Lithia Motors Inc (LAD)vsTC Energy Corp (TRP)
LAD
Lithia Motors Inc
$293.99
+0.99%
CONSUMER CYCLICAL · Cap: $6.64B
TRP
TC Energy Corp
$64.75
-0.54%
ENERGY · Cap: $67.82B
Smart Verdict
WallStSmart Research — data-driven comparison
Lithia Motors Inc generates 144% more annual revenue ($37.73B vs $15.48B). TRP leads profitability with a 22.2% profit margin vs 1.9%. LAD appears more attractively valued with a PEG of 0.64. TRP earns a higher WallStSmart Score of 55/100 (C).
LAD
Buy55
out of 100
Grade: C
TRP
Buy55
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
Margin of Safety
-33.9%
Fair Value
$45.51
Current Price
$64.75
$19.24 premium
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
Strong operational efficiency at 47.5%
Large-cap with strong market position
Keeps 22 of every $100 in revenue as profit
Generating 1.1B in free cash flow
Areas to Watch
1.0% revenue growth
1.9% margin — thin
Operating margin of 3.6%
Weak financial health signals
Moderate valuation
Expensive relative to growth rate
Earnings declined 8.5%
Distress zone — elevated risk
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 : TRP
The strongest argument for TRP centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 22.2% and operating margin at 47.5%.
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 : TRP
The primary concerns for TRP are P/E Ratio, PEG Ratio, EPS Growth. Debt-to-equity of 2.23 is elevated, increasing financial risk.
Key Dynamics to Monitor
LAD profiles as a value stock while TRP is a mature play — different risk/reward profiles.
LAD carries more volatility with a beta of 1.28 — expect wider price swings.
TRP is growing revenue faster at 6.6% — sustainability is the question.
TRP generates stronger free cash flow (1.1B), providing more financial flexibility.
Bottom Line
LAD scores higher overall (55/100 vs 55/100). 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.
TC Energy Corp
ENERGY · OIL & GAS MIDSTREAM · USA
TC Energy Corporation is an energy infrastructure company in North America. The company is headquartered in Calgary, Canada.
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