O’Reilly Stock Split Drives Price Target Adjustment Despite Mixed Q1 Results

O’Reilly Automotive Inc. (NASDAQ:ORLY) is one of the best consumer cyclical stocks to buy. On June 18, DA Davidson maintained its Buy rating on O’Reilly Automotive (NASDAQ:ORLY) while reducing its price target to $107 on the company’s shares.

The firm claims that O’Reilly’s 15-to-1 stock split, which went into effect on June 10, is reflected in the price target revision. DA Davidson stressed that under its revised model, no additional adjustments were made to its financial assumptions for the company.

O’Reilly Stock Split Drives Price Target Adjustment Despite Mixed Q1 Results

Additionally, O’Reilly Automotive recently issued its first-quarter 2025 earnings, which fell short of both revenue and earnings per share projections. The company’s revenue of $4.14 billion lagged behind the $4.18 billion expectation, and its earnings per share of $9.35 fell short of the projected $9.87.

However, despite these results, O’Reilly Automotive Inc. (NASDAQ:ORLY) raised earnings per share guidance by about 1% and maintained its full-year revenue guidance between $17.4 billion and $17.7 billion.

Serving customers as well as and professional installers in the US, Mexico, and Canada, O’Reilly Automotive Inc. (NASDAQ:ORLY) is a leading provider of automotive components, tools, and supplies.

While we acknowledge the potential of ORLY as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

Read More: 10 Best Magic Formula Stocks for 2025 and 10 Best Retirement Stocks to Buy According to Hedge Funds

Disclosure: None.