Lithia Motors Inc (LAD)vsLowe's Companies Inc (LOW)
LAD
Lithia Motors Inc
$427.48
+19.30%
CONSUMER CYCLICAL · Cap: $7.65B
LOW
Lowe's Companies Inc
$215.68
-1.17%
CONSUMER CYCLICAL · Cap: $114.64B
Smart Verdict
WallStSmart Research — data-driven comparison
Lowe's Companies Inc generates 134% more annual revenue ($88.43B vs $37.73B). LOW leads profitability with a 7.5% profit margin vs 1.9%. LAD appears more attractively valued with a PEG of 0.75. LAD earns a higher WallStSmart Score of 55/100 (C).
LAD
Buy55
out of 100
Grade: C
LOW
Hold50
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+8.4%
Fair Value
$349.64
Current Price
$427.48
$77.84 discount
Margin of Safety
-55.1%
Fair Value
$140.74
Current Price
$215.68
$74.94 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Growing faster than its price suggests
Reasonable price relative to book value
Conservative balance sheet, low leverage
Large-cap with strong market position
Attractively priced relative to earnings
Generating 2.8B in free cash flow
Areas to Watch
1.0% revenue growth
1.9% margin — thin
Operating margin of 3.6%
Weak financial health signals
Grey zone — moderate risk
ROE of 0.0% — below average capital efficiency
7.5% margin — thin
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : LAD
The strongest argument for LAD centers on P/E Ratio, PEG Ratio, Price/Book. PEG of 0.75 suggests the stock is reasonably priced for its growth.
Bull Case : LOW
The strongest argument for LOW centers on Debt/Equity, Market Cap, P/E Ratio. Revenue growth of 10.3% demonstrates continued momentum. PEG of 1.33 suggests the stock is reasonably priced for its growth.
Bear Case : LAD
The primary concerns for LAD are Revenue Growth, Profit Margin, Operating Margin. Debt-to-equity of 2.53 is elevated, increasing financial risk. Thin 1.9% margins leave little buffer for downturns.
Bear Case : LOW
The primary concerns for LOW are Altman Z-Score, Return on Equity, Profit Margin.
Key Dynamics to Monitor
LAD carries more volatility with a beta of 1.26 — expect wider price swings.
LOW is growing revenue faster at 10.3% — sustainability is the question.
LOW generates stronger free cash flow (2.8B), providing more financial flexibility.
Monitor AUTO & TRUCK DEALERSHIPS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LAD scores higher overall (55/100 vs 50/100). Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Lithia Motors Inc
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Lithia Motors, Inc. is an automobile retailer in the United States. The company is headquartered in Medford, Oregon.
Lowe's Companies Inc
CONSUMER CYCLICAL · HOME IMPROVEMENT RETAIL · USA
Lowe's Companies, Inc. is an American retail company specializing in home improvement. Headquartered in Mooresville, North Carolina, the company operates a chain of retail stores in the United States and Canada.
Visit Website →Compare with Other AUTO & TRUCK DEALERSHIPS Stocks
Want to dig deeper into these stocks?