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What Analysts Recommend for O’Reilly’s Stock after 3Q17 Results

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Analysts on O’Reilly Automotive

According to the latest data compiled by Thomson Reuters, 62% of analysts covering O’Reilly Automotive (ORLY) gave it “buy” recommendations. Another 38% of these analysts recommended a “hold” on the company’s stock. Notably, none of the 26 analysts covering the company gave it a “sell” recommendation.

No major changes were seen in analysts’ recommendations on O’Reilly stock despite a dismal 4Q17 outlook.

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Upside potential and consensus target price

According to the consensus data as of October 25, O’Reilly Automotive’s stock has a potential to reach $229.43 in the next 12 months. This 12-month price target reflects an upside potential of 13.2% from its market price of $202.72.

ORLY’s stagnating sales and flat profitability could be the primary reasons why analysts don’t expect much from its stock in the next one year. Investors should be aware of Wall Street analysts’ views, as they could have an impact on a company’s stock price movement. If a popular analyst changes his views, a significant short-term movement could occur in the stock price.

Recommendation for peers

Analysts’ consensus “buy” recommendations for O’Reilly Automotive’s peers (XLY) with their expected 12-month upside potentials are as follows:

  • 44% of analysts gave AutoZone (AZO) a “buy” with about 9.2% upside potential.
  • 48% of analysts gave Advance Auto Parts (AAP) a “buy” with about 27.7% upside potential in the next 12 months.

The largest US automaker, General Motors (GM), released its 3Q17 earnings on October 24. Read Why General Motors’ 3Q17 Results Triggered a Buying Spree to learn more.

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