O'Reilly Automotive stock up 17% in 2025 despite market downturn, showing potential for growth

From Yahoo Finance: 2025-04-23 07:00:00

In 2023 and 2024, the S&P 500 index saw significant gains, but 2025 has been disappointing with a 15% drop from its peak. Investors fear a recession due to trade policies. O’Reilly Automotive, a stable auto parts retailer, has seen a double-digit share price increase this year.

O’Reilly benefits from consumer habits in both good and bad economic times. Tariffs discouraging new car purchases could drive more business to O’Reilly. The company has a strong track record of increasing same-store sales for 32 years and expects further growth.

Despite macroeconomic conditions, O’Reilly has consistently grown earnings per share by 18.7% annually. The stock price has surged 546% since 2015, outperforming the S&P 500. However, the high valuation may deter some investors, even though the market remains bullish.

Investors are advised to monitor O’Reilly’s stock for potential pullbacks before considering an investment. The Motley Fool Stock Advisor team did not include O’Reilly in their top 10 stock picks. Their past recommendations have yielded significant returns compared to the S&P 500.

Read more: Worried About a Market Crash? 1 Stock Up 17% in 2025 to Keep an Eye On.