Home 
Today's Top Picks 
Top Performers 
Watchlist 
My Robo Portfolios 
ETF Zone - Chart
- Upturn Summary
- Highlights
- Revenue
- Valuation
Upturn AI Summary - About
Lithia Motors Inc(LAD)
Advisory History & Simulated Performance *
*as per simulation (see disclosures)- ALL
- 1Y
- 1M
- 1W
- BUY Advisory
- SELL Advisory (Profit)
- SELL Advisory (Loss)
- Profit
- Loss
- PASS (Skip)
Stock price based on last close Advisory Performance History (Simulated)
Upturn Advisory & Investor View for LAD
11/10/2026: LAD (1-star) is currently NOT-A-BUY. Pass it for now.
Lithia Motors is a prominent automotive retailer that leverages a proven buy-and-build strategy to scale its presence across the United States and abroad. The company’s primary strengths include its diversified brand portfolio, robust high-margin service departments, and the ongoing successful integration of its Driveway digital platform. The main investment story centers on capturing market share through consolidation and omnichannel retail growth. Key risks include exposure to cyclical automotive demand, high capital intensity, and potential disruption from direct-to-consumer models. The stock may suit growth-oriented investors looking for exposure to automotive consolidation, though investors should monitor interest rate sensitivity and the continued success of the company's digital integration efforts.
How to Read the Upturn Advisory
The Upturn Star Rating and the current BUY, SELL, or PASS advisory are generated by Upturn’s AI advisory engine based on proprietary signal analysis, price behavior, advisory history, and historical signal performance.
Company fundamentals, valuation, risks, and news provide supporting context about the business.
Investor Fit
| Investor style | Fit | Why |
|---|---|---|
| Growth investor | Strong fit | The company's proven M&A strategy has historically delivered consistent long-term revenue and earnings growth. |
| Momentum investor | Mixed fit | Momentum is highly dependent on cyclical auto sales trends and market sentiment toward retail sector growth. |
| Value investor | Strong fit while signal remains positive | Lithia often trades at attractive valuation multiples relative to its growth profile and cash flow generation. |
| Dividend investor | Mixed fit | While dividends are paid, the company is primarily focused on capital reinvestment rather than high-yield income. |
| Low-risk investor | Weak fit | The stock is subject to cyclical industry volatility and risks associated with its aggressive debt-financed growth model. |
Risk Profile
| Risk factor | Level | Why it matters |
|---|---|---|
| Price volatility | Medium / high | The stock is sensitive to macroeconomic cycles and interest rate changes impacting vehicle affordability. |
| Valuation risk | Medium | Market expectations for continued M&A success can lead to periods of premium pricing. |
| Competition risk (Automotive Retail) | Medium / high | Increased competition from digital-first entrants and potential direct-to-consumer OEM models threatens traditional retail. |
| Business quality | Strong | The company's scale and operational efficiencies provide a resilient foundation in the fragmented auto retail market. |
| Dividend income | Low | Lithia prioritizes capital deployment for growth, making it less suitable for income-focused portfolios. |
| Execution risk | Medium | Successful integration of acquired dealerships is critical to maintaining margins and long-term shareholder value. |
Price Behavior
Rolling Over
The price momentum is slowing down and beginning to turn downward.
Moderately Choppy
The stock has experienced noticeable price swings while retaining some directional structure.
Analysis of Past Performance
Type Stock | Historic Profit -8.59% | Avg. Invested days 43 | Today’s Advisory PASS |
Upturn Advisory Rating  | Upturn Advisory Performance  2.0 | Stock Returns Performance  1.0 |
| Profits based on simulation | Last Close 11/10/2026 |
Upturn Scorecard
Upturn Star Rating 
Company Fundamentals
Financial Health Rating
Growth Momentum Score
Ownership
Top 5 Institutional Investors
Unit Economics (Per $1K Revenue)
Economic Dimensions
Quantitative Style Profile
Style Classification
Quality Focused
Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 6.72B USD | Price to earnings Ratio 8.96 | 1Y Target Price 391.2 |
Price to earnings Ratio 8.96 | 1Y Target Price 391.2 | ||
Volume (30-day avg) 367.4K shares | Beta 1.28 | 52 Weeks Range 238.30 - 437.63 | Updated Date 11/10/2026 |
52 Weeks Range 238.30 - 437.63 | Updated Date 11/10/2026 | ||
Dividends yield (FY) 0.83% | Basic EPS (TTM) 34.67 |
How Company Makes Money
| Business area | What it includes | Retail investor read |
|---|---|---|
| New Vehicle Sales | Revenue from sales of new automobiles and light trucks. | The foundation of the business, though it typically operates on thinner margins. |
| Used Vehicle Sales | Sales of pre-owned vehicles, including certified pre-owned units. | Often provides better margins than new vehicle sales and helps mitigate new car supply shortages. |
| Service, Body, and Parts | Automotive maintenance, repair services, and collision repair. | High-margin, recurring revenue stream that is less sensitive to economic cycles than vehicle sales. |
| Finance and Insurance (F&I) | Commissions from financing, extended warranties, and insurance products. | A key contributor to total gross profit, leveraging the transaction point of sale. |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date 2026-10-21 | When Before Market | Estimate 9.7 | Actual 10.34 |
Profitability
Profit Margin 2.06% | Operating Margin (TTM) 4.24% |
Management Effectiveness
Return on Assets (TTM) 3.8% | Return on Equity (TTM) 11.83% |
Valuation
Trailing PE 8.96 | Forward PE 7.52 | Enterprise Value 23.22B | Price to Sales(TTM) 0.18 |
Enterprise Value 23.22B | Price to Sales(TTM) 0.18 | ||
Enterprise Value to Revenue 0.61 | Enterprise Value to EBITDA 9.87 | Shares Outstanding 21.62M | Shares Floating 18.81M |
Shares Outstanding 21.62M | Shares Floating 18.81M | ||
Percent Insiders 1.22 | Percent Institutions 116.49 |
Financial Metrics
🧭 Investment Snapshot
Total Revenue (Scale)
Total money earned from selling products or services before any costs. It is needed to understand the scale of the business and its ability to generate income.
Net Income (Profit)
Final profit after all expenses, interest, and taxes are deducted. It is needed to determine the overall profitability available to shareholders.
Free Cash Flow (Cash Strength)
Cash remaining after operating activities and capital expenditures, showing cash available for growth. It is needed to evaluate the company’s ability to invest, pay dividends, or reduce debt.
📈 Growth & Strength
Operating Income (Core Profit)
Profit from core operations after deducting all operating expenses. It is needed to measure how efficiently the company runs its primary business activities.
EBITDA (Cash Earnings)
Earnings before interest, taxes, depreciation, and amortization, indicating operating cash potential. It is needed to compare operating performance across companies without accounting or financing differences.
Gross Profit (Unit Profitability)
Revenue minus cost of revenue, showing profit after direct production costs. It is needed to evaluate core business profitability before overhead expenses.
🛡️ Financial Safety
Cash (Liquidity Buffer)
Total cash and cash equivalents on hand. It is needed to evaluate immediate liquidity and financial flexibility.
Total Debt (Leverage Risk)
Total debt including both short-term and long-term components. It is needed to assess the company’s leverage and financial risk.
Net Working Capital (Short-Term Health)
Current assets minus current liabilities, indicating short-term liquidity strength. It is needed to assess whether the company can meet its short-term obligations.
🧱 Balance Sheet Strength
Stockholder Equity (Net Worth)
Total equity value held by shareholders. It is needed to understand the net worth of the company from the owners’ perspective.
Total Assets (Asset Base)
The full value of everything the company owns, including cash, inventory, equipment, and investments. It is needed to understand the resource base used to generate revenue.
Income Before Tax (Pre-Tax Earnings)
Income before provision for income taxes. It is needed to analyze profitability independent of tax structures.
⚙️ Cost & Drag Factors
Cost of Revenue (Production Cost)
Direct costs required to produce and deliver the products or services sold. It is needed to assess efficiency in production and service delivery.
Total Operating Expenses (Operating Cost)
Indirect costs of running the business such as salaries, marketing, and administration. It is needed to understand how much it costs to sustain ongoing business operations.
Income Tax Expense (Tax Drag)
Amount of taxes paid or payable to the government. It is needed to evaluate the impact of taxation on overall profitability.
Note: This website is maintained by Upturn Corporation, which is an investment adviser registered with the U.S. Securities and Exchange Commission. Such registration does not imply a certain level of skill or training. Investing in securities has risks. Past performance is no guarantee of future returns. No assurance is provided as to any particular investment return, and you may lose money using our services. You are strongly advised to consult appropriate counsel before making any investments in companies you learn about through our services. You should obtain appropriate legal, tax, investment, accounting, and other advice that takes into account your investment portfolio and overall financial situation. You are solely responsible for conducting due diligence on a potential investment. We do not affect trades for you. You will select your own broker through which to transact. Investments are not FDIC insured, they are not guaranteed, and they may lose value. Please see the Privacy Policy, Terms of Use, and Disclosure for more information.
All company names, trademarks, logos, and brands are the property of their respective owners and are used for identification and informational purposes only. Use of these names, trademarks, and logos does not imply endorsement by their respective owners.