WallStSmart

Lithia Motors Inc (LAD)vsSea Ltd (SE)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lithia Motors Inc generates 37% more annual revenue ($37.94B vs $27.72B). SE leads profitability with a 5.9% profit margin vs 1.9%. LAD appears more attractively valued with a PEG of 0.72. LAD earns a higher WallStSmart Score of 61/100 (C+).

LAD

Buy

61

out of 100

Grade: C+

Growth: 6.7Profit: 5.0Value: 7.3Quality: 4.5
Piotroski: 2/9Altman Z: 2.38

SE

Buy

56

out of 100

Grade: C

Growth: 8.7Profit: 5.5Value: 6.7Quality: 6.5
Piotroski: 6/9Altman Z: 1.53
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

LADUndervalued (+12.0%)

Margin of Safety

+12.0%

Fair Value

$364.07

Current Price

$358.02

$6.05 discount

UndervaluedFair: $364.07Overvalued
SEUndervalued (+56.1%)

Margin of Safety

+56.1%

Fair Value

$260.75

Current Price

$106.24

$154.51 discount

UndervaluedFair: $260.75Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

LAD3 strengths · Avg: 8.7/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

PEG RatioValuation
0.728/10

Growing faster than its price suggests

P/E RatioValuation
12.2x8/10

Attractively priced relative to earnings

SE3 strengths · Avg: 9.0/10
Revenue GrowthGrowth
48.1%10/10

Revenue surging 48.1% year-over-year

Market CapQuality
$65.07B9/10

Large-cap with strong market position

Free Cash FlowQuality
$1.15B8/10

Generating 1.1B in free cash flow

Areas to Watch

LAD4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.2%4/10

2.2% revenue growth

Profit MarginProfitability
1.9%3/10

1.9% margin — thin

Operating MarginProfitability
4.6%3/10

Operating margin of 4.6%

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

SE3 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.534/10

Distress zone — elevated risk

Profit MarginProfitability
5.9%3/10

5.9% margin — thin

P/E RatioValuation
41.5x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : LAD

The strongest argument for LAD centers on Price/Book, PEG Ratio, P/E Ratio. PEG of 0.72 suggests the stock is reasonably priced for its growth.

Bull Case : SE

The strongest argument for SE centers on Revenue Growth, Market Cap, Free Cash Flow. Revenue growth of 48.1% demonstrates continued momentum. PEG of 1.04 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 2.58 is elevated, increasing financial risk. Thin 1.9% margins leave little buffer for downturns.

Bear Case : SE

The primary concerns for SE are Altman Z-Score, Profit Margin, P/E Ratio. A P/E of 41.5x leaves little room for execution misses.

Key Dynamics to Monitor

LAD profiles as a value stock while SE is a hypergrowth play — different risk/reward profiles.

SE carries more volatility with a beta of 1.52 — expect wider price swings.

SE is growing revenue faster at 48.1% — sustainability is the question.

SE generates stronger free cash flow (1.1B), providing more financial flexibility.

Bottom Line

LAD scores higher overall (61/100 vs 56/100). SE offers better value entry with a 56.1% 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.

Sea Ltd

CONSUMER CYCLICAL · INTERNET RETAIL · USA

Sea Limited is engaged in the digital entertainment, e-commerce and digital financial services businesses in Southeast Asia, Latin America, the rest of Asia and internationally. The company is headquartered in Singapore.

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