Lithia Motors (FRA:LMO) Dividend Payout Ratio: 0.05 (As of Jun. 2026) — 29% Below Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

FRA:LMO Lithia Motors Inc FRA:LMO
91 GF Score
Price €350.00
GF Value €333.64
Valuation Fairly Valued
! 13 Warning Signs
View Full Analysis

What is Lithia Motors Dividend Payout Ratio?

Lithia Motors FRA:LMO -5.41% 91 Dividend Payout Ratio is 0.05 as of Jun. 2026, which is 29% below its 10-year median of 0.07. GuruFocus rates FRA:LMO with a GF Score™ of 91/100 and a GF Value™ of €333.64 (Fairly Valued). The stock has 13 warning signs investors should review. Among 775 Vehicles & Parts companies, Lithia Motors ranks better than 95.87% on this metric.

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. Lithia Motors's Dividend Payout Ratio for the months ended in Jun. 2026 was 0.05.

The historical rank and industry rank for Lithia Motors's Dividend Payout Ratio or its related term are showing as below:

FRA:LMO' s Dividend Payout Ratio Range Over the Past 10 Years
Min: 0.03   Med: 0.07   Max: 0.13
Current: 0.06

During the past 13 years, the highest Dividend Payout Ratio of Lithia Motors was 0.13. The lowest was 0.03. And the median was 0.07.

FRA:LMO's Dividend Payout Ratio is ranked better than
95.87% of 775 companies
in the Vehicles & Parts industry
Industry Median: 0.36 vs FRA:LMO: 0.06

As of today (2026-08-03), the Dividend Yield % of Lithia Motors is 0.55%.

During the past 13 years, the highest Trailing Annual Dividend Yield of Lithia Motors was 1.81%. The lowest was 0.31%. And the median was 0.73%.

Lithia Motors's Dividends per Share for the months ended in Jun. 2026 was €0.50.

During the past 12 months, Lithia Motors's average Dividends Per Share Growth Rate was 3.70% per year. During the past 3 years, the average Dividends Per Share Growth Rate was 10.60% per year. During the past 5 years, the average Dividends Per Share Growth Rate was 13.30% per year. During the past 10 years, the average Dividends Per Share Growth Rate was 10.60% per year.

During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of Lithia Motors was 54.90% per year. The lowest was -35.50% per year. And the median was 14.95% per year.

The growth rate is calculated with least square regression.

For more information regarding to dividend, please check our Dividend Page.

* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.

Lithia Motors (FRA:LMO) Dividend Payout Ratio Explanation

In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.

Lithia Motors Dividend Payout Ratio Related Terms

Lithia Motors Dividend Payout Ratio Historical Data

* Premium members only.

The historical data trend for Lithia Motors's Dividend Payout Ratio 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 Dividend Payout Ratio Chart

Lithia Motors Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Dividend Payout Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.03 0.04 0.05 0.07 0.07

Lithia Motors Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Dividend Payout Ratio 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 0.05 0.06 0.08 0.08 0.05

FRA:LMO vs ALTB, KMX, AN: Dividend Payout Ratio Comparison

For the Auto & Truck Dealerships subindustry, Lithia Motors's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio 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 Dividend Payout Ratio vs Vehicles & Parts Industry

For the Vehicles & Parts industry and Consumer Cyclical sector, Lithia Motors's Dividend Payout Ratio distribution charts can be found below:

* The bar in red indicates where Lithia Motors's Dividend Payout Ratio falls into.


FRA:LMO
91GF Score
Lithia Motors Inc FRA:LMO
Dividend Payout Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Lithia Motors Dividend Payout Ratio Calculation

The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period.

Lithia Motors's Dividend Payout Ratio for the fiscal year that ended in Dec. 2025 is calculated as

Dividend Payout Ratio=Dividends per Share (A: Dec. 2025 )/ EPS without NRI (A: Dec. 2025 )
=1.862/ 28.575
=0.07

Lithia Motors's Dividend Payout Ratio for the quarter that ended in Jun. 2026 is calculated as

Dividend Payout Ratio=Dividends per Share (Q: Jun. 2026 )/ EPS without NRI (Q: Jun. 2026 )
=0.495/ 10.114
=0.05

* 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 Dividend Payout Ratio →
What does a Dividend Payout Ratio of 0.05 mean?
Lithia Motors (FRA:LMO) has a Dividend Payout Ratio of 0.05 as of Jun. 2026. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Lithia Motors and its competitors. This is 29% below median its historical median of 0.07. Over the past decade, Lithia Motors' Dividend Payout Ratio has ranged from 0.03 to 0.13. According to the industry distribution chart, Lithia Motors ranks #32 out of 775 companies in the Vehicles & Parts industry, placing it in the top 4.1%.
Is Lithia Motors' Dividend Payout Ratio too high?
Lithia Motors' current Dividend Payout Ratio of 0.05 is 29% below median its 10-year median of 0.07. Over the past 10 years, this metric has ranged from a low of 0.03 to a high of 0.13. The Vehicles & Parts industry median Dividend Payout Ratio is 0.36. Lithia Motors' value of 0.05 is 86.1% below this industry median. Based on the distribution chart, Lithia Motors ranks #32 out of 775 companies in the Vehicles & Parts industry, which is in the top quartile — a strong position relative to peers. Overall, Lithia Motors has a GF Score™ of 91/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does Lithia Motors' Dividend Payout Ratio compare to ALTB and KMX?
According to the Vehicles & Parts industry distribution chart, Lithia Motors ranks #32 out of 775 companies for Dividend Payout Ratio. This places Lithia Motors in the top 4% of its industry — outperforming the majority of peers. The industry median Dividend Payout Ratio is 0.36. Lithia Motors' value of 0.05 is 86.1% below this benchmark. Historically, Lithia Motors' own Dividend Payout Ratio has ranged from 0.03 to 0.13 over the past decade. While the company's 10-year median is 0.07 vs. the industry median of 0.36, Lithia Motors has consistently been below 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 Dividend Payout Ratio for a Vehicles & Parts company?
The median Dividend Payout Ratio among Vehicles & Parts companies is 0.36, based on 775 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lithia Motors's current Dividend Payout Ratio of 0.05 is 86.1% below 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 Dividend Payout Ratio mean?
A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Lithia Motors and its competitors. For the Vehicles & Parts industry, the median Dividend Payout Ratio is 0.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lithia Motors's current Dividend Payout Ratio is 0.05, which is 29% below median its own 10-year median of 0.07. 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 (FRA:LMO) is currently considered Fairly Valued. The stock's GF Value™ is €333.64, compared to a current price of €350.00 — trading 4.9% above its estimated fair value. The current Dividend Payout Ratio is 0.05, which is 29% below median its 10-year median of 0.07 and 86.1% below the Vehicles & Parts industry median of 0.36. Lithia Motors' overall GF Score™ is 91/100 with 13 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Dividend Payout Ratio calculated?
Dividend Payout Ratio is calculated from a company's financial statements. For Lithia Motors (FRA:LMO), the current Dividend Payout Ratio is 0.05 as of Jun. 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 (FRA:LMO) Overvalued in 2026?

Based on GuruFocus' analysis, Lithia Motors stock appears to be overvalued. The current stock price of €350.00 is trading 4.9% above its estimated GF Value™ of €333.64. GuruFocus considers Lithia Motors to be Fairly Valued.

Key valuation signals for FRA:LMO:

  • Dividend Payout Ratio: 0.05 (29% below median its 10-year median of 0.07)
  • GF Value™: €333.64 vs. price of €350.00 (4.9% above fair value)
  • GF Score™: 91/100 with 13 warning signs
  • Industry Position: 86.1% below the Vehicles & Parts median (#32 of 775)

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

Lithia Motors Business Description

Other Exchanges LAD:USA
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.
91GF Score

Get the complete analysis for FRA:LMO

Dividend Payout Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€350.00
Price
€333.64
GF Value