O'Reilly Automotive is one of the largest specialty retailers of automotive aftermarket parts, tools, supplies, equipment and accessories in the United States, serving both the do-it-yourself and professional service provider markets. The company was founded in 1957 and is based in Springfield, Missouri.
ORLY Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for ORLY, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that O Reilly Automotive Inc ranked in the 54th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. As for the metrics that stood out in our discounted cash flow analysis of O Reilly Automotive Inc, consider:
O Reilly Automotive Inc's weighted average cost of capital (WACC) is 8%; for context, that number is higher than merely 21.56% of tickers in our DCF set.
ORLY's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than merely 21.56% of tickers in our DCF set.
Relative to other stocks in its sector (Consumer Cyclical), O Reilly Automotive Inc has a reliance on debt greater than only 24.94% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
TGNA, FND, LOCO, CMPR, and HMTV can be thought of as valuation peers to ORLY, in the sense that they are in the Consumer Cyclical sector and have a similar price forecast based on DCF valuation.
* Earnings Release Date – Wednesday, February 10, 2021, after 3:30 p.m. Central Time * Conference Call Date – Thursday, February 11, 2021, at 10:00 a.m. Central TimeSPRINGFIELD, Mo., Jan. 04, 2021 (GLOBE NEWSWIRE) -- O’Reilly Automotive, Inc. (the “Company” or “O’Reilly”) (Nasdaq: ORLY), a leading retailer in the automotive aftermarket industry, announces the release date for its fourth quarter and full-year 2020 results as Wednesday, February 10, 2021, with a conference call to follow on Thursday, February 11, 2021.The Company’s fourth quarter and full-year 2020 results will be released after 3:30 p.m. Central Time on Wednesday, February 10, 2021, and can be viewed, at that time, on the Company’s website at www.OReillyAuto.com by clicking on “Investor Relations” and then “News Room.”I...