Price to Book Value (P/BV)
since 2005
Calculation
O’Reilly Automotive Inc., P/BV, long-term trends, calculation
| P/BV | = | Share price1, 2, 3 | ÷ | Book value per share1 (BVPS) | BVPS1 | = | Shareholders’ equity (deficit)1 (in thousands) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 28, 2022 | — | = | 649.24 | ÷ | -1.00 | -1.00 | = | -66,423 | ÷ | 66,600,918 | |
| Feb 26, 2021 | 223.91 | = | 447.33 | ÷ | 2.00 | 2.00 | = | 140,258 | ÷ | 70,206,669 | |
| Feb 28, 2020 | 69.50 | = | 368.72 | ÷ | 5.31 | 5.31 | = | 397,340 | ÷ | 74,897,080 | |
| Feb 27, 2019 | 81.54 | = | 367.96 | ÷ | 4.51 | 4.51 | = | 353,667 | ÷ | 78,375,610 | |
| Feb 28, 2018 | 31.29 | = | 244.19 | ÷ | 7.80 | 7.80 | = | 653,046 | ÷ | 83,670,900 | |
| Feb 28, 2017 | 15.30 | = | 271.71 | ÷ | 17.76 | 17.76 | = | 1,627,136 | ÷ | 91,639,693 | |
| Feb 26, 2016 | 13.03 | = | 262.93 | ÷ | 20.18 | 20.18 | = | 1,961,314 | ÷ | 97,189,417 | |
| Feb 27, 2015 | 10.48 | = | 208.13 | ÷ | 19.86 | 19.86 | = | 2,018,418 | ÷ | 101,648,745 | |
| Feb 28, 2014 | 8.16 | = | 150.85 | ÷ | 18.49 | 18.49 | = | 1,966,321 | ÷ | 106,364,924 | |
| Feb 28, 2013 | 5.37 | = | 101.79 | ÷ | 18.94 | 18.94 | = | 2,108,307 | ÷ | 111,304,878 | |
| Feb 28, 2012 | 3.91 | = | 87.34 | ÷ | 22.34 | 22.34 | = | 2,844,851 | ÷ | 127,315,291 | |
| Feb 28, 2011 | 2.44 | = | 55.58 | ÷ | 22.74 | 22.74 | = | 3,209,685 | ÷ | 141,128,889 | |
| Feb 26, 2010 | 2.01 | = | 39.30 | ÷ | 19.52 | 19.52 | = | 2,685,865 | ÷ | 137,566,704 | |
| Mar 2, 2009 | 1.91 | = | 32.23 | ÷ | 16.91 | 16.91 | = | 2,282,218 | ÷ | 134,952,674 | |
| Mar 3, 2008 | 1.98 | = | 27.26 | ÷ | 13.80 | 13.80 | = | 1,592,477 | ÷ | 115,390,026 | |
| Mar 1, 2007 | 2.84 | = | 34.02 | ÷ | 11.97 | 11.97 | = | 1,364,096 | ÷ | 113,981,927 | |
| Mar 15, 2006 | 3.50 | = | 35.71 | ÷ | 10.19 | 10.19 | = | 1,145,769 | ÷ | 112,425,511 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of O’Reilly Automotive Inc. Annual Report.
The financial data reveals a stark divergence between the market valuation of the company and its accounting book value over the period from 2006 to 2022.
- Share Price Performance
- A consistent and significant long-term upward trajectory is observed in the share price. Starting at 35.71 USD in 2006, the price grew steadily, with acceleration occurring after 2012, eventually reaching 649.24 USD by February 2022.
- Book Value per Share (BVPS) Evolution
- The BVPS followed a non-linear trend. An initial growth phase occurred from 2006 to 2011, peaking at 22.74 USD. Subsequently, a persistent decline was observed, with values falling to 7.80 USD in 2018 and further eroding to 2.00 USD in 2021. By February 2022, the BVPS entered negative territory, reaching -1.00 USD.
- Price to Book Value (P/BV) Ratio Dynamics
- The P/BV ratio experienced exponential expansion resulting from the simultaneous increase in share price and the decrease in book value. The ratio remained relatively modest between 1.91 and 5.37 from 2006 through 2013. A period of rapid escalation began in 2014 at 8.16, rising to 81.54 in 2019 and peaking at 223.91 in 2021. Due to the negative BVPS in 2022, the P/BV ratio is no longer applicable for the final period.
The observed patterns indicate a decoupling of market price from book value. The erosion of BVPS alongside a surging share price typically suggests aggressive capital return strategies, such as substantial share repurchases, which reduce shareholders' equity while increasing the market premium attributed to the remaining shares.
AI Ask an analyst for more
Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.
How can I help you?
Comparison to Competitors
O’Reilly Automotive Inc., P/BV, long-term trends, comparison to competitors
| O’Reilly Automotive Inc. | Amazon.com Inc. | Home Depot Inc. | Lowe’s Cos. Inc. | TJX Cos. Inc. | |
|---|---|---|---|---|---|
| Feb 28, 2022 | — | 11.60 | 95.58 | 90.79 | 13.68 |
| Feb 26, 2021 | 223.91 | 17.86 | — | 25.96 | 9.42 |
| Feb 28, 2020 | 69.50 | 16.11 | — | 24.01 | 12.79 |
| Feb 27, 2019 | 81.54 | 18.34 | 139.52 | 11.89 | 10.23 |
| Feb 28, 2018 | 31.29 | 24.98 | 41.08 | 10.87 | 11.27 |
| Feb 28, 2017 | 15.30 | 20.47 | 25.88 | 8.87 | 12.09 |
| Feb 26, 2016 | 13.03 | 20.65 | 15.76 | 7.10 | 11.23 |
| Feb 27, 2015 | 10.48 | 15.33 | 8.68 | 4.20 | 10.18 |
| Feb 28, 2014 | 8.16 | 16.90 | 5.83 | 2.99 | 9.36 |
| Feb 28, 2013 | 5.37 | 15.14 | 4.23 | 2.28 | 9.20 |
| Feb 28, 2012 | 3.91 | 10.52 | 3.21 | 1.96 | 6.30 |
| Feb 28, 2011 | 2.44 | 11.25 | 2.85 | 1.84 | 6.12 |
| Feb 26, 2010 | 2.01 | 10.60 | 2.36 | 1.49 | 4.96 |
| Mar 2, 2009 | 1.91 | 9.43 | 2.79 | 2.22 | 6.74 |
| Mar 3, 2008 | 1.98 | 26.19 | 2.90 | 3.04 | 5.25 |
| Mar 1, 2007 | 2.84 | 38.87 | 3.38 | 3.54 | 6.17 |
| Mar 15, 2006 | 3.50 | 66.44 | 3.37 | 3.61 | 7.15 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Consumer Discretionary Distribution & Retail)
O’Reilly Automotive Inc., P/BV, long-term trends, comparison to sector (consumer discretionary distribution & retail)
| O’Reilly Automotive Inc. | Consumer Discretionary Distribution & Retail | |
|---|---|---|
| Feb 28, 2022 | — | 14.31 |
| Feb 26, 2021 | 223.91 | 20.07 |
| Feb 28, 2020 | 69.50 | 19.77 |
| Feb 27, 2019 | 81.54 | 20.07 |
| Feb 28, 2018 | 31.29 | 23.06 |
| Feb 28, 2017 | 15.30 | 18.06 |
| Feb 26, 2016 | 13.03 | 14.67 |
| Feb 27, 2015 | 10.48 | 9.31 |
| Feb 28, 2014 | 8.16 | 7.64 |
| Feb 28, 2013 | 5.37 | 5.82 |
| Feb 28, 2012 | 3.91 | 4.12 |
| Feb 28, 2011 | 2.44 | 3.84 |
| Feb 26, 2010 | 2.01 | 3.13 |
| Mar 2, 2009 | 1.91 | 3.23 |
| Mar 3, 2008 | 1.98 | 3.70 |
| Mar 1, 2007 | 2.84 | 3.90 |
| Mar 15, 2006 | 3.50 | 4.03 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Consumer Discretionary)
O’Reilly Automotive Inc., P/BV, long-term trends, comparison to industry (consumer discretionary)
| O’Reilly Automotive Inc. | Consumer Discretionary | |
|---|---|---|
| Feb 28, 2022 | — | 13.21 |
| Feb 26, 2021 | 223.91 | 17.99 |
| Feb 28, 2020 | 69.50 | 13.59 |
| Feb 27, 2019 | 81.54 | 11.35 |
| Feb 28, 2018 | 31.29 | 10.74 |
| Feb 28, 2017 | 15.30 | 8.39 |
| Feb 26, 2016 | 13.03 | 7.17 |
| Feb 27, 2015 | 10.48 | 5.83 |
| Feb 28, 2014 | 8.16 | 5.12 |
| Feb 28, 2013 | 5.37 | 4.39 |
| Feb 28, 2012 | 3.91 | 3.84 |
| Feb 28, 2011 | 2.44 | 4.04 |
| Feb 26, 2010 | 2.01 | 4.72 |
| Mar 2, 2009 | 1.91 | 4.98 |
| Mar 3, 2008 | 1.98 | 3.91 |
| Mar 1, 2007 | 2.84 | 4.50 |
| Mar 15, 2006 | 3.50 | 3.49 |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).