Stock Price & Analysis

Based on the analysis of O'Reilly Automotive Inc. (ORLY), the stock presents a strong buy opportunity due to its consistent growth, positive analyst sentiment, and strategic initiatives. Buy ORLY stock as it is well-positioned for continued growth.

ORLY stock is predicted to reach $1,450 in 2025, driven by strong analyst consensus and solid fundamentals. Analysts have set price targets ranging from $1,250 to $1,525, with a consensus leaning towards $1,450. The company's steady demand, expansion strategies, and positive same-store sales growth support this outlook.

The S1 support level for ORLY Stock is $1341.17 ,The R1 resistant level for ORLY Stock is $1433.84.

As of the end of day on 2025-04-01, the price of ORLY Stock was $1436.38.

The target price for ORLY Stock according to analyst rating is 1,431, with the highest price target at 1,535 and the lowest at 1,250. Analysts have a Strong Buy rating on ORLY Stock overall.

The market cap of ORLY is $82.0B.

Analysis and Insights

Valuation Metrics

O'Reilly Automotive (ORLY) currently trades at a forward P/E ratio of 28.5 and an EV/EBITDA of 19.5, both of which are above industry averages, suggesting the stock may be overvalued compared to peers. The price-to-sales ratio of 4.14 further indicates a premium valuation.

Technical Analysis

The stock is trading near its 52-week high, with an RSI of 53, indicating moderate buying momentum. The MACD is positive, suggesting short-term bullishness, but the stock's high valuation and recent rally may signal limited upside potential.

Analyst Sentiment

Analysts are mixed, with a consensus rating of "Buy" but varying price targets. While some firms like Guggenheim and UBS have raised targets, others like Barclays remain cautious, citing margin concerns.

Recent News

The company announced a 15-for-1 stock split, subject to shareholder approval, aimed at making shares more accessible to employees. This move reflects confidence in long-term growth but does not directly address valuation concerns.

Conclusion

ORLY appears overvalued based on its premium valuation multiples and mixed analyst sentiment. While the company's fundamentals are strong, investors should exercise caution due to high expectations priced into the stock.

O'Reilly Automotive, Inc. is a specialty retailer of automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States, serving both the do-it-yourself and professional service provider markets. The Company's stores carry various product line, 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 various enhanced services and programs to its customers, such as battery diagnostic testing; battery, wiper and bulb replacement; custom hydraulic hoses, and drum and rotor resurfacing. It operates approximately 6,157 stores across 48 states in United States, Puerto Rico and Mexico.

ORLY stock is predicted to reach $2,500 by 2030, driven by its strong financial performance, consistent same-store sales growth, and expansion strategy. The company's durable demand and profitability support long-term growth.

ORLY has a total of 75614 employees.