StockNews.com Downgrades Lithia Motors (NYSE:LAD) to Sell

Lithia Motors (NYSE:LAD) was downgraded by research analysts at StockNews.com from a “hold” rating to a “sell” rating in a research report issued to clients and investors on Monday.

Several other research firms have also commented on LAD. Morgan Stanley upgraded Lithia Motors from an “underweight” rating to an “equal weight” rating and lifted their price target for the stock from $225.00 to $310.00 in a research report on Wednesday, September 25th. Guggenheim lifted their target price on Lithia Motors from $380.00 to $418.00 and gave the stock a “buy” rating in a report on Thursday, November 21st. Wells Fargo & Company increased their price target on Lithia Motors from $299.00 to $343.00 and gave the company an “equal weight” rating in a report on Thursday, October 24th. Citigroup lifted their price objective on shares of Lithia Motors from $280.00 to $320.00 and gave the stock a “neutral” rating in a research note on Friday, September 27th. Finally, Stephens boosted their price objective on shares of Lithia Motors from $360.00 to $405.00 and gave the company an “overweight” rating in a research report on Thursday, October 24th. One investment analyst has rated the stock with a sell rating, four have given a hold rating and six have given a buy rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $357.60.

Lithia Motors Price Performance

Shares of LAD traded down $3.39 during mid-day trading on Monday, hitting $344.56. 308,886 shares of the stock were exchanged, compared to its average volume of 233,495. The company has a debt-to-equity ratio of 1.23, a quick ratio of 0.27 and a current ratio of 1.18. The company has a market cap of $9.18 billion, a PE ratio of 11.76, a price-to-earnings-growth ratio of 6.25 and a beta of 1.67. Lithia Motors has a 52-week low of $243.00 and a 52-week high of $405.67. The firm has a 50-day moving average of $368.47 and a two-hundred day moving average of $314.00.

Lithia Motors (NYSE:LAD) last released its quarterly earnings results on Wednesday, October 23rd. The company reported $8.21 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $7.60 by $0.61. Lithia Motors had a net margin of 2.31% and a return on equity of 12.95%. The company had revenue of $9.22 billion for the quarter, compared to the consensus estimate of $9.46 billion. During the same quarter in the prior year, the firm earned $9.25 earnings per share. Lithia Motors’s revenue was up 11.4% on a year-over-year basis. On average, equities analysts predict that Lithia Motors will post 29.42 earnings per share for the current year.

Insiders Place Their Bets

In other Lithia Motors news, insider Gary M. Glandon sold 242 shares of the company’s stock in a transaction on Thursday, November 21st. The stock was sold at an average price of $382.86, for a total transaction of $92,652.12. Following the completion of the sale, the insider now owns 1,729 shares in the company, valued at $661,964.94. This represents a 12.28 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Chris Holzshu sold 8,520 shares of the stock in a transaction on Thursday, October 24th. The shares were sold at an average price of $335.21, for a total value of $2,855,989.20. Following the sale, the chief operating officer now directly owns 32,054 shares in the company, valued at $10,744,821.34. This trade represents a 21.00 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 47,290 shares of company stock worth $17,959,596. 1.79% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Lithia Motors

Institutional investors have recently added to or reduced their stakes in the stock. V Square Quantitative Management LLC purchased a new stake in shares of Lithia Motors during the third quarter valued at about $35,000. GAMMA Investing LLC lifted its position in Lithia Motors by 30.5% during the fourth quarter. GAMMA Investing LLC now owns 167 shares of the company’s stock valued at $60,000 after acquiring an additional 39 shares during the last quarter. Blue Trust Inc. boosted its stake in Lithia Motors by 49.3% in the third quarter. Blue Trust Inc. now owns 200 shares of the company’s stock valued at $64,000 after acquiring an additional 66 shares in the last quarter. Signaturefd LLC grew its holdings in Lithia Motors by 23.9% in the third quarter. Signaturefd LLC now owns 249 shares of the company’s stock worth $79,000 after purchasing an additional 48 shares during the last quarter. Finally, Point72 Asia Singapore Pte. Ltd. acquired a new position in shares of Lithia Motors during the second quarter worth $80,000.

About Lithia Motors

Lithia Motors, Inc operates as an automotive retailer worldwide. It operates in two segments, Vehicle Operations and Financing Operations. The company’s Vehicle Operations segment sells new and used vehicles; provides parts, repair, and maintenance services; vehicle finance; and insurance products. Its Financing Operations segment provides financing to customers buying and leasing retail vehicles.