O'Reilly Automotive, Inc. (ORLY) Stock Analysis

Falling Knife setup

Consumer Cyclical · Auto Parts

Sell if holding. At $91.96, A.R:R 1.3:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 7.4%; Sector modifier (Consumer Cyclical): -1.5.

O'Reilly Automotive is one of the largest specialty retailers of automotive aftermarket parts in North America, operating 6,447 stores in 48 US states plus 112 in Mexico and 26 in Canada as of December 31, 2025. Revenue is split approximately 50/50 between DIY and professional... Read more

Sell if holding. At $91.96, A.R:R 1.3:1 is below the 1.5:1 minimum. Reward from here is too thin for a buy — the engine flags exit. Additional concerns: Thin upside margin: 7.4%; Sector modifier (Consumer Cyclical): -1.5. Chart setup: Death cross, below all MAs, RSI 28, MACD bearish. Score 5.4/10, high confidence.

Passes 6/9 gates (clean insider activity, no SEC red flags, news events none recent, earnings proximity 70d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and favorable risk/reward ratio and death cross (50MA < 200MA). Suitability: moderate.