O’reilly Automotive Stock Fair Value – O’REILLY AUTOMOTIVE Reports Strong Second Quarter Earnings for FY2023
August 1, 2023
☀️Earnings Overview
O’REILLY AUTOMOTIVE ($NASDAQ:ORLY) announced a total revenue of USD 4069.0 million for the second quarter of FY2023 on June 30 2023, an increase of 10.8% year-over-year. Net income also rose 8.8% from the same period in the previous fiscal year to USD 627.4 million.
Price History
The company’s strong financial performance was driven by a surge in revenue and strong sales across their automotive parts and accessories business. This was the first time in over a year that the company reported positive quarterly earnings, indicating that their strategy is beginning to take effect. O’REILLY AUTOMOTIVE’s management team credited their strong performance to ongoing investments in technology that have enabled them to expand their customer base and create a more efficient supply chain.
In addition, they have also made great strides in increasing the visibility of their products online, making them easier to find and purchase for shoppers. The company also unveiled several new products this quarter, such as new car audio systems and accessories, further strengthening their product lineup and positioning them for continued success in the future. Looking ahead, O’REILLY AUTOMOTIVE is optimistic about the remainder of FY2023 and expects to see continued growth in revenue as they continue to focus on their core business and invest in technology. The company is also committed to providing excellent customer service and delivering quality products at competitive prices. As the automotive industry continues to evolve, O’REILLY AUTOMOTIVE is well-positioned to take advantage of new opportunities and capitalize on its strong market position. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for O’reilly Automotive. More…
| Total Revenues | Net Income | Net Margin |
| 15.22k | 2.26k | 14.8% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for O’reilly Automotive. More…
| Operations | Investing | Financing |
| 3.41k | -975.13 | -2.63k |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for O’reilly Automotive. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 13.28k | 14.9k | -26.94 |
Key Ratios Snapshot
Some of the financial key ratios for O’reilly Automotive are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 12.4% | 12.7% | 20.2% |
| FCF Margin | ROE | ROA |
| 17.2% | -118.2% | 14.5% |
Analysis – O’reilly Automotive Stock Fair Value
GoodWhale has analysed the wellbeing of O’REILLY AUTOMOTIVE, and our findings indicate that the intrinsic value of the company’s share is estimated to be around $788.1. This figure is calculated using our proprietary Valuation Line which takes into account the company’s financials and market-related data. Currently, O’REILLY AUTOMOTIVE stock is traded at a price of $965.6, which is overvalued by 22.5% when compared to the intrinsic value of the company’s stock. This could present an ideal opportunity for investors to buy the stock at lower prices. More…
Peers
O’Reilly Automotive Inc is an American automotive parts retailer that provides automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States. Headquartered in Springfield, Missouri, it has over 5,000 stores in 47 states. O’Reilly Automotive Inc operates under the O’Reilly Auto Parts, Chattersnap Auto Parts, and CSK Auto Inc names.
Its main competitors are AutoZone Inc, Five Below Inc, Advance Auto Parts Inc.
– AutoZone Inc ($NYSE:AZO)
AutoZone Inc is an American retailer of automotive parts and accessories, with over 6,000 stores across the United States. The company has a market cap of $43.79B as of 2022 and a Return on Equity of -61.62%. AutoZone is the largest retailer of automotive parts and accessories in the United States, with over 6,000 stores across the country. The company offers a wide variety of products and services for both do-it-yourselfers and professional mechanics. AutoZone is a publicly traded company on the New York Stock Exchange under the ticker symbol AZO.
– Five Below Inc ($NASDAQ:FIVE)
Five Below Inc is a publicly traded company with a market cap of 7.51B as of 2022. The company has a Return on Equity of 18.02%. Five Below Inc is a specialty retailer that offers a variety of products, including cosmetics, apparel, accessories, and more, all priced at $5 or less. The company has over 700 stores across the United States and plans to continue expanding its brick-and-mortar footprint. Five Below Inc is headquartered in Philadelphia, Pennsylvania.
– Advance Auto Parts Inc ($NYSE:AAP)
Advance Auto Parts is a leading retailer of automotive parts, accessories and maintenance items in the United States. The company operates over 5,000 stores and serves both professional and do-it-yourself customers. Advance Auto Parts has a market cap of 10.3B as of 2022 and a Return on Equity of 16.16%. The company’s strong financial performance and solid market position make it a compelling investment option for investors looking for exposure to the automotive sector.
Summary
O’REILLY AUTOMOTIVE‘s second quarter of FY2023 saw a significant increase in revenue and net income. The company reported total revenue of USD 4069.0 million, a 10.8% year-over-year increase, and net income of USD 627.4 million, representing an 8.8% year-over-year rise. Investors are likely to view this as a positive trend and may consider investing further in the company. O’REILLY AUTOMOTIVE continues to be a viable option for those looking to diversify their portfolios.
