# Lithia Motors, Inc. (LAD)

> Source: Nexqual · https://nexqual.com/LAD · data as of 2026-10-22 20:00 UTC · cite as "Nexqual, Lithia Motors, Inc. (LAD), nexqual.com/LAD" · informational, not investment advice.

**Price:** USD 291.07 (+8.15% on the day) · last close of Oct 22, 2026; US market pre market, not a live price. Prev close 269.13 · day 264.22–291.53 · 52w 239.78–439.49 · market cap $6.40B · NYQ

## Key facts
- Last four reported quarters (through Jun 30, 2026): revenue $37.9B, net income $714M (1.9% margin), free cash flow -$504M (SEC filings).
- Valuation: P/E 9.0x (avg 10.5x at the last 3 fiscal year-ends).
- 6 of 80 tracked superinvestors hold LAD (13F, Q2 2026): 0 new, 2 added, 2 reduced, 2 unchanged.
- Insider open-market sales, last ~7 months: 6 Form 4 filings, $377K; 4 not under a Rule 10b5-1 plan ($325K); 0 by opportunistic insiders, 2 by routine insiders (three-year test, Cohen, Malloy & Pomorski 2012).
- Analysts: Buy (mean 2.07 on a 1–5 scale) (15 analysts), mean target USD 391.2 (range 305–490).
- Total return with dividends: 1Y -9.7% vs S&P 500 +14.9%; 5Y -10.9% vs S&P 500 +80.3%.
- Next earnings: 2026-10-21, EPS estimate USD 8.39, revenue estimate $9.43B.

## Financials (SEC 10-K; TTM = last four 10-Q/10-K quarters)
| USD | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | TTM |
|---|---|---|---|---|---|---|
| Revenue | $22.8B | $28.2B | $31.0B | $36.2B | $37.6B | $37.9B |
| Gross profit | $4.26B | $5.15B | $5.23B | $5.56B | $5.73B | — |
| Operating income | $1.66B | $1.94B | $1.69B | $1.57B | $1.59B | $1.55B |
| Net income | $1.06B | $1.25B | $1.00B | $797M | $820M | $714M |
| EPS (diluted) | $36.54 | $44.17 | $36.29 | $29.45 | $32.32 | — |
| Free cash flow | $1.54B | -$913M | -$703M | $73.7M | $5.8M | -$504M |
| Gross margin | 18.7% | 18.3% | 16.8% | 15.4% | 15.2% | — |
| Operating margin | 7.3% | 6.9% | 5.5% | 4.3% | 4.2% | 4.1% |
| Net margin | 4.6% | 4.4% | 3.2% | 2.2% | 2.2% | 1.9% |
| Revenue growth | +73.9% | +23.5% | +10.1% | +16.6% | +4.0% | — |
| Cash + short-term investments | $153M | $272M | $972M | $446M | $391M | — |
| Total debt | $2.40B | $5.51B | $7.16B | $8.17B | $9.68B | — |
Fiscal years end Dec. EPS is split-adjusted.

## Valuation (price ÷ last four quarters, through Jun 30, 2026)
P/E 9.0x · P/S 0.2x · P/B 1.0x · FCF yield -7.88% · Earnings yield 11.16% · Dividend yield (paid, TTM) 0.83% · Buyback yield (TTM) 19.25%
P/E at fiscal year-ends: Dec 2025 10.3x, Dec 2024 12.2x, Dec 2023 9.1x.

## Superinvestors (SEC 13F-HR, Q2 2026)
6 of 80 tracked investors hold LAD. Each row is the investor's latest 13F; change is vs their prior-quarter share count.
| Investor | Firm | % of portfolio | Value | Change |
|---|---|---|---|---|
| David Abrams | Abrams Capital Management | 13.20% | $723M | Unchanged |
| Leon Cooperman | Omega Family Office | 2.78% | $98.8M | Unchanged |
| Bill Nygren | Oakmark Funds | 0.74% | $556M | Reduced -2.1% |
| Bill Miller | Miller Value Partners | 0.19% | $788K | Added +2.2% |
| First Eagle Investment | First Eagle Investment Management | 0.03% | $19.2M | Added +51.0% |
| Ruane Cunniff | Ruane Cunniff LP | 0.01% | $852K | Reduced -1.8% |

## Insider sales (SEC Form 4, open-market, last ~7 months)
2 of 6 under a Rule 10b5-1 trading plan (scheduled in advance). Unplanned sales were timed by the insider.
| Trade date | Insider | Role | Shares | Value | % of holdings sold | 10b5-1 plan | Insider type |
|---|---|---|---|---|---|---|---|
| 2026-09-11 | Loretz Congdon Stacy | Director | 75 | $28K | 3.2% | Yes | Too little history (no open-market trades in 2023 or 2024) |
| 2026-09-08 | Stork David | Chief Administrative Officer | 320 | $120K | 5.6% | No | Too little history (no open-market trades in 2025) |
| 2026-06-12 | Loretz Congdon Stacy | Director | 75 | $24K | 3.1% | Yes | Too little history (no open-market trades in 2023 or 2024) |
| 2026-06-10 | McIntyre Shauna | Director | 165 | $50K | 8.9% | No | Routine (sold in May each year 2023–2025; this trade is outside those months) |
| 2026-05-26 | Bailey Richard J Jr | Director | 297 | $83K | 28.1% | No | Too little history (no open-market trades in 2023–2025) |
| 2026-05-11 | McIntyre Shauna | Director | 245 | $72K | 11.7% | No | Routine (sold in May each year 2023–2025) |
% of holdings sold = shares sold ÷ (shares sold + all holdings the insider reported on that Form 4, direct and through trusts).
Insider type follows Cohen, Malloy & Pomorski (Journal of Finance, 2012). An insider who traded the stock in the same calendar month in each of the past three years is a routine trader; one who traded in each of those years without such a pattern is an opportunistic trader. In their study, trades by opportunistic insiders predicted future returns and trades by routine insiders did not. Counts open-market purchases and sales only (SEC Form 4 codes P and S) by that insider in that company. Not investment advice.

## Analysts
Consensus Buy (mean 2.07 on a 1–5 scale), 15 analysts; mean target USD 391.2 (low 305, high 490).
Rating changes, last 120 days:
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| 2026-10-22 | UBS | Target lowered | Neutral | $335 → $305 |
| 2026-10-22 | JP Morgan | Target lowered | Neutral | $320 → $315 |
| 2026-10-12 | Evercore ISI Group | Target lowered | Outperform | $470 → $440 |
| 2026-10-07 | UBS | Target lowered | Neutral | $440 → $335 |
| 2026-10-06 | JP Morgan | Target lowered | Neutral | $340 → $320 |
| 2026-10-06 | Barclays | Target lowered | Overweight | $415 → $375 |
| 2026-10-05 | Morgan Stanley | Target lowered | Equal-Weight | $358 → $310 |
| 2026-09-22 | Citigroup | Target lowered | Buy | $455 → $409 |
| 2026-08-19 | Barclays | Target raised | Overweight | $360 → $415 |
| 2026-08-04 | JP Morgan | Target raised | Neutral | $325 → $340 |
| 2026-08-04 | Evercore ISI Group | Target raised | Outperform | $400 → $470 |
| 2026-08-03 | Citigroup | Target raised | Buy | $365 → $455 |

## Total return (dividends reinvested)
|  | 1Y (from 2025-10-23) | 5Y (from 2021-10-18) |
|---|---|---|
| Total return | -9.7% | -10.9% |
| S&P 500 (SPY) | +14.9% | +80.3% |
| Per year | -9.7% | -2.3% |
| Volatility (annualized) | 40.2% | 37.1% |
| Max drawdown | -36.9% (Jul 2026→Oct 2026) | -45.2% (Mar 2022→Oct 2022) |

## Peers (Auto & Truck Dealerships)
RUSHB (Rush Enterprises, Inc.) USD 57.89 -1.14% · KMX (CarMax Inc) USD 52.96 +2.85% · AN (AutoNation, Inc.) USD 161.84 +5.77% · OPLN (OPENLANE, Inc.) USD 38.05 +1.63% · VVV (Valvoline Inc.) USD 32.44 +4.24% · ABG (Asbury Automotive Group Inc) USD 173.43 +5.72%

## More
Full page: https://nexqual.com/LAD · Free keyless MCP server with the same data and citations: https://mcp.nexqual.com/mcp · Guide for agents: https://nexqual.com/agents · https://nexqual.com/llms.txt

## Revenue by product line (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| New vehicle | $4.83B | 49.3% | +2.7% |
| Used vehicles | $3.53B | 36.0% | +1.4% |
| Aftersales | $1.07B | 10.9% | +3.9% |
| Finance and insurance | $366.4M | 3.7% | -2.0% |
| Total revenue | $9.79B | 100% | — |

## Revenue by region (quarter ended 2026-06-30)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| United States | $7.58B | 77.4% | +1.2% |
| United Kingdom | $1.83B | 18.7% | +4.8% |
| Canada | $382.9M | 3.9% | +11.2% |
| Total revenue | $9.79B | 100% | — |

## Company outlook (8-K filed 2026-10-21)

- "Corporate Development In the third quarter of 2026, LAD acquired two stores, which are expected to generate $150 million in annualized revenues, and divested two stores representing $115 million in annualized revenues."
- "These additions add $250 million of expected annualized revenue."
- "LAD has acquired $1.17 billion in expected annualized revenues year to date."
- "The dividend is expected to be paid on November 20, 2026 to shareholders of record on November 6, 2026."

## Analyst estimates and revisions

| Period | EPS est. | 90d ago | Change | Revenue est. | Analysts |
|---|---|---|---|---|---|
| Current quarter (ends 2026-12-31) | $8.39 | $8.85 | -5.2% | $9.43B | 12 |
| Next quarter (ends 2027-03-31) | $8.79 | $8.67 | +1.3% | $9.48B | 8 |
| Current fiscal year (ends 2026-12-31) | $36.01 | $34.53 | +4.3% | $38.42B | 13 |
| Next fiscal year (ends 2027-12-31) | $40.33 | $40.75 | -1.0% | $39.53B | 14 |

## Options: expected move (Cboe, 15-min delayed)

| Expiration | Days | ATM IV | Expected move |
|---|---|---|---|
| 2026-11-20 | 28 | 40.9% | ±9.2% |
| 2026-12-18 | 56 | 39.4% | ±12.4% |
| 2027-03-19 | 147 | 39.6% | ±20.0% |
| 2027-05-21 | 210 | 40.1% | ±24.0% |
| 2027-06-17 | 237 | 39.2% | ±25.0% |