UPDATE: Wedbush Initiates Coverage on O'Reilly Automotive with Outperform Rating, $150 PT on Attractive Growth Profile

In a report published Tuesday, Wedbush analyst Seth Basham initiated coverage on

with an Outperform rating and $150.00 price target. In the report, Wedbush noted, “Initiating coverage of ORLY with an OUTPERFORM rating and a $150 price target. We believe ORLY offers the most attractive growth profile in DIY auto retail, driven by a clear path to consistent 5% store growth and 4%+ comps, as well as continued gross margin expansion and SG&A leverage. Strong cash flows and incremental leverage should help drive share repurchases and lead to high-teens EPS growth and rising ROIC for the long term.” O'Reilly Automotive closed on Monday at $129.11.