AN - Lithia leads auto dealers lower as pricing dynamics downshift

2023-04-19 10:23:41 ET

Falling auto prices impacted Lithia Motors ( NYSE: LAD ) in Q1, with the results rippling across the overall sector to drag on its peers.

For the first quarter, the Oregon-based auto retailer missed on top and bottom line expectations as gross profit per unit pulled back significantly from the prior year. New vehicle sales volumes came in lighter than expected as well, while losses tied to financing operations hampered quarterly profits.

The struggles in the quarter for the Lithia ( LAD ) -5.6% not only sent its shares sliding, but dragged on competitors like Carvana ( CVNA ) -4.43% , Shift Technologies ( SFT ) -3.32% , Vroom ( VRM ) -1.83% , CarMax ( KMX ) -1.6% , Asbury Automotive Group ( ABG ) -2.04% , Group 1 Automotive ( GPI ) -1.56% , Penske Automotive Group ( PAG ) -1.21% and Sonic Automotive ( SAH ) -3.62% sliding. AutoNation ( AN ) -0.32% , by contrast, marked a relatively modest decline.

Read more on Carvana’s latest debt swap update .

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