Latest Ratios: P/E Ratio 26.9x · EV/EBITDA 19.9x · ROE N/A. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $74.5B | $78.1B | $69.6B | $55.2B | $52.2B | $46.8B | $32.1B | $32.5B | $27.0B | $20.5B | $25.6B |
| Enterprise Value | $82.8B | $86.4B | $77.4B | $62.8B | $58.7B | $52.3B | $37.8B | $38.3B | $30.4B | $23.4B | $27.4B |
| P/E Ratio → | 26.94 | 30.71 | 29.17 | 23.55 | 24.05 | 21.60 | 18.28 | 23.38 | 20.32 | 18.02 | 24.75 |
| P/S Ratio | 3.92 | 4.39 | 4.17 | 3.49 | 3.62 | 3.51 | 2.77 | 3.20 | 2.83 | 2.28 | 2.98 |
| P/B Ratio | — | — | — | — | — | — | 228.82 | 81.72 | 76.31 | 31.40 | 15.76 |
| P/FCF | 35.43 | 49.00 | 34.35 | 27.22 | 20.20 | 16.94 | 13.54 | 30.05 | 22.06 | 21.87 | 24.79 |
| P/OCF | 26.97 | 28.27 | 22.83 | 18.19 | 16.59 | 14.60 | 11.31 | 19.01 | 15.62 | 14.61 | 16.98 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.86 | 4.63 | 3.97 | 4.07 | 3.93 | 3.26 | 3.77 | 3.19 | 2.61 | 3.19 |
| EV / EBITDA | 19.86 | 21.74 | 20.85 | 17.44 | 17.67 | 16.06 | 13.81 | 17.46 | 14.64 | 11.96 | 14.28 |
| EV / EBIT | 23.92 | 24.85 | 23.80 | 19.57 | 19.84 | 17.88 | 15.57 | 19.84 | 16.72 | 13.56 | 16.03 |
| EV / FCF | — | 54.21 | 38.20 | 30.95 | 22.69 | 18.93 | 15.94 | 35.44 | 24.83 | 25.00 | 26.48 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 51.6% | 51.6% | 51.2% | 51.3% | 51.2% | 52.7% | 52.4% | 53.1% | 52.8% | 52.6% | 52.5% |
| Operating Margin | 19.5% | 19.5% | 19.5% | 20.2% | 20.6% | 22.0% | 20.9% | 18.9% | 19.0% | 19.2% | 19.8% |
| Net Profit Margin | 14.3% | 14.3% | 14.3% | 14.8% | 15.1% | 16.2% | 15.1% | 13.7% | 13.9% | 12.6% | 12.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | — | — | — | — | — | 5863.6% | 651.9% | 370.4% | 263.1% | 99.4% | 57.8% |
| ROA | 16.2% | 16.2% | 16.6% | 17.7% | 17.8% | 18.6% | 15.7% | 14.9% | 17.0% | 15.3% | 15.0% |
| ROIC | 37.2% | 37.2% | 39.8% | 42.7% | 41.1% | 39.0% | 30.1% | 29.0% | 37.2% | 37.2% | 38.6% |
| ROCE | 48.2% | 48.2% | 50.7% | 54.2% | 51.9% | 48.1% | 38.5% | 37.2% | 45.3% | 44.7% | 45.7% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | — | — | — | — | — | — | 43.95 | 14.75 | 9.66 | 4.56 | 1.16 |
| Debt / EBITDA | 2.14 | 2.14 | 2.13 | 2.18 | 1.97 | 1.80 | 2.25 | 2.67 | 1.65 | 1.52 | 0.98 |
| Net Debt / Equity | — | — | — | — | — | — | 40.63 | 14.65 | 9.57 | 4.49 | 1.07 |
| Net Debt / EBITDA | 2.09 | 2.09 | 2.10 | 2.10 | 1.94 | 1.69 | 2.08 | 2.65 | 1.63 | 1.50 | 0.91 |
| Debt / FCF | — | 5.21 | 3.84 | 3.73 | 2.49 | 1.99 | 2.40 | 5.39 | 2.77 | 3.13 | 1.68 |
| Interest Coverage | 14.78 | 14.78 | 14.61 | 15.90 | 18.74 | 20.22 | 15.07 | 13.79 | 14.87 | 18.93 | 24.08 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.77 | 0.77 | 0.71 | 0.73 | 0.71 | 0.77 | 0.86 | 0.86 | 0.91 | 0.93 | 0.96 |
| Quick Ratio | 0.12 | 0.12 | 0.09 | 0.12 | 0.10 | 0.14 | 0.16 | 0.08 | 0.09 | 0.11 | 0.14 |
| Cash Ratio | 0.02 | 0.02 | 0.02 | 0.04 | 0.02 | 0.06 | 0.09 | 0.01 | 0.01 | 0.01 | 0.04 |
| Asset Turnover | — | 1.08 | 1.12 | 1.14 | 1.14 | 1.14 | 1.00 | 0.95 | 1.19 | 1.19 | 1.19 |
| Inventory Turnover | 1.50 | 1.50 | 1.60 | 1.65 | 1.61 | 1.71 | 1.51 | 1.38 | 1.41 | 1.41 | 1.47 |
| Days Sales Outstanding | — | 11.28 | 10.83 | 11.90 | 11.91 | 10.56 | 10.39 | 10.59 | 10.34 | 11.89 | 11.87 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.7% | 3.3% | 3.4% | 4.2% | 4.2% | 4.6% | 5.5% | 4.3% | 4.9% | 5.5% | 4.0% |
| FCF Yield | 2.8% | 2.0% | 2.9% | 3.7% | 5.0% | 5.9% | 7.4% | 3.3% | 4.5% | 4.6% | 4.0% |
| Buyback Yield | 2.8% | 2.7% | 3.0% | 5.7% | 6.3% | 5.3% | 6.5% | 4.4% | 6.4% | 10.6% | 5.9% |
| Total Shareholder Yield | 2.8% | 2.7% | 3.0% | 5.7% | 6.3% | 5.3% | 6.5% | 4.4% | 6.4% | 10.6% | 5.9% |
| Shares Outstanding | — | $856M | $881M | $871M | $928M | $994M | $1.1B | $1.1B | $1.2B | $1.3B | $1.4B |
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying ORLY stock.
O'Reilly Automotive, Inc.'s current P/E ratio is 26.9x. The historical average is 22.0x. This places it at the 87th percentile of its historical range.
O'Reilly Automotive, Inc.'s current EV/EBITDA is 19.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.0x.
Based on historical data, O'Reilly Automotive, Inc. is trading at a P/E of 26.9x. This is at the 87th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
O'Reilly Automotive, Inc. has 51.6% gross margin and 19.5% operating margin. Operating margin between 10-20% is typical for established companies.
O'Reilly Automotive, Inc.'s Debt/EBITDA ratio is 2.1x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.
Key Metrics
Top Statement Risk
Buyback-funded leverage and cost pressure
Metrics are mathematically derived from official filings.
Premium Multiple Prices Durable Execution
Based on ORLY's reported figures, the trailing P/E of 30.80 and EV/EBITDA of 21.18 sit well above AutoZone's 22.84 P/E and 15.67 EV/EBITDA, implying the market pays a premium for consistent comparable store growth and margin durability.
The PEG of 2.47 suggests investors are pricing in earnings growth not fully visible in recent quarters, particularly given the Q2 2026 EPS miss. The forward P/E of 27.71 compresses only modestly from trailing, which indicates expectations for steady rather than accelerating earnings. Investors should monitor whether labor and insurance cost pressures prevent the premium from being supported by bottom-line conversion.
Gross Margin Advantage Erodes at Operating Line
As reported in quarterly statements, ORLY's gross margin held between 50.7% and 52.4% over ten quarters, yet operating margin ranged only from 17.9% to 21.4%, showing that operating cost absorption, not pricing, governs the earnings trajectory.
A gross margin roughly 17 points above AAP's 43.4% reflects pricing discipline and a favorable private-label mix that peers have not clearly replicated. The operating margin's sensitivity to fixed distribution and labor costs suggests earnings power is highly exposed to wage inflation. Net margin of 15.3% in Q3 2026 is the more reliable gauge of earning power, though it remains flattered by share count reduction at the per-share level.
ROIC Recovery Tracks Margin Cycle
Based on ORLY's reported figures, ROIC moved from 8.4% in Q4 2025 to 10.6% in Q3 2026, a recovery that closely follows operating margin expansion and suggests returns are driven more by profitability than by improved asset efficiency.
Asset turnover has remained near 0.27 to 0.30 across the period, indicating capital is deployed in a heavy, slow-turning base of stores and distribution infrastructure. ROIC sits well above AAP's 2.9% and GPC's 8.3%, though it trails AZO's 34.0%, a gap that likely reflects a different capital structure and return profile. The durability of returns depends on margins holding as labor costs rise.
Interest Coverage Comfortable, Equity Base Negative
According to recent SEC filings, ORLY's interest coverage ratio of 13.49 in Q3 2026 remains comfortable, yet its negative equity base means the debt-to-equity ratio is not meaningful and leverage must be assessed through EBITDA-based measures.
Debt-to-EBITDA of roughly 9.3x in Q3 2026 is elevated, though it has been relatively stable across the ten quarters shown, suggesting leverage has been managed deliberately rather than drifting. The deficit appears to reflect cumulative repurchases, which raises the question of whether debt-funded buybacks remain sustainable if refinancing costs stay elevated. Further investigation into the maturity profile of the debt stack is warranted.
Negative Working Capital Funds Thin Cash Buffer
Based on reported figures, ORLY's current ratio of 0.77 and quick ratio of 0.11 in Q3 2026 indicate that short-term obligations rely almost entirely on inventory turnover and supplier financing, with cash on hand of $194.4 million providing only a narrow buffer.
A DIO of 281 days against DPO of 229 days and a negative cash conversion cycle of -42 days shows suppliers are effectively financing inventory, which is structurally advantageous but dependent on continued vendor terms. Under severe stress, a slowdown in inventory turns or tightening of supplier credit could quickly expose the thin quick-asset position. Investors should monitor the payables-to-inventory relationship as an indicator of this dependency.
Margin Gains May Not Survive Labor Inflation
Based on the Q2 2026 EPS miss of $0.86 against a $0.92 estimate despite a 6.0% comparable store sales increase, ORLY's recent operating margin gains may be vulnerable if wage and insurance cost pressures persist.
The bullish reading of ROIC recovery and premium multiples assumes operating margins hold near their 21.4% peak, yet the earnings miss suggests cost absorption is already consuming a meaningful share of top-line growth. If labor and insurance costs continue rising faster than pricing, the ROIC trajectory could reverse and the premium valuation would become harder to justify on reported earnings. This interpretation rests on a single quarter and warrants monitoring over subsequent reporting periods.