O’Reilly Automotive (NASDAQ:ORLY) Shares Down 4.8% – Here’s Why

O’Reilly Automotive, Inc. (NASDAQ:ORLY) shares traded down 4.8% on Tuesday . The stock traded as low as $86.80 and last traded at $87.38. 1,753,237 shares traded hands during trading, a decline of 70% from the average session volume of 5,853,809 shares. The stock had previously closed at $91.74.

Analyst Upgrades and Downgrades

A number of research firms have commented on ORLY. Robert W. Baird set a $110.00 price target on shares of O’Reilly Automotive in a report on Friday, May 1st. Roth Mkm restated a “buy” rating and issued a $109.00 price target on shares of O’Reilly Automotive in a report on Monday, May 4th. Citigroup restated a “buy” rating and issued a $115.00 price target (up from $110.00) on shares of O’Reilly Automotive in a report on Friday, May 1st. Raymond James Financial restated an “outperform” rating and issued a $115.00 price target on shares of O’Reilly Automotive in a report on Friday, May 1st. Finally, UBS Group raised their price target on shares of O’Reilly Automotive from $114.00 to $120.00 and gave the stock a “buy” rating in a report on Friday, May 1st. One equities research analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and two have given a Hold rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $112.25.

O’Reilly Automotive Price Performance

The stock has a market capitalization of $74.42 billion, a price-to-earnings ratio of 29.35, a PEG ratio of 2.02 and a beta of 0.58. The business’s fifty day moving average price is $91.94 and its 200-day moving average price is $94.25.

O’Reilly Automotive (NASDAQ:ORLY) last issued its quarterly earnings data on Wednesday, April 29th. The specialty retailer reported $0.72 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.69 by $0.03. O’Reilly Automotive had a net margin of 14.30% and a negative return on equity of 263.22%. The firm had revenue of $4.56 billion during the quarter, compared to analysts’ expectations of $4.46 billion. During the same period last year, the company earned $9.35 earnings per share. The business’s revenue was up 10.2% on a year-over-year basis. O’Reilly Automotive has set its FY 2026 guidance at 3.150-3.250 EPS. Equities research analysts predict that O’Reilly Automotive, Inc. will post 3.24 earnings per share for the current fiscal year.

Insider Activity

In related news, Director John Raymond Murphy sold 2,595 shares of the firm’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $88.67, for a total transaction of $230,098.65. Following the transaction, the director directly owned 4,000 shares of the company’s stock, valued at $354,680. This trade represents a 39.35% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Brad W. Beckham sold 13,635 shares of the firm’s stock in a transaction dated Friday, May 8th. The shares were sold at an average price of $95.00, for a total transaction of $1,295,325.00. Following the transaction, the chief executive officer directly owned 12,250 shares in the company, valued at $1,163,750. The trade was a 52.68% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold 104,530 shares of company stock valued at $9,709,404 over the last ninety days. Company insiders own 0.77% of the company’s stock.

Institutional Trading of O’Reilly Automotive

Several hedge funds have recently added to or reduced their stakes in ORLY. Norges Bank bought a new stake in O’Reilly Automotive in the fourth quarter worth about $1,134,311,000. Akre Capital Management LLC raised its position in O’Reilly Automotive by 989.3% in the second quarter. Akre Capital Management LLC now owns 9,410,714 shares of the specialty retailer’s stock worth $848,188,000 after acquiring an additional 8,546,804 shares during the period. Alphinity Investment Management Pty Ltd bought a new stake in O’Reilly Automotive in the third quarter worth about $435,620,000. Wellington Management Group LLP raised its position in O’Reilly Automotive by 25.1% in the fourth quarter. Wellington Management Group LLP now owns 14,755,276 shares of the specialty retailer’s stock worth $1,345,829,000 after acquiring an additional 2,964,945 shares during the period. Finally, Ameriprise Financial Inc. raised its position in O’Reilly Automotive by 1,316.5% in the second quarter. Ameriprise Financial Inc. now owns 3,027,830 shares of the specialty retailer’s stock worth $272,871,000 after acquiring an additional 2,814,071 shares during the period. Institutional investors own 85.00% of the company’s stock.

O’Reilly Automotive Company Profile

O’Reilly Automotive, Inc is a leading retailer and distributor in the automotive aftermarket, supplying parts, tools, supplies and accessories for both professional service providers and do‑it‑yourself (DIY) customers. The company’s product assortment covers replacement parts, maintenance items, performance parts, collision components and shop equipment, complemented by diagnostic tools, batteries, chemicals and consumables. O’Reilly serves customers through company-operated retail stores, commercial sales programs for repair shops and maintenance fleets, and digital channels that support parts lookup, ordering and fulfillment.

The company operates a broad supply chain that includes regional distribution centers to support rapid replenishment of store inventory and commercial deliveries.