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AMZN vs LAD

AMZN
Amazon.com, Inc.
BULLISH
Price
$221.25
Market Cap
$2.38T
Sector
Consumer Cyclical
AI Confidence
82%
LAD
Lithia Motors, Inc.
NEUTRAL
Price
$277.24
Market Cap
$6.46B
Sector
Consumer Cyclical
AI Confidence
85%

Valuation

P/E Ratio
AMZN
29.86
LAD
8.58
Forward P/E
AMZN
23.55
LAD
6.88
P/B Ratio
AMZN
5.78
LAD
0.99
P/S Ratio
AMZN
3.31
LAD
0.17
EV/EBITDA
AMZN
16.68
LAD
11.15

Profitability

Gross Margin
AMZN
50.29%
LAD
15.43%
Operating Margin
AMZN
10.53%
LAD
3.89%
Profit Margin
AMZN
10.83%
LAD
2.18%
ROE
AMZN
22.29%
LAD
12.42%
ROA
AMZN
6.93%
LAD
4.22%

Growth

Revenue Growth
AMZN
13.6%
LAD
0.3%
Earnings Growth
AMZN
5.0%
LAD
-28.4%

Financial Health

Debt/Equity
AMZN
0.43
LAD
2.35
Current Ratio
AMZN
1.05
LAD
1.17
Quick Ratio
AMZN
0.84
LAD
0.22

Dividends

Dividend Yield
AMZN
--
LAD
0.79%
Payout Ratio
AMZN
0.0%
LAD
6.75%

AI Verdict

AMZN BULLISH

Amazon exhibits a stable financial foundation with a Piotroski F-Score of 6/9 and a healthy Debt/Equity ratio of 0.43. While the current price of $221.25 represents a significant premium over the Graham Number ($79.92) and Intrinsic Value ($107.45), this is typical for a high-growth dominant player in the internet retail and cloud space. Strong revenue growth (13.6%) and a superior ROE (22.29%) compared to the sector average (4.42%) justify the valuation premium. Despite bearish insider selling, the strong analyst consensus and consistent earnings beat history support a positive long-term outlook.

Strengths
Strong revenue growth of 13.6% YoY, outperforming sector average
Exceptional ROE of 22.29% compared to sector average of 4.42%
Conservative leverage with a Debt/Equity ratio of 0.43
Risks
Significant valuation gap between current price and deterministic intrinsic value
Bearish insider sentiment with consistent selling by the CEO and officers
Tight liquidity indicated by a Current Ratio of 1.05 and Quick Ratio of 0.84
LAD NEUTRAL

LAD presents a classic 'value trap' profile, characterized by a weak Piotroski F-Score of 3/9 indicating deteriorating financial health and crashing earnings growth (-28.4% YoY). While the stock appears significantly undervalued based on the Graham Number ($452.1) and a low P/E of 8.58, the fundamental decay and bearish technical trend offset these valuation advantages. The divergence between the bullish analyst target ($364.60) and the negative earnings trajectory suggests a disconnect between market expectations and current operational reality.

Strengths
Extremely low P/E ratio (8.58) and Forward P/E (6.88)
Strong defensive valuation relative to Graham Number ($452.1)
Very low Price-to-Sales ratio (0.17) indicating high revenue efficiency relative to market cap
Risks
Weak financial health as evidenced by a Piotroski F-Score of 3/9
Severe earnings contraction with YoY growth at -28.40% and Q/Q at -35.60%
High leverage with a Debt/Equity ratio of 2.35

Compare Another Pair

AMZN vs LAD: Head-to-Head Comparison

This page compares Amazon.com, Inc. (AMZN) and Lithia Motors, Inc. (LAD) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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