Natixis Advisors LLC Increases Position in Lithia Motors, Inc. $LAD

Natixis Advisors LLC increased its stake in shares of Lithia Motors, Inc. (NYSE:LAD) by 10.4% during the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 157,070 shares of the company’s stock after buying an additional 14,794 shares during the quarter. Natixis Advisors LLC owned about 0.65% of Lithia Motors worth $52,199,000 as of its most recent SEC filing.

Other hedge funds also recently added to or reduced their stakes in the company. Northwestern Mutual Wealth Management Co. boosted its holdings in Lithia Motors by 1,062.8% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 11,070 shares of the company’s stock valued at $3,679,000 after purchasing an additional 10,118 shares during the last quarter. Abrams Capital Management L.P. boosted its holdings in Lithia Motors by 1.9% in the third quarter. Abrams Capital Management L.P. now owns 2,490,534 shares of the company’s stock valued at $787,009,000 after purchasing an additional 45,856 shares during the last quarter. Tabor Asset Management LP purchased a new stake in Lithia Motors in the third quarter valued at $1,722,000. Life Cycle Investment Partners Ltd purchased a new stake in Lithia Motors in the fourth quarter valued at $58,409,000. Finally, Jupiter Asset Management Ltd. purchased a new stake in Lithia Motors in the third quarter valued at $548,000.

Insider Activity

In related news, Director Shauna Mcintyre sold 245 shares of the company’s stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $294.64, for a total transaction of $72,186.80. Following the completion of the transaction, the director owned 1,846 shares in the company, valued at $543,905.44. This represents a 11.72% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Richard J. Bailey, Jr. sold 297 shares of the company’s stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $280.57, for a total transaction of $83,329.29. Following the transaction, the director owned 760 shares of the company’s stock, valued at approximately $213,233.20. This trade represents a 28.10% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 617 shares of company stock valued at $174,966. Insiders own 1.08% of the company’s stock.

Lithia Motors Trading Down 1.5%

LAD stock opened at $290.95 on Thursday. The company’s 50-day simple moving average is $274.13 and its 200-day simple moving average is $298.51. The company has a quick ratio of 0.24, a current ratio of 0.99 and a debt-to-equity ratio of 1.41. Lithia Motors, Inc. has a 52-week low of $239.78 and a 52-week high of $360.55. The firm has a market cap of $6.64 billion, a P/E ratio of 10.22, a PEG ratio of 0.65 and a beta of 1.26.

Lithia Motors (NYSE:LAD) last posted its earnings results on Wednesday, April 29th. The company reported $7.34 earnings per share (EPS) for the quarter, topping the consensus estimate of $7.06 by $0.28. Lithia Motors had a net margin of 1.88% and a return on equity of 12.49%. The business had revenue of $9.27 billion for the quarter, compared to analyst estimates of $9.22 billion. During the same period in the prior year, the company posted $7.66 EPS. The company’s revenue for the quarter was up 1.0% on a year-over-year basis. As a group, equities analysts forecast that Lithia Motors, Inc. will post 34.37 EPS for the current fiscal year.

Lithia Motors declared that its board has authorized a stock repurchase program on Tuesday, May 26th that authorizes the company to buyback $500.00 million in shares. This buyback authorization authorizes the company to reacquire up to 7.9% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

Lithia Motors Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, May 22nd. Stockholders of record on Friday, May 8th were paid a dividend of $0.57 per share. This represents a $2.28 annualized dividend and a dividend yield of 0.8%. The ex-dividend date of this dividend was Friday, May 8th. This is an increase from Lithia Motors’s previous quarterly dividend of $0.55. Lithia Motors’s dividend payout ratio is currently 8.01%.

Analysts Set New Price Targets

Several equities research analysts have commented on LAD shares. UBS Group started coverage on shares of Lithia Motors in a report on Wednesday, May 27th. They issued a “buy” rating and a $348.00 price target on the stock. JPMorgan Chase & Co. upped their price target on shares of Lithia Motors from $320.00 to $325.00 and gave the company a “neutral” rating in a report on Thursday, May 7th. Barclays lowered their price target on shares of Lithia Motors from $380.00 to $370.00 and set an “overweight” rating on the stock in a report on Tuesday, April 7th. Zacks Research raised shares of Lithia Motors from a “strong sell” rating to a “hold” rating in a research note on Thursday, April 23rd. Finally, Bank of America lowered their target price on shares of Lithia Motors from $335.00 to $320.00 in a research note on Monday, April 13th. Seven investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. Based on data from MarketBeat.com, Lithia Motors presently has an average rating of “Moderate Buy” and a consensus price target of $368.11.

Lithia Motors Company Profile

Lithia Motors, Inc is an American automotive retailer headquartered in Medford, Oregon. Founded in 1946 as a small auto body and glass shop, the company has grown through organic expansion and strategic acquisitions to become one of the largest automotive retail networks in North America. Lithia operates dealerships across the United States and Canada, offering a broad portfolio of new and pre-owned vehicles from more than 40 different manufacturers.

The company’s core business activities include vehicle sales, financing, insurance, parts and service.