O’Reilly Automotive Inc ($ORLY) Cautious Buy or Hold to $123 Confident Investor Rating: Fair

Company name O’Reilly Automotive Inc
Stock ticker ORLY
Live stock price [stckqut]ORLY[/stckqut]
P/E compared to competitors Fair

MANAGEMENT EXECUTION

Employee productivity Good
Sales growth Fair
EPS growth Good
P/E growth Poor
EBIT growth Good

ANALYSIS

Confident Investor Rating Fair
Target stock price (TWCA growth scenario) $128.53
Target stock price (averages with growth) $167.01
Target stock price (averages with no growth) $122.15
Target stock price (manual assumptions) $124.25

The following company description is from Google Finance: http://www.google.com/finance?q=orly

O’Reilly Automotive, Inc. (O’Reilly) is a specialty retailer of automotive aftermarket parts, tools, supplies, equipment and accessories in the United States, selling its products to both do-it-yourself (DIY) customers and professional service providers. As of December 31, 2011, O’Reilly operated 3,740 stores in 39 states. The Company’s stores product line includes products, such as new and remanufactured automotive hard parts, such as alternators, starters, fuel pumps, water pumps, brake system components, batteries, belts, hoses, temperature control, chassis parts and engine parts; maintenance items, such as oil, antifreeze, fluids, filters, wiper blades, lighting, engine additives and appearance products, and accessories, such as floor mats, seat covers and truck accessories. Its stores offer a number of services and programs to its customers, such as used oil and battery recycling; battery diagnostic testing; professional paint shop mixing and related materials, and machine shops.

 

Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in this stock as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.

If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.