Lithia Motors (LAD) Return on Invested Capital (ROIC)

Price: $295.77
Market Cap: $7.77B
Avg Volume: 368.54K
Country: US
Industry: Auto - Dealerships
Sector: Consumer Cyclical
Beta: 1.686
52W Range: $243-405.68
Website: Lithia Motors

Return on Invested Capital (ROIC) Summary

Lithia Motors's ROIC measures how effectively the company uses its invested capital to generate profits:

  • Annual: 5.54%
  • Quarterly: 1.90%
  • TTM: 7.27%

What is ROIC?

Return on Invested Capital (ROIC) measures how effectively a company uses its capital from debt and equity to generate profits. ROIC is a useful metric for comparing the efficiency of capital allocation between different companies or across time periods within the same company. A higher ROIC indicates a more efficient use of capital.

Related Metrics

Other important metrics to assess Lithia Motors's profitability include:

  • ROE (Return on Equity) - measures the return generated on shareholders' equity:
    • Annual: 12.05%
    • Quarterly: 3.24%
    • TTM: 12.34%
  • ROA (Return on Assets) - measures the return generated on the company's assets:
    • Annual: 3.47%
    • Quarterly: 0.93%
    • TTM: 3.47%

These metrics provide insights into Lithia Motors's profitability and efficiency in using its capital and assets to generate returns. Comparing these ratios with industry benchmarks can offer a deeper understanding of the company's performance.

Annual ROIC

5.54%

Quarterly ROIC

1.90%

TTM ROIC

7.27%

Lithia Motors Historical ROIC

13.82%13.82%12.44%12.44%11.06%11.06%9.67%9.67%8.29%8.29%6.91%6.91%5.53%5.53%4.15%4.15%2.76%2.76%1.38%1.38%0.00%0.00%ROIC5.54%6.81%10.14%12.02%7.00%6.37%7.07%6.69%6.63%7.06%20162016201720172018201820192019202020202021202120222022202320232024202420252025

Historical ROE

27.40%27.40%24.66%24.66%21.92%21.92%19.18%19.18%16.44%16.44%13.70%13.70%10.96%10.96%8.22%8.22%5.48%5.48%2.74%2.74%0.00%0.00%ROE12.05%16.11%23.82%22.73%17.67%18.50%22.19%22.64%21.64%22.10%20162016201720172018201820192019202020202021202120222022202320232024202420252025

Historical ROA

10.94%10.94%9.84%9.84%8.75%8.75%7.66%7.66%6.56%6.56%5.47%5.47%4.37%4.37%3.28%3.28%2.19%2.19%1.09%1.09%0.00%0.00%ROA3.47%5.10%8.34%9.51%5.95%4.46%4.93%5.24%5.13%5.67%20162016201720172018201820192019202020202021202120222022202320232024202420252025

Lithia Motors Historical Profitability Metrics

The table below shows various profitability metrics for each year, with the latest data available for the last fiscal year 2024.

Year ROIC ROE ROA
2024 5.54% 12.05% 3.47%
2023 6.81% 16.11% 5.10%
2022 10.14% 23.82% 8.34%
2021 12.02% 22.73% 9.51%
2020 7.00% 17.67% 5.95%
2019 6.37% 18.50% 4.46%
2018 7.07% 22.19% 4.93%
2017 6.69% 22.64% 5.24%
2016 6.63% 21.64% 5.13%
2015 7.06% 22.10% 5.67%

Related Metrics

Explore detailed financial metrics and analysis for LAD.