Lithia Motors shows relatively strong fundamentals and is coming back to attractive prices.

According to Surperformance© ratings, the company constitutes an opportunity for a trading strategy. Indeed, it usually posts better-than-expected financial statements as in 2014 and and the enterprise valuation conciliates with its visibility.

Technically, the security fell sharply for several weeks. This fall has lead Lithia Motors towards the USD 73.8 support area, which could become useful as a stepping stone for a technical rebound. The target of this bullish trend is the USD 86.75 resistance. Even though moving averages are still in a bearish trend, the oversold situation could encourage a renewed interest in Lithia Motors.

Investors should buy the stock with USD 86.75 as a first target. The stop loss will be positioned below the USD 79.15 support.