O'Reilly shares hit record highs

The company's shares closed Tuesday at $33.78, an unsurpassed high at the time, and closed Wednesday at $34.07.

O'Reilly stock analyst Michael Cox, of Piper Jaffray & Co., said the increase can most likely be attributed to higher confidence of stockholders, who expect O'Reilly to announce strong quarterly results next week.

Cox also noted that auto retail parts companies have seen increases across the board due to an amplified demand following hurricanes Katrina and Rita. Virginia-based Advance Auto Parts reported this morning a quarterly earnings increase of 23 percent.

“I would attribute (O'Reilly's stock activity) to expectations of strong sales and earnings next week, with the continued strong internal execution, combined with the favorable impact of the hurricanes last fall and the impact that has on automotive after-market part demand,” Cox said.

O'Reilly earlier this month announced it had reached its four-year goal to set a record of $2 billion in annual sales in 2005.

Though O'Reilly and other auto parts retailers are reportedly doing well, one local competitor has been faltering.

Philadelphia-based Pep Boys earlier this month hired an adviser to consider financial alternatives to boost its waning sales. Shares of Pep Boys fell 34 cents to $15.90 Feb. 10, and shares closed at $16.28 Feb. 15, compared to a 52-week range of $11.75 to $18.80.

Shares of Pep Boys are off 4 percent over last year, according to a news release from the company, compared to O'Reilly's 41 percent gain, a 46 percent increase at Advance Auto Parts and a 4 percent gain at Autozone.