O'Reilly Automotive, Inc.
- Open
- 88.23
- Day high
- 91.33
- Day low
- 88.23
- Prev close
- 89.55
- Volume
- 630K
- Mkt cap
- $75.7B
- P/E (TTM)
- 29.6
- EPS (TTM)
- $3.08
- P/B
- -70.9
- P/S
- 4.2
- Yield
- —
- Per share
- —
- ▼Insiders net selling -$9.8M over the last 3 months (0 open-market buys, 5 sales)
- 🏛Institutions mixed (13F)
O'Reilly Automotive, Inc. (ORLY) is a Consumer Cyclical company listed on NASDAQ. The stock is up 0% over the past year. Over the trailing 3 months, insiders filed 0 open-market buys and 5 sales (SEC Form 4).
O'Reilly Automotive, Inc. (ORLY) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 7 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
ORLY earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Apr 30, 2026 | $0.72 | $0.72 | +0.1% | $4.6B | +0.2% |
| Feb 4, 2026 | $0.73 | $0.71 | -2.2% | $4.4B | +0.5% |
| Oct 22, 2025 | $0.83 | $0.85 | +2.0% | $4.7B | +0.3% |
| Jul 23, 2025 | $0.78 | $0.78 | -0.1% | $4.5B | -0.1% |
| Apr 23, 2025 | $0.66 | $0.62 | -5.6% | $4.1B | -0.8% |
| Feb 5, 2025 | $9.73 | $9.96 | +2.4% | $4.1B | +1.2% |
| Oct 23, 2024 | $11.55 | $11.41 | -1.2% | $4.4B | -0.9% |
| Jul 24, 2024 | $10.98 | $10.55 | -3.9% | $4.3B | -0.9% |
| Feb 7, 2024 | $9.17 | $9.26 | +1.0% | $3.8B | -0.8% |
| Oct 25, 2023 | $10.40 | $10.73 | +3.2% | $4.2B | +2.9% |
| Jul 26, 2023 | $10.09 | $10.22 | +1.3% | $4.1B | +1.9% |
| Feb 8, 2023 | $7.75 | $8.37 | +8.0% | $3.6B | +3.9% |
ORLY insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 2, 2026 | HENDRICKSON THOMASdirector | Sell | 1,200 | $88.32 |
| May 22, 2026 | DUMAS ROBERT ALLENofficer: SVP OF EASTERN STORE OPS/SALES | Option | 9,600 | $17.12 |
| May 22, 2026 | DUMAS ROBERT ALLENofficer: SVP OF EASTERN STORE OPS/SALES | Option | 75,000 | $17.98 |
| May 22, 2026 | DUMAS ROBERT ALLENofficer: SVP OF EASTERN STORE OPS/SALES | Sell | 84,600 | $92.60 |
| May 20, 2026 | MURPHY JOHN RAYMONDdirector | Sell | 2,595 | $88.67 |
| May 18, 2026 | HENDRICKSON THOMASdirector | Grant | 2,035 | $88.49 |
| May 18, 2026 | SASTRE MARIAdirector | Grant | 2,035 | $88.49 |
| May 18, 2026 | PERLMAN DANAdirector | Grant | 2,035 | $88.49 |
| May 18, 2026 | JOHNSON GREGORY Ddirector | Grant | 2,035 | $88.49 |
| May 18, 2026 | deBeers Kimberly A.director | Grant | 2,035 | $88.49 |
| May 18, 2026 | WHITFIELD FRED ALANdirector | Grant | 2,035 | $88.49 |
| May 18, 2026 | MURPHY JOHN RAYMONDdirector | Grant | 2,035 | $88.49 |
| May 18, 2026 | HENSLEE GREGORY Ldirector, officer: CHAIRMAN OF THE BOARD | Grant | 56,039 | $89.68 |
| May 11, 2026 | HOPPER PHILIP Mofficer: SVP OF REAL ESTATE & EXPANSION | Sell | 3,700 | $94.60 |
| May 11, 2026 | BECKHAM BRAD Wofficer: CEO | Sell | 13,635 | $95.00 |
Source: ORLY SEC Form 4 filings, latest Jun 2, 2026. For informational purposes only — not investment advice.
See the full ORLY insider & 13F page →O'Reilly Automotive, Inc. company profile
Overview
O'Reilly Automotive, Inc. (NASDAQ:ORLY) is a leading American automotive aftermarket parts retailer founded in 1957 and headquartered in Springfield, Missouri. The company has grown from a single store operation to one of the largest specialty retailers in the automotive aftermarket industry, operating over 5,700 stores across the United States and expanding into Mexico. O'Reilly went public in 1993 and has established itself as a dominant player in the fragmented automotive parts retail market, serving both do-it-yourself customers and professional service providers through its extensive network of stores and distribution centers.
Business
O'Reilly Automotive operates in the automotive aftermarket industry, which encompasses the supply of replacement parts, accessories, and services for vehicles after they leave the original manufacturer. This industry serves the critical need for vehicle maintenance and repair as cars age and require ongoing upkeep to remain operational. The company's core business revolves around retailing automotive parts and accessories through two primary channels. The professional segment serves commercial customers including independent repair shops, quick-lube facilities, and other automotive service providers who need reliable access to parts for customer vehicles. This segment generates approximately 60% of total revenue and has shown consistent mid-single-digit growth. The do-it-yourself (DIY) segment caters to individual consumers who perform their own vehicle maintenance and repairs, representing about 40% of revenue. O'Reilly's product portfolio includes both hard parts (alternators, batteries, brake components, engine parts, starters) and maintenance items (oil, filters, fluids, wiper blades, appearance products). The company also offers enhanced services such as battery testing and replacement, used oil recycling, custom hydraulic hoses, and paint mixing. A significant competitive advantage comes from their proprietary brand portfolio, which represents over 50% of sales and typically offers higher margins than national brands. The automotive aftermarket benefits from several structural tailwinds. As vehicles age, they require more frequent repairs and maintenance, creating steady demand regardless of new car sales cycles. The increasing complexity of modern vehicles, while requiring more specialized knowledge, also creates opportunities for higher-value parts and services. Additionally, consumers often prioritize maintaining existing vehicles during economic uncertainty rather than purchasing new ones, providing some recession-resistant characteristics to the business.
Revenue model
O'Reilly generates revenue primarily through direct product sales to both professional and consumer customers. The business model is straightforward retail - purchasing automotive parts from manufacturers and suppliers, then selling them at marked-up prices through their store network. The company maintains gross margins around 51-52%, which reflects their ability to command premium pricing through superior service, inventory availability, and market positioning. The professional segment provides more stable and predictable revenue streams, as commercial customers typically have regular, ongoing parts needs and value reliability over price. These customers often establish accounts with preferred suppliers and tend to be less price-sensitive when they need parts immediately to complete customer repairs. The DIY segment can be more volatile, influenced by consumer confidence, discretionary spending, and seasonal factors, but offers opportunities for higher transaction values on certain purchases. Several factors influence O'Reilly's profitability margins. Positive margin drivers include their strong proprietary brand penetration, which offers better margins than national brands; their scale advantages in purchasing that provide better supplier terms; and their market-leading service levels that support premium pricing. The company's dense distribution network also reduces logistics costs per store. Margin pressures can arise from commodity price inflation affecting product costs, competitive pricing pressures in local markets, and the ongoing need for labor and technology investments to maintain service standards. Additionally, potential tariffs on imported goods could impact costs, as approximately 25-26% of their products are sourced from China, with additional sourcing from Mexico and Canada. The company's financial model benefits from relatively predictable cash flows, as automotive maintenance represents a non-discretionary expense for most vehicle owners. This stability supports consistent capital allocation toward store expansion, distribution network improvements, and shareholder returns through dividends and share repurchases.
Competitive moat
O'Reilly's competitive moat stems from several interconnected advantages that create significant barriers to entry and sustainable competitive positioning. The company's scale and distribution network represents its strongest moat element - with over 5,700 stores and strategically located distribution centers, O'Reilly can offer superior parts availability and faster delivery than smaller competitors. This network effect becomes self-reinforcing as greater scale enables better supplier relationships, more efficient logistics, and the ability to stock a wider variety of parts. The company's proprietary brand portfolio comprising over 50% of sales creates customer loyalty and higher margins while reducing dependence on national brand suppliers. These private label products, combined with O'Reilly's reputation for quality and reliability, make it difficult for customers to easily substitute competitors' offerings. The professional customer segment particularly values reliability and availability over price, creating switching costs for established relationships. Operational expertise and service quality represent additional moat elements. O'Reilly's team members are trained to provide technical assistance and part identification, creating value beyond simple product transactions. Their ability to quickly diagnose customer needs and provide the right parts reduces the total cost and time for professional customers, justifying premium pricing. However, the moat faces several potential challenges. Online competition from e-commerce platforms and direct-to-consumer parts suppliers could erode market share, particularly in the DIY segment where immediate availability is less critical. Consolidation among competitors could create larger rivals with similar scale advantages. Additionally, technological disruption from electric vehicles, which require different maintenance patterns and parts, could alter long-term industry dynamics. The emergence of advanced driver assistance systems and autonomous vehicles might also reduce accident-related repairs over time. Overall, O'Reilly maintains a moderately strong moat that should provide competitive advantages for the foreseeable future, though the company must continue investing in technology, distribution, and customer relationships to maintain its positioning as industry dynamics evolve.
Risks & safety
O'Reilly presents a mixed margin of safety profile with strong operational cash generation offset by elevated valuation metrics and balance sheet leverage. **Liquidity and Solvency:** - Strong operating cash flow of $755 million in Q1 2025, supporting $468 million in free cash flow - Low cash position of $191 million relative to operations, though this reflects efficient capital deployment - Current ratio of 0.71 indicates working capital management but potential liquidity constraints - Debt-to-equity ratio of -5.97 reflects negative book value due to aggressive share repurchases and debt financing **Valuation Concerns:** - P/E ratio of 38.1x represents premium valuation requiring continued strong execution - EV/EBITDA of 26.0x suggests high growth expectations are embedded in current price - Price appreciation has outpaced earnings growth, compressing margin of safety **Other Considerations:** - Consistent free cash flow generation provides flexibility for debt service and capital allocation - Mature, stable industry with predictable demand patterns supports cash flow visibility - Share repurchase program has reduced share count but increased financial leverage - Capital-intensive store expansion and distribution investments require ongoing funding
Recent development
Over the past several years, O'Reilly has pursued an aggressive expansion strategy while navigating challenging market conditions. The company has maintained a steady pace of store expansion, targeting 200-210 net new store openings annually, with particular focus on geographic expansion into new markets including Maryland and Puerto Rico, while also growing their presence in Mexico with dedicated distribution infrastructure. A significant strategic initiative has been the Professional Pricing Initiative (PPI), launched in 2022, designed to optimize pricing for commercial customers and drive market share gains in the higher-margin professional segment. This initiative has contributed to sustained mid-single-digit growth in professional sales, even during periods when DIY sales faced headwinds. The company has made substantial investments in distribution infrastructure, including new distribution centers in Springfield, Atlanta, and the Mid-Atlantic region, plus a facility in Guadalajara, Mexico. These investments support both geographic expansion and improved service levels through better inventory positioning and faster delivery capabilities. Leadership transition marked a significant development, with Brad Beckham becoming CEO in 2024, succeeding Greg Johnson, while Brent Kirby was promoted to President. This transition has maintained strategic continuity while bringing fresh leadership to guide future growth initiatives. Recent quarters have seen O'Reilly successfully navigate challenging market conditions including consumer spending pressures, weather-related disruptions, and potential supply chain concerns related to tariff policies. The company has maintained its focus on market share gains even during periods of industry softness, demonstrating the resilience of their business model and competitive positioning. Management has also announced a 15:1 stock split, reflecting confidence in long-term value creation and making shares more accessible to retail investors.
ORLY company profile · for informational purposes only — not investment advice.
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