks Rank of #2 (Buy).

The Zacks Consensus Estimate for LAD's full-year earnings has moved 3.8% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

Based on the most recent data, LAD has returned 4.8% so far this year. At the same time, Retail-Wholesale stocks have lost an average of 6.4%. This means that Lithia Motors is performing better than its sector in terms of year-to-date returns.

Another stock in the Retail-Wholesale sector, Macy's (M - Free Report) , has outperformed the sector so far this year. The stock's year-to-date return is 1.6%.

Over the past three months, Macy's' consensus EPS estimate for the current year has increased 17.5%. The stock currently has a Zacks Rank #2 (Buy).

Looking more specifically, Lithia Motors belongs to the Automotive - Retail and Whole Sales industry, which includes 10 individual stocks and currently sits at #12 in the Zacks Industry Rank. Stocks in this group have lost about 6.4% so far this year, so LAD is performing better this group in terms of year-to-date returns.

On the other hand, Macy's belongs to the Retail - Regional Department Stores industry. This 3-stock industry is currently ranked #53. The industry has moved +10.3% year to date.

Investors interested in the Retail-Wholesale sector may want to keep a close eye on Lithia Motors and Macy's as they attempt to continue their solid performance.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Macy's, Inc. (M) - free report >>

Lithia Motors, Inc. (LAD) - free report >>

Published in