Lithia Motors (NYSE:LAD) Shares Gap Up After Earnings Beat

Lithia Motors, Inc. (NYSE:LAD)’s stock price gapped up before the market opened on Wednesday following a better than expected earnings announcement. The stock had previously closed at $368.69, but opened at $400.00. Lithia Motors shares last traded at $386.60, with a volume of 99,288 shares.

The company reported $7.79 earnings per share for the quarter, beating analysts’ consensus estimates of $7.33 by $0.46. Lithia Motors had a net margin of 2.31% and a return on equity of 12.95%.

Analyst Ratings Changes

Several equities research analysts have recently issued reports on the company. Stephens raised their price objective on Lithia Motors from $360.00 to $405.00 and gave the stock an “overweight” rating in a report on Thursday, October 24th. Benchmark began coverage on Lithia Motors in a research note on Wednesday, January 8th. They issued a “buy” rating and a $400.00 price target on the stock. StockNews.com raised shares of Lithia Motors from a “sell” rating to a “hold” rating in a research note on Tuesday, January 14th. Wells Fargo & Company raised their target price on shares of Lithia Motors from $343.00 to $346.00 and gave the stock an “equal weight” rating in a research report on Wednesday, January 15th. Finally, JPMorgan Chase & Co. dropped their price objective on Lithia Motors from $405.00 to $400.00 and set an “overweight” rating for the company in a report on Friday, January 17th. Five equities research analysts have rated the stock with a hold rating and six have assigned a buy rating to the company’s stock. According to MarketBeat.com, Lithia Motors has a consensus rating of “Moderate Buy” and a consensus target price of $357.40.

Insider Buying and Selling at Lithia Motors

In related news, insider Gary M. Glandon sold 242 shares of Lithia Motors stock in a transaction on Thursday, November 21st. The shares were sold at an average price of $382.86, for a total value of $92,652.12. Following the completion of the sale, the insider now owns 1,729 shares in the company, valued at approximately $661,964.94. The trade was a 12.28 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Bryan B. Deboer sold 3,313 shares of the stock in a transaction on Thursday, November 14th. The shares were sold at an average price of $380.00, for a total transaction of $1,258,940.00. Following the transaction, the chief executive officer now owns 192,814 shares in the company, valued at $73,269,320. This trade represents a 1.69 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 22,924 shares of company stock valued at $8,975,642 over the last 90 days. 1.79% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in LAD. Cetera Investment Advisers increased its stake in Lithia Motors by 1.3% during the second quarter. Cetera Investment Advisers now owns 3,862 shares of the company’s stock valued at $975,000 after purchasing an additional 48 shares during the last quarter. Exchange Traded Concepts LLC raised its stake in Lithia Motors by 3.5% during the 3rd quarter. Exchange Traded Concepts LLC now owns 4,051 shares of the company’s stock valued at $1,287,000 after acquiring an additional 138 shares in the last quarter. Creative Planning boosted its position in Lithia Motors by 5.4% during the 3rd quarter. Creative Planning now owns 1,657 shares of the company’s stock worth $526,000 after acquiring an additional 85 shares during the period. SeaCrest Wealth Management LLC increased its holdings in shares of Lithia Motors by 53.7% during the third quarter. SeaCrest Wealth Management LLC now owns 6,950 shares of the company’s stock valued at $2,208,000 after purchasing an additional 2,427 shares during the period. Finally, Vontobel Holding Ltd. bought a new stake in shares of Lithia Motors during the third quarter valued at about $327,000.

Lithia Motors Stock Up 4.0 %

The stock has a market cap of $10.22 billion, a P/E ratio of 13.09, a price-to-earnings-growth ratio of 4.90 and a beta of 1.67. The stock’s 50-day moving average is $363.11 and its 200-day moving average is $333.36. The company has a current ratio of 1.18, a quick ratio of 0.27 and a debt-to-equity ratio of 1.23.

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.