OReilly Automotive Price To Earning vs. Current Valuation
| ORLY34 Stock | BRL 24.76 1.01 4.25% |
For OReilly Automotive profitability analysis, we use financial ratios and fundamental drivers that measure the ability of OReilly Automotive to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well OReilly Automotive utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between OReilly Automotive's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of OReilly Automotive over time as well as its relative position and ranking within its peers.
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OReilly Automotive Current Valuation vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining OReilly Automotive's current stock value. Our valuation model uses many indicators to compare OReilly Automotive value to that of its competitors to determine the firm's financial worth. OReilly Automotive is considered to be number one stock in price to earning category among its peers. It also is rated top company in current valuation category among its peers reporting about 13,268,377,698 of Current Valuation per Price To Earning. Comparative valuation analysis is a catch-all model that can be used if you cannot value OReilly Automotive by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for OReilly Automotive's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.OReilly Current Valuation vs. Price To Earning
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
OReilly Automotive |
| = | 23.05 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
OReilly Automotive |
| = | 305.84 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
OReilly Current Valuation vs Competition
OReilly Automotive is rated top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Specialty Retail industry is now estimated at about 3.03 Trillion. OReilly Automotive retains roughly 305.84 Billion in current valuation claiming about 10% of equities listed under Specialty Retail industry.
OReilly Automotive Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in OReilly Automotive, profitability is also one of the essential criteria for including it into their portfolios because, without profit, OReilly Automotive will eventually generate negative long term returns. The profitability progress is the general direction of OReilly Automotive's change in net profit over the period of time. It can combine multiple indicators of OReilly Automotive, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
OReilly Automotive, Inc., together with its subsidiaries, operates as a retailer of automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States. OReilly Automotive, Inc. was founded in 1957 and is headquartered in Springfield, Missouri. OREILLY AUT operates under Specialty Retail classification in Brazil and is traded on Sao Paolo Stock Exchange. It employs 77383 people.
OReilly Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on OReilly Automotive. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of OReilly Automotive position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the OReilly Automotive's important profitability drivers and their relationship over time.
Use OReilly Automotive in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if OReilly Automotive position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in OReilly Automotive will appreciate offsetting losses from the drop in the long position's value.OReilly Automotive Pair Trading
OReilly Automotive Pair Trading Analysis
The ability to find closely correlated positions to OReilly Automotive could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace OReilly Automotive when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back OReilly Automotive - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling OReilly Automotive to buy it.
The correlation of OReilly Automotive is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as OReilly Automotive moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if OReilly Automotive moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for OReilly Automotive can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your OReilly Automotive position
In addition to having OReilly Automotive in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Broad Commodities ETFs Thematic Idea Now
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ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Broad Commodities ETFs theme has 26 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Broad Commodities ETFs Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in OReilly Stock
When determining whether OReilly Automotive offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of OReilly Automotive's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Oreilly Automotive Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Oreilly Automotive Stock:Check out Your Equity Center. For information on how to trade OReilly Stock refer to our How to Trade OReilly Stock guide.You can also try the Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
To fully project OReilly Automotive's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of OReilly Automotive at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include OReilly Automotive's income statement, its balance sheet, and the statement of cash flows.