Comparing O’Reilly Automotive (ORLY) & Its Peers

O’Reilly Automotive (NASDAQ:ORLY) is one of 285 publicly-traded companies in the “Specialty Retail” industry, but how does it weigh in compared to its peers? We will compare O’Reilly Automotive to similar companies based on the strength of its dividends, valuation, analyst recommendations, institutional ownership, risk, earnings and profitability.

Profitability

This table compares O’Reilly Automotive and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
O’Reilly Automotive	14.27%	-188.24%	15.83%
O’Reilly Automotive Competitors	-3.69%	-13.95%	3.18%

Valuation and Earnings

This table compares O’Reilly Automotive and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
O’Reilly Automotive	$17.78 billion	$2.54 billion	28.48
O’Reilly Automotive Competitors	$7.05 billion	$386.47 million	32.38

O’Reilly Automotive has higher revenue and earnings than its peers. O’Reilly Automotive is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for O’Reilly Automotive and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
O’Reilly Automotive	0	3	16	1	2.90
O’Reilly Automotive Competitors	3666	15568	21600	589	2.46

O’Reilly Automotive presently has a consensus price target of $108.00, indicating a potential upside of 16.33%. As a group, “Specialty Retail” companies have a potential upside of 5.29%. Given O’Reilly Automotive’s stronger consensus rating and higher probable upside, equities research analysts plainly believe O’Reilly Automotive is more favorable than its peers.

Volatility & Risk

O’Reilly Automotive has a beta of 0.55, suggesting that its share price is 45% less volatile than the S&P 500. Comparatively, O’Reilly Automotive’s peers have a beta of 1.91, suggesting that their average share price is 91% more volatile than the S&P 500.

Insider and Institutional Ownership

85.0% of O’Reilly Automotive shares are owned by institutional investors. Comparatively, 51.6% of shares of all “Specialty Retail” companies are owned by institutional investors. 0.8% of O’Reilly Automotive shares are owned by insiders. Comparatively, 20.5% of shares of all “Specialty Retail” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

O’Reilly Automotive beats its peers on 9 of the 13 factors compared.

About O’Reilly Automotive

O’Reilly Automotive, Inc., together with its subsidiaries, operates as a retailer and supplier of automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States, Puerto Rico, and Mexico. The company provides new and remanufactured automotive hard parts and maintenance items, such as alternators, batteries, brake system components, belts, chassis parts, driveline parts, engine parts, fuel pumps, hoses, starters, temperature control, water pumps, antifreeze, appearance products, engine additives, filters, fluids, lighting products, and oil and wiper blades; and accessories, including floor mats, seat covers, and truck accessories. It also offers auto body paint and related materials, automotive tools, and professional service provider service equipment. In addition, the company provide enhanced services and programs comprising used oil, oil filter, and battery recycling; battery, wiper, and bulb replacement; battery diagnostic testing; electrical and module testing; check engine light code extraction; loaner tool program; drum and rotor resurfacing; custom hydraulic hoses; and professional paint shop mixing and related materials. Further, it offers do-it-yourself and professional service for domestic and imported automobiles, vans, and trucks. The company was founded in 1957 and is headquartered in Springfield, Missouri.