Lithia Motors Accelerates Southeast Growth: Acquisitions To Generate Over $240M Annually
Portfolio Pulse from Lekha Gupta
Lithia Motors, Inc. (NYSE:LAD) is expanding its presence in the U.S. Southeast Region through acquisitions expected to generate over $240 million in annualized revenue. The company has purchased several stores, including Sunrise Chevrolet Buick GMC and Sunrise Buick GMC in Memphis, Tennessee, and Woodbridge Hyundai in Greater Toronto. These acquisitions bring the company's total expected annualized revenue from acquisitions to over $5.6 billion. Additionally, Lithia Motors has increased its share repurchase authorization by $350 million, bringing the total to $660 million. LAD shares are currently down 1.15%. Investors can also gain exposure to the stock via Invesco S&P Midcap 400 Pure Value ETF (NYSE:RFV) and Invesco S&P MidCap Value With Momentum ETF (NYSE:XMVM).
June 11, 2024 | 3:49 pm
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POSITIVE IMPACT
Lithia Motors is expanding in the Southeast U.S. with acquisitions expected to generate over $240 million in annualized revenue. The company has also increased its share repurchase authorization by $350 million. Despite these positive developments, LAD shares are down 1.15%.
The acquisitions and increased share repurchase authorization are positive developments for Lithia Motors, indicating growth and shareholder value. However, the stock is currently trading lower, which may be a short-term reaction.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
Investors can gain exposure to Lithia Motors through the Invesco S&P Midcap 400 Pure Value ETF (NYSE:RFV).
RFV includes Lithia Motors in its portfolio, and the positive developments for LAD could benefit the ETF.
CONFIDENCE 70
IMPORTANCE 60
RELEVANCE 50
POSITIVE IMPACT
Investors can gain exposure to Lithia Motors through the Invesco S&P MidCap Value With Momentum ETF (NYSE:XMVM).
XMVM includes Lithia Motors in its portfolio, and the positive developments for LAD could benefit the ETF.
CONFIDENCE 70
IMPORTANCE 60
RELEVANCE 50