O'Reilly Automotive stock: Strong Q3 prompts higher 2026 outlook

O'Reilly Automotive reported record revenue and earnings for the quarter ended September 30, 2026, with management raising several full-year targets. The company released the results on October 28, and its official investor-relations announcement said the performance reflected continued demand from both professional customers and do-it-yourself buyers.

Sales rose 9% year over year to USD 5.12 billion from USD 4.71 billion. Comparable-store sales increased 7.2%, while the company said professional-business growth reached double digits and DIY sales advanced at a mid-single-digit rate. The comparable performance came on top of 5.6% growth in the year-earlier quarter, producing a two-year stack of 12.8%.

Gross profit increased 10% to USD 2.68 billion, lifting gross margin to 52.4% from 51.9%. Operating income rose 13% to USD 1.10 billion, and operating margin expanded to 21.4% from 20.7%. Net income increased 8% to USD 786 million, while diluted earnings per share rose 14% to USD 0.97 from USD 0.85.

Chief Executive Brad Beckham attributed the result to market-share gains on both sides of the business. He also said a USD 39 million benefit from tariff refunds contributed to the quarterly earnings increase, an item investors should distinguish from the underlying sales trend.

O'Reilly lifted its full-year comparable-store sales outlook to 5.5% to 6.5% from 4.0% to 6.0%. The company also guided to total revenue of USD 19.0 billion to USD 19.3 billion, gross margin of 51.6% to 52.1%, operating margin of 19.5% to 20.0% and diluted earnings per share of USD 3.25 to USD 3.35. The company said the revised targets incorporate the strong quarter, tariff-refund benefit and its expectations for the fourth quarter.

Expansion supports the operating plan

O'Reilly opened 173 net new stores during the first nine months of 2026 and expects 225 to 235 net new openings for the year. At September 30, the retailer operated 6,758 stores across 48 U.S. states, Puerto Rico, Mexico and Canada. First-nine-month sales rose 9% to USD 14.57 billion, while diluted earnings per share increased to USD 2.54 from USD 2.25.

Capital returns were also substantial. O'Reilly repurchased 11.8 million shares during the quarter for USD 1.03 billion at an average price of USD 87.34. Through the first nine months, repurchases totaled 38.5 million shares and USD 3.47 billion. The company had approximately USD 727 million remaining under its current authorization at the date of the release.

O'Reilly Automotive stock traded at 80.92 euros on Lang & Schwarz at 12:36 p.m. Berlin time on Friday, October 30. A verified Xetra closing comparison is not available for this report, so the quote is presented without a daily direction. The real-time quote of O'Reilly Automotive stock provides the current trading view.

The broader U.S. equity market remains an important backdrop for investors assessing consumer and specialty-retail shares; see current market reports.

Further operating updates and investor material are available in more news and analyses on O'Reilly Automotive stock.