O'Reilly Automotive (ORLY) Beats, Raises
I imagined O'Reilly Automotive (
) would do well, but you just can't go on hunches around earning season. We cut back ahead of earnings per the norm
Tuesday, but as we opined
I am cutting back ORLY despite what I expect to be a good report, both from Americans continuing to spend more on older cars, and the benefits from improving the performance of CSK Auto stores.
Unlike a lot of stocks that are jumping 20-30% post earnings on "beating analyst expectations" but missing on the revenue line, O'Reilly did ok in both spots and raised guidance to boot. If only this market was based on fundamentals again instead of "student body right" trading... but I enjoy seeing our companies doing well on business metrics. I'm still old school at heart even if I am forced to now think as if I have a microchip implanted in my skull.
Please keep in mind sales and "earnings growth" are NOT organic
here - since they did a large acquisition (CSK Auto) so year over year numbers are not just O'Reilly's stores.
- Auto parts retailer O'Reilly Automotive ( ) posted a 53 percent jump in quarterly profit, exceeding analysts' expectations, and raised its 2009 outlook and said its integration of CSK Auto was progressing.
- Net income rose to $85.5 million, or 62 cents per share, in the second quarter, from $55.8 million, or 48 cents per share, a year earlier.
The above story is the opinion of the author only and it does not reflect
iStockAnalyst opinion. Further, the author is not personally advising you
regarding the suitability of the story for your investment needs. In no event
iStockAnalyst will be liable for any loss or damage including without
limitation, indirect or consequential loss or damage, or any loss or damage
whatsoever arising from or arising out of, or in connection with the use of this
information. Please consult your investment advisor before making any investment
decision.
