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O'Reilly Automotive's sales hit $3.1 billion in the second quarter.
SBJ file photo
O'Reilly Automotive's sales hit $3.1 billion in the second quarter.

O'Reilly Auto stock jumps to 52-week high

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O’Reilly Automotive Inc.'s (Nasdaq: ORLY) stock jumped to a fresh 52-week high as the auto parts retailer reported its second quarter earnings results.

The new benchmark of $487.95 set this morning was up roughly 6% from yesterday's stock high of $458.91. The company's 52-week low is $251.52.

In its earnings report, the company announced increases in its top and bottom lines amid the coronavirus pandemic, according to a news release. The retailer historically has been labeled as recession-proof due to consumers spending less on new vehicles and more on parts for their existing cars.

"After experiencing significant COVID-related sales headwinds in the first two weeks of the quarter, we saw an immediate and dramatic improvement in our business and sustained robust, record-setting sales volumes throughout the remainder of our second quarter," said Greg Johnson, O'Reilly Automotive's CEO and co-president, in the release.

"It is clear there were several positive macroeconomic factors that supported the strong demand in our industry in the second quarter, including, among others, the government stimulus and unemployment benefits and the reopening of consumer activity as stay-at-home orders began lifting."

O’Reilly Automotive's second quarter profits rose 50% to $531.7 million on revenue of $3.1 billion, which was up 19% compared with the same quarter of 2019. Diluted share earnings increased to $7.10 from $4.51 per share a year earlier.

Prior to the pandemic, O'Reilly Automotive officials projected revenue could hit $11 billion in 2020, following the crossing of the $10 billion threshold in 2019 for the first time in company history, according to past Springfield Business Journal reporting. For the first half of the year, O'Reilly Automotive's revenue was $5.6 billion, compared with $5 billion at the same time in 2019.

As of June 30, O'Reilly Automotive had assets of $11.7 billion and 5,583 stores, according to the release.

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