Lithia Motors, Inc. (LAD) vs Rush Enterprises, Inc. (RUSHA)

Lithia Motors, Inc. and Rush Enterprises, Inc. are both Auto & Truck Dealerships companies. Lithia Motors, Inc. is the larger, with a market value of $6.8B against $5.8B — 1.2× the size. Lithia Motors, Inc. trades at the lower P/E: 10.5× against 21.2×. Lithia Motors, Inc. grew revenue faster over the last twelve months: 2.10% against −5.86%. Rush Enterprises, Inc. has the higher net margin (3.67% vs 1.88%) and the higher return on invested capital (9.44% vs 6.20%). Both pay a dividend; Rush Enterprises, Inc. yields more (1.19% vs 0.66%). Across the 22 metrics below, Rush Enterprises, Inc. leads on 13 and Lithia Motors, Inc. on 9.

Valuation

Metric LAD RUSHA Auto & Truck Dealerships median
P/E 10.49 21.16 16.07
P/S 0.19 0.78 0.43
P/B 1.11 2.38 2.36
Price to free cash flow n/m 16.04 10.48
EV/EBITDA 8.22 9.08 8.50
EV/Sales 0.43 0.79 0.89
Earnings yield 9.53% 4.73% 2.72%
Free cash flow yield (6.74%) 6.24% 2.83%

Profitability

Metric LAD RUSHA Auto & Truck Dealerships median
Gross margin 15.17% 19.74% 19.56%
Operating margin 4.08% 5.13% 3.73%
Net margin 1.88% 3.67% 1.07%
Free cash flow margin (1.26%) 4.83% 2.34%
Return on equity 10.63% 11.71% 10.04%
Return on assets 2.83% 5.66% 0.61%
Return on invested capital 6.20% 9.44% 6.85%

Growth

Metric LAD RUSHA Auto & Truck Dealerships median
Revenue growth (TTM) 2.10% (5.86%) 1.46%
EPS growth (last fiscal year) 9.01% (12.10%) —
Revenue growth, 5-year CAGR 23.45% 9.44% 10.46%
Net income growth, 5-year CAGR 11.75% 18.08% 0.00%

Health

Metric LAD RUSHA Auto & Truck Dealerships median
Debt to equity 1.48 0.16 0.55
Current ratio 1.00 1.45 1.15
Net debt to EBITDA 4.71 0.23 1.34

Dividend

Metric LAD RUSHA Auto & Truck Dealerships median
Dividend yield 0.66% 1.19% 1.37%
Payout ratio 0.04 0.13 0.00

Size

Metric LAD RUSHA Auto & Truck Dealerships median
Market cap 6.81b 5.78b 2.10b

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