The retail sector has been badly damaged by the pandemic. Shelter-in-place and lockdown orders have hampered footfalls severely. However, not everything retail is looking gloomy. O’Reilly Automotive, better known as O’Reilly Auto Parts, is an aftermarket part, tools, and supplies retailer. It has a sizeable presence in the US, with more than 5400 stores across 47 states. O’Reilly also does business in Mexico with over 20 stores. Automotive DIY has grown significantly over the years, and with the growth of the internet, it is expected to grow further. Additionally, O’Reilly has performed well through upcycles and downcycles. Its service offerings are expected to find demand as Americans will want to keep their vehicles running. O’Reilly is one of the top retail stocks to invest in 2021.
A Short Background Of O’Reilly Automotive
O’Reilly Automotive was founded by Charles O’Reilly, an auto parts salesman. The year the first store opened was 1957, and the location was Springfield, Missouri. By 1975, the company had grown to nine stores and a 52,000 square-foot warehouse. O’Reilly went public in the year 1993 and now trades on the NASDAQ stock exchange. As of 2020, the company is estimated to operate over 5,600 stores across the US and Mexico. O’Reilly is present at 22 locations in Mexico and across 47 states within the US. 59% of the company’s sales, as of 2020, are accounted for by DIY customers, while the remaining 41% are attributed to professional customers. O’Reilly is among the best retail stocks to buy 2021.
Retail Stocks To Invest In 2021
O’Reilly Automotive’s stock closed at $515.39 on April 13th, 2021. The stock was up 6.4% for the preceding month and on an uptrend. In fact, the stock has been on an uptrend since February 1st, 2021. O’Reilly Automotive has gained 44% over a 1-year period and has almost doubled since hitting lows during the March 2020 crash. The stock currently does not pay a dividend.