
- O’Reilly Automotive increased its fiscal year revenue forecast to $17.5 billion – $17.8 billion from the previous range of $17.4 billion – $17.7 billion.
- The company now expects comparable sales growth of 3% to 4.5%, up from the earlier range of 2% to 4%.
- Gross profit margin projections remain steady at 51.2% to 51.7%, aligning with the estimate of 51.4%.
- Operating margin expectations are consistent at 19.2% to 19.7%, with an estimate of 19.5%.
- Cash from operating activities is forecasted to remain between $2.8 billion and $3.2 billion, near the estimate of $3.12 billion.
- Capital expenditure is projected at $1.2 billion to $1.3 billion, consistent with an estimate of $1.24 billion.
- Free cash flow expectations are $1.6 billion to $1.9 billion, with the estimate slightly higher at $1.91 billion.
- Second quarter sales stood at $4.53 billion, exactly matching the estimates.
- Comparable sales for the second quarter rose by 4.1%, surpassing the estimate of 3.74%.
- The gross profit margin for the second quarter was 51.4%, marginally above the estimate of 51.1%.
- Operating income for the second quarter was $914.5 million, slightly below the estimate of $925.2 million.
- Cash from operating activities during the second quarter was $756.8 million, under the estimate of $912.6 million.
- The ending store count reached 6,483, exceeding the estimate of 6,467.
- Total square footage ended at 50.24 million, surpassing the estimated 49.57 million.
- Company plans to achieve a target of 200 to 210 net new stores in 2025.
- Investor sentiment includes 23 buy ratings, 5 hold ratings, and 1 sell rating.
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O’Reilly Automotive on Smartkarma
Analysts on Smartkarma, such as Baptista Research, are closely following O’Reilly Automotive‘s strategic moves and financial performance. In a recent report titled “O’Reilly Automotiveβs Pricing Power Play,” key insights from the company’s first quarter 2025 earnings call were highlighted. The analysis revealed a 3.6% growth in comparable store sales, driven by improvements in both the professional and DIY sectors. This growth trajectory aligns with optimistic expectations, showcasing O’Reilly Automotive‘s competitive edge in the market.
Another report from Baptista Research, titled “O’Reilly Automotive: What Is The Hidden Profit Engine Driving Its Market Expansion?,” delved into the company’s fourth quarter and full year 2024 results. Despite facing challenges in the automotive aftermarket space, O’Reilly Automotive managed to achieve modest growth by prioritizing customer service and strategic adaptability. Analysts emphasize the importance of these factors as the company continues to navigate industry headwinds and pursue market expansion with a bullish outlook.
A look at O’Reilly Automotive Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
O’Reilly Automotive, Inc., a company specializing in automotive aftermarket parts and accessories, shows a promising long-term outlook based on the Smartkarma Smart Scores. With a Growth score of 4 and a Resilience score of 4, O’Reilly is positioned well for expansion and operational stability in the future. These high scores indicate strong potential for growth and the ability to withstand market challenges.
Although O’Reilly Automotive has a Value score of 0 and a Dividend score of 1, the company’s Momentum score of 3 suggests a decent level of market momentum. Overall, the Smart Scores paint a positive picture for O’Reilly Automotive‘s long-term prospects, especially considering its focus on serving both do-it-yourself customers and professional mechanics across the United States.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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