The objective of investing is to raise one's spending power over the long haul. Unsurprisingly, some stocks have done a better job than others at doing precisely that.
I maintain a hold rating for O'Reilly Automotive due to its expensive valuation at 29.5x forward earnings, despite strong fundamentals. ORLY's 4Q24 results showed solid performance with 4.4% comps growth and $4.1 billion in revenue, but EPS missed consensus due to a one-time charge. Industry tailwinds, such as the increasing complexity of car repairs, support demand for ORLY's DIFM services, which grew faster than DIY sales.
O'Reilly Automotive's Q4 financials showed good 4.4% comparable sales growth and consistent underlying profitability, being positive after prior quarters showed more severe industry pressures. O'Reilly's 2025 outlook has three weak points, adding short- to mid-term uncertainty and pressuring cash flow expectations. As the stock has continued to rise, I now estimate -16% downside to a fair value of $1118.
O'Reilly Automotive, Inc. (NASDAQ:ORLY ) Q4 2024 Earnings Conference Call February 6, 2025 11:00 AM ET Company Participants Jeremy Fletcher - EVP and CFO Brad Beckham - CEO Brent Kirby - President Conference Call Participants Josh Young - Truist Michael Lasser - UBS Gregory Melich - Evercore ISI Bret Jordan - Jefferies David Bellinger - Mizuho Michael Baker - D.A. Davidson Steven Forbes - Guggenheim Securities Operator Welcome to the O'Reilly Automotive Inc. Fourth Quarter and Full Year 2024 Earnings Call.
O'Reilly Automotive (ORLY) possesses solid growth attributes, which could help it handily outperform the market.
ORLY reports better-than-expected Q4 results and expects 2025 revenues in the range of $17.4-$17.7 billion compared with $16.7 billion reported in 2024.
While the top- and bottom-line numbers for O'Reilly Automotive (ORLY) give a sense of how the business performed in the quarter ended December 2024, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
O'Reilly Automotive (ORLY) came out with quarterly earnings of $9.96 per share, beating the Zacks Consensus Estimate of $9.71 per share. This compares to earnings of $9.26 per share a year ago.
Aftermarket automotive parts specialist O'Reilly Automotive (ORLY 1.05%) reported mixed fourth-quarter and full-year 2024 earnings on Wednesday, Feb. 5. While Q4 revenue surpassed analysts' consensus estimates, reaching $4.1 billion compared to the expected $4.05 billion, the earnings per share (EPS) of $9.50 underperformed relative to the $9.75 forecast.
Besides Wall Street's top -and-bottom-line estimates for O'Reilly Automotive (ORLY), review projections for some of its key metrics to gain a deeper understanding of how the company might have fared during the quarter ended December 2024.
O'Reilly Automotive (ORLY) possesses the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
O'Reilly Automotive (ORLY) possesses solid growth attributes, which could help it handily outperform the market.