O'Reilly Q3 sales beat analyst estimates on professional business growth, tariff refunds
Overview
U.S. auto parts retailer's Q3 sales rose 9%, beating analyst expectations
Diluted EPS for Q3 increased 14%, aided by tariff refunds
Company repurchased 11.8 mln shares for $1.03 bln in Q3
Outlook
O'Reilly raises full-year 2026 comparable store sales guidance to 5.5%-6.5%
Company lifts 2026 gross margin guidance to 51.6%-52.1% and operating profit to 19.5%-20.0%
O'Reilly expects 2026 revenue of $19.0 bln to $19.3 bln and EPS of $3.25 to $3.35
Result Drivers
PROFESSIONAL BUSINESS GROWTH - Co said double-digit growth in its professional business contributed to Q3 sales increase
TARIFF REFUNDS - $39 mln benefit from tariff refunds boosted Q3 earnings per share
DIY SEGMENT GAINS - Co said mid-single digit growth in DIY segment supported overall sales growth
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Sales | Beat | $5.12 bln | $5.01 bln (22 Analysts) |
Q3 EPS | $0.97 | ||
Q3 Net Income | $786 mln | ||
Q3 Comparable Sales Growth | 7.2% |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 24 "strong buy" or "buy", 6 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the auto vehicles, parts & service retailers peer group is "buy"
Wall Street's median 12-month price target for O'Reilly Automotive, Inc. is $108.00, about 20.2% above its October 27 closing price of $89.82
The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 27 three months ago
Reuters Recommended Reads
Oct 28 - Boot Barn Q2 sales slightly beat estimates on new store openings and higher same store sales
Oct 27 - Rocky Brands Q3 sales rise on strong demand, tariff refund helps margins
Oct 26 - Dorman Products Q3 sales slightly miss estimates on tariff pricing impact
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)