Lear Corporation (LEA)vsO’Reilly Automotive Inc (ORLY)
LEA
Lear Corporation
$141.50
-1.72%
CONSUMER CYCLICAL · Cap: $7.27B
ORLY
O’Reilly Automotive Inc
$88.40
-0.83%
CONSUMER CYCLICAL · Cap: $71.46B
Smart Verdict
WallStSmart Research — data-driven comparison
Lear Corporation generates 29% more annual revenue ($23.52B vs $18.21B). ORLY leads profitability with a 14.3% profit margin vs 2.3%. LEA appears more attractively valued with a PEG of 0.36. LEA earns a higher WallStSmart Score of 65/100 (B-).
LEA
Strong Buy65
out of 100
Grade: B-
ORLY
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for LEA.
Margin of Safety
+75.2%
Fair Value
$364.82
Current Price
$88.40
$276.42 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 124.2% YoY
Attractively priced relative to earnings
Every $100 of equity generates 59 in profit
Conservative balance sheet, low leverage
Large-cap with strong market position
Areas to Watch
4.7% revenue growth
2.3% margin — thin
Operating margin of 5.0%
Negative free cash flow — burning cash
Expensive relative to growth rate
Moderate valuation
Weak financial health signals
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : LEA
The strongest argument for LEA centers on PEG Ratio, Price/Book, EPS Growth. PEG of 0.36 suggests the stock is reasonably priced for its growth.
Bull Case : ORLY
The strongest argument for ORLY centers on Return on Equity, Debt/Equity, Market Cap. Revenue growth of 10.2% demonstrates continued momentum.
Bear Case : LEA
The primary concerns for LEA are Revenue Growth, Profit Margin, Operating Margin. Thin 2.3% margins leave little buffer for downturns.
Bear Case : ORLY
The primary concerns for ORLY are PEG Ratio, P/E Ratio, Piotroski F-Score.
Key Dynamics to Monitor
LEA carries more volatility with a beta of 1.25 — expect wider price swings.
ORLY is growing revenue faster at 10.2% — sustainability is the question.
ORLY generates stronger free cash flow (788M), providing more financial flexibility.
Monitor AUTO PARTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LEA scores higher overall (65/100 vs 62/100). ORLY offers better value entry with a 75.2% margin of safety. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Lear Corporation
CONSUMER CYCLICAL · AUTO PARTS · USA
Lear Corporation designs, develops, designs, manufactures, assembles, and supplies automotive seats, electrical distribution systems, and related components for automotive original equipment manufacturers in North America, Europe, Africa, Asia, and South America. The company is headquartered in Southfield, Michigan.
O’Reilly Automotive Inc
CONSUMER CYCLICAL · AUTO PARTS · USA
O'Reilly Auto Parts is an American auto parts retailer that provides automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States serving both the professional service providers and do-it-yourself customers.
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