Lithia Motors' aggressive acquisition strategy has expanded revenue to $9.8B in 2026Q2, but core dealership profitability has deteriorated sharply, with gross margin collapsing to -0.8% and operating income turning negative at -$144.5M. The company's LDFC fina...
Price trend, volume and key moving averages
Start with the evidence for owning the stock and the risks that can break the thesis.
Revenue growth slowed to 2.2% year-over-year in 2026Q2, while gross margin fell to -0.8% from a stable 15.3-15.6% range, and operating margin compressed to -1.5%, indicating a one-time inventory write-down or structural shift.
Lithia Motors' roll-up strategy is highlighted as a key driver, enabling growth through acquisitions and market consolidation.
The company benefits from recurring revenue streams, providing stability and predictable cash flows.
Lithia Motors' strong market positioning is noted as a competitive advantage in the automotive retail sector.
Trailing total returns as of 10/3/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC).
Check whether operating performance supports the current valuation.
Recent results and news deserve attention only when they alter the forward view.
| Quarter | EPS (Act vs Est) | Revenue (Act vs Est) |
|---|---|---|
Q3 2026Latest Jul 29, 2026 | $10.03+14.9% vs $8.73 | $9.8B+1.6% vs $9.6B |
Q2 2026 Apr 29, 2026 | $7.34+6.7% vs $6.88 | $9.3B+0.5% vs $9.2B |
Q1 2026 Feb 11, 2026 | $6.74-16.7% vs $8.09 | $9.2B+0.0% vs $9.2B |
Q4 2025 Oct 22, 2025 | $9.50+11.4% vs $8.53 | $9.7B+4.5% vs $9.3B |
CarMax (NYSE:KMX | KMX Price Prediction) stock is up 6% to $59.75 early in the session after the used-car retailer posted stronger fiscal 2027 second-quarter earnings and indicated a return to share buybacks.
MEDFORD, Ore., Sept. 29, 2026 (GLOBE NEWSWIRE) -- Lithia & Driveway (NYSE: LAD) today announced its third quarter 2026 results will be released before the market opens on Wednesday, October 21, 2026. A conference call to discuss the earnings results is scheduled for the same day at 10:00 a.m. Eastern Time.
On September 28, 2026, Lithia Motors Inc (LAD) shares fell 4.2%, continuing a downward trend that has seen the stock decline 18.2% over the past month. The stoc
Auto demand remains resilient, but rising prices, tighter inventory and borrowing costs could test sales. Still, LAD and PAG are worth holding onto, thanks to their strategic efforts.
Benchmark LAD against direct peers instead of judging its metrics in isolation.
Key metrics vs top competitors for Lithia Motors, Inc. (LAD)
| Company | Price | Market Cap | P/E Ratio | Rev Growth (1Y) | Net Margin | ROE | Div Yield |
|---|---|---|---|---|---|---|---|
| $307.77 | $6.77B | 9.52 | 4% | 2.18% | 12.32% | 0.71% | |
| $162.46 | $5.44B | 9.53 | 3.24% | 2.82% | 33.18% | — | |
| $204.03 | $13.41B | 14.44 | -0.18% | 2.84% | 16.41% | — | |
| $62.83 | $2.09B | 18.37 | 6.53% | 1.37% | 20.45% | — | |
| $175.88 | $3.27B | 7.00 | 4.71% | 2.83% | 13.04% | — | |
| $249.84 | $2.98B | 9.95 | 13.23% | 1.31% | 9.96% | — |
Lithia Motors, Inc. (LAD) vs competitors — business, growth, and fundamentals comparison against the closest industry rivals.
Verify the primary filings, follow material updates, and answer the remaining questions.
Lithia Motors, Inc. (LAD) SEC filings — annual & quarterly reports (10-K, 10-Q)
Jul 29, 2026·SEC
May 1, 2026·SEC
Apr 29, 2026·SEC
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Lithia Motors, Inc. (LAD) stock FAQ — growth, dividends, profitability & financials explained
Lithia Motors, Inc. (LAD) reported $37.94B in revenue for fiscal year 2025. This represents a 26466% increase from $142.8M in 1996.
Lithia Motors, Inc. (LAD) grew revenue by 4.0% over the past year. Growth has been modest.
Yes, Lithia Motors, Inc. (LAD) is profitable, generating $714.4M in net income for fiscal year 2025 (2.2% net margin).
Yes, Lithia Motors, Inc. (LAD) pays a dividend with a yield of 0.71%. This makes it attractive for income-focused investors.
Lithia Motors, Inc. (LAD) has a return on equity (ROE) of 12.3%. This is reasonable for most industries.
Lithia Motors, Inc. (LAD) had negative free cash flow of $504.3M in fiscal year 2025, likely due to heavy capital investments.
