Is Lithia Motors (LAD) Stock Outpacing Its Retail-Wholesale Peers This Year?
Investors interested in Retail-Wholesale stocks should always be looking to find the best-performing companies in the group. Lithia Motors (LAD) is a stock that can certainly grab the attention of many investors, but do its recent returns compare favorably to the sector as a whole? A quick glance at the company's year-to-date performance in comparison to the rest of the Retail-Wholesale sector should help us answer this question.
Lithia Motors is a member of our Retail-Wholesale group, which includes 204 different companies and currently sits at #2 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 different sector groups. The average Zacks Rank of the individual stocks within the groups is measured, and the sectors are listed from best to worst.
The Zacks Rank is a proven system that emphasizes earnings estimates and estimate revisions, highlighting a variety of stocks that are displaying the right characteristics to beat the market over the next one to three months. LAD is currently sporting a Zacks Rank of #1 (Strong Buy).
Within the past quarter, the Zacks Consensus Estimate for LAD's full-year earnings has moved 65.95% higher. This signals that analyst sentiment is improving and the stock's earnings outlook is more positive.
Based on the most recent data, LAD has returned 65.38% so far this year. In comparison, Retail-Wholesale companies have returned an average of 33.84%. This shows that Lithia Motors is outperforming its peers so far this year.
Looking more specifically, LAD belongs to the Automotive - Retail and Whole Sales industry, a group that includes 9 individual stocks and currently sits at #1 in the Zacks Industry Rank. This group has gained an average of 13.80% so far this year, so LAD is performing better in this area.
Going forward, investors interested in Retail-Wholesale stocks should continue to pay close attention to LAD as it looks to continue its solid performance.
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