In this economy, with its geopolitical risk and event risk, expect short-term profit taking, and that's probably what occurred recently with auto parts giant O'Reilly Automotive (ORLY), which I first wrote about here on May 18, 2009, at a price of $37.02.

O'Reilly retreated about 10% from $63 to roughly $55 in the first two months of this year, and it looks like profit taking: ORLY had traded below $33 in 2010.

That said, investors who didn't catch the first O'Reilly elevator up should view the pullback as a buy opportunity.

Continue reading Has O'Reilly Automotive's Pullback Created an Opportunity?

Has O'Reilly Automotive's Pullback Created an Opportunity? originally appeared on BloggingStocks on Wed, 02 Mar 2011 12:40:00 EST. Please see our terms for use of feeds.

Continue reading O'Reilly Automotive: Time to Take Some Profits off the Table?

O'Reilly Automotive: Time to Take Some Profits off the Table? originally appeared on BloggingStocks on Tue, 14 Dec 2010 17:00:00 EST. Please see our terms for use of feeds.

Analyst Upgrades

• Best Buy (BBY) was upgraded to top pick from outperform at RBC Capital, as the firm thinks the company's valuation is inexpensive while it will perform well during the holiday season.
• Credit Suisse upgraded CF Industries (CF) to outperform from neutral, citing favorable fundamentals in nitrogen and phosphate markets.
• Canadian Solar (CSIQ) was raised to buy from hold by Jefferies, which cited expectations for higher selling prices next year and cost savings from sourcing more components internally.
• BMO Capital upgraded RC2 Corp. (RCRC) to outperform from market perform as the firm believes that RC2's baby products are performing better than previously expected.
• Ericsson (ERIC) was upgraded to neutral from underperform at BofA/Merril.
• ProLogis (PLD) was upgraded to buy from hold at Stifel Nicolaus.
• Constellation Energy (CEG) was upgraded to outperform from neutral at Macquarie.

Continue reading Analyst Calls: ABC, BBY, CF, CSIQ, ERIC, MO, N, NAV, ORLY, PCAR, RCRC, SYY ...

Analyst Calls: ABC, BBY, CF, CSIQ, ERIC, MO, N, NAV, ORLY, PCAR, RCRC, SYY ... originally appeared on BloggingStocks on Thu, 30 Sep 2010 11:00:00 EST. Please see our terms for use of feeds.

This is a market for boring stocks. By that I mean, given that objective economic events seem to diametrically alter the investing landscape every few days or so, you need a few "totally un-sexy" plays that perform despite the aforementioned tumult.

And auto parts giant O'Reilly Automotive (ORLY), which I first wrote about here on May 18, 2009 at a price of $37.02, fits the bill.

O'Reilly's 2010 revenue should increase 9% to 12%, including revenue from an acquisition. Same store sales should increase 5% to 7%. Margins will likely increase.

Continue reading O'Reilly Automotive: A Stock That's Right for the Times

O'Reilly Automotive: A Stock That's Right for the Times originally appeared on BloggingStocks on Thu, 09 Sep 2010 12:30:00 EST. Please see our terms for use of feeds.

Continue reading O'Reilly Automotive Likes the Used Car Sales Trend

O'Reilly Automotive Likes the Used Car Sales Trend originally appeared on BloggingStocks on Tue, 11 May 2010 09:00:00 EST. Please see our terms for use of feeds.

Auto parts giant O'Reilly Automotive (ORLY), first written about here on May 18, 2009, at a price of $37.02, is one of those low-profile companies that shareholders want to remain low-profile. Leave the glitz and pomp to other companies. So long as ORLY produces solid earnings growth, that's all that matters.

And it goes without saying that I still like the shares. The used-car maintenance trend in the United States isn't ending anytime soon. Also, frugal consumers in the U.S. can delay getting maintenance done on their used vehicles for only so long. Critical maintenance must be performed, eventually. Further, the U.S. auto fleet's increasing age provides another tailwind for sales. The First Call FY2009/FY2010 EPS estimates for ORLY are $2.24 to $2.61.

Continue reading Ride the Used Car Repair Wave with O'Reilly Automotive

Ride the Used Car Repair Wave with O'Reilly Automotive originally appeared on BloggingStocks on Tue, 16 Feb 2010 12:00:00 EST. Please see our terms for use of feeds.

As so often happens at this point in the earnings season, focus begins to shift to the results from retailers. And the world's largest retailer is among those that step into the spot light this week.

Analysts surveyed by Thomson Reuters are looking for Wal-Mart Stores Inc. (WMT), which was aggressively competitive during the holiday shopping season and also recently announced a new global strategy, to report fourth-quarter earnings of $1.12 per share, up from $1.03 per share in the year-ago period. Revenue for the three months that ended in January is expected to have risen 4.9% to $114.5 billion. The full-year forecast calls for earnings of $3.61 per share (+5.3%) on $409.1 billion in revenue (+0.9%). Walmart has not missed earnings estimates in the past five quarters.

Continue reading The Week in Preview: A First Look at Retail: Walmart, JCPenney and Others

The Week in Preview: A First Look at Retail: Walmart, JCPenney and Others originally appeared on BloggingStocks on Sun, 14 Feb 2010 12:30:00 EST. Please see our terms for use of feeds.

Continue reading O'Reilly Automotive: A used car maintenance play

O'Reilly Automotive: A used car maintenance play originally appeared on BloggingStocks on Tue, 24 Nov 2009 17:00:00 EST. Please see our terms for use of feeds.

So this earnings season hasn't turned out as bad as some had feared. In fact, we've seen some pretty stellar results from the likes of Amazon.com (NASDAQ: AMZN), Apple (NASDAQ: AAPL), and Yahoo! (NASDAQ: YHOO).

Then there was the Fed's Beige Book report, which suggested that the U.S. economy had stabilized -- and even improved a bit in some sectors.

Well, the earnings crunch rolls on this coming week leading up to Halloween. Do analysts surveyed by Thomson Reuters expect more treats or tricks from coming quarterly reports?

Continue reading The week in preview: Trick or treat earnings?

The week in preview: Trick or treat earnings? originally appeared on BloggingStocks on Sun, 25 Oct 2009 12:30:00 EST. Please see our terms for use of feeds.

The earnings crunch rolls on this coming week, with quarterly reports expected from Coach Inc. (NYSE: COH), Exxon Mobil (NYSE: XOM), Kellogg (NYSE: K), MasterCard (NYSE: MA), Motorola (NYSE: MOT), Sprint Nextel (NYSE: S), Travelers (NYSE: TRV), Time Warner (NYSE: TWX), U.S. Steel (NYSE: X), Viacom (NYSE: VIA), Walt Disney (NYSE: DIS), and many others.

Below are some reporting companies for which analysts surveyed by Thomson Reuters have high hopes. What does that mean? Well, all of them are expected to report double-digit earnings grown in the most recent quarter. They have tended to offer positive surprises in recent quarters. They have long-term EPS growth forecasts of greater than 10%, and they have earnings multiples that are higher than their industry or sector averages, or higher than at least one top competitor. And they all have First Call consensus recommendations to buy.

Continue reading The week in preview: Some expected earnings winners

The week in preview: Some expected earnings winners originally appeared on BloggingStocks on Sun, 26 Jul 2009 12:30:00 EST. Please see our terms for use of feeds.

Continue reading O'Reilly Automotive knows auto repair budgets are the last to be cut

O'Reilly Automotive knows auto repair budgets are the last to be cut originally appeared on BloggingStocks on Mon, 18 May 2009 18:00:00 EST. Please see our terms for use of feeds.

Auto parts company O'Reilly Automotive, Inc. (NASDAQ: ORLY- option chain) is one of the newest additions to the S&P 500 Index (SPX). Standard & Poor's announced late Thursday that ORLY will join the venerable index after the close of trading on March 26, where it will replace Noble Corp. (NYSE: NE).

The news caps off a pretty good week for ORLY; on Wednesday, Robert W. Baird initiated coverage of the stock with an "outperform" rating, and the equity tagged a new 52-week high of $36.17 in Thursday's session.

Continue reading O'Reilly Automotive revs higher, joins the S&P 500

O'Reilly Automotive revs higher, joins the S&P 500 originally appeared on BloggingStocks on Fri, 20 Mar 2009 11:30:00 EST. Please see our terms for use of feeds.

Leo Fasciocco is a technician focused on "breakout" stocks; in his Ticker Tape Digest, two recent such breakout ideas were both from the out-of-favor auto parts sector: O'Reilly Automotive (NASDAQ: ORLY) and Autozone (NYSE: AZO).

Noting the recent strength in these auto parts stocks -- both have recently rose to new 52-week highs despite the market's sharp declines -- the advisor explains, "Auto parts stocks may see strong product demand as more people keep their car and not buy a new one."

"O'Reilly Automotive is one of the largest specialty retailers of automotive aftermarket parts, tools, supplies, equipment, and accessories in the U.S, with annual revenues of $3.1 billion.

Continue reading Auto parts buck downtrend: Autozone (AZO) & O'Reilly (ORLY)

Auto parts buck downtrend: Autozone (AZO) & O'Reilly (ORLY) originally appeared on BloggingStocks on Thu, 05 Mar 2009 09:15:00 EST. Please see our terms for use of feeds.

• O'Reilly Automotive (NASDAQ: ORLY) is an auto parts retailer that is facing weak demand as a result of soaring crude oil prices. However, analysts believe the company's strategy to buy CSK Auto will bring a lot of national success. ORLY is expected to show earnings of $1.76 per share this year and $2.02 next year.
• Stanley Works (NYSE: SWK), headquartered in New Britain, Conn., has the advantage of being one of only two companies offering a complete line of hand tools for consumers. The company focuses its performance on both its industrial tool division and a security business. Analysts forecast a profit of $4.18 this year, and $4.63 a share for next year.

Continue reading Kiplinger suggests five stocks for Father's Day

Kiplinger suggests five stocks for Father's Day originally appeared on BloggingStocks on Wed, 11 Jun 2008 16:44:00 EST. Please see our terms for use of feeds.