Companies /Consumer Cyclical

O`Reilly Automotive Inc

NASDAQ: ORLY Auto Parts
$84.71
▼ $0.18 (−0.21%) today
Markets closed · 2:13pm ET

Q1 2026 Earnings

Reported Apr 29, 2026, 4:35pm ET · SEC source
$0.72
Beat +3.34%
EPS · est. $0.70
$4.6B
Beat +2.31%
Revenue · est. $4.5B
−18.9%
Trailing market
ORLY vs S&P since report
2 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
−6%−3%0+3%Apr 29Apr 30report 4:35pm ETearnings+1.2%+2.7%
−6%−3%0+3%Apr 29Apr 30earnings+1.2%+2.7%
ORLY +2.7%S&P 500 +1.2%
−6%−3%0+3%Apr 29Apr 30report 4:35pm ETearnings+1.2%+2.7%
−6%−3%0+3%Apr 29Apr 30earnings+1.2%+2.7%
ORLY +2.7%NASDAQ +1.2%
−6%−3%0+3%Apr 28May 7report 4:35pm ETearnings+2.8%−2.2%
−6%−3%0+3%Apr 28May 7earnings+2.8%−2.2%
ORLY −2.2%S&P 500 +2.8%
−4%0+4%Apr 28May 7report 4:35pm ETearnings+5.2%−2.2%
−4%0+4%Apr 28May 7earnings+5.2%−2.2%
ORLY −2.2%NASDAQ +5.2%
+8.41%
Day of report
−2.75%
Next session
−4.85%
One week
−13.25%
30 days

S&P 500 over the same 30 days: +5.69%.

Did ORLY Beat Earnings? Q1 2026 Results

O'Reilly Automotive delivered a strong first quarter of 2026, beating Wall Street expectations on both the top and bottom lines as robust demand across its customer base drove double-digit revenue growth. The auto parts retailer posted diluted EPS of $0.72, ahead of the $0.70 consensus estimate by 3.34%, while revenue climbed 10.2% year over year to $4.56 billion, topping the $4.46 billion consensus by 2.31%. The headline driver was an 8.1% comparable store sales gain, fueled by double-digit growth in the professional service provider segment and mid-single digit expansion in do-it-yourself sales, a combination that also helped lift operating margin to 18.5% from 17.9% a year ago. Net income rose 12% to $604.18 million, with EPS growth accelerating to 16% as aggressive share repurchases reduced the diluted share count to 843 million. Analysts have taken notice, with at least one firm reiterating a Buy rating and raising its price objective following the results. Looking ahead, O'Reilly raised its full-year 2026 guidance to revenue of $18.70 billion to $19.00 billion and diluted EPS of $3.15 to $3.25, reflecting management's confidence in continued market share gains.

Key Takeaways
  • 8.1% comparable store sales growth in Q1 2026
  • Double-digit growth in professional service provider business
  • Mid-single digit growth in DIY business
  • Prudent expense management driving operating leverage
  • SG&A as a percentage of sales declined from 33.4% to 33.0%
  • Gross margin expansion to 51.5% from 51.3%
  • Operating margin expansion to 18.5% from 17.9%

“We are pleased to report a strong start to 2026, highlighted by an 8.1% increase in comparable store sales and a 16% increase in our first quarter diluted earnings per share. Team O'Reilly delivered comparable store sales results exceeding our expectations in both professional and DIY, with double-digit growth in our professional business and mid-single digit growth in DIY. Our ability to drive productivity in our business and translate robust sales growth into a 14% increase in operating profit is the direct result of our Team's focus on prudent expense management.”

O'Reilly Automotive CEO, on the earnings call

Forward Guidance & Outlook

O'Reilly updated its full-year 2026 guidance: total revenue of $18.7 billion to $19.0 billion; comparable store sales growth of 3.0% to 5.0%; gross profit margin of 51.5% to 52.0%; operating income margin of 19.3% to 19.8%; effective income tax rate of 22.6%; diluted EPS of $3.15 to $3.25; net cash provided by operating activities of $3.1 billion to $3.5 billion; capital expenditures of $1.3 billion to $1.4 billion; free cash flow of $1.8 billion to $2.1 billion; and 225 to 235 net new store openings. Management expressed encouragement about stable industry demand and opportunities to grow market share.

ORLY YoY Financials

Q1 2026 vs Q1 2025 · SEC filings Q1 2025 Q1 2026
$0$2.0B$4.0B$4.1B$4.6BRevenue$2.1B$2.3BGross Profit$741.4M$841.6MOperating Income$538.5M$604.2MNet Income
$0$2.0B$4.0BRevenueGross ProfitOperating IncomeNet Income

ORLY Revenue by Segment

Sales to Professional Service Provider Customers$2.3B
Sales to Do-It-Yourself Customers$2.2B

Figures from SEC filings and company reports. Not investment advice.