O'Reilly Auto expands stock repurchase program to $1B

The O'Reilly Automotive Inc. Board of Directors on Aug. 5 approved a resolution allowing the Springfield-based auto parts retailer to buy back as much as $1 billion worth of its shares, twice as much as planned at the beginning of the year.

On Jan. 11, the board approved a three-year, $500 million share repurchase program. The company has repurchased more than seven million shares, or $400 million, of its common stock, since January. The $500 million addition, effective Aug. 5, is planned to be executed over three years, according to a news release.

"The additional $500 million share repurchase authorization ... maintains our flexibility to continue to execute our strategic initiatives," said Tom McFall, O'Reilly Auto chief financial officer and executive vice president of finance, in the release.

O'Reilly Automotive Inc. (Nasdaq: ORLY), which operates more than 3,600 stores in 39 states, has roughly 136 million shares trading on the public stock market.

As of 9:34 a.m., O'Reilly shares were trading at $58.41, compared to a 52-week range of $45.74 to $66.52, an all-time high.[[In-content Ad]]