O'Reilly Automotive (NASDAQ:ORLY) Earns Outperform Rating from Analysts at Wolfe Research

Key Points

• Wolfe Research has reaffirmed an "outperform" rating for O'Reilly Automotive, with a price target of $121.00, indicating a potential upside of 15.73% from the current stock price.
• O'Reilly Automotive reported quarterly earnings of $0.78 per share, matching analysts' estimates, and a revenue of $4.53 billion, which reflects a 5.9% year-over-year growth.
• Institutional investors hold approximately 85% of O'Reilly Automotive's stock, with significant recent increases in holdings from several hedge funds.

Research analysts at Wolfe Research started coverage on shares of O'Reilly Automotive (NASDAQ:ORLY - Get Free Report) in a report released on Thursday, MarketBeat reports. The firm set an "outperform" rating and a $121.00 price target on the specialty retailer's stock. Wolfe Research's target price would suggest a potential upside of 16.42% from the stock's current price.

Other research analysts have also recently issued research reports about the stock. BMO Capital Markets raised their price target on shares of O'Reilly Automotive from $100.00 to $110.00 and gave the stock an "outperform" rating in a report on Friday, July 25th. JPMorgan Chase & Co. increased their price objective on shares of O'Reilly Automotive from $101.00 to $113.00 and gave the stock an "overweight" rating in a research note on Monday, July 21st. Evercore ISI increased their price objective on shares of O'Reilly Automotive from $108.00 to $110.00 and gave the stock an "outperform" rating in a research note on Tuesday, August 12th. UBS Group increased their price objective on shares of O'Reilly Automotive from $105.00 to $115.00 and gave the stock a "buy" rating in a research note on Thursday, July 24th. Finally, DA Davidson increased their price objective on shares of O'Reilly Automotive from $107.00 to $115.00 and gave the stock a "buy" rating in a research note on Friday, July 25th. Two analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and two have given a Hold rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Buy" and a consensus target price of $107.17.

O'Reilly Automotive Stock Performance

NASDAQ:ORLY traded up $0.24 during midday trading on Thursday, reaching $103.93. 10,047,562 shares of the stock traded hands, compared to its average volume of 4,166,746. The business has a 50-day moving average of $101.37 and a two-hundred day moving average of $94.56. The stock has a market capitalization of $88.18 billion, a PE ratio of 37.15, a price-to-earnings-growth ratio of 2.74 and a beta of 0.60. O'Reilly Automotive has a 12-month low of $73.33 and a 12-month high of $108.42.

O'Reilly Automotive (NASDAQ:ORLY - Get Free Report) last posted its quarterly earnings results on Wednesday, July 23rd. The specialty retailer reported $0.78 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.78. The business had revenue of $4.53 billion during the quarter, compared to analysts' expectations of $4.54 billion. O'Reilly Automotive had a net margin of 14.15% and a negative return on equity of 181.53%. The business's quarterly revenue was up 5.9% on a year-over-year basis. During the same quarter last year, the company posted $10.55 earnings per share. O'Reilly Automotive has set its FY 2025 guidance at 2.850-2.950 EPS. Research analysts anticipate that O'Reilly Automotive will post 43.94 earnings per share for the current year.

Insider Activity at O'Reilly Automotive

In other O'Reilly Automotive news, SVP Mark Joseph Merz sold 5,050 shares of O'Reilly Automotive stock in a transaction dated Tuesday, July 29th. The shares were sold at an average price of $99.07, for a total transaction of $500,303.50. Following the transaction, the senior vice president directly owned 2,876 shares of the company's stock, valued at $284,925.32. The trade was a 63.71% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, SVP Shari Lynne Reaves sold 2,000 shares of O'Reilly Automotive stock in a transaction dated Wednesday, August 6th. The stock was sold at an average price of $103.81, for a total transaction of $207,620.00. Following the transaction, the senior vice president directly owned 12,826 shares in the company, valued at $1,331,467.06. This trade represents a 13.49% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 125,635 shares of company stock worth $12,740,916 in the last ninety days. 1.01% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. Wealth Enhancement Advisory Services LLC grew its holdings in O'Reilly Automotive by 16.4% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 23,195 shares of the specialty retailer's stock worth $33,227,000 after acquiring an additional 3,272 shares in the last quarter. Vanguard Group Inc. increased its stake in O'Reilly Automotive by 1.5% in the 1st quarter. Vanguard Group Inc. now owns 5,238,396 shares of the specialty retailer's stock valued at $7,504,421,000 after buying an additional 75,125 shares during the period. Massachusetts Financial Services Co. MA increased its stake in O'Reilly Automotive by 33.9% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 583,812 shares of the specialty retailer's stock valued at $836,357,000 after buying an additional 147,904 shares during the period. CCM Investment Group LLC acquired a new position in shares of O'Reilly Automotive during the 1st quarter worth $4,672,000. Finally, Connor Clark & Lunn Investment Management Ltd. grew its stake in O'Reilly Automotive by 52.4% in the 1st quarter. Connor Clark & Lunn Investment Management Ltd. now owns 11,242 shares of the specialty retailer's stock valued at $16,105,000 after acquiring an additional 3,866 shares during the last quarter. Institutional investors and hedge funds own 85.00% of the company's stock.

O'Reilly Automotive Company Profile

O'Reilly Automotive, Inc, together with its subsidiaries, operates as a retailer and supplier of automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States, Puerto Rico, and Mexico. The company provides new and remanufactured automotive hard parts and maintenance items, such as alternators, batteries, brake system components, belts, chassis parts, driveline parts, engine parts, fuel pumps, hoses, starters, temperature control, water pumps, antifreeze, appearance products, engine additives, filters, fluids, lighting products, and oil and wiper blades; and accessories, including floor mats, seat covers, and truck accessories.