O’Reilly Auto (ORLY) Receives a Buy from Oppenheimer

By Austin Angelo

Oppenheimer analyst Brian Nagel maintained a Buy rating on O’Reilly Auto (NASDAQ: ORLY) today and set a price target of $360. The company’s shares opened today at $318.

Nagel commented:

“For a while, we have looked opportunistically toward auto parts retailing as one of the most compelling areas of consumer, and upon Outperform-rated O’Reilly Auto (ORLY) as clearly the best operator in the space. In our view, the better than expected Q3 (Sep.) results and updated 2018 outlook that ORLY reported today suggest further that underlying fundamentals within the auto parts sector continue to solidify. In Q3, ORLY’s comp sales rose 3.9%, matching the upper end of management guidance and Street expectations. We expect ORLY shares to continue to grind higher from here, upon a solid fundamental trajectory for business and as investor concerns toward the space further abate.”

According to TipRanks.com, Nagel is a 5-star analyst with an average return of 6.7% and a 59.1% success rate. Nagel covers the Services sector, focusing on stocks such as Dick’s Sporting Goods, Advance Auto Parts, and Lumber Liquidators.

Currently, the analyst consensus on O’Reilly Auto is a Strong Buy with an average price target of $349.25, implying a 9.8% upside from current levels. In a report issued on October 19, J.P. Morgan also upgraded the stock to Buy with a $398 price target.


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O’Reilly Auto’s market cap is currently $26.15B and has a P/E ratio of 22.07. The company has a Price to Book ratio of 67.91.

Based on the recent corporate insider activity of 87 insiders, corporate insider sentiment is negative on the stock. Most recently, in August 2018, David Oreilly, the COB of ORLY sold 25,000 shares for a total of $8,018,250.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

O’Reilly Automotive, Inc. owns and operates retail outlets in the United States. It engages in the distribution and retailing of automotive aftermarket parts, tools, supplies, equipment, and accessories in the U.S., serving both professional installers and do-it-yourself customers.