Lithia Motors Stock Forward View - Double Exponential Smoothing

LAD Stock  USD 327.66  4.22  1.30%   
Lithia Stock outlook is based on your current time horizon. Investors can use this forecasting interface to forecast Lithia Motors stock prices and determine the direction of Lithia Motors's future trends based on various well-known forecasting models. We suggest always using this module together with an analysis of Lithia Motors' historical fundamentals, such as revenue growth or operating cash flow patterns.
At the present time, The value of RSI of Lithia Motors' share price is at 51. This indicates that the stock is in nutural position, most likellhy at or near its resistance level. The main idea of RSI analysis is to track how fast people are buying or selling Lithia Motors, making its price go up or down.

Momentum 51

 Impartial

 
Oversold
 
Overbought
The successful prediction of Lithia Motors' future price could yield a significant profit. Please, note that this module is not intended to be used solely to calculate an intrinsic value of Lithia Motors and does not consider all of the tangible or intangible factors available from Lithia Motors' fundamental data. We analyze noise-free headlines and recent hype associated with Lithia Motors, which may create opportunities for some arbitrage if properly timed.
Using Lithia Motors hype-based prediction, you can estimate the value of Lithia Motors from the perspective of Lithia Motors response to recently generated media hype and the effects of current headlines on its competitors.
The Double Exponential Smoothing forecasted value of Lithia Motors on the next trading day is expected to be 327.96 with a mean absolute deviation of 4.44 and the sum of the absolute errors of 261.89.

Lithia Motors after-hype prediction price

    
  USD 327.66  
There is no one specific way to measure market sentiment using hype analysis or a similar predictive technique. This prediction method should be used in combination with more fundamental and traditional techniques such as stock price forecasting, technical analysis, analysts consensus, earnings estimates, and various momentum models.
Check out Historical Fundamental Analysis of Lithia Motors to cross-verify your projections.
For information on how to trade Lithia Stock refer to our How to Trade Lithia Stock guide.

Lithia Motors Additional Predictive Modules

Most predictive techniques to examine Lithia price help traders to determine how to time the market. We provide a combination of tools to recognize potential entry and exit points for Lithia using various technical indicators. When you analyze Lithia charts, please remember that the event formation may indicate an entry point for a short seller, and look at other indicators across different periods to confirm that a breakdown or reversion is likely to occur.
Double exponential smoothing - also known as Holt exponential smoothing is a refinement of the popular simple exponential smoothing model with an additional trending component. Double exponential smoothing model for Lithia Motors works best with periods where there are trends or seasonality.

Lithia Motors Double Exponential Smoothing Price Forecast For the 3rd of February

Given 90 days horizon, the Double Exponential Smoothing forecasted value of Lithia Motors on the next trading day is expected to be 327.96 with a mean absolute deviation of 4.44, mean absolute percentage error of 36.03, and the sum of the absolute errors of 261.89.
Please note that although there have been many attempts to predict Lithia Stock prices using its time series forecasting, we generally do not suggest using it to place bets in the real market. The most commonly used models for forecasting predictions are the autoregressive models, which specify that Lithia Motors' next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).

Lithia Motors Stock Forecast Pattern

Backtest Lithia Motors  Lithia Motors Price Prediction  Research Analysis  

Lithia Motors Forecasted Value

In the context of forecasting Lithia Motors' Stock value on the next trading day, we examine the predictive performance of the model to find good statistically significant boundaries of downside and upside scenarios. Lithia Motors' downside and upside margins for the forecasting period are 326.09 and 329.83, respectively. We have considered Lithia Motors' daily market price to evaluate the above model's predictive performance. Remember, however, there is no scientific proof or empirical evidence that traditional linear or nonlinear forecasting models outperform artificial intelligence and frequency domain models to provide accurate forecasts consistently.
Market Value
327.66
326.09
Downside
327.96
Expected Value
329.83
Upside

Model Predictive Factors

The below table displays some essential indicators generated by the model showing the Double Exponential Smoothing forecasting method's relative quality and the estimations of the prediction error of Lithia Motors stock data series using in forecasting. Note that when a statistical model is used to represent Lithia Motors stock, the representation will rarely be exact; so some information will be lost using the model to explain the process. AIC estimates the relative amount of information lost by a given model: the less information a model loses, the higher its quality.
AICAkaike Information CriteriaHuge
BiasArithmetic mean of the errors -0.2093
MADMean absolute deviation4.4388
MAPEMean absolute percentage error0.0137
SAESum of the absolute errors261.89
When Lithia Motors prices exhibit either an increasing or decreasing trend over time, simple exponential smoothing forecasts tend to lag behind observations. Double exponential smoothing is designed to address this type of data series by taking into account any Lithia Motors trend in the prices. So in double exponential smoothing past observations are given exponentially smaller weights as the observations get older. In other words, recent Lithia Motors observations are given relatively more weight in forecasting than the older observations.

Predictive Modules for Lithia Motors

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Lithia Motors. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Hype
Prediction
LowEstimatedHigh
325.79327.66329.53
Details
Intrinsic
Valuation
LowRealHigh
250.43252.30360.43
Details
Bollinger
Band Projection (param)
LowMiddleHigh
321.16330.73340.30
Details
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Lithia Motors. Your research has to be compared to or analyzed against Lithia Motors' peers to derive any actionable benefits. When done correctly, Lithia Motors' competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Lithia Motors.

Lithia Motors After-Hype Price Density Analysis

As far as predicting the price of Lithia Motors at your current risk attitude, this probability distribution graph shows the chance that the prediction will fall between or within a specific range. We use this chart to confirm that your returns on investing in Lithia Motors or, for that matter, your successful expectations of its future price, cannot be replicated consistently. Please note, a large amount of money has been lost over the years by many investors who confused the symmetrical distributions of Stock prices, such as prices of Lithia Motors, with the unreliable approximations that try to describe financial returns.
   Next price density   
       Expected price to next headline  

Lithia Motors Estimiated After-Hype Price Volatility

In the context of predicting Lithia Motors' stock value on the day after the next significant headline, we show statistically significant boundaries of downside and upside scenarios based on Lithia Motors' historical news coverage. Lithia Motors' after-hype downside and upside margins for the prediction period are 325.79 and 329.53, respectively. We have considered Lithia Motors' daily market price in relation to the headlines to evaluate this method's predictive performance. Remember, however, there is no scientific proof or empirical evidence that news-based prediction models compare with traditional linear, nonlinear models or artificial intelligence models to provide accurate predictions consistently.
Current Value
327.66
325.79
Downside
327.66
After-hype Price
329.53
Upside
Lithia Motors is very steady at this time. Analysis and calculation of next after-hype price of Lithia Motors is based on 3 months time horizon.

Lithia Motors Stock Price Outlook Analysis

Have you ever been surprised when a price of a Company such as Lithia Motors is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Lithia Motors backward and forwards among themselves. Have you ever observed a lot of a particular company's price movement is driven by press releases or news about the company that has nothing to do with actual earnings? Usually, hype to individual companies acts as price momentum. If not enough favorable publicity is forthcoming, the Stock price eventually runs out of speed. So, the rule of thumb here is that as long as this news hype has nothing to do with immediate earnings, you should pay more attention to it. If you see this tendency with Lithia Motors, there might be something going there, and it might present an excellent short sale opportunity.
Expected ReturnPeriod VolatilityHype ElasticityRelated ElasticityNews DensityRelated DensityExpected Hype
  0.18 
1.87
 0.00  
  0.01 
0 Events / Month
1 Events / Month
Uncertain
Latest traded priceExpected after-news pricePotential return on next major newsAverage after-hype volatility
327.66
327.66
0.00 
0.00  
Notes

Lithia Motors Hype Timeline

On the 2nd of February Lithia Motors is traded for 327.66. The entity stock is not elastic to its hype. The average elasticity to hype of competition is 0.01. Lithia is forecasted not to react to the next headline, with the price staying at about the same level, and average media hype impact volatility is insignificant. The immediate return on the next news is forecasted to be very small, whereas the daily expected return is now at 0.18%. %. The volatility of related hype on Lithia Motors is about 2280.49%, with the expected price after the next announcement by competition of 327.67. About 99.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.17. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Lithia Motors has Price/Earnings To Growth (PEG) ratio of 0.63. The entity recorded earning per share (EPS) of 34.22. The firm last dividend was issued on the 7th of November 2025. Lithia Motors had 1:10 split on the 16th of January 2018. Considering the 90-day investment horizon the next forecasted press release will be uncertain.
Check out Historical Fundamental Analysis of Lithia Motors to cross-verify your projections.
For information on how to trade Lithia Stock refer to our How to Trade Lithia Stock guide.

Lithia Motors Related Hype Analysis

Having access to credible news sources related to Lithia Motors' direct competition is more important than ever and may enhance your ability to predict Lithia Motors' future price movements. Getting to know how Lithia Motors' peers react to changing market sentiment, related social signals, and mainstream news is a great way to find investing opportunities and time the market. The summary table below summarizes the essential lagging indicators that can help you analyze how Lithia Motors may potentially react to the hype associated with one of its peers.
Hype
Elasticity
News
Density
Semi
Deviation
Information
Ratio
Potential
Upside
Value
At Risk
Maximum
Drawdown
ANAutoNation 0.00 0 per month 1.48  0.03  3.06 (2.18) 8.76 
LKQLKQ Corporation 0.05 12 per month 1.42  0.05  3.33 (2.42) 9.62 
KMXCarMax Inc 0.00 0 per month 5.33  0.05  5.33 (3.22) 24.48 
LEVILevi Strauss Co 0.00 0 per month 1.75 (0.01) 3.64 (3.46) 8.59 
PAGPenske Automotive Group 0.00 0 per month 1.15 (0.02) 2.62 (2.10) 6.07 
GAPThe Gap 0.00 0 per month 1.55  0.15  6.37 (2.84) 12.19 
ABGAsbury Automotive Group 0.00 0 per month 1.73  0.0004  3.65 (2.74) 10.40 
ALSNAllison Transmission Holdings 0.00 0 per month 0.72  0.32  3.31 (1.43) 7.29 
VFSVinFast Auto Ltd 0.00 0 per month 2.18  0.02  2.98 (3.17) 15.20 
MODModine Manufacturing 0.77 11 per month 4.58  0.07  6.18 (7.46) 23.70 

Other Forecasting Options for Lithia Motors

For every potential investor in Lithia, whether a beginner or expert, Lithia Motors' price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. Lithia Stock price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in Lithia. Basic forecasting techniques help filter out the noise by identifying Lithia Motors' price trends.

Lithia Motors Related Equities

One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with Lithia Motors stock to make a market-neutral strategy. Peer analysis of Lithia Motors could also be used in its relative valuation, which is a method of valuing Lithia Motors by comparing valuation metrics with similar companies.
 Risk & Return  Correlation

Lithia Motors Market Strength Events

Market strength indicators help investors to evaluate how Lithia Motors stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Lithia Motors shares will generate the highest return on investment. By undertsting and applying Lithia Motors stock market strength indicators, traders can identify Lithia Motors entry and exit signals to maximize returns.

Lithia Motors Risk Indicators

The analysis of Lithia Motors' basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in Lithia Motors' investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting lithia stock prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

Story Coverage note for Lithia Motors

The number of cover stories for Lithia Motors depends on current market conditions and Lithia Motors' risk-adjusted performance over time. The coverage that generates the most noise at a given time depends on the prevailing investment theme that Lithia Motors is classified under. However, while its typical story may have numerous social followers, the rapid visibility can also attract short-sellers, who usually are skeptical about Lithia Motors' long-term prospects. So, having above-average coverage will typically attract above-average short interest, leading to significant price volatility.

Lithia Motors Short Properties

Lithia Motors' future price predictability will typically decrease when Lithia Motors' long traders begin to feel the short-sellers pressure to drive the price lower. The predictive aspect of Lithia Motors often depends not only on the future outlook of the potential Lithia Motors' investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Lithia Motors' indicators that are reflective of the short sentiment are summarized in the table below.
Common Stock Shares Outstanding27.1 M
Cash And Short Term Investments402.2 M
When determining whether Lithia Motors is a strong investment it is important to analyze Lithia Motors' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Lithia Motors' future performance. For an informed investment choice regarding Lithia Stock, refer to the following important reports:
Check out Historical Fundamental Analysis of Lithia Motors to cross-verify your projections.
For information on how to trade Lithia Stock refer to our How to Trade Lithia Stock guide.
You can also try the Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
Will Stock sector continue expanding? Could Lithia diversify its offerings? Factors like these will boost the valuation of Lithia Motors. Expected growth trajectory for Lithia significantly influences the price investors are willing to assign. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Lithia Motors data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
The market value of Lithia Motors is measured differently than its book value, which is the value of Lithia that is recorded on the company's balance sheet. Investors also form their own opinion of Lithia Motors' value that differs from its market value or its book value, called intrinsic value, which is Lithia Motors' true underlying value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Because Lithia Motors' market value can be influenced by many factors that don't directly affect Lithia Motors' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Understanding that Lithia Motors' value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether Lithia Motors represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. Meanwhile, Lithia Motors' quoted price indicates the marketplace figure where supply meets demand through bilateral consent.