We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
O’Reilly Automotive, Inc. (ORLY - Free Report) reported first-quarter 2024 adjusted earnings per share (EPS) of $9.20, beating the Zacks Consensus Estimate of $9.18. The bottom line increased from $8.28 per share reported in the prior-year quarter.
The automotive parts retailer registered quarterly revenues of $3.98 billion, surpassing the Zacks Consensus Estimate of $3.96 billion. The top line also increased 7% year over year.
During the quarter, comparable store sales grew 3.4%. The company opened 37 new stores in the United States and Mexico and started operating 23 stores in Canada after completing the acquisition of Vast Auto in January. The total store count was 6,217 as of Mar 31, 2024.
O'Reilly Automotive, Inc. Price, Consensus and EPS Surprise
In the reported quarter, selling, general and administrative expenses flared up 9% year over year to $1.28 billion. Operating income rose to $752 million from $717 million generated in the year-ago period. Net income was $547 million, up from $517 million in the year-ago quarter.
During the reported quarter, O’Reilly repurchased 0.3 million shares for $270 million at an average price of $1,029.24 per share. After the end of the quarter until the release date, ORLY repurchased an additional 0.1 million shares of common stock for a total investment of $79 million at an average price of $1,102 per share. As of Apr 24, the company had nearly $2.22 billion remaining under the current share repurchase authorization.
It had cash and cash equivalents of $89.3 million at the end of the reported quarter, down from $279.1 million recorded as of 2023-end. Its long-term debt was $5.29 billion, lower than $5.57 billion as of Dec 31, 2023.
During the reported quarter, O’Reilly generated $704.2 million in cash from operating activities, down from the year-ago period’s $713.8 million. Capital expenditures totaled $249.2 million, rising from $223.3 million in the year-ago period. Free cash flow was $438.9 million, indicating a decline of 9.7% year over year.
Updated 2024 Outlook
For full-year 2024, O’Reilly’s total revenue estimate remained unchanged at $16.8-$17.1 billion. It now expects diluted earnings per share in the range of $41.35-$41.85, up from the previous estimate of $41.05-$41.55. The outlook for comparable store sales growth remained unchanged at 3-5%. The outlook for free cash flow remained unchanged at $1.8-$2.1 billion. Capital expenditures remained unchanged at $900 million to $1 billion. The company intends to open 190-200 stores this year.
The Zacks Consensus Estimate for GELYY’s 2024 sales suggests year-over-year growth of 36.6%. The EPS estimates for 2024 and 2025 have moved up 34 cents and 54 cents, respectively, in the past 30 days.
The Zacks Consensus Estimate for ALSN’s 2024 sales and earnings suggests year-over-year growth of 2.81% and 4.73%, respectively. The EPS estimates for 2025 have improved 32 cents in the past 30 days.
The Zacks Consensus Estimate for GOEV’s 2024 sales and earnings suggests year-over-year growth of 7,722.3% and 68.24%, respectively. The EPS estimates for 2024 and 2025 have improved $4.27 and $4.71, respectively, in the past 30 days.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
O'Reilly (ORLY) Q1 Earnings & Revenues Surpass Estimates
O’Reilly Automotive, Inc. (ORLY - Free Report) reported first-quarter 2024 adjusted earnings per share (EPS) of $9.20, beating the Zacks Consensus Estimate of $9.18. The bottom line increased from $8.28 per share reported in the prior-year quarter.
The automotive parts retailer registered quarterly revenues of $3.98 billion, surpassing the Zacks Consensus Estimate of $3.96 billion. The top line also increased 7% year over year.
During the quarter, comparable store sales grew 3.4%. The company opened 37 new stores in the United States and Mexico and started operating 23 stores in Canada after completing the acquisition of Vast Auto in January. The total store count was 6,217 as of Mar 31, 2024.
O'Reilly Automotive, Inc. Price, Consensus and EPS Surprise
O'Reilly Automotive, Inc. price-consensus-eps-surprise-chart | O'Reilly Automotive, Inc. Quote
Financials, Share Repurchase & Costs
In the reported quarter, selling, general and administrative expenses flared up 9% year over year to $1.28 billion. Operating income rose to $752 million from $717 million generated in the year-ago period. Net income was $547 million, up from $517 million in the year-ago quarter.
During the reported quarter, O’Reilly repurchased 0.3 million shares for $270 million at an average price of $1,029.24 per share. After the end of the quarter until the release date, ORLY repurchased an additional 0.1 million shares of common stock for a total investment of $79 million at an average price of $1,102 per share. As of Apr 24, the company had nearly $2.22 billion remaining under the current share repurchase authorization.
It had cash and cash equivalents of $89.3 million at the end of the reported quarter, down from $279.1 million recorded as of 2023-end. Its long-term debt was $5.29 billion, lower than $5.57 billion as of Dec 31, 2023.
During the reported quarter, O’Reilly generated $704.2 million in cash from operating activities, down from the year-ago period’s $713.8 million. Capital expenditures totaled $249.2 million, rising from $223.3 million in the year-ago period. Free cash flow was $438.9 million, indicating a decline of 9.7% year over year.
Updated 2024 Outlook
For full-year 2024, O’Reilly’s total revenue estimate remained unchanged at $16.8-$17.1 billion. It now expects diluted earnings per share in the range of $41.35-$41.85, up from the previous estimate of $41.05-$41.55. The outlook for comparable store sales growth remained unchanged at 3-5%. The outlook for free cash flow remained unchanged at $1.8-$2.1 billion. Capital expenditures remained unchanged at $900 million to $1 billion. The company intends to open 190-200 stores this year.
Zacks Rank & Other Key Picks
ORLY currently carries a Zacks Rank #2 (Buy).
Some other top-ranked players in the auto space are Geely Automobile Holdings Limited (GELYY - Free Report) , Allison Transmission Holdings, Inc. (ALSN - Free Report) and Canoo Inc. (GOEV - Free Report) , each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for GELYY’s 2024 sales suggests year-over-year growth of 36.6%. The EPS estimates for 2024 and 2025 have moved up 34 cents and 54 cents, respectively, in the past 30 days.
The Zacks Consensus Estimate for ALSN’s 2024 sales and earnings suggests year-over-year growth of 2.81% and 4.73%, respectively. The EPS estimates for 2025 have improved 32 cents in the past 30 days.
The Zacks Consensus Estimate for GOEV’s 2024 sales and earnings suggests year-over-year growth of 7,722.3% and 68.24%, respectively. The EPS estimates for 2024 and 2025 have improved $4.27 and $4.71, respectively, in the past 30 days.