Lithia Motors (NYSE:LAD) Trading Down 4.4% After Analyst Downgrade

Shares of Lithia Motors, Inc. (NYSE:LAD) fell 4.4% on Thursday after JPMorgan Chase & Co. lowered their price target on the stock from $420.00 to $360.00. JPMorgan Chase & Co. currently has an overweight rating on the stock. Lithia Motors traded as low as $292.00 and last traded at $293.70. 42,312 shares were traded during mid-day trading, a decline of 86% from the average session volume of 295,493 shares. The stock had previously closed at $307.37.

LAD has been the topic of several other research reports. StockNews.com upgraded shares of Lithia Motors from a “sell” rating to a “hold” rating in a research note on Tuesday, January 14th. Benchmark restated a “buy” rating and issued a $400.00 target price on shares of Lithia Motors in a research report on Thursday, February 20th. Wells Fargo & Company lifted their target price on Lithia Motors from $346.00 to $397.00 and gave the company an “equal weight” rating in a research note on Thursday, February 13th. Finally, Evercore ISI increased 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. Five research analysts have rated the stock with a hold rating and seven have assigned a buy rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average price target of $365.91.

Insiders Place Their Bets

In other news, COO Adam Chamberlain sold 403 shares of Lithia Motors stock in a transaction that occurred on Friday, February 14th. The shares were sold at an average price of $384.28, for a total value of $154,864.84. Following the transaction, the chief operating officer now owns 2,605 shares of the company’s stock, valued at $1,001,049.40. The trade was a 13.40 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, Director Shauna Mcintyre sold 248 shares of the business’s stock in a transaction that occurred on Friday, March 14th. The stock was sold at an average price of $290.84, for a total transaction of $72,128.32. Following the completion of the sale, the director now owns 1,297 shares in the company, valued at $377,219.48. The trade was a 16.05 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 1,246 shares of company stock worth $433,724. 0.87% of the stock is owned by corporate insiders.

Institutional Trading of Lithia Motors

Large investors have recently added to or reduced their stakes in the company. Wellington Management Group LLP grew its stake in Lithia Motors by 9.7% in the fourth quarter. Wellington Management Group LLP now owns 10,528 shares of the company’s stock valued at $3,763,000 after purchasing an additional 930 shares in the last quarter. Wealth Enhancement Advisory Services LLC lifted its stake in Lithia Motors by 8.2% in the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 844 shares of the company’s stock valued at $302,000 after acquiring an additional 64 shares during the last quarter. Universal Beteiligungs und Servicegesellschaft mbH bought a new stake in Lithia Motors in the fourth quarter worth approximately $5,877,000. Forum Financial Management LP acquired a new position in shares of Lithia Motors during the 4th quarter worth $202,000. Finally, Peak Retirement Planning Inc. bought a new position in shares of Lithia Motors during the 4th quarter valued at $874,000.

Lithia Motors Stock Performance

The firm has a market cap of $7.77 billion, a price-to-earnings ratio of 9.96, a price-to-earnings-growth ratio of 4.65 and a beta of 1.69. The firm’s 50 day moving average is $341.41 and its 200-day moving average is $342.10. The company has a debt-to-equity ratio of 1.22, a quick ratio of 0.28 and a current ratio of 1.19.

Lithia Motors (NYSE:LAD) last issued its quarterly earnings data on Wednesday, February 12th. The company reported $7.79 earnings per share for the quarter, topping analysts’ consensus estimates of $7.33 by $0.46. Lithia Motors had a net margin of 2.21% and a return on equity of 12.43%. Sell-side analysts anticipate that Lithia Motors, Inc. will post 34.45 earnings per share for the current fiscal year.

Lithia Motors Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 21st. Investors of record on Friday, March 7th were paid a dividend of $0.53 per share. The ex-dividend date was Friday, March 7th. This represents a $2.12 annualized dividend and a yield of 0.72%. Lithia Motors’s payout ratio is 7.14%.

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.