• Morgan Stanley maintains an "Overweight" rating on NASDAQ:ORLY, raising its price target from $1,450 to $1,580.
• O'Reilly Automotive reported a 4% increase in revenue but fell short of the Zacks Consensus Estimate, with a revenue surprise of -0.80%.
• The company's earnings per share (EPS) were $9.35, below the consensus estimate, marking the third time in the past four quarters it has not met consensus EPS estimates.

O'Reilly Automotive, Inc. (NASDAQ: ORLY) is a key player in the automotive aftermarket industry, providing a wide range of automotive parts, tools, and accessories. The company serves both professional service providers and do-it-yourself customers. O'Reilly competes with other major retailers like AutoZone and Advance Auto Parts. On April 24, 2025, Morgan Stanley maintained its "Overweight" rating for ORLY, with the stock priced at approximately $1,336.11. The firm also raised its price target from $1,450 to $1,580, indicating confidence in the stock's potential.

Despite the positive outlook from Morgan Stanley, O'Reilly's recent financial performance presents a mixed picture. For the quarter ending March 2025, the company reported revenue of $4.14 billion, a 4% increase from the previous year. However, this figure fell short of the Zacks Consensus Estimate of $4.17 billion, resulting in a revenue surprise of -0.80%. This shortfall highlights the importance of meeting or exceeding analyst expectations to maintain investor confidence.

O'Reilly's earnings per share (EPS) for the same quarter were $9.35, slightly up from $9.20 a year ago. However, this was below the consensus estimate of $9.83, leading to an EPS surprise of -4.88%. This marks the third time in the past four quarters that the company has not met consensus EPS estimates, underscoring the challenges it faces in aligning its performance with market expectations.

Despite these challenges, O'Reilly reported a 3.6% growth in comparable store sales, driven by strong performance in both the professional and DIY segments. This growth was at the high end of the company's expectations, reflecting robust demand and effective execution. The company also generated $755 million in net cash from operating activities during the first quarter, indicating strong cash flow management.

Currently, ORLY's stock is priced at $1,347.48, experiencing a decrease of 2.39% today. The stock's trading range for the day was between $1,334.54 and $1,365.44. Over the past year, ORLY has seen a high of $1,458.37 and a low of $947.49, with a market capitalization of approximately $77.13 billion. The trading volume today is 729,903 shares, reflecting active investor interest.