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Is Lithia Motors (LAD) Stock Outpacing Its Retail-Wholesale Peers This Year?

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Investors focused on the Retail-Wholesale space have likely heard of Lithia Motors (LAD - Free Report) , but is the stock performing well in comparison to the rest of its sector peers? 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 one of 204 companies in the Retail-Wholesale group. The Retail-Wholesale group currently sits at #2 within the Zacks Sector Rank. The Zacks Sector Rank gauges the strength of our 16 individual sector groups by measuring the average Zacks Rank of the individual stocks within the groups.

The Zacks Rank emphasizes earnings estimates and estimate revisions to find stocks with improving earnings outlooks. This system has a long record of success, and these stocks tend to be on track to beat the market over the next one to three months. LAD is currently sporting a Zacks Rank of #1 (Strong Buy).

The Zacks Consensus Estimate for LAD's full-year earnings has moved 63.20% higher within the past quarter. This means that analyst sentiment is stronger and the stock's earnings outlook is improving.

According to our latest data, LAD has moved about 55.44% on a year-to-date basis. In comparison, Retail-Wholesale companies have returned an average of 30.40%. This means that Lithia Motors is performing better than its sector in terms of year-to-date returns.

Breaking things down more, LAD is a member of the Automotive - Retail and Whole Sales industry, which includes 9 individual companies and currently sits at #2 in the Zacks Industry Rank. This group has gained an average of 8.43% so far this year, so LAD is performing better in this area.

Going forward, investors interested in Retail-Wholesale stocks should continue to pay close attention to LAD as it looks to continue its solid performance.


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