LAD (Lithia Motors) EV-to-EBIT: 13.92 (As of Aug. 02, 2026) — 12% Above Median

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LAD Lithia Motors Inc LAD
90 GF Score
Price $385.42
GF Value $380.67
Valuation Fairly Valued
! 13 Warning Signs
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What is Lithia Motors EV-to-EBIT?

Lithia Motors LAD -4.84% 90 EV-to-EBIT is 13.92 as of Aug. 02, 2026, which is 12% above its 10-year median of 12.39. GuruFocus rates LAD with a GF Score™ of 90/100 and a GF Value™ of $380.67 (Fairly Valued). The stock has 13 warning signs investors should review. Among 1,080 Vehicles & Parts companies, Lithia Motors ranks worse than 52.78% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Lithia Motors's Enterprise Value is $24,697 Mil. Lithia Motors's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was $1,774 Mil. Therefore, Lithia Motors's EV-to-EBIT for today is 13.92.

The historical rank and industry rank for Lithia Motors's EV-to-EBIT or its related term are showing as below:

LAD' s EV-to-EBIT Range Over the Past 10 Years
Min: 6.23   Med: 12.39   Max: 19.38
Current: 13.92

During the past 13 years, the highest EV-to-EBIT of Lithia Motors was 19.38. The lowest was 6.23. And the median was 12.39.

LAD's EV-to-EBIT is ranked worse than
52.78% of 1080 companies
in the Vehicles & Parts industry
Industry Median: 13.175 vs LAD: 13.92

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Lithia Motors's Enterprise Value for the quarter that ended in Jun. 2026 was $22,615 Mil. Lithia Motors's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 was $1,774 Mil. Lithia Motors's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 7.84%.


Lithia Motors  (NYSE:LAD) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Lithia Motors's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Jun. 2026 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Jun. 2026 ) =EBIT / Enterprise Value (Q: Jun. 2026 )
=1774/22615.48
=7.84 %

Lithia Motors's Enterprise Value for the quarter that ended in Jun. 2026 was $22,615 Mil.
Lithia Motors's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,774 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Lithia Motors EV-to-EBIT Related Terms


Lithia Motors EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Lithia Motors's EV-to-EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Lithia Motors EV-to-EBIT Chart

Lithia Motors Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.43 6.83 10.29 12.30 12.17

Lithia Motors Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
EV-to-EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 11.37 11.20 12.17 12.20 12.75

LAD vs ALTB, KMX, AN: EV-to-EBIT Comparison

For the Auto & Truck Dealerships subindustry, Lithia Motors's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Lithia Motors EV-to-EBIT vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Lithia Motors's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Lithia Motors's EV-to-EBIT falls into.


LAD
90GF Score
Lithia Motors Inc LAD
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Lithia Motors EV-to-EBIT Calculation

Lithia Motors's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=24697.433/1774
=13.92

Lithia Motors's current Enterprise Value is $24,697 Mil.
Lithia Motors's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $1,774 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EV-to-EBIT →
What does a EV-to-EBIT of 13.92 mean?
Lithia Motors (LAD) has a EV-to-EBIT of 13.92 as of Aug. 02, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Lithia Motors and its competitors. This is 12% above median its historical median of 12.39. Over the past decade, Lithia Motors' EV-to-EBIT has ranged from 6.23 to 19.38. According to the industry distribution chart, Lithia Motors ranks #570 out of 1080 companies in the Vehicles & Parts industry, placing it in the top 52.8%.
Is Lithia Motors' EV-to-EBIT too high?
Lithia Motors' current EV-to-EBIT of 13.92 is 12% above median its 10-year median of 12.39. Over the past 10 years, this metric has ranged from a low of 6.23 to a high of 19.38. The Vehicles & Parts industry median EV-to-EBIT is 13.18. Lithia Motors' value of 13.92 is 5.7% above this industry median. Based on the distribution chart, Lithia Motors ranks #570 out of 1080 companies in the Vehicles & Parts industry, which is below the industry midpoint. Overall, Lithia Motors has a GF Score™ of 90/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Lithia Motors' EV-to-EBIT compare to ALTB and KMX?
According to the Vehicles & Parts industry distribution chart, Lithia Motors ranks #570 out of 1080 companies for EV-to-EBIT. This places Lithia Motors in the lower half of its industry. The industry median EV-to-EBIT is 13.18. Lithia Motors' value of 13.92 is 5.7% above this benchmark. Historically, Lithia Motors' own EV-to-EBIT has ranged from 6.23 to 19.38 over the past decade. While the company's 10-year median is 12.39 vs. the industry median of 13.18, Lithia Motors has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Vehicles & Parts company?
The median EV-to-EBIT among Vehicles & Parts companies is 13.18, based on 1,080 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lithia Motors's current EV-to-EBIT of 13.92 is 5.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Lithia Motors and its competitors. For the Vehicles & Parts industry, the median EV-to-EBIT is 13.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lithia Motors's current EV-to-EBIT is 13.92, which is 12% above median its own 10-year median of 12.39. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lithia Motors stock overvalued right now?
Based on GuruFocus' analysis, Lithia Motors (LAD) is currently considered Fairly Valued. The stock's GF Value™ is $380.67, compared to a current price of $385.42 — trading 1.2% above its estimated fair value. The current EV-to-EBIT is 13.92, which is 12% above median its 10-year median of 12.39 and 5.7% above the Vehicles & Parts industry median of 13.18. Lithia Motors' overall GF Score™ is 90/100 with 13 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Lithia Motors (LAD), the current EV-to-EBIT is 13.92 as of Aug. 02, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Lithia Motors (LAD) Overvalued in 2026?

Based on GuruFocus' analysis, Lithia Motors stock appears to be overvalued. The current stock price of $385.42 is trading 1.2% above its estimated GF Value™ of $380.67. GuruFocus considers Lithia Motors to be Fairly Valued.

Key valuation signals for LAD:

  • EV-to-EBIT: 13.92 (12% above median its 10-year median of 12.39)
  • GF Value™: $380.67 vs. price of $385.42 (1.2% above fair value)
  • GF Score™: 90/100 with 13 warning signs
  • Industry Position: 5.7% above the Vehicles & Parts median (#570 of 1080)

No single metric tells the full story. See the LAD stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Lithia Motors Business Description

Other Exchanges LMO:Germany
Address 150 N. Bartlett Street, Medford, OR, USA, 97501
Lithia Motors is a retailer of new and used vehicles and related services. The company offers nearly 60 brands of vehicles at nearly 500 stores globally across the US, Canada, and UK. The company has expanded largely through the acquisition of dealerships in smaller regional markets but now seeks to grow in any part of the US and we expect more deals over time in the US and, at times, abroad. Annual revenue in 2025 was $37.6 billion and we see over $50 billion possible in a few years. The US was 78.5% of 2025 revenue and the UK second at 18.4%, due to the 2024 Pendragon acquisition. In 2025, new vehicle sales were about 50% of total revenue. Lithia was founded in 1946, went public in 1996, and is the largest US auto dealer. It is based in Medford, Oregon.
90GF Score

Get the complete analysis for LAD

EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$385.42
Price
$380.67
GF Value