Lithia Motors Q2 EPS Forecast Decreased by Zacks Research

Lithia Motors, Inc. (NYSE:LAD) – Equities research analysts at Zacks Research cut their Q2 2025 earnings per share (EPS) estimates for Lithia Motors in a research report issued to clients and investors on Wednesday, May 7th. Zacks Research analyst R. Department now forecasts that the company will earn $8.61 per share for the quarter, down from their prior estimate of $9.18. The consensus estimate for Lithia Motors’ current full-year earnings is $34.45 per share. Zacks Research also issued estimates for Lithia Motors’ Q1 2026 earnings at $8.61 EPS, Q2 2026 earnings at $8.97 EPS, Q3 2026 earnings at $8.96 EPS, Q4 2026 earnings at $8.96 EPS, FY2026 earnings at $35.50 EPS, Q1 2027 earnings at $10.21 EPS and FY2027 earnings at $42.82 EPS.

Lithia Motors (NYSE:LAD) last released its quarterly earnings data on Wednesday, April 23rd. The company reported $7.66 earnings per share for the quarter, missing analysts’ consensus estimates of $7.77 by ($0.11). The company had revenue of $9.18 billion for the quarter, compared to analysts’ expectations of $9.19 billion. Lithia Motors had a net margin of 2.21% and a return on equity of 12.43%. The business’s revenue for the quarter was up 7.2% compared to the same quarter last year. During the same period last year, the company posted $6.11 EPS.

A number of other analysts have also commented on the company. Evercore ISI raised their price target on Lithia Motors from $400.00 to $440.00 and gave the stock an “outperform” rating in a research note on Tuesday, February 18th. Benchmark reiterated a “buy” rating and issued a $400.00 price objective on shares of Lithia Motors in a report on Thursday, February 20th. Citigroup upgraded Lithia Motors from a “neutral” rating to a “buy” rating and decreased their price objective for the stock from $415.00 to $375.00 in a report on Wednesday, April 23rd. JPMorgan Chase & Co. decreased their price objective on Lithia Motors from $420.00 to $360.00 and set an “overweight” rating for the company in a report on Thursday, March 27th. Finally, Guggenheim decreased their price objective on Lithia Motors from $417.00 to $356.00 and set a “buy” rating for the company in a report on Tuesday, April 22nd. Four investment analysts have rated the stock with a hold rating and seven have assigned a buy rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $361.20.

Lithia Motors Stock Performance

NYSE:LAD opened at $326.26 on Monday. The firm has a market cap of $8.49 billion, a PE ratio of 10.99, a price-to-earnings-growth ratio of 4.65 and a beta of 1.48. Lithia Motors has a fifty-two week low of $243.04 and a fifty-two week high of $405.68. The company has a debt-to-equity ratio of 1.22, a quick ratio of 0.28 and a current ratio of 1.19. The business has a 50 day moving average price of $295.91 and a 200-day moving average price of $339.62.

Lithia Motors Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, May 23rd. Stockholders of record on Friday, May 9th will be issued a dividend of $0.55 per share. The ex-dividend date is Friday, May 9th. This is an increase from Lithia Motors’s previous quarterly dividend of $0.53. This represents a $2.20 annualized dividend and a dividend yield of 0.67%. Lithia Motors’s dividend payout ratio (DPR) is presently 6.93%.

Insider Activity

In related news, Director Shauna Mcintyre sold 248 shares of Lithia Motors stock in a transaction dated Friday, March 14th. The stock was sold at an average price of $290.84, for a total value of $72,128.32. Following the completion of the sale, the director now directly owns 1,297 shares in the company, valued at approximately $377,219.48. This trade represents a 16.05% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Gary M. Glandon sold 325 shares of Lithia Motors stock in a transaction dated Thursday, February 13th. The stock was sold at an average price of $387.86, for a total value of $126,054.50. Following the completion of the sale, the insider now owns 1,665 shares of the company’s stock, valued at $645,786.90. The trade was a 16.33% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 1,583 shares of company stock worth $533,455 over the last three months. 0.87% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Lithia Motors

Several large investors have recently bought and sold shares of LAD. Abrams Capital Management L.P. grew its stake in shares of Lithia Motors by 2.2% during the 1st quarter. Abrams Capital Management L.P. now owns 2,444,678 shares of the company’s stock valued at $717,611,000 after purchasing an additional 53,490 shares during the period. Dimensional Fund Advisors LP grew its stake in shares of Lithia Motors by 6.1% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,267,519 shares of the company’s stock valued at $372,053,000 after purchasing an additional 72,980 shares during the period. Lyrical Asset Management LP grew its stake in shares of Lithia Motors by 2.3% during the 4th quarter. Lyrical Asset Management LP now owns 510,388 shares of the company’s stock valued at $182,428,000 after purchasing an additional 11,674 shares during the period. Steadfast Capital Management LP grew its stake in shares of Lithia Motors by 137.8% during the 4th quarter. Steadfast Capital Management LP now owns 460,298 shares of the company’s stock valued at $164,524,000 after purchasing an additional 266,715 shares during the period. Finally, Norges Bank bought a new stake in shares of Lithia Motors during the 4th quarter valued at about $152,752,000.

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.