Lithia Motors Inc (LAD)vsMotorola Solutions Inc (MSI)
LAD
Lithia Motors Inc
$293.99
+0.99%
CONSUMER CYCLICAL · Cap: $6.64B
MSI
Motorola Solutions Inc
$383.99
-11.36%
TECHNOLOGY · Cap: $72.00B
Smart Verdict
WallStSmart Research — data-driven comparison
Lithia Motors Inc generates 223% more annual revenue ($37.73B vs $11.68B). MSI leads profitability with a 18.4% profit margin vs 1.9%. LAD appears more attractively valued with a PEG of 0.64. MSI earns a higher WallStSmart Score of 62/100 (C+).
LAD
Buy55
out of 100
Grade: C
MSI
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+53.9%
Fair Value
$694.31
Current Price
$293.99
$400.32 discount
Intrinsic value data unavailable for MSI.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Growing faster than its price suggests
Every $100 of equity generates 104 in profit
Large-cap with strong market position
Strong operational efficiency at 27.8%
Areas to Watch
1.0% revenue growth
1.9% margin — thin
Operating margin of 3.6%
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Weak financial health signals
Trading at 26.4x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : LAD
The strongest argument for LAD centers on P/E Ratio, Price/Book, PEG Ratio. PEG of 0.64 suggests the stock is reasonably priced for its growth.
Bull Case : MSI
The strongest argument for MSI centers on Return on Equity, Market Cap, Operating Margin. Profitability is solid with margins at 18.4% and operating margin at 27.8%. Revenue growth of 12.3% demonstrates continued momentum.
Bear Case : LAD
The primary concerns for LAD are Revenue Growth, Profit Margin, Operating Margin. Thin 1.9% margins leave little buffer for downturns.
Bear Case : MSI
The primary concerns for MSI are PEG Ratio, P/E Ratio, Piotroski F-Score. Debt-to-equity of 4.05 is elevated, increasing financial risk.
Key Dynamics to Monitor
LAD profiles as a value stock while MSI is a mature play — different risk/reward profiles.
LAD carries more volatility with a beta of 1.28 — expect wider price swings.
MSI is growing revenue faster at 12.3% — sustainability is the question.
MSI generates stronger free cash flow (389M), providing more financial flexibility.
Bottom Line
MSI scores higher overall (62/100 vs 55/100), backed by strong 18.4% margins and 12.3% revenue growth. LAD offers better value entry with a 53.9% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Lithia Motors Inc
CONSUMER CYCLICAL · AUTO & TRUCK DEALERSHIPS · USA
Lithia Motors, Inc. is an automobile retailer in the United States. The company is headquartered in Medford, Oregon.
Motorola Solutions Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Motorola Solutions, Inc., is an American data communications and telecommunications equipment provider that succeeded Motorola, Inc., following the spinoff of the mobile phone division into Motorola Mobility in 2011. The company is headquartered in Chicago, Illinois.
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