LAD
NEUTRAL
$277.24
Live
Lithia Motors, Inc. · NYSE
Target $364.6
(+31.5%)
$239.78
52W Range
$360.56
At a glance
Key valuation, profitability, growth, and risk metrics.
Updated Apr 29, 2026
Market cap
$6.46B
P/E
8.58
ROE
12.4%
Profit margin
2.2%
Debt/Equity
2.35
Dividend yield
0.79%
AI Analysis
AI-powered fundamental assessment
Confidence
85%
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.
Key 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
Price-to-Book ratio of 0.99 suggests the stock is trading at its accounting value
Low dividend payout ratio (6.75%) provides significant room for dividend growth if profitability stabilizes
Key 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
Poor liquidity indicated by a Quick Ratio of 0.22, showing heavy reliance on inventory liquidation
Stagnant revenue growth (0.30% YoY) suggesting a ceiling on top-line expansion
AI Fair Value Estimate
Based on comprehensive analysis
$265.5
-4.2% below current price
Performance Snowflake
Multi-dimensional analysis across 5 key categories
Overall
47
Moderate
88
25
50
30
40
AI Verdict
Speculative Value
Key drivers: Deep valuation discount, Deteriorating earnings quality, High debt load, Bearish technicals
Confidence
90%
Value
88/100
Ref P/E 8.58, PEG 0.52, Graham Number $452.1
Positives
- P/E well below sector average
- PEG ratio of 0.52 suggests undervaluation relative to growth
- Trading near book value
Watchpoints
- Intrinsic value ($226.31) is lower than current price
Future
25/100
Ref YoY Earnings Growth -28.40%
Positives
- Analyst target price suggests 32% upside
Watchpoints
- Negative earnings growth trend
- Flat revenue growth
Past
50/100
Ref 25-quarter earnings track record
Positives
- Consistent history of earnings beats in 2020-2022
Watchpoints
- Recent trend of missing estimates and declining EPS
Health
30/100
Ref Piotroski F-Score and Debt/Equity
Positives
- Current ratio above 1.0
Watchpoints
- Piotroski F-Score 3/9 (Weak)
- High Debt/Equity (2.35)
- Very low Quick Ratio (0.22)
Dividend
40/100
Ref Yield 0.79%, Payout 6.75%
Positives
- Very low payout ratio
Watchpoints
- Low dividend yield (0.79%)
Stock Price & Analyst Targets
Real-time price movements and analyst price targets
Current Price
$277.24
Analyst Target
$364.6
Upside/Downside
+31.5%
Multi-Horizon Performance vs Peers
Price momentum across 5Y → 1W horizons for LAD and closest competitors.
Updated 2026-04-28
| Company | 5Y | 3Y | 1Y | 6M | 1M | 1W |
|---|---|---|---|---|---|---|
|
LAD
Lithia Motors, Inc.
Primary
|
-26.0% | +28.3% | -3.9% | -12.6% | +12.8% | -0.9% |
|
CHDN
Churchill Downs Incorporated
Peer
|
-13.3% | -28.8% | -8.8% | -5.6% | +7.3% | -1.2% |
|
BYD
Boyd Gaming Corporation
Peer
|
+30.3% | +30.5% | +28.2% | +7.0% | -1.2% | -4.2% |
|
LEA
Lear Corporation
Peer
|
-26.3% | +5.4% | +51.0% | +22.0% | +6.6% | -3.4% |
|
MBLY
Mobileye Global Inc.
Peer
|
-74.2% | -82.1% | -42.3% | -50.9% | -1.3% | +1.8% |
LAD
Lithia Motors, Inc.
Primary
5Y
-26.0%
3Y
+28.3%
1Y
-3.9%
6M
-12.6%
1M
+12.8%
1W
-0.9%
CHD
Churchill Downs Incorporated
Peer
5Y
-13.3%
3Y
-28.8%
1Y
-8.8%
6M
-5.6%
1M
+7.3%
1W
-1.2%
BYD
Boyd Gaming Corporation
Peer
5Y
+30.3%
3Y
+30.5%
1Y
+28.2%
6M
+7.0%
1M
-1.2%
1W
-4.2%
LEA
Lear Corporation
Peer
5Y
-26.3%
3Y
+5.4%
1Y
+51.0%
6M
+22.0%
1M
+6.6%
1W
-3.4%
MBL
Mobileye Global Inc.
Peer
5Y
-74.2%
3Y
-82.1%
1Y
-42.3%
6M
-50.9%
1M
-1.3%
1W
+1.8%
Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.
Historical Performance Trends
Long-term financial metrics and growth patterns
Revenue & Net Income
Profit & Operating Margins
Return on Equity (ROE)
Quarterly Revenue Growth
Historical data shows last 12 quarters (3 years)
Valuation Metrics
Key valuation ratios and pricing indicators
P/E Ratio
8.58
Forward P/E
6.88
PEG Ratio
0.52
P/B Ratio
0.99
P/S Ratio
0.17
EV/Revenue
0.58
EV/EBITDA
11.15
Market Cap
$6.46B
Profitability
Profit margins and return metrics
Profit Margin
2.18%
Operating Margin
3.89%
Gross Margin
15.43%
ROE
12.42%
ROA
4.22%
Growth
Revenue and earnings growth rates
Revenue Growth
+0.3%
Earnings Growth
-28.4%
Q/Q Revenue Growth
+0.26%
Q/Q Earnings Growth
-35.6%
Financial Health
Balance sheet strength and liquidity metrics
Debt/Equity
2.35
High debt
Current Ratio
1.17
Good
Quick Ratio
0.22
Poor
Cash/Share
$14.72
Financial Statement Flow
Interactive flow visualization showing how money moves through the company Q4 2025
Revenue
$9.2B
Gross Margin
14.9%
Op. Margin
3.7%
Net Margin
1.5%
Total Assets
$25.1B
Liabilities
$18.5B
Equity
$6.6B
Debt/Equity
2.80x
Operating CF
$0.1B
CapEx
$-0.1B
Free Cash Flow
$0.0B
FCF Yield
25%
Quarterly Earnings History
EPS performance vs analyst estimates
2026-04-29
$N/A
2026-02-11
$6.74
-16.8% surprise
2025-10-22
$9.5
+10.4% surprise
2025-07-29
$10.24
+4.4% surprise
Consumer Cyclical Sector Comparison
Comparing LAD against 405 companies in the Consumer Cyclical sector
(26 bullish, 140 neutral, 239 bearish)
P/E Ratio
8.58
This Stock
vs
32.81
Sector Avg
-73.9%
(Discount)
Return on Equity (ROE)
12.42%
This Stock
vs
-41.92%
Sector Avg
-129.6%
(Below Avg)
Profit Margin
2.18%
This Stock
vs
-5.23%
Sector Avg
-141.6%
(Weaker)
Debt to Equity
2.35
This Stock
vs
1.51
Sector Avg
+56.2%
(Higher)
Revenue Growth
0.3%
This Stock
vs
27.46%
Sector Avg
-98.9%
(Slower)
Current Ratio
1.17
This Stock
vs
2.46
Sector Avg
-52.2%
(Weaker)
Similar Companies
Peer comparison within the same industry
| Company | AI Rating | Market Cap | P/E | ROE | Profit Margin | Price | |
|---|---|---|---|---|---|---|---|
|
LAD
Lithia Motors, Inc.
|
NEUTRAL | $6.46B | 8.58 | 12.4% | 2.2% | $277.24 | |
|
CHDN
Churchill Downs Incorporated
|
NEUTRAL | $6.33B | 17.57 | 35.7% | 13.1% | $90.84 | Compare |
|
BYD
Boyd Gaming Corporation
|
NEUTRAL | $6.32B | 3.71 | 87.8% | 45.0% | $83.88 | Compare |
|
LEA
Lear Corporation
|
NEUTRAL | $6.29B | 15.25 | 10.8% | 1.9% | $124.16 | Compare |
|
MBLY
Mobileye Global Inc.
|
BEARISH | $6.29B | - | -3.3% | -20.7% | $7.47 | Compare |
LAD
Lithia Motors, Inc.
NEUTRAL
Mkt Cap
$6.5B
P/E
8.6
ROE
12.4%
Price
$277.24
Recent Insider Trading
Insider buy and sell transactions from the last 6 months
| Date | Insider | Position | Transaction | Shares | Value |
|---|---|---|---|---|---|
| 2026-03-12 | LORETZ-CONGDON STACY | Director | Sale | 75 | $19,450 |
| 2026-01-09 | STORK DAVID | Officer | Stock Award | 4,375 | - |
| 2026-01-09 | MILLER TINA | Chief Financial Officer | Stock Award | 14,441 | - |
| 2026-01-09 | DEBOER BRYAN B | Chief Executive Officer | Stock Award | 84,452 | - |
| 2026-01-09 | HINES GEORGE N. | Chief Technology Officer | Stock Award | 7,539 | - |
| 2025-12-12 | LORETZ-CONGDON STACY | Director | Sale | 75 | $27,000 |
LORETZ-CONGDON STACY
Director
2026-03-12
75 shares
·
$19,450
STORK DAVID
Officer
2026-01-09
4,375 shares
MILLER TINA
Chief Financial Officer
2026-01-09
14,441 shares
DEBOER BRYAN B
Chief Executive Officer
2026-01-09
84,452 shares
HINES GEORGE N.
Chief Technology Officer
2026-01-09
7,539 shares
LORETZ-CONGDON STACY
Director
2025-12-12
75 shares
·
$27,000
Insider transactions can signal confidence or concerns about company prospects
SEC Filings
Recent regulatory filings from the SEC EDGAR database
DEF 14A
10-K
8-K
8-K
8-K
10-Q
8-K
8-K
Data sourced from SEC EDGAR. AI summaries generated automatically.
Wall Street Analysts
Professional analyst ratings and price targets
Consensus
BUY
15 analysts
JP Morgan
2026-04-17
Neutral
Neutral
Wells Fargo
2026-04-13
Equal-Weight
Equal-Weight
Citigroup
2026-04-08
Buy
Buy
Barclays
2026-04-07
Overweight
Overweight
Evercore ISI Group
2026-03-30
Outperform
Outperform
Citigroup
2026-03-05
Buy
Buy
JP Morgan
2026-02-20
Overweight
Neutral
Barclays
2026-02-17
Overweight
Overweight
JP Morgan
2026-02-12
Overweight
Overweight
Wells Fargo
2026-02-12
Equal-Weight
Equal-Weight
Past News Coverage
Recent headlines mentioning LAD from our newsroom.
Newest → oldest
No matching news yet.