(ORLY) O’Reilly Automotive - NASDAQ
Sector: Consumer Cyclical | Industry: Auto Parts | Exchange: NASDAQ (USA) | Market Cap: 73.258m USD | Total Return: -3.2% in 12m
Avg Turnover: 642M
EPS Trend: 97.9%
Qual. Beats: 1
Rev. Trend: 99.5%
Qual. Beats: 1
Warnings
Altman Z'' 0.05 < 1.0 - financial distress zone
Choppy Below Avwap Earnings
Tailwinds
Confidence
OReilly Automotive Inc. (ORLY) is a leading distributor and retailer in the automotive aftermarket industry, operating across the United States, Puerto Rico, Mexico, and Canada. The company utilizes a dual-channel business model, serving both Do-It-Yourself (DIY) customers and Professional Service Providers (Pro). This strategy mitigates cyclical risk, as the professional segment often stabilizes revenue during economic downturns when consumers defer new vehicle purchases.
The company provides an extensive inventory of hard parts, maintenance items, and professional-grade equipment under various proprietary and national brands. Beyond product sales, O’Reilly differentiates through value-added services such as battery testing, tool loans, and technical diagnostics. In the automotive retail sector, success is heavily dependent on supply chain efficiency and high inventory availability to meet need-it-now consumer demand.
Investors looking for deeper fundamental analysis of this retail model should explore the valuation tools on ValueRay. Founded in 1957 and headquartered in Springfield, Missouri, the company maintains a significant footprint in the domestic and imported vehicle parts market.
- Expansion of professional service provider sales drives dual-channel revenue growth
- Average vehicle age increases demand for aftermarket maintenance and hard parts
- Supply chain efficiency and private label brands protect operating margins
- High interest rates and inflation shift consumer behavior toward vehicle repair
- Strategic store footprint expansion in Mexico and Canada builds international scale
| Net Income: 2.60b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.11 > 0.02 and ΔFCF/TA -2.04 > 1.0 |
| NWC/Revenue: -12.40% < 20% (prev -14.71%; Δ 2.31% < -1%) |
| CFO/TA 0.18 > 3% & CFO 3.04b > Net Income 2.60b |
| Net Debt (11.0b) to EBITDA (4.10b): 2.69 < 3 |
| Current Ratio: 0.76 > 1.5 & < 3 |
| Outstanding Shares: last quarter (842.5m) vs 12m ago -2.52% < -2% |
| Gross Margin: 51.63% > 18% (prev 51.23%; Δ 0.40% > 0.5%) |
| Asset Turnover: 113.0% > 50% (prev 110.3%; Δ 2.67% > 0%) |
| Interest Coverage Ratio: 14.89 > 6 (EBIT TTM 3.58b / Interest Expense TTM 240.2m) |
| A: -0.13 (Total Current Assets 6.97b - Total Current Liabilities 9.22b) / Total Assets 16.9b |
| B: -0.16 (Retained Earnings -2.64b / Total Assets 16.9b) |
| C: 0.22 (EBIT TTM 3.58b / Avg Total Assets 16.1b) |
| D: -0.06 (Book Value of Equity -1.07b / Total Liabilities 18.0b) |
| Altman-Z'' = 0.05 = B |
| DSRI: 1.06 (Receivables 596.2m/522.1m, Revenue 18.2b/16.9b) |
| GMI: 0.99 (GM 51.23% / 51.63%) |
| AQI: 0.92 (AQ_t 0.07 / AQ_t-1 0.07) |
| SGI: 1.08 (Revenue 18.2b / 16.9b) |
| TATA: -0.03 (NI 2.60b - CFO 3.04b) / TA 16.9b) |
| Beneish M = -2.98 (Cap -4..+1) = A |
As of June 20, 2026, the stock is trading at USD 86.84 with a total of 15,497,300 shares traded.
Over the past week, the price has changed by -3.62%,
over one month by -5.53%,
over three months by -1.22% and
over the past year by -3.18%.
O’Reilly Automotive has received a consensus analysts rating of 4.14. Therefore, it is recommended to buy ORLY.
- StrongBuy: 14
- Buy: 6
- Hold: 7
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 110.2 | 26.9% |
P/E Trailing = 28.7013
P/E Forward = 27.4725
P/S = 4.0239
P/B = 206.1799
P/EG = 1.8868
Revenue TTM = 18.2b USD
EBIT TTM = 3.58b USD
EBITDA TTM = 4.10b USD
Long Term Debt = 6.20b USD (from longTermDebt, last quarter)
Short Term Debt = 445.4m USD (from shortTermDebt, last quarter)
Debt = 11.3b USD (from shortLongTermDebtTotal, last quarter) + Leases 2.54b
Net Debt = 11.0b USD (calculated: Debt 11.3b - CCE 252.6m)
Enterprise Value = 84.3b USD (73.3b + Debt 11.3b - CCE 252.6m)
Interest Coverage Ratio = 14.89 (Ebit TTM 3.58b / Interest Expense TTM 240.2m)
EV/FCF = 44.04x (Enterprise Value 84.3b / FCF TTM 1.91b)
FCF Yield = 2.27% (FCF TTM 1.91b / Enterprise Value 84.3b)
FCF Margin = 10.51% (FCF TTM 1.91b / Revenue TTM 18.2b)
Net Margin = 14.30% (Net Income TTM 2.60b / Revenue TTM 18.2b)
Gross Margin = 51.63% ((Revenue TTM 18.2b - Cost of Revenue TTM 8.81b) / Revenue TTM)
Gross Margin QoQ = 51.47% (prev 51.79%)
Tobins Q-Ratio = 4.98 (Enterprise Value 84.3b / Total Assets 16.9b)
Interest Expense / Debt = 2.13% (Interest Expense 240.2m / Debt 11.3b)
Taxrate = 21.94% (732.0m / 3.34b)
NOPAT = 2.79b (EBIT 3.58b * (1 - 21.94%))
Current Ratio = 0.76 (Total Current Assets 6.97b / Total Current Liabilities 9.22b)
Debt / Equity = -10.56 (negative equity) (Debt 11.3b / totalStockholderEquity, last quarter -1.07b)
Debt / EBITDA = 2.69 (Net Debt 11.0b / EBITDA 4.10b)
Debt / FCF = 5.76 (Net Debt 11.0b / FCF TTM 1.91b)
Total Stockholder Equity = -989.2m (last 4 quarters mean from totalStockholderEquity)
RoA = 16.16% (Net Income 2.60b / Total Assets 16.9b)
RoE = -263.2% (negative equity) (Net Income TTM 2.60b / Total Stockholder Equity -989.2m)
RoCE = 68.69% (EBIT 3.58b / Capital Employed (Equity -989.2m + L.T.Debt 6.20b))
RoIC = 35.31% (NOPAT 2.79b / Invested Capital 7.91b)
WACC = 5.89% (E(73.3b)/V(84.5b) * Re(6.54%) + D(11.3b)/V(84.5b) * Rd(2.13%) * (1-Tc(0.22)))
Discount Rate = 6.54% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -11.11 | Cagr: -0.52%
[DCF] Terminal Value 74.56% ; FCFF base≈1.96b ; Y1≈1.87b ; Y5≈1.78b
[DCF] Fair Price = 20.53 (EV 28.0b - Net Debt 11.0b = Equity 17.0b / Shares 828.7m; r=8.35% [WACC [floored]]; 5y FCF grow -6.17% → 2.50% )
EPS Correlation: 97.94 | EPS CAGR: 7.87% | SUE: 1.64 | # QB: 1
Revenue Correlation: 99.52 | Revenue CAGR: 6.15% | SUE: 2.78 | # QB: 1
EPS current Quarter (2026-06-30): EPS=0.86 | Chg30d=-0.14% | Revisions=+38% | Analysts=18
EPS next Quarter (2026-09-30): EPS=0.91 | Chg30d=-0.07% | Revisions=+29% | Analysts=18
EPS current Year (2026-12-31): EPS=3.26 | Chg30d=+0.07% | Revisions=+11% | GrowthEPS=+9.6% | GrowthRev=+7.2%
EPS next Year (2027-12-31): EPS=3.62 | Chg30d=+0.12% | Revisions=+50% | GrowthEPS=+11.1% | GrowthRev=+6.2%
[Analyst] Revisions Ratio: +50%