Lithia Motors Inc (LAD)vsMedtronic PLC (MDT)
LAD
Lithia Motors Inc
$293.99
+0.99%
CONSUMER CYCLICAL · Cap: $6.64B
MDT
Medtronic PLC
$76.15
-2.32%
HEALTHCARE · Cap: $100.09B
Smart Verdict
WallStSmart Research — data-driven comparison
Lithia Motors Inc generates 6% more annual revenue ($37.73B vs $35.48B). MDT leads profitability with a 13.0% profit margin vs 1.9%. LAD appears more attractively valued with a PEG of 0.64. MDT earns a higher WallStSmart Score of 58/100 (C).
LAD
Buy55
out of 100
Grade: C
MDT
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+53.9%
Fair Value
$694.31
Current Price
$293.99
$400.32 discount
Margin of Safety
+27.7%
Fair Value
$107.79
Current Price
$76.15
$31.64 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Growing faster than its price suggests
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 20.0%
Generating 2.3B in free cash flow
Areas to Watch
1.0% revenue growth
1.9% margin — thin
Operating margin of 3.6%
Weak financial health signals
Earnings declined 11.8%
Comparative Analysis Report
WallStSmart ResearchBull Case : LAD
The strongest argument for LAD centers on P/E Ratio, Price/Book, PEG Ratio. PEG of 0.64 suggests the stock is reasonably priced for its growth.
Bull Case : MDT
The strongest argument for MDT centers on Market Cap, Price/Book, Operating Margin. PEG of 1.36 suggests the stock is reasonably priced for its growth.
Bear Case : LAD
The primary concerns for LAD are Revenue Growth, Profit Margin, Operating Margin. Thin 1.9% margins leave little buffer for downturns.
Bear Case : MDT
The primary concerns for MDT are EPS Growth.
Key Dynamics to Monitor
LAD carries more volatility with a beta of 1.28 — expect wider price swings.
MDT is growing revenue faster at 8.7% — sustainability is the question.
MDT generates stronger free cash flow (2.3B), providing more financial flexibility.
Monitor AUTO & TRUCK DEALERSHIPS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MDT scores higher overall (58/100 vs 55/100). LAD offers better value entry with a 53.9% margin of safety. Both earn "Buy" and "Buy" 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.
Medtronic PLC
HEALTHCARE · MEDICAL DEVICES · USA
Medtronic plc is an American-Irish registered medical device company that primarily operates in the United States. Medtronic has an operational and executive headquarters in Fridley, Minnesota in the US.
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