Lithia Motors Inc
NYSE:LAD

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Lithia Motors Inc
NYSE:LAD
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Price: 310.14 USD 0.78% Market Closed
Market Cap: 8.1B USD

Operating Margin
Lithia Motors Inc

4.5%
Current
6%
Average
3%
Industry

Operating Margin represents how efficiently a company is able to generate profit through its core operations.

Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.

Operating Margin
4.5%
=
Operating Profit
1.7B
/
Revenue
36.8B

Operating Margin Across Competitors

Lithia Motors Inc
Glance View

Lithia Motors Inc. is a prominent figure in the automotive retail sector, weaving a narrative of growth and evolution since its inception in 1946. With its roots planted in the humble locale of Ashland, Oregon, the company ventured into the broader automotive marketplace with unwavering ambition. Lithia has consistently expanded its reach, evolving into one of America's leading automotive retailers. It operates a range of dealerships across the country, capitalizing on its diversified portfolio which spans new and used vehicle sales, vehicle financing, insurance products, and the lucrative sector of vehicle servicing and parts. This multi-faceted approach allows Lithia to capture various revenue streams, catering to a wide range of customer needs and preferences. At the heart of Lithia's business model is its innovative strategy of aggressive acquisitions and integrations, enabling significant expansion into new markets. By acquiring existing dealerships and seamlessly incorporating them into its network, Lithia benefits from local expertise while maintaining a centralized operational strategy. The company brings efficiency and volume purchasing power, optimizing inventory and customer service. Moreover, Lithia's digital initiatives, like their online platform Driveway, reflect their commitment to modernizing the car buying experience, marrying traditional sales methods with the convenience of online shopping. This blend of strategic acquisitions, service diversification, and digital transformation underscores Lithia Motors Inc.'s robust position in the ever-evolving automotive industry landscape.

LAD Intrinsic Value
789.8 USD
Undervaluation 61%
Intrinsic Value
Price
What is Operating Margin?

Operating Margin represents how efficiently a company is able to generate profit through its core operations.

Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.

Operating Margin
4.5%
=
Operating Profit
1.7B
/
Revenue
36.8B
What is the Operating Margin of Lithia Motors Inc?

Based on Lithia Motors Inc's most recent financial statements, the company has Operating Margin of 4.5%.

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