Breaking News
Investing Pro 0
Cyber Monday Extended SALE: Up to 60% OFF InvestingPro+ CLAIM OFFER

Lithia Motors' (LAD) Q4 Earnings Miss Estimates, Up Y/Y

By Zacks Investment ResearchStock MarketsFeb 12, 2020 08:32PM ET
www.investing.com/analysis/lithia-motors-lad-q4-earnings-miss-estimates-up-yy-200507248
Lithia Motors' (LAD) Q4 Earnings Miss Estimates, Up Y/Y
By Zacks Investment Research   |  Feb 12, 2020 08:32PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
 
THRM
+2.61%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
GNTX
-2.06%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
LAD
-2.66%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
SPXC
+2.48%
Add to/Remove from Watchlist
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

Lithia Motors, Inc. (NYSE:LAD) reported adjusted earnings per share of $2.95 in fourth-quarter 2019, marking a 15% increase from the prior-year quarter’s $2.57. However, the bottom line missed the Zacks Consensus Estimate of $3.08. Lower-than-anticipated revenues from new-vehicle retail and used-vehicle wholesale businesses resulted in the underperformance.

Total revenues grew 9.9% year over year to $3,269 million. The figure also outpaced the Zacks Consensus Estimate of $3,256 million. Total same-store sales grew 7% year over year .Gross profit rose 12.8% to $498.6 million in the reported quarter from $441.9 million in the year-ago period.

Key Takeaways

Revenues from new-vehicle retail grew 7% year over year to $1,805.8 million but missed the Zacks Consensus Estimate of $1,832 million. New-vehicle retail units sold increased 2.6% from the prior-year quarter to 46,422. The average selling price of new-vehicle retail rose 4.3% year over to year to $38,884.

Used-vehicle retail revenues rose 18.8% year over year to $894.7 million. Revenues from used-vehicle wholesale declined 13.3% year over year to $67.7 million and missed the consensus mark of $81 million. Used-vehicle retail units sold grew 17.8% from the year-ago quarter to 42,740. The average selling price of used-vehicle retail improved 0.8% to $20,934 from the year-ago figure of $20,771.

Revenues from service, body and parts were up 5.7% from the prior-year period to $331.8 million. The company’s F&I business recorded 20.6% year-over-year growth in revenues to $136 million. Revenues from fleet and others were $33 million, up 23.6% year over year.

Dividend & Financial Position

Lithia Motors’ board approved a dividend of 30 cents per share for fourth-quarter 2019. The amount will be payable Mar 27 to its shareholders of record as of Mar 13, 2020.

Lithia Motors had cash and cash equivalents of $84 million as of Dec 31, 2019, up from $31.6 million in the corresponding period of 2018. Long-term debt was $1.43 billion as of Dec 30, 2019, marking an increase from $1.36 billion recorded in the comparable period of 2018. Debt-to-capital ratio stands at 49%.

Zacks Rank & Key Picks

Lithia Motors currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the auto sector include Gentherm Inc (NASDAQ:THRM) , Gentex Corporation (NASDAQ:GNTX) and SPX Corporation (NYSE:SPXC) . While Gentherm sports a Zacks Rank #1 (Strong Buy), Gentex and SPX carry a Zacks Rank of 2 (Buy), at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Gentherm has a projected earnings growth rate of 20.6% for the current year. Its shares have gained 13.5% over the past year.

Gentex has an estimated earnings growth rate of 6% for 2020. The company’s shares have appreciated 55.1% in a year’s time.

SPX has an expected earnings growth rate of 8.1% for the current year. The stock has rallied 61.1% in the past year.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>



Gentherm Inc (THRM): Free Stock Analysis Report

Lithia Motors, Inc. (LAD): Free Stock Analysis Report

Gentex Corporation (GNTX): Free Stock Analysis Report

SPX Corporation (SPXC): Free Stock Analysis Report

Original post

Zacks Investment Research
Lithia Motors' (LAD) Q4 Earnings Miss Estimates, Up Y/Y
 

Related Articles

Sam Quirke
Will Apple Rally Into Year-End? By Sam Quirke  - Dec 02, 2022 1

Sometimes there’s a lot to be said for just reading the tape. Back in the day, investors didn’t have access to breaking news, or even old news like we do today, but...

Lithia Motors' (LAD) Q4 Earnings Miss Estimates, Up Y/Y

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email