O’Reilly Automotive Inc (ORLY)

Financial leverage ratio

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Total assets	US$ in thousands	14,893,700	14,577,500	14,393,200	14,213,100	14,603,800	13,551,800	13,276,600	12,972,800	12,628,000	12,238,000	12,067,700	11,760,400	11,718,700	11,789,400	11,949,300	11,850,900	11,596,600	12,504,000	11,728,500	11,108,900
Total stockholders’ equity	US$ in thousands	-1,370,960	-1,439,060	-1,583,390	-1,391,200	-1,739,280	-1,760,470	-1,627,470	-1,625,020	-1,060,750	-1,205,460	-1,107,430	-328,273	-66,423	-140,853	217,694	-6,977	140,258	709,225	589,100	108,844
Financial leverage ratio		—	—	—	—	—	—	—	—	—	—	—	—	—	—	54.89	—	82.68	17.63	19.91	102.06

December 31, 2024 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $14,893,700K ÷ $-1,370,960K
= —

The financial leverage ratio of O’Reilly Automotive Inc indicates the company’s level of debt financing in relation to its equity. A higher financial leverage ratio suggests higher financial risk as the company relies more on debt to fund its operations, while a lower ratio indicates lower risk and more reliance on equity financing.

In March 2020, O’Reilly Automotive had a high financial leverage ratio of 102.06, indicating a significant level of debt relative to equity. By June and September 2020, the ratio decreased to 19.91 and 17.63, respectively, suggesting a reduction in debt levels and improved balance between debt and equity financing.

However, the ratio spiked in December 2020 to 82.68, signaling a potential increase in debt relative to equity. Subsequently, in June 2021, the ratio decreased to 54.89, indicating a moderation in the leverage level.

In the following periods, the financial leverage ratio data is unavailable (indicated by "—"), making it difficult to provide a complete trend analysis beyond June 2021. It is essential for investors and stakeholders to monitor the company's financial leverage ratio over time to assess its financial risk and capital structure effectively.