Lithia Motors (LAD) experienced a significant pre-market plunge of 5.07% on Wednesday, following the release of its fourth-quarter financial results.
The sharp decline came after the company reported adjusted earnings per share of $6.74, which missed the analyst consensus estimate of $8.11 by 16.9 percent. This result also represents a 13.48 percent decrease compared to earnings of $7.79 per share from the same period last year. While quarterly sales of $9.198 billion slightly exceeded the $9.189 billion estimate, the substantial earnings miss and year-over-year decline appear to be the primary drivers behind the negative investor sentiment in the pre-market session.
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