Lithia Motors

Lithia Motors, which operates as Lithia & Driveway, is the largest automotive retailer in the world. It sells new and used vehicles, arranges finance and insurance, and offers parts and service through dealerships in the United States, Canada and the United Kingdom. It also has Driveway, an online sales channel, and Driveway Finance Corporation, which lends to car buyers.

Revenue was a record $37.63 billion in 2025. The company is based in Medford, Oregon.

The market prices Lithia Motors for lower profit per vehicle and for more debt. Adjusted net income fell 5% in Q3 2026, although adjusted diluted EPS rose 9% because the company bought back 8.7% of its shares in 2026. Net debt rose to 3.07 times trailing adjusted EBITDA at September 30, 2026, from 2.63 times a year earlier, and trailing adjusted EBITDA fell 4.4%. Tariffs and high interest rates can also lower new vehicle demand and margins.

For the gap to close, three things must be true. Used vehicle and aftersales gross profit must keep growing, as they did in Q3 2026. Driveway Finance must keep growing its income with good credit quality. Net debt to adjusted EBITDA must fall again as earnings grow, while buybacks continue.

The Q4 2026 report, expected in February 2027, gives the next test. Results through 2027 show if earnings can grow while new vehicle margins fall. The gap can close slowly over several years. The main reason it may not close is a weaker car market, which lowers margins and raises leverage.

1. Feb 10, 2027 · est.Pending

   Q4 2026 results: earnings and leverageHigher adjusted EPS than the $6.74 of Q4 2025, growth in used vehicle and aftersales gross profit and lower net debt to adjusted EBITDA pass; lower adjusted net income and leverage above 3.1 times fail.

Every passed and failed checkpoint across all picks

• October 21, 2026Lithia reported Q3 2026 results. Revenue rose 3% to a record $9.9 billion. Diluted EPS was $13.22, including a gain on its investment in Pinewood Technologies, and adjusted diluted EPS rose 9% to $10.34. Adjusted net income fell 5% to $229.3 million. Financing Operations income rose 69% to $32.3 million. The company raised its quarterly dividend 7% to $0.75. CEO Bryan DeBoer also became Chairman, and founder Sidney DeBoer became Vice Chairman.
• July 29, 2026Lithia reported Q2 2026 results. Revenue rose 2% to a record $9.8 billion, and adjusted diluted EPS rose 9% to $10.03. The company bought back 3.7% of its shares in the quarter, added $500 million to its repurchase authorization and raised its quarterly dividend 23% to $0.70.
• April 29, 2026Lithia reported Q1 2026 results. Revenue rose 1% to $9.3 billion. Diluted EPS fell 46% to $4.28, mainly because of a loss on its investment in Pinewood Technologies, and adjusted diluted EPS fell 7% to $7.34. The company bought back 4.0% of its shares in the quarter.

Last earnings

October 21, 2026 (8-K on sec.gov)

Next earnings

Expected about February 10, 2027. The company has not confirmed the date.

• 10-QQuarterly report for the period ended Sep 30, 2026Filed October 28, 2026 · lad-20260930
• 8-KEarnings release and Other company newsFiled October 21, 2026 · lad-20261021
• 8-KChange of directors or officersFiled September 25, 2026 · lad-20260925
• 10-QQuarterly report for the period ended Jun 30, 2026Filed July 29, 2026 · lad-20260630
• 8-KEarnings release and Other company newsFiled July 29, 2026 · lad-20260729
• 8-KShareholder vote resultsFiled May 1, 2026 · lad-20260430
• 10-QQuarterly report for the period ended Mar 31, 2026Filed April 29, 2026 · lad-20260331
• 8-KEarnings release and Other company newsFiled April 29, 2026 · lad-20260429
• 8-KNew material agreementFiled March 4, 2026 · lad-20260227
• 10-KAnnual report for the period ended Dec 31, 2025Filed February 25, 2026 · lad-20251231

Every filing on SEC EDGAR (CIK 1023128)

• Car sales follow the economy and interest rates. Tariffs, high rates or a recession can lower vehicle demand and gross profit per vehicle. Adjusted net income fell 5% in Q3 2026.
• Net debt rose to 3.07 times trailing adjusted EBITDA at September 30, 2026, from 2.63 times a year earlier. Floor plan debt also rose to $6.57 billion. Higher debt limits buybacks and acquisitions if earnings fall.
• Driveway Finance Corporation lends to car buyers. Its receivables grew to $5.58 billion. Higher credit losses in a weaker economy can lower its income.
• Lithia holds shares of Pinewood Technologies, which cause large gains and losses in reported EPS. Reported EPS can move a lot from quarter to quarter.

Lithia funds its vehicle inventory with floor plan debt and its car loans with warehouse facilities and non-recourse notes. Total debt was $16.26 billion at September 30, 2026: $6.57 billion was related to inventory and $4.51 billion to financing operations. Read more

Dividend yield

0.8% (last 12 months, at today’s price of $288.69)

Paid per share

$2.37 in the last 12 months (4 payments)

Current annual rate

$2.80 ($0.70 × 4 a year)

Payout ratio

7% of the last fiscal year’s earnings (the year that ended December 31, 2025)

Latest ex-dividend date

August 7, 2026, $0.70 per share

Dividends per share by year

Over the last 5 years, the dividend grew by about 12.4% a year. Over the last 10 years, the dividend grew by about 10.2% a year.

Source: company filings and market data, read on October 29, 2026. The ex-dividend date is the first day a buyer no longer gets the next payment.