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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 the most recent trading day at $316.76, moving -1.06% from the previous trading session. This change lagged the S&P 500's 0.74% loss on the day.
Coming into today, shares of the auto dealership chain had gained 1.59% in the past month. In that same time, the Retail-Wholesale sector lost 8%, while the S&P 500 lost 4.6%.
Wall Street will be looking for positivity from Lithia Motors as it approaches its next earnings report date. In that report, analysts expect Lithia Motors to post earnings of $9.51 per share. This would mark year-over-year growth of 61.46%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.39 billion, up 47.04% from the year-ago period.
LAD's full-year Zacks Consensus Estimates are calling for earnings of $40.33 per share and revenue of $26.38 billion. These results would represent year-over-year changes of +0.75% and +15.56%, respectively.
Investors should also note any recent changes to analyst estimates for Lithia Motors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 5.87% higher. Lithia Motors is currently a Zacks Rank #2 (Buy).
In terms of valuation, Lithia Motors is currently trading at a Forward P/E ratio of 7.94. For comparison, its industry has an average Forward P/E of 6.68, which means Lithia Motors is trading at a premium to the group.
Investors should also note that LAD has a PEG ratio of 1.73 right now. 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. LAD's industry had an average PEG ratio of 0.41 as of yesterday's close.
The Automotive - Retail and Whole Sales industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 19, which puts it in the top 8% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Lithia Motors (LAD) Dips More Than Broader Markets: What You Should Know
Lithia Motors (LAD - Free Report) closed the most recent trading day at $316.76, moving -1.06% from the previous trading session. This change lagged the S&P 500's 0.74% loss on the day.
Coming into today, shares of the auto dealership chain had gained 1.59% in the past month. In that same time, the Retail-Wholesale sector lost 8%, while the S&P 500 lost 4.6%.
Wall Street will be looking for positivity from Lithia Motors as it approaches its next earnings report date. In that report, analysts expect Lithia Motors to post earnings of $9.51 per share. This would mark year-over-year growth of 61.46%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $6.39 billion, up 47.04% from the year-ago period.
LAD's full-year Zacks Consensus Estimates are calling for earnings of $40.33 per share and revenue of $26.38 billion. These results would represent year-over-year changes of +0.75% and +15.56%, respectively.
Investors should also note any recent changes to analyst estimates for Lithia Motors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 5.87% higher. Lithia Motors is currently a Zacks Rank #2 (Buy).
In terms of valuation, Lithia Motors is currently trading at a Forward P/E ratio of 7.94. For comparison, its industry has an average Forward P/E of 6.68, which means Lithia Motors is trading at a premium to the group.
Investors should also note that LAD has a PEG ratio of 1.73 right now. 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. LAD's industry had an average PEG ratio of 0.41 as of yesterday's close.
The Automotive - Retail and Whole Sales industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 19, which puts it in the top 8% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.