Lithia Motors Stock Price and Value Analysis

Should you buy Lithia Motors stock? (NYSE:LAD). Let's see how it does in our automated value investing analysis system.

AdvantagesDisadvantages
  • This company is solid.
  • This company has stable growth.
  • This stock looks overpriced.
  • This company is making money at a modest rate.
  • This company has a low dividend yield.

Inside the LAD Numbers

LAD Price
(Lithia Motors stock price per share)
$322.31
[?] LAD Fair Price
(based on intrinsic value)
$-4.51
[?] LAD Safety Price (based on a variable margin of safety) $-2.93
[?] PE Ratio versus Sector 3% lower than other Consumer Goods stocks
[?] PE Ratio versus Industry 48% lower than other Auto & Truck Dealerships stocks
[?] Cash Yield -3.30%
[?] Free Cash Flow Jitter 18%
[?] Dividend Yield 0%
Shares Shorted 1,952,826

This stock has short interest! This means that people have shorted it.

Why does that matter? They've made a bet that price will decrease from where they bought it. Maybe there are financial problems, or maybe there's a value play.

As of the latest analysis, there are 1,952,826 shares shorted. With 23,764,567 shares available for purchase and an average trading volume over the past 10 trading days of 453,266, it would take at least 4.308 days for all of the short holders to cover their shorts.

Is Lithia Motors Stock on Sale?

We believe that Lithia Motors may be worth examining further. It's making money, which is a very positive sign. Is it on sale?

Lithia Motors looks overpriced right now. If you're looking for a bargain in the stock market, you should probably look elsewhere for a great deal. This might still be a great stock to own—but it's not on sale right now.

Should You Buy LAD Stock?

Does Lithia Motors have a coherent story? Does it have a plan to continue to make money? Is it worth your time? Only you can decide where to go from here. Our investment guide helps you ask the right questions, including how to buy stocks. Use these research links for more information.