O'Reilly Automotive's Historic Stock Split Was Spurred by a 65,000% Gain Since Its IPO. Is Its Biggest Rival About to Become Wall Street's Next Stock-Split Stock?

Core Insights - The rise of artificial intelligence (AI) and stock splits are significant trends boosting equity valuations on Wall Street [1][2] Company Analysis: O'Reilly Automotive - O'Reilly Automotive announced a 15-for-1 forward stock split in 2025, following a significant stock price increase of approximately 65,000% since its IPO in 1993 [6][7] - The average age of cars and light trucks in the U.S. reached an all-time high of 12.8 years in 2025, driving demand for auto parts as consumers keep their vehicles longer [9] - O'Reilly's refined distribution network includes 31 regional distribution centers and over 6,000 retail locations, allowing for efficient inventory replenishment [10] - The company has executed a substantial share repurchase program, spending about $26.6 billion to buy back nearly 60% of its outstanding shares since 2011, enhancing its earnings per share (EPS) [11] Competitor Analysis: AutoZone - AutoZone's shares have increased by over 14,000% since its IPO in 1991, but it has only completed two forward splits [13] - Similar macroeconomic factors benefiting O'Reilly also support AutoZone, as consumers are retaining their vehicles longer [14] - AutoZone is developing over 200 megahubs to improve inventory management, akin to O'Reilly's hub stores [15] - AutoZone has spent approximately $38.1 billion on share repurchases since 1998, retiring 90.3% of its outstanding shares, positively impacting its EPS [17] - Despite strong fundamentals, AutoZone's low percentage of non-institutional investors (9.4%) suggests a lower likelihood of a stock split in the near future [19]