The smoke point of olive oil isabout 210°C (410°F) which is significantly higher than the recommended frying temperature.
The Advice Olive International (WATCH) recommends the use of olive oil for frying as long as the oil temperature does not exceed 210°C . The molecular structure of the oil and its nutritional value will not change significantly or as much as other oils. Extra virgin olive oil tolerates the cooking temperature well because of its high content of polephenols (antioxidants) and oleic acid.
During cooking, the extra virgin olive oil does not produce any toxic substances unlike other fats which deteriorate at high temperatures.
Original COI quote:
"Olive oil is ideal for frying. In proper temperature conditions, without over-heating, it undergoes no substantial structural change and keeps its nutritional value better than other oils, not only because of the antioxidants but also due to its high levels of oleic acid. Its high smoking point (210ºC) is substantially higher than the ideal temperature for frying food (180ºC). Those fats with lower critical points, such as corn and butter, break down at this temperature and form toxic products."