Lithia Motors Balance Sheet Health
Financial Health criteria checks 3/6
Lithia Motors has a total shareholder equity of $5.0B and total debt of $7.0B, which brings its debt-to-equity ratio to 139.2%. Its total assets and total liabilities are $14.1B and $9.0B respectively. Lithia Motors's EBIT is $2.1B making its interest coverage ratio 12.4. It has cash and short-term investments of $233.0M.
Key information
139.2%
Debt to equity ratio
US$7.00b
Debt
Interest coverage ratio | 12.4x |
Cash | US$233.00m |
Equity | US$5.03b |
Total liabilities | US$9.05b |
Total assets | US$14.07b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: LMO's short term assets ($4.7B) exceed its short term liabilities ($2.8B).
Long Term Liabilities: LMO's short term assets ($4.7B) do not cover its long term liabilities ($6.2B).
Debt to Equity History and Analysis
Debt Level: LMO's net debt to equity ratio (134.6%) is considered high.
Reducing Debt: LMO's debt to equity ratio has reduced from 264% to 139.2% over the past 5 years.
Debt Coverage: LMO's operating cash flow is negative, therefore debt is not well covered.
Interest Coverage: LMO's interest payments on its debt are well covered by EBIT (12.4x coverage).