Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if O'REILLY AUTOMOTIVE INC (NASDAQ:ORLY) is suited for quality investing. Investors should of course do their own research, but we spotted O'REILLY AUTOMOTIVE INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.
Why NASDAQ:ORLY may be interesting for quality investors.
O'REILLY AUTOMOTIVE INC has demonstrated significant revenue growth over the past 5 years, with a 10.64% increase. This underscores the company's ability to adapt to market dynamics and capitalize on growth opportunities.
The ROIC excluding cash and goodwill of O'REILLY AUTOMOTIVE INC stands at 49.28%, reflecting the company's strong financial management and profitability. This metric underscores its ability to generate favorable returns on the capital invested in its core operations.
With a Debt/Free Cash Flow Ratio of 2.75, O'REILLY AUTOMOTIVE INC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
O'REILLY AUTOMOTIVE INC exhibits impressive Profit Quality (5-year) with a 109.0% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
With a robust 5-year EBIT growth of 11.93%, O'REILLY AUTOMOTIVE INC showcases its ability to consistently expand its operating profitability. This trend indicates the company's effective cost management and revenue generation strategies.
With EBIT 5-year growth outpacing its Revenue 5-year growth, O'REILLY AUTOMOTIVE INC showcases its effective cost management and enhanced operational performance. This suggests the company's ability to generate higher earnings from its revenue streams.
How does the complete fundamental picture look for NASDAQ:ORLY?
ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.
We assign a fundamental rating of 5 out of 10 to ORLY. ORLY was compared to 125 industry peers in the Specialty Retail industry. While ORLY has a great profitability rating, there are some minor concerns on its financial health. While showing a medium growth rate, ORLY is valued expensive at the moment.
More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.
Disclaimer
This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.