O'Reilly Automotive shares decline amid market weakness
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 29 2026
0mins
Should l Buy ORLY?
Source: Benzinga
O'Reilly Automotive Inc experienced a price drop of 3.03%, hitting a 20-day low of $98.11.
The recent decline has raised concerns about the stock's momentum after a strong year, with analysts suggesting a fair value of $110, indicating potential upside from current levels.
Investors are advised to consider the high price-to-earnings ratio and explore other undervalued sectors, as the stock's performance may be influenced by broader market conditions.
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Analyst Views on ORLY
Wall Street analysts forecast ORLY stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ORLY is 110.75 USD with a low forecast of 91.00 USD and a high forecast of 125.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
20 Analyst Rating
18 Buy
2 Hold
0 Sell
Strong Buy
Current: 92.860
Low
91.00
Averages
110.75
High
125.00
Current: 92.860
Low
91.00
Averages
110.75
High
125.00
About ORLY
O’Reilly Automotive, Inc. is a specialty retailer of automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States (U.S.), selling its products to both do-it-yourself (DIY) and professional service provider customers. Its stores carry various product lines, including 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, oil, and wiper blades and accessories, such as floor mats, seat covers, and truck accessories. Its stores offer services and programs, including battery diagnostic testing; battery, wiper, and bulb replacement; a loaner tool program; custom hydraulic hoses, drum and rotor resurfacing, electrical and module testing, used oil, oil filter, and battery recycling; and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
O'REILLY AUTOMOTIVE INC: TD COWEN LOWERS TARGET PRICE FROM $125 TO $115
- Target Price Adjustment: O'Reilly Automotive has reduced its target price from $125 to $115.
- Market Impact: This adjustment may reflect changes in market conditions or company performance expectations.
See More
Significant Stock Movements in Midday Trading
- McKesson Earnings Beat: McKesson's fiscal third-quarter earnings per share exceeded Wall Street's highest estimates, and the adjusted full-year EPS guidance was raised above analyst consensus, leading to a 16% stock price increase, indicating strong performance in the medical supply sector.
- Bob's Discount Furniture IPO: Bob's Discount Furniture debuted on the New York Stock Exchange with shares priced at $17, recently rising 10%, marking a successful entry into the public market and laying the groundwork for future growth.
- Fluence Energy Earnings Miss: Fluence Energy reported first-quarter revenue of $475.2 million, falling short of the $481.2 million consensus, with a per-share loss of 34 cents missing the 21-cent loss estimate, resulting in a 31% stock price drop, reflecting market concerns over its profitability.
- Cardinal Health Guidance Raised: Cardinal Health reported quarterly adjusted earnings of $2.63 per share, exceeding the $2.36 consensus, with revenue of $65.63 billion surpassing the $64.14 billion estimate, leading to an 8% stock price increase, showcasing strong growth potential in the healthcare services sector.
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Significant Premarket Trading Moves by Multiple Companies
- Qualcomm's Downgraded Forecast: Qualcomm's stock plummeted nearly 11% as the company projected adjusted earnings of $2.45 to $2.65 per share and revenue of $10.2 to $11 billion for Q2, both below analyst expectations of $11.11 billion and $2.89 per share, reflecting concerns over a global memory shortage.
- Estee Lauder's Disappointing Results: Despite reporting adjusted earnings of $0.89 per share, exceeding the $0.84 expected by analysts, Estee Lauder's stock fell 12%, indicating market skepticism about future growth, even as the company raised its full-year earnings guidance to $2.05 to $2.25 per share.
- Align Technology's Strong Performance: Align Technology's stock rose 2.7% after reporting fourth-quarter earnings of $3.29 per share, surpassing the $2.97 consensus estimate, with revenue of $1.05 billion exceeding expectations of $1.03 billion, showcasing robust demand for its products.
- Bristol-Myers Squibb's Stock Increase: The pharmaceutical giant's stock gained 2% after posting fourth-quarter adjusted earnings of $1.26 per share and revenues of $12.5 billion, both exceeding analyst expectations, highlighting its competitive strength and growth potential in the market.
See More
Qualcomm's Downgraded Forecast Causes Stock Plunge
- Qualcomm's Earnings Downgrade: Qualcomm's forecast was downgraded due to a global memory shortage, expecting adjusted earnings between $2.45 and $2.65 per share and revenue of $10.2 billion to $11 billion, significantly below analysts' expectations of $11.11 billion, resulting in an over 8% stock drop.
- Alphabet's Strong Earnings: Alphabet reported fourth-quarter earnings that exceeded expectations, with strong performance in revenue and Google Cloud, while YouTube ad revenue was $11.38 billion, slightly below the anticipated $11.84 billion, leading to a 1% stock increase.
- Boot Barn Raises Guidance: Boot Barn raised its full-year earnings guidance to $7.25 to $7.35 per share, surpassing the consensus estimate of $7.31, which contributed to a 5% increase in its stock price.
- Align Technology's Impressive Results: Align Technology reported fourth-quarter earnings of $3.29 per share, exceeding the LSEG consensus estimate of $2.97, with revenue of $1.05 billion also surpassing expectations, resulting in a stock surge of over 11%.
See More
O'Reilly Automotive Provides 2026 Financial Guidance Amid Q4 Earnings Miss
- Earnings Performance: O'Reilly Automotive reported a Q4 GAAP EPS of $0.71, missing estimates by $0.01, while revenue reached $4.41 billion, reflecting a 7.6% year-over-year increase and beating expectations by $20 million, indicating the company's resilience in the market.
- 2026 Financial Guidance: The company anticipates opening 225 to 235 new stores in 2026, with comparable store sales growth projected between 3.0% and 5.0%, highlighting O'Reilly's proactive strategy to expand its market share.
- Revenue and Profit Outlook: Total revenue for 2026 is expected to range from $18.7 billion to $19.0 billion, with gross profit margins projected at 51.5% to 52.0%, reflecting the company's ongoing focus on profitability and optimization.
- Cash Flow and Capital Expenditures: The net cash provided by operating activities is projected to be between $3.1 billion and $3.5 billion, with capital expenditures expected to be between $1.3 billion and $1.4 billion, and free cash flow anticipated to range from $1.8 billion to $2.1 billion, showcasing the company's strong cash flow management capabilities.
See More
O'Reilly Automotive Reports Record Revenue and Earnings for 2025
- Significant Sales Growth: O'Reilly Automotive achieved a 5.6% increase in comparable store sales for Q4 2025 and a 4.7% increase for the full year, demonstrating the company's ability to gain market share in the competitive automotive aftermarket, thereby solidifying its industry leadership.
- Enhanced Profitability: The diluted earnings per share rose by 13% to $0.71 in Q4 and by 10% to $2.97 for the full year, reflecting the company's success in cost management and gross margin improvement, which bolsters investor confidence.
- Strong Cash Flow: The company generated $2.8 billion in net cash from operating activities in 2025, showcasing robust cash generation capabilities that provide ample funding for future expansion and shareholder returns.
- Successful Expansion Plans: O'Reilly opened 207 new stores in 2025 and established a new distribution center in Virginia, indicating successful execution of its North American expansion strategy, which is expected to further drive sales growth in the future.
See More
O'REILLY AUTOMOTIVE INC: TD COWEN LOWERS TARGET PRICE FROM $125 TO $115
- Target Price Adjustment: O'Reilly Automotive has reduced its target price from $125 to $115.
- Market Impact: This adjustment may reflect changes in market conditions or company performance expectations.
See More
Significant Stock Movements in Midday Trading
- McKesson Earnings Beat: McKesson's fiscal third-quarter earnings per share exceeded Wall Street's highest estimates, and the adjusted full-year EPS guidance was raised above analyst consensus, leading to a 16% stock price increase, indicating strong performance in the medical supply sector.
- Bob's Discount Furniture IPO: Bob's Discount Furniture debuted on the New York Stock Exchange with shares priced at $17, recently rising 10%, marking a successful entry into the public market and laying the groundwork for future growth.
- Fluence Energy Earnings Miss: Fluence Energy reported first-quarter revenue of $475.2 million, falling short of the $481.2 million consensus, with a per-share loss of 34 cents missing the 21-cent loss estimate, resulting in a 31% stock price drop, reflecting market concerns over its profitability.
- Cardinal Health Guidance Raised: Cardinal Health reported quarterly adjusted earnings of $2.63 per share, exceeding the $2.36 consensus, with revenue of $65.63 billion surpassing the $64.14 billion estimate, leading to an 8% stock price increase, showcasing strong growth potential in the healthcare services sector.
See More
Significant Premarket Trading Moves by Multiple Companies
- Qualcomm's Downgraded Forecast: Qualcomm's stock plummeted nearly 11% as the company projected adjusted earnings of $2.45 to $2.65 per share and revenue of $10.2 to $11 billion for Q2, both below analyst expectations of $11.11 billion and $2.89 per share, reflecting concerns over a global memory shortage.
- Estee Lauder's Disappointing Results: Despite reporting adjusted earnings of $0.89 per share, exceeding the $0.84 expected by analysts, Estee Lauder's stock fell 12%, indicating market skepticism about future growth, even as the company raised its full-year earnings guidance to $2.05 to $2.25 per share.
- Align Technology's Strong Performance: Align Technology's stock rose 2.7% after reporting fourth-quarter earnings of $3.29 per share, surpassing the $2.97 consensus estimate, with revenue of $1.05 billion exceeding expectations of $1.03 billion, showcasing robust demand for its products.
- Bristol-Myers Squibb's Stock Increase: The pharmaceutical giant's stock gained 2% after posting fourth-quarter adjusted earnings of $1.26 per share and revenues of $12.5 billion, both exceeding analyst expectations, highlighting its competitive strength and growth potential in the market.
See More
Qualcomm's Downgraded Forecast Causes Stock Plunge
- Qualcomm's Earnings Downgrade: Qualcomm's forecast was downgraded due to a global memory shortage, expecting adjusted earnings between $2.45 and $2.65 per share and revenue of $10.2 billion to $11 billion, significantly below analysts' expectations of $11.11 billion, resulting in an over 8% stock drop.
- Alphabet's Strong Earnings: Alphabet reported fourth-quarter earnings that exceeded expectations, with strong performance in revenue and Google Cloud, while YouTube ad revenue was $11.38 billion, slightly below the anticipated $11.84 billion, leading to a 1% stock increase.
- Boot Barn Raises Guidance: Boot Barn raised its full-year earnings guidance to $7.25 to $7.35 per share, surpassing the consensus estimate of $7.31, which contributed to a 5% increase in its stock price.
- Align Technology's Impressive Results: Align Technology reported fourth-quarter earnings of $3.29 per share, exceeding the LSEG consensus estimate of $2.97, with revenue of $1.05 billion also surpassing expectations, resulting in a stock surge of over 11%.
See More
O'Reilly Automotive Provides 2026 Financial Guidance Amid Q4 Earnings Miss
- Earnings Performance: O'Reilly Automotive reported a Q4 GAAP EPS of $0.71, missing estimates by $0.01, while revenue reached $4.41 billion, reflecting a 7.6% year-over-year increase and beating expectations by $20 million, indicating the company's resilience in the market.
- 2026 Financial Guidance: The company anticipates opening 225 to 235 new stores in 2026, with comparable store sales growth projected between 3.0% and 5.0%, highlighting O'Reilly's proactive strategy to expand its market share.
- Revenue and Profit Outlook: Total revenue for 2026 is expected to range from $18.7 billion to $19.0 billion, with gross profit margins projected at 51.5% to 52.0%, reflecting the company's ongoing focus on profitability and optimization.
- Cash Flow and Capital Expenditures: The net cash provided by operating activities is projected to be between $3.1 billion and $3.5 billion, with capital expenditures expected to be between $1.3 billion and $1.4 billion, and free cash flow anticipated to range from $1.8 billion to $2.1 billion, showcasing the company's strong cash flow management capabilities.
See More
O'Reilly Automotive Reports Record Revenue and Earnings for 2025
- Significant Sales Growth: O'Reilly Automotive achieved a 5.6% increase in comparable store sales for Q4 2025 and a 4.7% increase for the full year, demonstrating the company's ability to gain market share in the competitive automotive aftermarket, thereby solidifying its industry leadership.
- Enhanced Profitability: The diluted earnings per share rose by 13% to $0.71 in Q4 and by 10% to $2.97 for the full year, reflecting the company's success in cost management and gross margin improvement, which bolsters investor confidence.
- Strong Cash Flow: The company generated $2.8 billion in net cash from operating activities in 2025, showcasing robust cash generation capabilities that provide ample funding for future expansion and shareholder returns.
- Successful Expansion Plans: O'Reilly opened 207 new stores in 2025 and established a new distribution center in Virginia, indicating successful execution of its North American expansion strategy, which is expected to further drive sales growth in the future.
See More
