Shellback Capital LP Makes New Investment in Lithia Motors, Inc. (NYSE:LAD)

Shellback Capital LP purchased a new position in shares of Lithia Motors, Inc. (NYSE:LAD) during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm purchased 53,122 shares of the company’s stock, valued at approximately $18,987,000. Lithia Motors comprises approximately 1.3% of Shellback Capital LP’s investment portfolio, making the stock its 22nd largest holding. Shellback Capital LP owned 0.20% of Lithia Motors at the end of the most recent quarter.

Several other hedge funds also recently modified their holdings of the company. Redwood Investment Management LLC acquired a new stake in shares of Lithia Motors during the 4th quarter worth about $1,432,000. ProShare Advisors LLC boosted its position in shares of Lithia Motors by 6.8% in the fourth quarter. ProShare Advisors LLC now owns 1,245 shares of the company’s stock worth $445,000 after acquiring an additional 79 shares during the last quarter. Quantinno Capital Management LP boosted its position in shares of Lithia Motors by 92.6% in the fourth quarter. Quantinno Capital Management LP now owns 2,088 shares of the company’s stock worth $746,000 after acquiring an additional 1,004 shares during the last quarter. Parkwood LLC boosted its position in shares of Lithia Motors by 1.7% in the fourth quarter. Parkwood LLC now owns 22,587 shares of the company’s stock worth $8,073,000 after acquiring an additional 370 shares during the last quarter. Finally, Nomura Holdings Inc. acquired a new stake in shares of Lithia Motors in the fourth quarter worth approximately $1,263,000.

Lithia Motors Trading Down 0.8%

LAD opened at $320.42 on Friday. The firm has a market capitalization of $8.34 billion, a P/E ratio of 10.80, a P/E/G ratio of 4.65 and a beta of 1.48. The firm’s 50 day moving average is $296.80 and its 200-day moving average is $339.37. Lithia Motors, Inc. has a 52-week low of $243.04 and a 52-week high of $405.68. The company has a quick ratio of 0.28, a current ratio of 1.19 and a debt-to-equity ratio of 1.22.

Lithia Motors (NYSE:LAD) last posted its quarterly earnings data on Wednesday, April 23rd. The company reported $7.66 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $7.77 by ($0.11). The firm 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 company’s revenue for the quarter was up 7.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $6.11 EPS. Analysts expect that Lithia Motors, Inc. will post 34.45 EPS for the current fiscal year.

Lithia Motors Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, May 23rd. Stockholders of record on Friday, May 9th will be paid a dividend of $0.55 per share. The ex-dividend date is Friday, May 9th. This represents a $2.20 dividend on an annualized basis and a dividend yield of 0.69%. This is a positive change from Lithia Motors’s previous quarterly dividend of $0.53. Lithia Motors’s dividend payout ratio (DPR) is currently 6.93%.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on the stock. JPMorgan Chase & Co. decreased their target price on shares of Lithia Motors from $420.00 to $360.00 and set an “overweight” rating on the stock in a research report on Thursday, March 27th. Wells Fargo & Company decreased their target price on shares of Lithia Motors from $397.00 to $308.00 and set an “equal weight” rating on the stock in a research report on Monday, April 21st. The Goldman Sachs Group decreased their target price on shares of Lithia Motors from $385.00 to $328.00 and set a “neutral” rating on the stock in a research report on Thursday, April 24th. Benchmark reissued a “buy” rating and issued a $400.00 target price on shares of Lithia Motors in a research report on Thursday, February 20th. Finally, Evercore ISI raised their target price on shares of Lithia Motors from $400.00 to $440.00 and gave the stock an “outperform” rating in a research report on Tuesday, February 18th. Four equities research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $361.20.

Insider Activity

In other news, Director Shauna Mcintyre sold 337 shares of Lithia Motors stock in a transaction that occurred on Thursday, May 1st. The shares were sold at an average price of $295.94, for a total transaction of $99,731.78. Following the sale, the director now owns 1,632 shares in the company, valued at $482,974.08. This trade represents a 17.12% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Congdon Stacy Loretz sold 270 shares of Lithia Motors stock in a transaction on Wednesday, March 12th. The stock was sold at an average price of $298.80, for a total transaction of $80,676.00. Following the completion of the sale, the director now owns 1,213 shares of the company’s stock, valued at approximately $362,444.40. This trade represents a 18.21% decrease in their position. The disclosure for this sale can be found here. Insiders have sold 855 shares of company stock worth $252,536 over the last 90 days. Company insiders own 0.87% of the company’s stock.

Lithia Motors Company Profile

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.