WallStSmart

O’Reilly Automotive Inc (ORLY)vsStandard Motor Products Inc (SMP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

O’Reilly Automotive Inc generates 895% more annual revenue ($18.21B vs $1.83B). ORLY leads profitability with a 14.3% profit margin vs 2.5%. SMP appears more attractively valued with a PEG of 0.53. SMP earns a higher WallStSmart Score of 67/100 (B-).

ORLY

Buy

62

out of 100

Grade: C+

Growth: 6.7Profit: 8.0Value: 6.7Quality: 5.0
Piotroski: 3/9Altman Z: 1.42

SMP

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 5.0Value: 7.3Quality: 6.5
Piotroski: 4/9Altman Z: 2.21
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ORLYUndervalued (+76.1%)

Margin of Safety

+76.1%

Fair Value

$363.32

Current Price

$86.90

$276.42 discount

UndervaluedFair: $363.32Overvalued
SMPOvervalued (-13.3%)

Margin of Safety

-13.3%

Fair Value

$39.53

Current Price

$39.43

$0.10 premium

UndervaluedFair: $39.53Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ORLY3 strengths · Avg: 9.7/10
Return on EquityProfitability
58.6%10/10

Every $100 of equity generates 59 in profit

Debt/EquityHealth
-8.1810/10

Conservative balance sheet, low leverage

Market CapQuality
$74.80B9/10

Large-cap with strong market position

SMP4 strengths · Avg: 9.0/10
P/E RatioValuation
10.4x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

PEG RatioValuation
0.538/10

Growing faster than its price suggests

EPS GrowthGrowth
35.6%8/10

Earnings expanding 35.6% YoY

Areas to Watch

ORLY4 concerns · Avg: 3.3/10
PEG RatioValuation
1.934/10

Expensive relative to growth rate

P/E RatioValuation
29.4x4/10

Moderate valuation

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Altman Z-ScoreHealth
1.422/10

Distress zone — elevated risk

SMP4 concerns · Avg: 3.0/10
Market CapQuality
$862.70M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.6%3/10

ROE of 6.6% — below average capital efficiency

Profit MarginProfitability
2.5%3/10

2.5% margin — thin

Debt/EquityHealth
1.083/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : SMP

The strongest argument for SMP centers on P/E Ratio, Price/Book, PEG Ratio. PEG of 0.53 suggests the stock is reasonably priced for its growth.

Bear Case : ORLY

The primary concerns for ORLY are PEG Ratio, P/E Ratio, Piotroski F-Score.

Bear Case : SMP

The primary concerns for SMP are Market Cap, Return on Equity, Profit Margin. Thin 2.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

SMP carries more volatility with a beta of 0.81 — 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

SMP scores higher overall (67/100 vs 62/100). ORLY offers better value entry with a 76.1% 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.

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.

Standard Motor Products Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

Standard Motor Products, Inc. manufactures and distributes motor vehicle replacement parts to the automotive aftermarket industry. The company is headquartered in Long Island City, New York.

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