Skip to main content
LADLithia Motors, Inc.Sell4.9·$303.87+4.08%
Open full analysis

Lithia Motors, Inc. (LAD) Stock Analysis

Recovery setup

SellModerate Confidence

Consumer Cyclical · Auto & Truck Dealerships

Sell if holding. Engine safety override at $303.87: Quality below floor (2.7 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: High short interest: 17%; Below-average business quality.

Lithia and Driveway is the largest global automotive retailer, operating 455 locations in the United States, United Kingdom, and Canada representing 54 brands. Revenue comes from new and used vehicle sales, financing and insurance, and aftersales services through franchise... Read more

$303.87+9.7% A.UpsideScore 4.9/10#11 of 16 Auto & Truck Dealerships
QualityF-score2 / 9FCF yield7.52%
IncomeYield0.78%(5y avg 0.63%)Payout7.68%sustainable
Stop $284.13Target $333.23(analyst − 10%)A.R:R 0.6:1
Analyst target$370.25+21.8%16 analysts
$333.23our TP
$303.87price
$370.25mean
$449

Sell if holding. Engine safety override at $303.87: Quality below floor (2.7 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: High short interest: 17%; Below-average business quality. Chart setup: Death cross but MACD improving, RSI 84. Score 4.9/10, moderate confidence.

Passes 6/9 gates (positive momentum, clean insider activity, news events none recent, earnings proximity 50d clear, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio. Suitability: moderate.

news + 30-day 8-K events · 5-min refresh

Recent developments

updated 2026-06-10

Recent Developments — Lithia Motors, Inc.

Generated 2026-06-15T18:11:46Z.

TrendMatrix Research · upcoming catalyst calendar

Upcoming dated catalysts

Wed, Jul 29, 202650d to earnings· next earnings call

Thesis

Rewards
No bull case signals
Risks
Quality below floor (2.7 < 4.0)

Key Metrics

P/E (TTM)10.2
P/E (Fwd)7.1
Mkt Cap$6.7B
EV/EBITDA12.0
Profit Mgn1.9%
ROE10.9%
Rev Growth1.0%
Beta1.26
Dividend0.78%
Rating analysts21

Quality Signals

Piotroski F2/9

Options Flow

P/C0.58bullish
IV49%normal

Concentration Risks(10-K Item 1A)

  • MEDIUMCustomerHonda, Toyota, Ford, BMW, and Stellantis25%
    10-K Item 1A: 'New vehicles from five manufacturers, Honda, Toyota, Ford, BMW, and Stellantis, represent 25% of our sales.'

Material Events(8-K, last 90d)

  • 2026-02-13Item 5.02LOW
    George Hines, SVP Chief Innovation and Technology Officer, transitioning effective March 1, 2026 as part of IT realignment. Core technology functions will report to CFO Tina Miller and CCO Dianna du Preez. Hines remains in non-executive role.
    SEC filing →

Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.

Show full disclosure ▾

About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.

Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.

Conflicts and positions. The TrendMatrix editorial team frequently holds personal long-term positions in securities discussed. We disclose positions held at the time of publication on each piece. We maintain a trading-window policy: we do not initiate or close positions in the same direction as a TrendMatrix publication within 24 hours before or 72 hours after publication.

No paid promotion. TrendMatrix does not accept payment from any issuer, broker, or third party in exchange for coverage of any security. Our sole compensation is subscription revenue.

No fiduciary duty. No fiduciary, advisory, or agency relationship is created between you and TrendMatrix by reading our content or subscribing to our service.

Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.

Methodology · Editorial policy & full disclaimer

Rating Breakdown

3 floor-breakers

Growth below the gate floor. Component breakdown shows what dragged the score down.static

Earnings Growth
0.0
Revenue Growth
2.7

Quality below the gate floor. Component breakdown shows what dragged the score down.static

Gross Margin
0.0
Net Margin
0.9
Operating Margin
1.5
Piotroski F
2.2
Roa
2.6
Roe
3.6
Moat
3.8
Current Ratio
4.0
Fcf Quality
5.4
Earnings quality warning: 70% FCF/NINo competitive moatWeak Piotroski F-Score: 2/9Quality concerns

Technicals below the gate floor. Component breakdown shows what dragged the score down.static

Support Resistance
0.1
Bollinger
0.8
Gap
5.0
52w Position
6.9
GatesA.R:R 0.6 < 1.5@spotDeath cross (50MA < 200MA)Executive change: officer departure/appointmentMomentum 6.8>=5.5Insider activity: OKNEWS EVENTS NONE RECENTEARNINGS PROXIMITY 50d clearSEMI CYCLE PEAK CLEARMATERIALS CYCLE PEAK CLEARRecoverySuitability: Moderate
RSI
84 · Overbought
20D MA 50D MA 200D MADEATH CROSSSupport $254.58Resistance $304.62

Price Targets

$284
$333
A.Upside+9.7%
A.R:R0.6:1

Position Sizing

ConvictionNone
Suggested %0.5%
Max %1%
RegimeSteady

Risk Alerts

! Quality below floor (2.7 < 4.0)
! asymmetry at 0.6 (below the engine's 1.5 threshold)@spot

Earnings

B
B
B
M
3/4 beats
Next Earnings2026-07-29 (50d)

Verdict History

reverse chrono — latest first
Loading history...
Verdicts are recorded on every nightly pipeline run. Rows capture transitions (verdict flips, score deltas ≥0.3, entry/TP/SL changes). Rows with a ▶ can be expanded to see the change reason. Aggregate cohort performance is tracked in the recommendation ledger.
Frequently Asked Questions
Is LAD stock a buy right now?

Sell if holding. Engine safety override at $303.87: Quality below floor (2.7 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 4.9/10. Specifically: High short interest: 17%; Below-average business quality. Chart setup: Death cross but MACD improving, RSI 84. Prior stop was $284.13. Score 4.9/10, moderate confidence.

What is the LAD stock price target?

Take-profit target: $333.23 (+9.7% upside). Prior stop was $284.13. Stop-loss: $284.13.

What are the risks of investing in LAD?

Quality below floor (2.7 < 4.0).

Is LAD overvalued or undervalued?

Lithia Motors, Inc. trades at a P/E of 10.2 (forward 7.1). TrendMatrix value score: 8.1/10. Verdict: Sell.

What do analysts say about LAD?

21 analysts cover LAD with a consensus score of 4.1/5. Average price target: $370.

What does Lithia Motors, Inc. do?Lithia and Driveway is the largest global automotive retailer, operating 455 locations in the United States, United...

Lithia and Driveway is the largest global automotive retailer, operating 455 locations in the United States, United Kingdom, and Canada representing 54 brands. Revenue comes from new and used vehicle sales, financing and insurance, and aftersales services through franchise agreements with all major manufacturers.

Related stocks: CARG (CarGurus, Inc.) · VVV (Valvoline Inc.) · BGSI (Boyd Group Services Inc.) · ABG (Asbury Automotive Group Inc) · OPLN (OPENLANE, Inc.)
Home Stocks LAD

Latest news

Latest News

Benzinga19d ago
Benzinga21d ago
Benzinga39d agoAnalyst
Benzinga45d agoAnalyst
Benzinga46d agoAnalyst
Benzinga47d ago
Benzinga47d agoEarnings
Benzinga48d ago
Benzinga63d agoAnalyst
Benzinga68d agoAnalyst
Benzinga69d agoAnalyst