Guggenheim analyst Ali Faghri lowered the firm’s price target on Lithia & Driveway to $332 from $343 and keeps a Buy rating on the shares after the company reported a Q4 earnings miss compared to Street expectations. In light of stronger peer results, the firm believes the stock’s reaction yesterday was largely due to the "sizeable" SG&A miss and weakness across new volumes. The firm’s 2023 estimate have been lowered, but it says it now has visibility that earnings will likely trough in 2023, could return to growth in 2024 and "meaningfully accelerate" into 2025.
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Published first on TheFly
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