O'REILLY AUTOMOTIVE INC (ORLY) Stock Fundamental Analysis
USA - NASDAQ:ORLY - US67103H1077 - Common Stock
104.55 USD
-0.84 (-0.8%)
104.55 USD
0 (0%)
Overall ORLY gets a fundamental rating of 5 out of 10. We evaluated ORLY against 121 industry peers in the Specialty Retail industry. While ORLY has a great profitability rating, there are some minor concerns on its financial health. ORLY is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
ORLY had positive earnings in the past year.
ORLY had a positive operating cash flow in the past year.
ORLY had positive earnings in each of the past 5 years.
In the past 5 years ORLY always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of ORLY (15.32%) is better than 92.56% of its industry peers.
The Return On Invested Capital of ORLY (36.27%) is better than 99.17% of its industry peers.
ORLY had an Average Return On Invested Capital over the past 3 years of 40.10%. This is significantly above the industry average of 12.16%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.32% | ||
| ROE | N/A | ||
| ROIC | 36.27% |
ROA(3y)16.72%
ROA(5y)16.75%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)40.1%
ROIC(5y)37.89%
1.3 Margins
The Profit Margin of ORLY (14.16%) is better than 95.87% of its industry peers.
ORLY's Profit Margin has been stable in the last couple of years.
ORLY's Operating Margin of 19.22% is amongst the best of the industry. ORLY outperforms 96.69% of its industry peers.
In the last couple of years the Operating Margin of ORLY has remained more or less at the same level.
The Gross Margin of ORLY (51.40%) is better than 80.99% of its industry peers.
In the last couple of years the Gross Margin of ORLY has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.22% | ||
| PM (TTM) | 14.16% | ||
| GM | 51.4% |
OM growth 3Y-3.98%
OM growth 5Y0.56%
PM growth 3Y-4.2%
PM growth 5Y0.83%
GM growth 3Y-0.94%
GM growth 5Y-0.75%
2. Health
2.1 Basic Checks
ORLY has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
ORLY has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, ORLY has less shares outstanding
ORLY has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.46 indicates that ORLY is not in any danger for bankruptcy at the moment.
ORLY has a better Altman-Z score (4.46) than 83.47% of its industry peers.
ORLY has a debt to FCF ratio of 3.29. This is a good value and a sign of high solvency as ORLY would need 3.29 years to pay back of all of its debts.
ORLY has a Debt to FCF ratio of 3.29. This is in the better half of the industry: ORLY outperforms 71.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.29 | ||
| Altman-Z | 4.46 |
ROIC/WACC3.83
WACC9.46%
2.3 Liquidity
ORLY has a Current Ratio of 0.72. This is a bad value and indicates that ORLY is not financially healthy enough and could expect problems in meeting its short term obligations.
ORLY has a worse Current ratio (0.72) than 88.43% of its industry peers.
A Quick Ratio of 0.11 indicates that ORLY may have some problems paying its short term obligations.
ORLY has a Quick ratio of 0.11. This is amonst the worse of the industry: ORLY underperforms 95.04% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.11 |
3. Growth
3.1 Past
ORLY shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 5.60%.
Measured over the past years, ORLY shows a quite strong growth in Earnings Per Share. The EPS has been growing by 17.85% on average per year.
ORLY shows a small growth in Revenue. In the last year, the Revenue has grown by 5.15%.
The Revenue has been growing by 10.48% on average over the past years. This is quite good.
EPS 1Y (TTM)5.6%
EPS 3Y9.35%
EPS 5Y17.85%
EPS Q2Q%10.9%
Revenue 1Y (TTM)5.15%
Revenue growth 3Y7.83%
Revenue growth 5Y10.48%
Sales Q2Q%5.92%
3.2 Future
The Earnings Per Share is expected to grow by 9.90% on average over the next years. This is quite good.
ORLY is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.71% yearly.
EPS Next Y10.82%
EPS Next 2Y11.49%
EPS Next 3Y11.08%
EPS Next 5Y9.9%
Revenue Next Year6.33%
Revenue Next 2Y6.44%
Revenue Next 3Y6.34%
Revenue Next 5Y5.71%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 37.34, ORLY can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of ORLY is on the same level as its industry peers.
ORLY is valuated rather expensively when we compare the Price/Earnings ratio to 27.20, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 31.03, the valuation of ORLY can be described as expensive.
ORLY's Price/Forward Earnings ratio is in line with the industry average.
The average S&P500 Price/Forward Earnings ratio is at 22.70. ORLY is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.34 | ||
| Fwd PE | 31.03 |
4.2 Price Multiples
ORLY's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ORLY is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 50.06 | ||
| EV/EBITDA | 24.97 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates ORLY does not grow enough to justify the current Price/Earnings ratio.
The excellent profitability rating of ORLY may justify a higher PE ratio.
PEG (NY)3.45
PEG (5Y)2.09
EPS Next 2Y11.49%
EPS Next 3Y11.08%
5. Dividend
5.1 Amount
No dividends for ORLY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
104.55
-0.84 (-0.8%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners88.15%
Inst Owner Change1262.11%
Ins Owners0.47%
Ins Owner Change-0.84%
Market Cap88.71B
Analysts79.46
Price Target108.56 (3.84%)
Short Float %1.73%
Short Ratio3.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.51%
Min EPS beat(2)-7.04%
Max EPS beat(2)-1.97%
EPS beat(4)0
Avg EPS beat(4)-4.15%
Min EPS beat(4)-7.04%
Max EPS beat(4)-1.97%
EPS beat(8)1
Avg EPS beat(8)-3.13%
EPS beat(12)4
Avg EPS beat(12)-1.05%
EPS beat(16)6
Avg EPS beat(16)0.7%
Revenue beat(2)0
Avg Revenue beat(2)-2.47%
Min Revenue beat(2)-2.82%
Max Revenue beat(2)-2.12%
Revenue beat(4)0
Avg Revenue beat(4)-2.27%
Min Revenue beat(4)-3.36%
Max Revenue beat(4)-0.78%
Revenue beat(8)1
Avg Revenue beat(8)-2.03%
Revenue beat(12)4
Avg Revenue beat(12)-1.07%
Revenue beat(16)6
Avg Revenue beat(16)-0.7%
PT rev (1m)0.88%
PT rev (3m)-92.81%
EPS NQ rev (1m)0.05%
EPS NQ rev (3m)1.07%
EPS NY rev (1m)0.63%
EPS NY rev (3m)-93.29%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)0.99%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)0.46%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.34 | ||
| Fwd PE | 31.03 | ||
| P/S | 5.18 | ||
| P/FCF | 50.06 | ||
| P/OCF | 30.5 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 24.97 |
EPS(TTM)2.8
EY2.68%
EPS(NY)3.37
Fwd EY3.22%
FCF(TTM)2.09
FCFY2%
OCF(TTM)3.43
OCFY3.28%
SpS20.18
BVpS-1.45
TBVpS-2.56
PEG (NY)3.45
PEG (5Y)2.09
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.32% | ||
| ROE | N/A | ||
| ROCE | 46.36% | ||
| ROIC | 36.27% | ||
| ROICexc | 37.32% | ||
| ROICexgc | 43.23% | ||
| OM | 19.22% | ||
| PM (TTM) | 14.16% | ||
| GM | 51.4% | ||
| FCFM | 10.35% |
ROA(3y)16.72%
ROA(5y)16.75%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)40.1%
ROIC(5y)37.89%
ROICexc(3y)41.26%
ROICexc(5y)39.58%
ROICexgc(3y)49.25%
ROICexgc(5y)47.31%
ROCE(3y)51.25%
ROCE(5y)48.43%
ROICexcg growth 3Y-2.69%
ROICexcg growth 5Y10.22%
ROICexc growth 3Y-2.08%
ROICexc growth 5Y10.15%
OM growth 3Y-3.98%
OM growth 5Y0.56%
PM growth 3Y-4.2%
PM growth 5Y0.83%
GM growth 3Y-0.94%
GM growth 5Y-0.75%
F-Score7
Asset Turnover1.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.29 | ||
| Debt/EBITDA | 1.54 | ||
| Cap/Depr | 233.76% | ||
| Cap/Sales | 6.64% | ||
| Interest Coverage | 15.75 | ||
| Cash Conversion | 76.99% | ||
| Profit Quality | 73.11% | ||
| Current Ratio | 0.72 | ||
| Quick Ratio | 0.11 | ||
| Altman-Z | 4.46 |
F-Score7
WACC9.46%
ROIC/WACC3.83
Cap/Depr(3y)208.32%
Cap/Depr(5y)181.58%
Cap/Sales(3y)5.47%
Cap/Sales(5y)4.75%
Profit Quality(3y)96.76%
Profit Quality(5y)110.66%
High Growth Momentum
Growth
EPS 1Y (TTM)5.6%
EPS 3Y9.35%
EPS 5Y17.85%
EPS Q2Q%10.9%
EPS Next Y10.82%
EPS Next 2Y11.49%
EPS Next 3Y11.08%
EPS Next 5Y9.9%
Revenue 1Y (TTM)5.15%
Revenue growth 3Y7.83%
Revenue growth 5Y10.48%
Sales Q2Q%5.92%
Revenue Next Year6.33%
Revenue Next 2Y6.44%
Revenue Next 3Y6.34%
Revenue Next 5Y5.71%
EBIT growth 1Y1.84%
EBIT growth 3Y3.53%
EBIT growth 5Y11.1%
EBIT Next Year24.02%
EBIT Next 3Y13.03%
EBIT Next 5Y9.52%
FCF growth 1Y-32.17%
FCF growth 3Y-9.84%
FCF growth 5Y13.4%
OCF growth 1Y-14.65%
OCF growth 3Y-1.67%
OCF growth 5Y12.29%