O'Reilly Automotive, Inc. (NASDAQ:ORLY) Receives Consensus Recommendation of "Moderate Buy" from Brokerages

Key Points

• Analysts maintain a favorable outlook: Nineteen brokerages give O’Reilly Automotive a consensus “Moderate Buy” rating, including 15 buys, three holds and one strong buy. The average 12-month price target is approximately $108.44, above the stock’s $89.35 opening price.
• Quarterly results exceeded revenue expectations: O’Reilly reported $4.89 billion in revenue, up 8.1% year over year and ahead of the $4.86 billion consensus estimate, while EPS of $0.86 matched expectations and rose from $0.78 a year earlier.
• Growth and shareholder returns remain in focus: Strong comparable-store sales and professional-customer demand supported the company’s outlook, while accelerated share repurchases could boost EPS. However, several analysts recently lowered their price targets, and insiders have sold about $9.8 million of stock over the past 90 days.

O'Reilly Automotive, Inc. (NASDAQ:ORLY - Get Free Report) has received an average recommendation of "Moderate Buy" from the nineteen ratings firms that are covering the firm, MarketBeat Ratings reports. Three analysts have rated the stock with a hold rating, fifteen have assigned a buy rating and one has given a strong buy rating to the company. The average 12 month price target among brokerages that have issued a report on the stock in the last year is $108.4444.

ORLY has been the subject of a number of research analyst reports. Truist Financial set a $108.00 target price on O'Reilly Automotive in a report on Thursday, April 30th. Roth Capital reiterated a "buy" rating and set a $111.00 price target on shares of O'Reilly Automotive in a report on Friday. Raymond James Financial reissued an "outperform" rating and set a $110.00 price target on shares of O'Reilly Automotive in a research report on Friday. Robert W. Baird set a $100.00 price objective on O'Reilly Automotive in a research note on Friday. Finally, Morgan Stanley decreased their price objective on O'Reilly Automotive from $112.00 to $108.00 and set an "overweight" rating for the company in a research report on Thursday.

O'Reilly Automotive Stock Performance

Shares of NASDAQ:ORLY opened at $89.35 on Friday. The company has a market cap of $74.05 billion, a PE ratio of 28.46, a price-to-earnings-growth ratio of 1.92 and a beta of 0.51. O'Reilly Automotive has a 52 week low of $82.59 and a 52 week high of $108.71. The firm has a 50 day simple moving average of $88.18 and a 200 day simple moving average of $91.68.

O'Reilly Automotive (NASDAQ:ORLY - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The specialty retailer reported $0.86 earnings per share for the quarter, hitting the consensus estimate of $0.86. O'Reilly Automotive had a net margin of 14.27% and a negative return on equity of 232.45%. The firm had revenue of $4.89 billion for the quarter, compared to analysts' expectations of $4.86 billion. During the same period in the previous year, the company posted $0.78 EPS. The company's quarterly revenue was up 8.1% compared to the same quarter last year. O'Reilly Automotive has set its FY 2026 guidance at 3.200-3.300 EPS. On average, equities analysts predict that O'Reilly Automotive will post 3.25 earnings per share for the current year.

O'Reilly Automotive News Roundup

Here are the key news stories impacting O'Reilly Automotive this week:

• Positive Sentiment: O'Reilly reported second-quarter fiscal 2026 revenue of approximately $4.89 billion, ahead of analysts’ $4.86 billion estimate. Earnings were $0.86 per share, matching the broader consensus and exceeding the $0.85 estimate cited by Zacks, while year-over-year EPS increased from $0.78. O'Reilly Automotive Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Strong comparable-store sales and growth among professional customers supported the quarter and helped lift O'Reilly’s 2026 outlook, signaling continued demand for automotive parts and services. O'Reilly Q2 Earnings Beat on Strong Comparable and Pro Sales
• Positive Sentiment: Coverage highlighting accelerated share repurchases may support earnings per share and return capital to shareholders, particularly with the stock trading below its one-year high. O'Reilly Is Ramping Up Repurchases
• Positive Sentiment: TD Cowen retained a “buy” rating with a $110 price target, implying substantial upside from the current trading level. Morgan Stanley likewise maintained an “overweight” rating with a $108 target.
• Neutral Sentiment: Despite constructive ratings, both firms reduced their targets—TD Cowen from $117 and Morgan Stanley from $112—suggesting analysts remain positive but have moderated their valuation or growth assumptions.

Insider Buying and Selling

In other news, Director Thomas Hendrickson sold 1,200 shares of the stock in a transaction that occurred on Friday, May 29th. The shares were sold at an average price of $88.32, for a total value of $105,984.00. Following the completion of the sale, the director directly owned 19,675 shares of the company's stock, valued at $1,737,696. This represents a 5.75% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director John Raymond Murphy sold 2,595 shares of the business's stock in a transaction that occurred on Monday, May 18th. The shares were sold at an average price of $88.67, for a total transaction of $230,098.65. Following the transaction, the director directly owned 4,000 shares in the company, valued at $354,680. The trade was a 39.35% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 105,730 shares of company stock worth $9,815,388 over the last ninety days. 0.77% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On O'Reilly Automotive

Several institutional investors and hedge funds have recently modified their holdings of the stock. Vanguard Group Inc. boosted its position in O'Reilly Automotive by 0.6% during the fourth quarter. Vanguard Group Inc. now owns 79,730,143 shares of the specialty retailer's stock valued at $7,272,186,000 after purchasing an additional 458,613 shares during the last quarter. State Street Corp grew its stake in O'Reilly Automotive by 0.4% in the fourth quarter. State Street Corp now owns 37,206,098 shares of the specialty retailer's stock valued at $3,393,568,000 after purchasing an additional 140,387 shares in the last quarter. Geode Capital Management LLC increased its position in O'Reilly Automotive by 1.6% in the 4th quarter. Geode Capital Management LLC now owns 24,140,497 shares of the specialty retailer's stock worth $2,201,555,000 after purchasing an additional 372,896 shares during the last quarter. Wellington Management Group LLP increased its position in O'Reilly Automotive by 25.1% in the 4th quarter. Wellington Management Group LLP now owns 14,755,276 shares of the specialty retailer's stock worth $1,345,829,000 after purchasing an additional 2,964,945 shares during the last quarter. Finally, Norges Bank purchased a new stake in shares of O'Reilly Automotive during the 4th quarter worth about $1,134,311,000. 85.00% of the stock is currently owned by hedge funds and other institutional investors.

About O'Reilly Automotive

O'Reilly Automotive, Inc is a leading retailer and distributor in the automotive aftermarket, supplying parts, tools, supplies and accessories for both professional service providers and do‑it‑yourself (DIY) customers. The company's product assortment covers replacement parts, maintenance items, performance parts, collision components and shop equipment, complemented by diagnostic tools, batteries, chemicals and consumables. O'Reilly serves customers through company-operated retail stores, commercial sales programs for repair shops and maintenance fleets, and digital channels that support parts lookup, ordering and fulfillment.

The company operates a broad supply chain that includes regional distribution centers to support rapid replenishment of store inventory and commercial deliveries.

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