AutoZone (AZO - Free Report) ended the recent trading session at $3,200.76, demonstrating a -2.14% change from the preceding day's closing price. The stock's performance was behind the S&P 500's daily loss of 0.52%. Meanwhile, the Dow lost 1.24%, and the Nasdaq, a tech-heavy index, lost 0.21%.
The auto parts retailer's stock has climbed by 14.29% in the past month, exceeding the Retail-Wholesale sector's gain of 2.31% and the S&P 500's loss of 1.21%.
Investors will be eagerly watching for the performance of AutoZone in its upcoming earnings disclosure. On that day, AutoZone is projected to report earnings of $36.41 per share, which would represent year-over-year growth of 17.3%. Alongside, our most recent consensus estimate is anticipating revenue of $4.95 billion, indicating a 7.01% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $171.53 per share and revenue of $21.86 billion, which would represent changes of +12.44% and +7.48%, respectively, from the prior year.
Investors should also pay attention to any latest changes in analyst estimates for AutoZone. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.49% decrease. As of now, AutoZone holds a Zacks Rank of #3 (Hold).
Digging into valuation, AutoZone currently has a Forward P/E ratio of 19.07. This expresses a premium compared to the average Forward P/E of 16.79 of its industry.
It is also worth noting that AZO currently has a PEG ratio of 1.52. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Automotive - Retail and Wholesale - Parts industry was having an average PEG ratio of 1.7.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 73, finds itself in the top 30% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AZO in the coming trading sessions, be sure to utilize Zacks.com.
AutoZone (AZO - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this auto parts retailer have returned +14.3%, compared to the Zacks S&P 500 composite's -1.2% change. During this period, the Zacks Automotive - Retail and Wholesale - Parts industry, which AutoZone falls in, has gained 7.5%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Revisions to Earnings EstimatesRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, AutoZone is expected to post earnings of $36.41 per share, indicating a change of +17.3% from the year-ago quarter. The Zacks Consensus Estimate has changed -2.6% over the last 30 days.
The consensus earnings estimate of $171.53 for the current fiscal year indicates a year-over-year change of +12.4%. This estimate has changed -1.5% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $194.62 indicates a change of +13.5% from what AutoZone is expected to report a year ago. Over the past month, the estimate has changed -1.6%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for AutoZone.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of AutoZone, the consensus sales estimate of $4.95 billion for the current quarter points to a year-over-year change of +7%. The $21.86 billion and $23.44 billion estimates for the current and next fiscal years indicate changes of +7.5% and +7.2%, respectively.
Last Reported Results and Surprise HistoryAutoZone reported revenues of $6.59 billion in the last reported quarter, representing a year-over-year change of +5.6%. EPS of $56.05 for the same period compares with $48.71 a year ago.
Compared to the Zacks Consensus Estimate of $6.69 billion, the reported revenues represent a surprise of -1.38%. The EPS surprise was +2.77%.
Over the last four quarters, AutoZone surpassed consensus EPS estimates three times. The company topped consensus revenue estimates times over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
AutoZone is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AutoZone. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Carnegie Investment Counsel cut its holdings in AutoZone, Inc. (NYSE:AZO – Free Report) by 38.0% during the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 388 shares of the company’s stock after selling 238 shares during the quarter. Carnegie Investment Counsel’s holdings in AutoZone were worth $1,098,000 at the end of the most recent quarter.
Other large investors have also modified their holdings of the company. Assenagon Asset Management S.A. raised its position in shares of AutoZone by 42,984.5% during the 3rd quarter. Assenagon Asset Management S.A. now owns 10,537,614 shares of the company’s stock worth $29,821,658,000 after purchasing an additional 10,513,156 shares during the last quarter. BlackRock Inc. purchased a new stake in AutoZone in the 2nd quarter valued at approximately $3,938,566,000. Sound Income Strategies LLC lifted its stake in AutoZone by 646,568.6% in the 3rd quarter. Sound Income Strategies LLC now owns 659,602 shares of the company’s stock valued at $1,866,687,000 after buying an additional 659,500 shares in the last quarter. Howard Capital Management LLC grew its holdings in AutoZone by 79,236.8% during the 3rd quarter. Howard Capital Management LLC now owns 385,577 shares of the company’s stock valued at $1,091,191,000 after buying an additional 385,091 shares during the last quarter. Finally, Envestnet Portfolio Solutions Inc. grew its holdings in AutoZone by 247,417.8% during the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 249,993 shares of the company’s stock valued at $798,963,000 after buying an additional 249,892 shares during the last quarter. 92.74% of the stock is currently owned by institutional investors and hedge funds.
Analysts Set New Price Targets Several equities analysts have weighed in on the company. BMO Capital Markets dropped their price target on AutoZone from $4,000.00 to $3,500.00 and set an “outperform” rating for the company in a research report on Wednesday, September 23rd. Evercore reaffirmed an “outperform” rating on shares of AutoZone in a research note on Wednesday, September 23rd. The Goldman Sachs Group dropped their price objective on AutoZone from $4,096.00 to $3,917.00 and set a “buy” rating for the company in a research report on Wednesday, September 23rd. Morgan Stanley downgraded shares of AutoZone from an “overweight” rating to a “market perform” rating in a research note on Tuesday, September 29th. Finally, Sanford C. Bernstein initiated coverage on shares of AutoZone in a report on Tuesday, September 29th. They issued an “outperform” rating and a $3,698.00 target price on the stock. Two research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $3,669.12.
Check Out Our Latest Analysis on AutoZone Insider Buying and Selling at AutoZone In related news, VP Dennis LeRiche sold 1,455 shares of the firm’s stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $3,100.00, for a total value of $4,510,500.00. Following the sale, the vice president directly owned 441 shares of the company’s stock, valued at approximately $1,367,100. This trade represents a 76.74% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 2.60% of the stock is currently owned by insiders.
AutoZone Trading Up 3.6% NYSE AZO opened at $3,270.99 on Friday. The business’s 50-day moving average price is $2,947.68 and its 200 day moving average price is $3,123.72. AutoZone, Inc. has a twelve month low of $2,730.65 and a twelve month high of $3,996.25. The company has a market capitalization of $53.42 billion, a PE ratio of 21.41, a price-to-earnings-growth ratio of 1.47 and a beta of 0.40.
AutoZone (NYSE:AZO – Get Free Report) last posted its quarterly earnings results on Tuesday, September 22nd. The company reported $56.05 EPS for the quarter, beating the consensus estimate of $0.54 by $55.51. AutoZone had a negative return on equity of 90.08% and a net margin of 12.65%. The company had revenue of $6.59 billion during the quarter, compared to analysts’ expectations of $6.70 billion. During the same quarter in the previous year, the business earned $48.71 EPS. The firm’s revenue was up 5.6% on a year-over-year basis. Equities analysts predict that AutoZone, Inc. will post 171.53 EPS for the current year.
AutoZone Profile (Free Report)
AutoZone, Inc is a specialty retailer and distributor of automotive replacement parts, equipment and accessories. The company serves do-it-yourself customers, professional automotive technicians and commercial repair businesses through its retail stores, distribution network and digital platforms.
Its merchandise includes replacement batteries, brakes, filters, belts, hoses, ignition components, tools, fluids, lighting products and other maintenance items. AutoZone also offers private-label products under brands such as Duralast, as well as vehicle diagnostic services and parts delivery for commercial customers.
Founded in 1979 as Auto Shack by Pitt Hyde, the company adopted the AutoZone name in 1987.
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It has been about a month since the last earnings report for AutoZone (AZO - Free Report) . Shares have added about 11% in that time frame, outperforming the S&P 500.
But investors have to be wondering, will the recent positive trend continue leading up to its next earnings release, or is AutoZone due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
AutoZone Q4 Earnings Beat EstimatesAutoZone reported fourth-quarter fiscal 2026 earnings per share of $56.05, which increased 15.1% year over year and beat the Zacks Consensus Estimate of $54.54 by 2.8%. Gross margin expansion supported the profit increase.
Net sales rose 5.6% to $6.60 billion but missed the consensus mark of $6.69 billion by 1.4%. Total company same-store sales increased 1.5% on a constant-currency basis.
Same-Store Sales Show Mixed Regional TrendsDomestic same-store sales increased 1.6% in the 16-week quarter. International same-store sales advanced 10.7% on a reported basis, while constant-currency growth was 1.3%, reflecting the impact of currency movements.
Total company same-store sales rose 2.7% on a reported basis. Sales per average store increased to $830,000 from $823,000, while sales per average square foot remained at $122. Management said the selling environment was difficult during the first eight weeks, but sales strengthened over the final eight weeks.
Margin Gains Lift Quarterly ProfitabilityGross margin expanded 182 basis points year over year to 53.3%. The improvement included a 145-basis-point benefit from tariff refunds and a 105-basis-point favorable net non-cash LIFO impact, partly offset by a higher commercial sales mix. The quarter included a $15 million LIFO charge versus an $80 million charge a year earlier.
Operating expenses increased to 33.4% of sales from 32.4%, with deleverage primarily tied to growth initiatives. Operating profit rose 10.1% to $1.32 billion, while net income increased 11.3% to $931.59 million. Operating margin improved 81 basis points to 20%.
Commercial Business Maintains Solid MomentumDomestic commercial sales reached $1.91 billion, up 8.6% from the year-ago quarter. Average weekly sales per commercial program increased 2.7% to $18,700, showing continued growth in the professional customer channel.
The company ended the quarter with 6,443 domestic commercial programs, up 5.7% year over year. Commercial programs were available in 94% of domestic stores, supporting AutoZone’s push to expand service to repair shops and other professional customers.
Store Openings Expand Its Global FootprintAutoZone opened 175 stores during the quarter, including 97 in the United States, 68 in Mexico and 10 in Brazil. The global store count reached 8,031 at quarter-end compared with 7,657 a year earlier.
The domestic network ended with 6,863 stores, while Mexico and Brazil had 1,001 and 167 stores, respectively. Total company square footage reached 54.66 million square feet versus 51.82 million a year earlier. The company also opened 16 new Mega Hub stores in the United States.
Balance Sheet Reflects Growth InvestmentMerchandise inventories increased 10.1% year over year to $7.74 billion, primarily due to growth initiatives. Inventory per store rose 5% to $963,000, while net inventory per store was negative $107,000 compared with negative $131,000 a year earlier. Inventory turns eased to 1.3 times from 1.4 times.
Cash and cash equivalents stood at $326.12 million at fiscal year-end, while total debt was $9.08 billion. Fourth-quarter cash flow from operations totaled $1.18 billion, and capital spending was $498.77 million. Adjusted debt to EBITDAR remained at 2.5 times, while working capital was negative $1 billion.
Capital Returns Stay SubstantialAutoZone repurchased 223,000 shares during the quarter for $697.50 million at an average price of $3,125 per share. Diluted weighted average shares outstanding declined 3.3% year over year to 16.6 million. The company had $1.61 billion remaining under its share repurchase authorization at fiscal year-end.
Management expects sales in the United States, Mexico and Brazil to accelerate in fiscal 2027. The company plans to keep improving its inventory offering, delivery speed and customer service while pursuing domestic commercial, do-it-yourself and international growth.
How Have Estimates Been Moving Since Then?In the past month, investors have witnessed a downward trend in estimates review.
VGM ScoresCurrently, AutoZone has a average Growth Score of C, though it is lagging a lot on the Momentum Score front with an F. However, the stock has a score of C on the value side, putting it in the middle 20% for this investment strategy.
Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.
OutlookEstimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. Notably, AutoZone has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in AZO, ORLY over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
On October 21, 2026, we delve into the DCF analysis for AutoZone Inc AZO, a company that has seen a mixed performance in the market. Over the past year, the stock has declined by 20.4%, while it has recently shown signs of recovery with a 9.2% increase in the past week and a 10.7% increase in the past month.
DCF Earnings-based intrinsic value of $2258.39 vs current price of $3160.18 (margin of safety: -39.9%) DCF Free Cash Flow-based intrinsic value of $2038.64 vs current price (second opinion) GF Score™ of 83/100, indicating a strong reliability of the DCF inputs What Is AZO Worth? DCF Earnings-Based Model The DCF earnings-based model for AutoZone Inc employs a two-stage approach to estimate its intrinsic value. The first stage anticipates a robust growth rate of 17.0% for the next ten years, followed by a terminal growth rate of 4% for the subsequent ten years. Given the current EPS of $96.73, the calculations yield the following:
Parameter Value Current EPS (TTM, excl. non-recurring) $96.73 10-Year Growth Rate 17.0% 10-Year Treasury Rate 5.12% Discount Rate (ceil(Treasury) + 6%) 12% Terminal Growth Rate 4% The following table summarizes the calculation results:
Stage Description Value Growth Stage (Years 1-10) EPS growing at 17.0%, discounted at 12% $1239.71 Terminal Stage (Years 11-20) 4% terminal growth, discounted at 12% $1018.68 Intrinsic Value Growth + Terminal $2258.39 With the current price at $3160.18, the stock appears significantly overvalued, presenting a margin of safety of -39.9%. Notably, GuruFocus utilizes EPS excluding non-recurring items as research indicates that stock prices correlate more closely with earnings than with free cash flow. For more detailed calculations, visit the AZO DCF Calculator.
What Does the Free Cash Flow DCF Say? The Free Cash Flow (FCF) based intrinsic value for AutoZone is calculated at $2038.64. When compared to the earnings-based intrinsic value of $2258.39, the two models diverge, indicating a lack of consensus on the company's valuation. The FCF model also suggests that the stock is significantly overvalued, with a margin of safety of -55.0%.
How Does GF Value™ Compare to the DCF Models? In addition to the DCF models, the GF Value™ for AutoZone is calculated at $3800.84, providing a third perspective on the stock's valuation. GF Value™ is a proprietary measure from GuruFocus that incorporates historical trading multiples, past business growth, and future performance estimates. The divergence among the three models—DCF earnings, DCF FCF, and GF Value™—highlights the complexity of accurately assessing AutoZone's worth. For further insights, check the GF Value™.
What Does AZO's GF Score™ Tell Us? The GF Score™ evaluates various aspects of a company's financial health and growth potential. AutoZone's score of 83/100 indicates a strong overall performance, although its predictability rank of 2/5 stars suggests that the DCF model may be less reliable for this stock. The following table provides a breakdown of AZO's GF Score™ metrics:
Metric Rating GF Score™ 83/100 Financial Strength 4/10 Profitability 10/10 Growth 10/10 Valuation 10/10 Momentum 1/10 The predictability rank of 2/5 stars indicates that the DCF model's reliability is compromised for AutoZone. For more details, visit the AZO stock page.
Key Assumptions and Limitations It is important to note that DCF models are highly sensitive to the assumptions made regarding growth and discount rates. Stocks with low predictability ratings, such as AutoZone, tend to produce less reliable DCF estimates. The terminal growth rate of 4% is a simplifying assumption that may not reflect future market conditions accurately.
What This Means for Investors In synthesizing the three valuation models—DCF earnings, DCF FCF, and GF Value™—it becomes evident that there is a significant disagreement regarding AutoZone's valuation. The DCF models indicate that the stock is overvalued, while the GF Value™ suggests a different perspective. Additionally, the Guru 13F Activity reveals that 11 gurus currently hold the stock, with 10 adding to their positions and 1 trimming, while insider activity shows net selling of $38.2M over the past year. This mixed signal from gurus and insiders adds another layer of complexity to the valuation narrative. For further exploration of AutoZone's valuation, visit the AZO DCF Calculator.
Frequently Asked Questions What is AZO's intrinsic value based on DCF?
earnings-based $2258.39, FCF-based $2038.64
Is AZO overvalued or undervalued?
AZO is significantly overvalued according to both DCF models and the GF Value™.
How reliable is the DCF model for AZO?
The DCF model's reliability is low, as indicated by a predictability rank of 2/5 stars.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Disclosures
I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.
IFP Advisors Inc boosted its position in shares of AutoZone, Inc. (NYSE:AZO – Free Report) by 823.4% in the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission. The fund owned 2,567 shares of the company’s stock after purchasing an additional 2,289 shares during the quarter. IFP Advisors Inc’s holdings in AutoZone were worth $7,265,000 as of its most recent filing with the Securities and Exchange Commission.
A number of other large investors also recently added to or reduced their stakes in AZO. Edmond DE Rothschild Holding S.A. acquired a new stake in shares of AutoZone during the 2nd quarter worth approximately $29,000. Asset Dedication LLC raised its stake in shares of AutoZone by 150.0% during the first quarter. Asset Dedication LLC now owns 10 shares of the company’s stock worth $34,000 after buying an additional 6 shares during the last quarter. Tacita Capital Inc bought a new stake in shares of AutoZone during the second quarter worth approximately $32,000. Burkett Financial Services LLC acquired a new position in AutoZone in the third quarter valued at approximately $31,000. Finally, GK Wealth Management LLC acquired a new position in AutoZone in the third quarter valued at approximately $34,000. 92.74% of the stock is currently owned by institutional investors and hedge funds.
Insider Activity In other news, VP Dennis LeRiche sold 1,455 shares of the business’s stock in a transaction on Friday, August 7th. The shares were sold at an average price of $3,100.00, for a total value of $4,510,500.00. Following the completion of the transaction, the vice president owned 441 shares of the company’s stock, valued at $1,367,100. The trade was a 76.74% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 2.60% of the stock is owned by company insiders.
AutoZone Stock Performance Shares of NYSE AZO opened at $3,116.62 on Monday. The stock has a market cap of $50.89 billion, a P/E ratio of 20.40, a P/E/G ratio of 1.45 and a beta of 0.40. The firm has a 50 day moving average price of $2,937.50 and a 200 day moving average price of $3,130.15. AutoZone, Inc. has a 52-week low of $2,730.65 and a 52-week high of $4,040.00. AutoZone (NYSE:AZO – Get Free Report) last issued its earnings results on Tuesday, September 22nd. The company reported $56.05 EPS for the quarter, beating the consensus estimate of $0.54 by $55.51. The firm had revenue of $6.59 billion during the quarter, compared to the consensus estimate of $6.70 billion. AutoZone had a net margin of 12.65% and a negative return on equity of 90.08%. The business’s quarterly revenue was up 5.6% on a year-over-year basis. During the same quarter in the prior year, the firm earned $48.71 earnings per share. Analysts predict that AutoZone, Inc. will post 171.53 earnings per share for the current fiscal year.
Wall Street Analysts Forecast Growth AZO has been the topic of a number of recent research reports. The Goldman Sachs Group reduced their price objective on shares of AutoZone from $4,096.00 to $3,917.00 and set a “buy” rating on the stock in a research note on Wednesday, September 23rd. Sanford C. Bernstein initiated coverage on shares of AutoZone in a research report on Tuesday, September 29th. They set an “outperform” rating and a $3,698.00 target price for the company. Morgan Stanley downgraded AutoZone from an “overweight” rating to a “market perform” rating in a research note on Tuesday, September 29th. Weiss Ratings downgraded AutoZone from a “hold (c+)” rating to a “hold (c)” rating in a research note on Thursday, July 23rd. Finally, Evercore restated an “outperform” rating on shares of AutoZone in a research report on Wednesday, September 23rd. Two research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and seven have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $3,669.12.
Get Our Latest Stock Report on AutoZone
AutoZone Company Profile (Free Report)
AutoZone, Inc is a specialty retailer and distributor of automotive replacement parts, equipment and accessories. The company serves do-it-yourself customers, professional automotive technicians and commercial repair businesses through its retail stores, distribution network and digital platforms.
Its merchandise includes replacement batteries, brakes, filters, belts, hoses, ignition components, tools, fluids, lighting products and other maintenance items. AutoZone also offers private-label products under brands such as Duralast, as well as vehicle diagnostic services and parts delivery for commercial customers.
Founded in 1979 as Auto Shack by Pitt Hyde, the company adopted the AutoZone name in 1987.
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AutoZone (AZO - Free Report) ended the recent trading session at $3,117.14, demonstrating a +1.88% change from the preceding day's closing price. This change outpaced the S&P 500's 1.09% loss on the day. Elsewhere, the Dow saw a downswing of 0.34%, while the tech-heavy Nasdaq depreciated by 2.15%.
The auto parts retailer's stock has climbed by 7.57% in the past month, exceeding the Retail-Wholesale sector's gain of 3.71% and the S&P 500's gain of 2.44%.
Analysts and investors alike will be keeping a close eye on the performance of AutoZone in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $36.41, marking a 17.3% rise compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $4.95 billion, reflecting a 7.01% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $171.5 per share and a revenue of $21.86 billion, signifying shifts of +12.42% and +7.48%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for AutoZone. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.26% lower within the past month. AutoZone currently has a Zacks Rank of #3 (Hold).
In the context of valuation, AutoZone is at present trading with a Forward P/E ratio of 17.84. This signifies a premium in comparison to the average Forward P/E of 17.13 for its industry.
We can also see that AZO currently has a PEG ratio of 1.42. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Automotive - Retail and Wholesale - Parts industry held an average PEG ratio of 1.69.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 45, positioning it in the top 19% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
Krilogy Financial LLC grew its position in AutoZone, Inc. (NYSE:AZO – Free Report) by 31,746.2% in the third quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 33,120 shares of the company’s stock after buying an additional 33,016 shares during the quarter. AutoZone accounts for 2.5% of Krilogy Financial LLC’s holdings, making the stock its 5th largest holding. Krilogy Financial LLC owned approximately 0.20% of AutoZone worth $93,730,000 at the end of the most recent reporting period.
A number of other hedge funds also recently added to or reduced their stakes in AZO. IVC Wealth Advisors LLC grew its holdings in AutoZone by 2.9% during the 1st quarter. IVC Wealth Advisors LLC now owns 107 shares of the company’s stock worth $361,000 after acquiring an additional 3 shares in the last quarter. Pure Financial Advisors LLC increased its position in shares of AutoZone by 2.4% during the fourth quarter. Pure Financial Advisors LLC now owns 127 shares of the company’s stock worth $430,000 after purchasing an additional 3 shares in the last quarter. Petredis Investment Advisors LLC increased its holdings in shares of AutoZone by 0.4% in the 1st quarter. Petredis Investment Advisors LLC now owns 762 shares of the company’s stock valued at $2,574,000 after acquiring an additional 3 shares during the period. KFG Wealth Management LLC increased its position in AutoZone by 2.2% in the 1st quarter. KFG Wealth Management LLC now owns 142 shares of the company’s stock valued at $480,000 after acquiring an additional 3 shares during the period. Finally, Crown Wealth Group LLC increased its holdings in shares of AutoZone by 3.7% in the first quarter. Crown Wealth Group LLC now owns 84 shares of the company’s stock valued at $284,000 after purchasing an additional 3 shares during the period. 92.74% of the stock is currently owned by institutional investors and hedge funds.
Insider Transactions at AutoZone
In related news, VP Dennis LeRiche sold 1,455 shares of AutoZone stock in a transaction on Friday, August 7th. The shares were sold at an average price of $3,100.00, for a total value of $4,510,500.00. Following the transaction, the vice president owned 441 shares in the company, valued at $1,367,100. This trade represents a 76.74% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. 2.60% of the stock is owned by insiders.
AutoZone Stock Performance
AZO opened at $2,891.80 on Wednesday. The company has a 50-day moving average of $2,940.79 and a 200-day moving average of $3,136.94. AutoZone, Inc. has a 1-year low of $2,730.65 and a 1-year high of $4,113.44. The company has a market capitalization of $47.22 billion, a P/E ratio of 18.93, a PEG ratio of 1.35 and a beta of 0.40.
AutoZone (NYSE:AZO – Get Free Report) last announced its quarterly earnings data on Tuesday, September 22nd. The company reported $56.05 earnings per share for the quarter, beating the consensus estimate of $0.54 by $55.51. The business had revenue of $6.59 billion during the quarter, compared to analyst estimates of $6.70 billion. AutoZone had a negative return on equity of 90.08% and a net margin of 12.65%. The company’s revenue was up 5.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $48.71 earnings per share. As a group, sell-side analysts expect that AutoZone, Inc. will post 171.50 earnings per share for the current fiscal year.
AutoZone announced that its board has approved a stock repurchase plan on Tuesday, June 16th that authorizes the company to buy back $1.50 billion in shares. This repurchase authorization authorizes the company to purchase up to 3% of its stock through open market purchases. Share repurchase plans are often an indication that the company’s leadership believes its shares are undervalued.
Wall Street Analyst Weigh In
A number of brokerages have recently issued reports on AZO. TD Cowen dropped their price target on shares of AutoZone from $3,500.00 to $3,400.00 and set a “buy” rating on the stock in a research note on Wednesday, September 23rd. Mizuho dropped their price target on AutoZone from $3,200.00 to $3,000.00 and set a “neutral” rating for the company in a research report on Wednesday, September 23rd. Raymond James Financial cut their target price on shares of AutoZone from $4,000.00 to $3,700.00 and set a “strong-buy” rating for the company in a research report on Wednesday, September 23rd. Oppenheimer set a $3,400.00 price objective on AutoZone in a research note on Wednesday, September 23rd. Finally, Truist Financial reduced their price target on AutoZone from $3,817.00 to $3,648.00 and set a “buy” rating on the stock in a research note on Wednesday, September 23rd. Two investment analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and seven have assigned a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $3,669.12.
View Our Latest Research Report on AZO
AutoZone Company Profile
(Free Report)
AutoZone, Inc is a specialty retailer of automotive replacement parts, accessories and maintenance products. The company serves do-it-yourself customers as well as professional automotive repair shops, offering products such as batteries, brakes, filters, engine components, tools, fluids and other vehicle parts.
In addition to its retail stores, AutoZone provides commercial sales and delivery services for professional repair businesses. The company also operates ALLDATA, which offers automotive diagnostic, repair and shop-management software and information services to repair professionals.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional stores and operations in Mexico and Brazil.
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Terra Nova Asset Management LLC trimmed its holdings in shares of AutoZone, Inc. (NYSE:AZO – Free Report) by 66.5% in the 3rd quarter, according to its most recent disclosure with the SEC. The fund owned 209 shares of the company’s stock after selling 415 shares during the period. Terra Nova Asset Management LLC’s holdings in AutoZone were worth $591,000 as of its most recent SEC filing.
Several other large investors have also recently made changes to their positions in AZO. BlackRock Inc. purchased a new stake in shares of AutoZone in the second quarter worth $3,938,566,000. Sound Income Strategies LLC increased its holdings in shares of AutoZone by 646,568.6% during the third quarter. Sound Income Strategies LLC now owns 659,602 shares of the company’s stock valued at $1,866,687,000 after acquiring an additional 659,500 shares in the last quarter. Envestnet Portfolio Solutions Inc. raised its position in shares of AutoZone by 247,417.8% in the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 249,993 shares of the company’s stock worth $798,963,000 after purchasing an additional 249,892 shares during the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new position in shares of AutoZone in the 2nd quarter worth about $572,885,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its position in shares of AutoZone by 11,577.6% in the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 141,066 shares of the company’s stock worth $450,838,000 after purchasing an additional 139,858 shares during the last quarter. 92.74% of the stock is currently owned by hedge funds and other institutional investors.
AutoZone Trading Down 1.3% AutoZone stock opened at $2,901.71 on Tuesday. The firm has a market cap of $47.38 billion, a price-to-earnings ratio of 18.99, a PEG ratio of 1.37 and a beta of 0.40. The stock has a fifty day simple moving average of $2,943.54 and a two-hundred day simple moving average of $3,140.41. AutoZone, Inc. has a 12 month low of $2,730.65 and a 12 month high of $4,146.42.
AutoZone (NYSE:AZO – Get Free Report) last posted its quarterly earnings results on Tuesday, September 22nd. The company reported $56.05 earnings per share for the quarter, topping the consensus estimate of $0.54 by $55.51. The firm had revenue of $6.59 billion during the quarter, compared to analysts’ expectations of $6.70 billion. AutoZone had a negative return on equity of 90.08% and a net margin of 12.65%. The company’s revenue was up 5.6% on a year-over-year basis. During the same quarter in the previous year, the business earned $48.71 earnings per share. On average, equities research analysts forecast that AutoZone, Inc. will post 171.50 EPS for the current fiscal year. AutoZone announced that its Board of Directors has initiated a share repurchase plan on Tuesday, June 16th that authorizes the company to buy back $1.50 billion in outstanding shares. This buyback authorization authorizes the company to reacquire up to 3% of its stock through open market purchases. Share buyback plans are typically an indication that the company’s board believes its shares are undervalued.
Wall Street Analysts Forecast Growth A number of equities analysts recently issued reports on AZO shares. Morgan Stanley cut shares of AutoZone from an “overweight” rating to a “market perform” rating in a research note on Tuesday, September 29th. Piper Sandler set a $3,500.00 price objective on shares of AutoZone in a research note on Monday, August 31st. JPMorgan Chase & Co. decreased their target price on shares of AutoZone from $3,850.00 to $3,700.00 and set an “overweight” rating for the company in a report on Monday, September 28th. Raymond James Financial decreased their target price on shares of AutoZone from $4,000.00 to $3,700.00 and set a “strong-buy” rating for the company in a report on Wednesday, September 23rd. Finally, The Goldman Sachs Group dropped their target price on shares of AutoZone from $4,096.00 to $3,917.00 and set a “buy” rating on the stock in a research note on Wednesday, September 23rd. Two equities research analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating and seven have assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $3,669.12.
Read Our Latest Report on AZO
Insider Activity at AutoZone In related news, VP Dennis LeRiche sold 1,455 shares of AutoZone stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $3,100.00, for a total value of $4,510,500.00. Following the completion of the sale, the vice president directly owned 441 shares in the company, valued at approximately $1,367,100. This trade represents a 76.74% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 2.60% of the stock is owned by company insiders.
AutoZone Profile (Free Report)
AutoZone, Inc is a specialty retailer of automotive replacement parts, accessories and maintenance products. The company serves do-it-yourself customers as well as professional automotive repair shops, offering products such as batteries, brakes, filters, engine components, tools, fluids and other vehicle parts.
In addition to its retail stores, AutoZone provides commercial sales and delivery services for professional repair businesses. The company also operates ALLDATA, which offers automotive diagnostic, repair and shop-management software and information services to repair professionals.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional stores and operations in Mexico and Brazil.
Further Reading Five stocks we like better than AutoZone Salesforce Just Got a Rare Double Upgrade—What Changed? OpenAI’s Revenue Scare Could Be a Big Opportunity for Investors China Still Dominates Rare Earths—These 3 U.S. Companies Could Benefit 3 REITs That May Win in a Higher Interest Rate Environment Want to see what other hedge funds are holding AZO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for AutoZone, Inc. (NYSE:AZO – Free Report).
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AutoZone (AZO - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this auto parts retailer have returned +2.2% over the past month versus the Zacks S&P 500 composite's +2.4% change. The Zacks Automotive - Retail and Wholesale - Parts industry, to which AutoZone belongs, has lost 0.8% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
AutoZone is expected to post earnings of $36.41 per share for the current quarter, representing a year-over-year change of +17.3%. Over the last 30 days, the Zacks Consensus Estimate has changed -4.2%.
For the current fiscal year, the consensus earnings estimate of $171.5 points to a change of +12.4% from the prior year. Over the last 30 days, this estimate has changed -2.3%.
For the next fiscal year, the consensus earnings estimate of $194.62 indicates a change of +13.5% from what AutoZone is expected to report a year ago. Over the past month, the estimate has changed -2%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, AutoZone is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue GrowthWhile earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For AutoZone, the consensus sales estimate for the current quarter of $4.95 billion indicates a year-over-year change of +7%. For the current and next fiscal years, $21.86 billion and $23.44 billion estimates indicate +7.5% and +7.2% changes, respectively.
Last Reported Results and Surprise HistoryAutoZone reported revenues of $6.59 billion in the last reported quarter, representing a year-over-year change of +5.6%. EPS of $56.05 for the same period compares with $48.71 a year ago.
Compared to the Zacks Consensus Estimate of $6.69 billion, the reported revenues represent a surprise of -1.38%. The EPS surprise was +2.77%.
Over the last four quarters, AutoZone surpassed consensus EPS estimates three times. The company topped consensus revenue estimates times over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an A is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
AutoZone is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
ConclusionThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AutoZone. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Galvin Gaustad & Stein LLC cut its stake in AutoZone, Inc. (NYSE:AZO – Free Report) by 4.8% during the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 4,622 shares of the company’s stock after selling 233 shares during the period. Galvin Gaustad & Stein LLC’s holdings in AutoZone were worth $13,083,000 at the end of the most recent quarter.
A number of other institutional investors and hedge funds have also added to or reduced their stakes in the company. IVC Wealth Advisors LLC lifted its position in shares of AutoZone by 2.9% in the 1st quarter. IVC Wealth Advisors LLC now owns 107 shares of the company’s stock worth $361,000 after purchasing an additional 3 shares during the period. Pure Financial Advisors LLC increased its position in shares of AutoZone by 2.4% during the fourth quarter. Pure Financial Advisors LLC now owns 127 shares of the company’s stock worth $430,000 after buying an additional 3 shares during the period. Petredis Investment Advisors LLC increased its position in shares of AutoZone by 0.4% during the first quarter. Petredis Investment Advisors LLC now owns 762 shares of the company’s stock worth $2,574,000 after buying an additional 3 shares during the period. KFG Wealth Management LLC raised its stake in AutoZone by 2.2% during the first quarter. KFG Wealth Management LLC now owns 142 shares of the company’s stock worth $480,000 after buying an additional 3 shares during the last quarter. Finally, Crown Wealth Group LLC raised its stake in AutoZone by 3.7% during the first quarter. Crown Wealth Group LLC now owns 84 shares of the company’s stock worth $284,000 after buying an additional 3 shares during the last quarter. Institutional investors and hedge funds own 92.74% of the company’s stock.
Analyst Upgrades and Downgrades AZO has been the topic of a number of research analyst reports. Weiss Ratings cut shares of AutoZone from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, July 23rd. TD Cowen lowered their price objective on AutoZone from $3,500.00 to $3,400.00 and set a “buy” rating for the company in a research report on Wednesday, September 23rd. Roth Capital dropped their price objective on AutoZone from $4,023.00 to $3,850.00 and set a “buy” rating on the stock in a research note on Wednesday, September 23rd. Raymond James Financial cut their target price on AutoZone from $4,000.00 to $3,700.00 and set a “strong-buy” rating on the stock in a research report on Wednesday, September 23rd. Finally, Evercore reaffirmed an “outperform” rating on shares of AutoZone in a research note on Wednesday, September 23rd. Two equities research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and seven have given a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $3,669.12.
Get Our Latest Report on AutoZone More AutoZone News Here are the key news stories impacting AutoZone this week:
Positive Sentiment: Bernstein upgraded AutoZone to “Strong Buy,” signaling increased confidence in the company’s outlook and potentially supporting the stock’s valuation. Bernstein upgrades AutoZone stock to Strong Buy Positive Sentiment: AutoZone’s average analyst price target is $3,669.12, above the stock’s recently cited trading level near $2,911, implying meaningful potential upside if estimates and valuation hold. AutoZone, Inc. Stock Has Average Price Target of $3,669.12 Positive Sentiment: Long-term earnings expectations remain constructive: Zacks forecasts EPS of $190.08 for fiscal 2028 and $220.60 for fiscal 2029, suggesting continued profit growth beyond the near term. Zacks Research Comments on AutoZone’s Q2 Earnings Neutral Sentiment: Zacks modestly raised its Q3 2028 EPS forecast to $46.56 from $45.66, partially offsetting the reductions to other quarterly and annual estimates. Zacks Research Comments on AutoZone’s Q2 Earnings Negative Sentiment: Zacks cut several forward earnings estimates: Q1 2027 EPS fell to $34.65 from $37.78, Q4 2027 to $58.15 from $61.70, and fiscal 2027 to $166.16 from $174.73. Fiscal 2028 EPS was also reduced to $190.08 from $197.32, while Q1 and Q4 2028 estimates were lowered as well. The revisions suggest analysts see softer near- to medium-term earnings momentum. Zacks Research Comments on AutoZone’s Q2 Earnings Insider Transactions at AutoZone In related news, VP Dennis LeRiche sold 1,455 shares of AutoZone stock in a transaction on Friday, August 7th. The shares were sold at an average price of $3,100.00, for a total value of $4,510,500.00. Following the completion of the sale, the vice president owned 441 shares of the company’s stock, valued at approximately $1,367,100. This trade represents a 76.74% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 2.60% of the company’s stock.
AutoZone Stock Performance Shares of NYSE:AZO opened at $2,910.62 on Friday. AutoZone, Inc. has a 52-week low of $2,730.65 and a 52-week high of $4,146.42. The business’s 50 day simple moving average is $2,947.19 and its two-hundred day simple moving average is $3,146.50. The firm has a market cap of $47.53 billion, a P/E ratio of 19.05, a PEG ratio of 1.32 and a beta of 0.40.
AutoZone (NYSE:AZO – Get Free Report) last released its quarterly earnings data on Tuesday, September 22nd. The company reported $56.05 EPS for the quarter, beating the consensus estimate of $0.54 by $55.51. AutoZone had a negative return on equity of 90.08% and a net margin of 12.65%.The firm had revenue of $6.59 billion during the quarter, compared to the consensus estimate of $6.70 billion. During the same quarter in the previous year, the company posted $48.71 earnings per share. The company’s quarterly revenue was up 5.6% on a year-over-year basis. On average, equities analysts forecast that AutoZone, Inc. will post 171.5 earnings per share for the current fiscal year.
AutoZone declared that its board has authorized a share repurchase plan on Tuesday, June 16th that allows the company to repurchase $1.50 billion in outstanding shares. This repurchase authorization allows the company to repurchase up to 3% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s management believes its shares are undervalued.
AutoZone Company Profile (Free Report)
AutoZone, Inc is a specialty retailer of automotive replacement parts, accessories and maintenance products. The company serves do-it-yourself customers as well as professional automotive repair shops, offering products such as batteries, brakes, filters, engine components, tools, fluids and other vehicle parts.
In addition to its retail stores, AutoZone provides commercial sales and delivery services for professional repair businesses. The company also operates ALLDATA, which offers automotive diagnostic, repair and shop-management software and information services to repair professionals.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional stores and operations in Mexico and Brazil.
Further Reading Five stocks we like better than AutoZone Want Private-Market Access to Kalshi and Polymarket? Try This ETF Levi’s Stock Dip Reveals Value Opportunity Despite Q3 Headwinds PepsiCo Stock Looks Poised to Bottom With High Yield, Deep Value Alphabet’s $1.8 Billion Black Hills Deal Powers AI Data Center Push Want to see what other hedge funds are holding AZO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for AutoZone, Inc. (NYSE:AZO – Free Report).
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AutoZone, Inc. (NYSE:AZO – Get Free Report) has received a consensus recommendation of “Moderate Buy” from the twenty-seven research firms that are presently covering the stock, Marketbeat Ratings reports. Seven investment analysts have rated the stock with a hold rating, eighteen have issued a buy rating and two have given a strong buy rating to the company. The average 1-year target price among brokers that have issued a report on the stock in the last year is $3,669.12.
A number of analysts have recently issued reports on the company. BMO Capital Markets lowered their price target on AutoZone from $4,000.00 to $3,500.00 and set an “outperform” rating on the stock in a research note on Wednesday, September 23rd. Wells Fargo & Company reduced their price objective on AutoZone from $4,150.00 to $3,500.00 and set an “overweight” rating for the company in a research note on Thursday, September 10th. The Goldman Sachs Group lowered their target price on shares of AutoZone from $4,096.00 to $3,917.00 and set a “buy” rating on the stock in a research note on Wednesday, September 23rd. Morgan Stanley cut shares of AutoZone from an “overweight” rating to a “market perform” rating in a research report on Tuesday, September 29th. Finally, TD Cowen decreased their price target on shares of AutoZone from $3,500.00 to $3,400.00 and set a “buy” rating on the stock in a research note on Wednesday, September 23rd.
Check Out Our Latest Report on AutoZone
AutoZone Trading Up 3.3% Shares of AutoZone stock opened at $2,900.90 on Wednesday. The firm has a market capitalization of $47.37 billion, a PE ratio of 18.99, a P/E/G ratio of 1.30 and a beta of 0.40. AutoZone has a twelve month low of $2,730.65 and a twelve month high of $4,170.00. The firm’s 50-day moving average price is $2,955.17 and its 200 day moving average price is $3,152.61. AutoZone (NYSE:AZO – Get Free Report) last posted its quarterly earnings data on Tuesday, September 22nd. The company reported $56.05 EPS for the quarter, topping the consensus estimate of $0.54 by $55.51. AutoZone had a negative return on equity of 90.08% and a net margin of 12.65%.The company had revenue of $6.59 billion during the quarter, compared to analyst estimates of $6.70 billion. During the same period in the previous year, the business earned $48.71 EPS. AutoZone’s quarterly revenue was up 5.6% on a year-over-year basis. On average, sell-side analysts predict that AutoZone will post 172.12 EPS for the current fiscal year.
AutoZone declared that its Board of Directors has approved a share buyback program on Tuesday, June 16th that authorizes the company to buyback $1.50 billion in outstanding shares. This buyback authorization authorizes the company to reacquire up to 3% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s board believes its stock is undervalued.
Insiders Place Their Bets In other AutoZone news, VP Dennis LeRiche sold 1,455 shares of the company’s stock in a transaction on Friday, August 7th. The stock was sold at an average price of $3,100.00, for a total value of $4,510,500.00. Following the completion of the sale, the vice president directly owned 441 shares in the company, valued at $1,367,100. This represents a 76.74% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Company insiders own 2.60% of the company’s stock.
Institutional Inflows and Outflows Several institutional investors and hedge funds have recently modified their holdings of the company. BlackRock Inc. purchased a new position in AutoZone during the second quarter worth about $3,938,566,000. First Manhattan CO. LLC. raised its position in shares of AutoZone by 2.7% during the 4th quarter. First Manhattan CO. LLC. now owns 261,314 shares of the company’s stock valued at $886,246,000 after buying an additional 6,765 shares during the period. Envestnet Portfolio Solutions Inc. raised its position in shares of AutoZone by 247,417.8% during the 2nd quarter. Envestnet Portfolio Solutions Inc. now owns 249,993 shares of the company’s stock valued at $798,963,000 after buying an additional 249,892 shares during the period. Mitsubishi UFJ Asset Management Co. Ltd. acquired a new position in AutoZone in the second quarter valued at approximately $572,885,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted its holdings in AutoZone by 11,577.6% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 141,066 shares of the company’s stock valued at $450,838,000 after acquiring an additional 139,858 shares during the last quarter. Institutional investors and hedge funds own 92.74% of the company’s stock.
About AutoZone (Get Free Report)
AutoZone, Inc is a specialty retailer of automotive replacement parts, accessories and maintenance products. The company serves do-it-yourself customers as well as professional automotive repair shops, offering products such as batteries, brakes, filters, engine components, tools, fluids and other vehicle parts.
In addition to its retail stores, AutoZone provides commercial sales and delivery services for professional repair businesses. The company also operates ALLDATA, which offers automotive diagnostic, repair and shop-management software and information services to repair professionals.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional stores and operations in Mexico and Brazil.
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Eastern Bank grew its holdings in AutoZone, Inc. (NYSE:AZO – Free Report) by 11,038.9% in the third quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 4,010 shares of the company’s stock after buying an additional 3,974 shares during the period. Eastern Bank’s holdings in AutoZone were worth $11,348,000 as of its most recent filing with the Securities & Exchange Commission.
Several other hedge funds and other institutional investors have also recently modified their holdings of AZO. BlackRock Inc. acquired a new stake in AutoZone in the 2nd quarter valued at about $3,938,566,000. First Manhattan CO. LLC. boosted its holdings in shares of AutoZone by 2.7% during the 4th quarter. First Manhattan CO. LLC. now owns 261,314 shares of the company’s stock worth $886,246,000 after purchasing an additional 6,765 shares during the last quarter. Envestnet Portfolio Solutions Inc. grew its position in shares of AutoZone by 247,417.8% in the second quarter. Envestnet Portfolio Solutions Inc. now owns 249,993 shares of the company’s stock valued at $798,963,000 after purchasing an additional 249,892 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. purchased a new stake in shares of AutoZone in the second quarter valued at approximately $572,885,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its holdings in shares of AutoZone by 11,577.6% in the second quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 141,066 shares of the company’s stock valued at $450,838,000 after purchasing an additional 139,858 shares during the last quarter. 92.74% of the stock is owned by hedge funds and other institutional investors.
Insider Activity In related news, VP Dennis LeRiche sold 1,455 shares of the business’s stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $3,100.00, for a total value of $4,510,500.00. Following the sale, the vice president directly owned 441 shares in the company, valued at approximately $1,367,100. The trade was a 76.74% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Insiders own 2.60% of the company’s stock.
Wall Street Analysts Forecast Growth A number of equities analysts have weighed in on AZO shares. TD Cowen lowered their price objective on AutoZone from $3,500.00 to $3,400.00 and set a “buy” rating on the stock in a research note on Wednesday, September 23rd. Morgan Stanley downgraded AutoZone from an “overweight” rating to a “market perform” rating in a research note on Tuesday, September 29th. Sanford C. Bernstein initiated coverage on AutoZone in a research note on Tuesday, September 29th. They issued an “outperform” rating and a $3,698.00 target price for the company. Oppenheimer set a $3,400.00 price target on AutoZone in a report on Wednesday, September 23rd. Finally, Truist Financial lowered their price target on shares of AutoZone from $3,817.00 to $3,648.00 and set a “buy” rating on the stock in a research report on Wednesday, September 23rd. Two investment analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $3,710.36. Get Our Latest Analysis on AutoZone
AutoZone Price Performance AZO traded down $5.90 during trading hours on Monday, reaching $2,786.13. The company’s stock had a trading volume of 77,918 shares, compared to its average volume of 265,097. The business’s 50-day moving average is $2,964.72 and its 200-day moving average is $3,160.31. The stock has a market cap of $45.50 billion, a PE ratio of 18.24, a P/E/G ratio of 1.29 and a beta of 0.40. AutoZone, Inc. has a fifty-two week low of $2,730.65 and a fifty-two week high of $4,224.08.
AutoZone (NYSE:AZO – Get Free Report) last posted its earnings results on Tuesday, September 22nd. The company reported $56.05 EPS for the quarter, beating analysts’ consensus estimates of $0.54 by $55.51. AutoZone had a negative return on equity of 90.08% and a net margin of 12.65%.The company had revenue of $6.59 billion for the quarter, compared to the consensus estimate of $6.70 billion. During the same quarter in the previous year, the business earned $48.71 earnings per share. The company’s revenue for the quarter was up 5.6% on a year-over-year basis. Analysts expect that AutoZone, Inc. will post 172.12 EPS for the current year.
AutoZone declared that its Board of Directors has authorized a stock buyback program on Tuesday, June 16th that authorizes the company to buyback $1.50 billion in shares. This buyback authorization authorizes the company to reacquire up to 3% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s board of directors believes its stock is undervalued.
AutoZone Profile (Free Report)
AutoZone, Inc is a specialty retailer of automotive replacement parts, accessories and maintenance products. The company serves do-it-yourself customers as well as professional automotive repair shops, offering products such as batteries, brakes, filters, engine components, tools, fluids and other vehicle parts.
In addition to its retail stores, AutoZone provides commercial sales and delivery services for professional repair businesses. The company also operates ALLDATA, which offers automotive diagnostic, repair and shop-management software and information services to repair professionals.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional stores and operations in Mexico and Brazil.
Read More Five stocks we like better than AutoZone What a $1 Billion Chip Deal Says About Amazon’s AI Ambitions 3 Stocks Benefiting From AI Demand Just Announced Major Buybacks Insiders Are Selling These 3 Stocks, Should You? Datadog’s Rally Has Insiders Selling—Can It Keep Climbing? Want to see what other hedge funds are holding AZO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for AutoZone, Inc. (NYSE:AZO – Free Report).
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MassMutual Private Wealth & Trust FSB increased its holdings in AutoZone, Inc. (NYSE:AZO – Free Report) by 10,859.5% in the 3rd quarter, according to its most recent 13F filing with the SEC. The firm owned 9,206 shares of the company’s stock after buying an additional 9,122 shares during the period. MassMutual Private Wealth & Trust FSB owned about 0.06% of AutoZone worth $26,053,000 as of its most recent filing with the SEC.
A number of other institutional investors have also modified their holdings of the business. Silverleafe Capital Partners LLC lifted its stake in AutoZone by 0.4% in the third quarter. Silverleafe Capital Partners LLC now owns 2,979 shares of the company’s stock valued at $8,431,000 after buying an additional 11 shares during the last quarter. Polaris Financial Partners bought a new position in shares of AutoZone during the third quarter worth about $569,000. CX Institutional grew its position in shares of AutoZone by 8,649.3% during the third quarter. CX Institutional now owns 20,036 shares of the company’s stock worth $56,702,000 after acquiring an additional 19,807 shares during the last quarter. Burkett Financial Services LLC acquired a new stake in shares of AutoZone in the 3rd quarter worth about $31,000. Finally, QRG Capital Management Inc. increased its holdings in shares of AutoZone by 26,077.9% in the 2nd quarter. QRG Capital Management Inc. now owns 49,738 shares of the company’s stock worth $158,960,000 after acquiring an additional 49,548 shares during the period. Institutional investors own 92.74% of the company’s stock.
AutoZone Price Performance Shares of NYSE:AZO opened at $2,798.29 on Monday. AutoZone, Inc. has a 12 month low of $2,756.13 and a 12 month high of $4,252.54. The stock has a market cap of $45.70 billion, a price-to-earnings ratio of 18.31, a PEG ratio of 1.29 and a beta of 0.40. The stock’s 50 day moving average price is $2,964.72 and its 200 day moving average price is $3,160.31.
AutoZone (NYSE:AZO – Get Free Report) last issued its quarterly earnings results on Tuesday, September 22nd. The company reported $56.05 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.54 by $55.51. AutoZone had a negative return on equity of 90.08% and a net margin of 12.65%.The firm had revenue of $6.59 billion during the quarter, compared to analyst estimates of $6.70 billion. During the same period last year, the company posted $48.71 EPS. The firm’s quarterly revenue was up 5.6% on a year-over-year basis. On average, sell-side analysts expect that AutoZone, Inc. will post 172.12 EPS for the current year. AutoZone declared that its Board of Directors has initiated a stock buyback program on Tuesday, June 16th that allows the company to repurchase $1.50 billion in outstanding shares. This repurchase authorization allows the company to buy up to 3% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.
Insider Buying and Selling at AutoZone In related news, VP Dennis LeRiche sold 1,455 shares of AutoZone stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $3,100.00, for a total transaction of $4,510,500.00. Following the transaction, the vice president directly owned 441 shares of the company’s stock, valued at $1,367,100. The trade was a 76.74% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 2.60% of the stock is currently owned by company insiders.
Wall Street Analysts Forecast Growth A number of research analysts have issued reports on AZO shares. Truist Financial reduced their target price on shares of AutoZone from $3,817.00 to $3,648.00 and set a “buy” rating for the company in a research note on Wednesday, September 23rd. Raymond James Financial cut their price target on AutoZone from $4,000.00 to $3,700.00 and set a “strong-buy” rating on the stock in a report on Wednesday, September 23rd. Roth Capital decreased their price objective on AutoZone from $4,023.00 to $3,850.00 and set a “buy” rating for the company in a report on Wednesday, September 23rd. Mizuho decreased their price objective on AutoZone from $3,200.00 to $3,000.00 and set a “neutral” rating for the company in a report on Wednesday, September 23rd. Finally, TD Cowen lowered their target price on AutoZone from $3,500.00 to $3,400.00 and set a “buy” rating on the stock in a research report on Wednesday, September 23rd. Two investment analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating and seven have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $3,710.36.
View Our Latest Research Report on AutoZone
AutoZone Profile (Free Report)
AutoZone, Inc is a specialty retailer of automotive replacement parts, accessories and maintenance products. The company serves do-it-yourself customers as well as professional automotive repair shops, offering products such as batteries, brakes, filters, engine components, tools, fluids and other vehicle parts.
In addition to its retail stores, AutoZone provides commercial sales and delivery services for professional repair businesses. The company also operates ALLDATA, which offers automotive diagnostic, repair and shop-management software and information services to repair professionals.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional stores and operations in Mexico and Brazil.
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Key Takeaways AutoZone's commercial sales rose 10.6% in fiscal 2026, aided by inventory and Hub expansion.AutoZone opened 374 stores in fiscal 2026 and plans about 400 new stores in fiscal 2027.AutoZone's gross margin fell to 52.3% as mix shifts and LIFO charges pressured results. AutoZone, Inc. (AZO - Free Report) is balancing growth investments with valuation and profitability considerations as the company expands its commercial business, store network and supply chain capabilities. The company’s growth initiatives support its long-term strategy, although margin pressure, consumer trends and leverage remain key factors for investors to monitor.
AutoZone Growth Drivers Support the Long ViewAutoZone’s domestic commercial business continues to be a key growth driver. Domestic commercial sales increased 10.6% in fiscal 2026, supported by improved inventory availability, Hub and Mega Hub expansion, faster delivery capabilities and the Duralast brand. The company ended fiscal 2026 with 6,443 domestic commercial programs. Its commercial programs were available in 94% of domestic stores.
Store expansion is another part of AutoZone’s growth strategy. The company opened 374 stores in fiscal 2026, the highest annual store opening level in its history, and ended the year with 8,031 locations globally. AutoZone plans to continue expanding its footprint, including additional Mega Hub locations designed to improve product availability and support both professional and DIY customers. The company had 172 Mega Hubs at fiscal year-end and plans to open more than 40 Mega Hubs in fiscal 2027. Management expects approximately 400 new stores in fiscal 2027.
International expansion also remains a long-term focus. AutoZone ended fiscal 2026 with 1,001 stores in Mexico and 167 stores in Brazil. Management expects international same-store sales growth in fiscal 2027 as investments in stores, inventory and supply chain capabilities continue.
AutoZone Faces Margin and Consumer RisksAutoZone’s faster-growing commercial business may create pressure on gross margins as the sales mix shifts. Gross margin declined 29 basis points in fiscal 2026 to 52.3%, partly reflecting inventory cost dynamics and LIFO charges. Management expects fiscal 2027 gross margins to be flat to up 25 basis points on a GAAP basis and anticipates approximately $85 million to $90 million of LIFO charges during the year.
Consumer trends in the DIY segment remain another consideration. Domestic DIY same-store sales declined 0.6% in the fourth quarter of fiscal 2026, as higher inflation and lower customer traffic affected transactions. Management expects domestic same-store sales to be flat to up low single digits in fiscal 2027.
AutoZone’s Balance SheetAutoZone continues to generate substantial cash flow, providing funds for expansion and shareholder returns. The company generated approximately $1.8 billion in free cash flow during fiscal 2026 and repurchased $2 billion of stock during the year.
At the same time, AutoZone ended fiscal 2026 with $9.1 billion in debt. The company’s leveraged capital structure remains a factor as it balances store growth, capital spending and share repurchases. Management reported leverage of 2.5X EBITDAR at fiscal year-end.
AZO’s Valuation and EstimatesAutoZone trades at 16.45X forward 12-month EPS, below its five-year median multiple and the Zacks sub-industry.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for AZO’s fiscal 2027 sales and EPS implies year-over-year growth of 7.6% and 13.4%, respectively.
Our TakeAutoZone is a good business, and its valuation looks reasonable, but near-term risks limit the upside. Record store openings and double-digit commercial growth are real strengths. But margins are under pressure from mix shift and LIFO charges, and the outlook for flat to low-single-digit domestic same-store sales leaves little room for surprise. Leverage is also worth watching, with $9.1 billion in debt.
Current shareholders should hold the stock. New investors can wait for a better entry point.
Zacks Rank & Stocks to ConsiderAZO currently carries a Zacks Rank #3 (Hold).
Better-ranked players in the auto space include Honda (HMC - Free Report) , Oshkosh Corp. (OSK - Free Report) and PACCAR (PCAR - Free Report) . While Honda sports a Zacks Rank #1 (Strong Buy), Oshkosh and PACCAR carry a Zacks Rank #2 (Buy).
The Zacks Consensus Estimate for HMC’s fiscal 2027 and 2028 EPS implies year-over-year growth of 208% and 58%, respectively.
The Zacks Consensus Estimate for OSK’s 2026 and 2027 EPS implies year-over-year growth of 1% and 28%, respectively.
The Zacks Consensus Estimate for PCAR’s 2026 and 2027 EPS implies year-over-year growth of 18% and 22%, respectively.
You can see the complete list of today’s Zacks #1 Rank stocks here.
On September 30, 2026, we delve into the DCF analysis for AutoZone Inc AZO, a company that has seen a significant decline in its stock price over the past year, down 32.7%. With a current price of $2875.97, the market is reacting to various factors affecting its performance. Here’s a snapshot of the valuation insights:
DCF Earnings-based intrinsic value suggests a value of $2258.39 per share, indicating a margin of safety of -27.4% compared to the current price. The DCF Free Cash Flow (FCF)-based intrinsic value is $2038.64, which also points to a significant overvaluation. With a GF Score™ of 84/100, the reliability of the DCF inputs is somewhat supported, but the predictability rank of 2/5 stars suggests caution in relying solely on these models. What Is AZO Worth? DCF Earnings-Based Model The DCF earnings-based model employs a two-stage approach to estimate the intrinsic value of AutoZone. In the first stage, we project earnings growth for the next ten years, followed by a terminal growth phase. Below are the key assumptions used in this model:
Parameter Value Current EPS (TTM, excl. non-recurring) $96.73 10-Year Growth Rate 17.0% 10-Year Treasury Rate 5.22% Discount Rate (ceil(Treasury) + 6%) 12% Terminal Growth Rate 4% In the growth phase (Years 1-10), we expect EPS to grow at 17.0% annually, which is then discounted at a rate of 12%. In the terminal phase (Years 11-20), growth slows to a 4% terminal rate, also discounted at 12%. The calculation summary is as follows:
Stage Description Value Growth Stage (Years 1-10) EPS growing at 17.0%, discounted at 12% $1239.71 Terminal Stage (Years 11-20) 4% terminal growth, discounted at 12% $1018.68 Intrinsic Value Growth + Terminal $2258.39 Comparing the current price of $2875.97 to the intrinsic value of $2258.39 reveals that AutoZone is modestly overvalued, with a margin of safety of -27.4%. It's important to note that GuruFocus uses EPS excluding non-recurring items because research indicates that stock prices correlate more closely with earnings than with free cash flow. For further details, you can access the AZO DCF Calculator.
What Does the Free Cash Flow DCF Say? The DCF model based on Free Cash Flow (FCF) yields an intrinsic value of $2038.64 per share. When compared to the earnings-based valuation, there is a clear disagreement between the two models, as the FCF-based valuation also indicates that AutoZone is significantly overvalued, with a margin of safety of -41.1%. This divergence highlights the need for caution when interpreting these valuations.
How Does GF Value™ Compare to the DCF Models? The GF Value™ for AutoZone is calculated at $3785.40, providing a third perspective on valuation. This proprietary measure from GuruFocus is derived from historical trading multiples, past business growth, and future performance estimates. Notably, the GF Value™ suggests that AutoZone is undervalued by 24.0%, which contrasts with the DCF models that indicate overvaluation. For more insights, visit the GF Value™ page.
What Does AZO's GF Score™ Tell Us? The GF Score™ evaluates the overall quality of a stock based on various factors, including financial strength, profitability, growth, and valuation. AutoZone's GF Score™ stands at 84/100, indicating a strong overall quality. However, its predictability rank is only 2/5 stars, which implies that the DCF model may not be as reliable for this stock due to its lower predictability. Below is a summary of the GF Score™ metrics:
Metric Rating GF Score™ 84/100 Financial Strength 4/10 Profitability 10/10 Growth 10/10 Valuation 8/10 Momentum 1/10 For further information, you can check the AZO stock page.
Key Assumptions and Limitations It is essential to recognize that DCF models are highly sensitive to the assumptions made regarding growth rates and discount rates. Stocks with low predictability ratings, such as AutoZone's 2/5 stars, tend to produce less reliable DCF estimates. Additionally, the terminal growth rate of 4% is a simplifying assumption that may not fully capture future performance.
What This Means for Investors In synthesizing the three valuation models—DCF earnings, DCF FCF, and GF Value™—we see a clear tension in the results. The DCF models indicate that AutoZone is overvalued, while the GF Value™ suggests it is undervalued. This discrepancy may lead investors to exercise caution. Furthermore, the guru ownership signal is noteworthy, with 11 gurus currently holding the stock, 10 of whom are adding to their positions, while insiders have been net sellers over the past year. This mixed signal from gurus and insiders adds another layer of complexity to the investment thesis. For more insights, explore the AZO DCF Calculator.
Frequently Asked Questions What is AZO's intrinsic value based on DCF?
According to the DCF analysis, the earnings-based intrinsic value is $2258.39, while the FCF-based intrinsic value is $2038.64.
Is AZO overvalued or undervalued?
Based on the DCF models, AutoZone is overvalued, while the GF Value™ suggests it is undervalued.
How reliable is the DCF model for AZO?
The reliability of the DCF model for AutoZone is limited, as indicated by its predictability rank of 2/5 stars.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Disclosures I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.
AutoZone (AZO - Free Report) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this auto parts retailer have returned -2.6% over the past month versus the Zacks S&P 500 composite's +1% change. The Zacks Automotive - Retail and Wholesale - Parts industry, to which AutoZone belongs, has lost 3.1% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate RevisionsRather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, AutoZone is expected to post earnings of $37.41 per share, indicating a change of +20.5% from the year-ago quarter. The Zacks Consensus Estimate has changed -1.6% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $172.97 points to a change of +13.4% from the prior year. Over the last 30 days, this estimate has changed -1.5%.
For the next fiscal year, the consensus earnings estimate of $195.75 indicates a change of +13.2% from what AutoZone is expected to report a year ago. Over the past month, the estimate has changed -1.4%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, AutoZone is rated Zacks Rank #3 (Hold).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
For AutoZone, the consensus sales estimate for the current quarter of $4.96 billion indicates a year-over-year change of +7.3%. For the current and next fiscal years, $21.9 billion and $23.46 billion estimates indicate +7.7% and +7.2% changes, respectively.
Last Reported Results and Surprise HistoryAutoZone reported revenues of $6.59 billion in the last reported quarter, representing a year-over-year change of +5.6%. EPS of $56.05 for the same period compares with $48.71 a year ago.
Compared to the Zacks Consensus Estimate of $6.69 billion, the reported revenues represent a surprise of -1.38%. The EPS surprise was +2.77%.
Over the last four quarters, AutoZone surpassed consensus EPS estimates three times. The company topped consensus revenue estimates times over this period.
ValuationNo investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
AutoZone is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AutoZone. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Andra AP fonden cut its holdings in shares of AutoZone, Inc. (NYSE:AZO – Free Report) by 66.0% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 1,130 shares of the company’s stock after selling 2,190 shares during the period. Andra AP fonden’s holdings in AutoZone were worth $3,611,000 at the end of the most recent quarter.
Other institutional investors have also recently added to or reduced their stakes in the company. MCF Advisors LLC increased its position in AutoZone by 50.0% during the 4th quarter. MCF Advisors LLC now owns 9 shares of the company’s stock worth $31,000 after purchasing an additional 3 shares during the period. Arrowroot Family Office LLC lifted its holdings in shares of AutoZone by 5.4% in the 4th quarter. Arrowroot Family Office LLC now owns 59 shares of the company’s stock valued at $200,000 after buying an additional 3 shares during the period. Pure Financial Advisors LLC lifted its holdings in shares of AutoZone by 2.4% in the 4th quarter. Pure Financial Advisors LLC now owns 127 shares of the company’s stock valued at $430,000 after buying an additional 3 shares during the period. IVC Wealth Advisors LLC boosted its stake in shares of AutoZone by 2.9% in the first quarter. IVC Wealth Advisors LLC now owns 107 shares of the company’s stock valued at $361,000 after buying an additional 3 shares in the last quarter. Finally, Petredis Investment Advisors LLC boosted its stake in shares of AutoZone by 0.4% in the first quarter. Petredis Investment Advisors LLC now owns 762 shares of the company’s stock valued at $2,574,000 after buying an additional 3 shares in the last quarter. 92.74% of the stock is owned by institutional investors.
AutoZone Stock Performance Shares of NYSE:AZO opened at $2,848.16 on Thursday. The business’s fifty day moving average price is $2,984.27 and its two-hundred day moving average price is $3,198.67. The stock has a market cap of $46.50 billion, a PE ratio of 18.64, a price-to-earnings-growth ratio of 1.45 and a beta of 0.34. AutoZone, Inc. has a one year low of $2,764.88 and a one year high of $4,332.68.
AutoZone (NYSE:AZO – Get Free Report) last posted its quarterly earnings data on Tuesday, September 22nd. The company reported $56.05 EPS for the quarter, beating analysts’ consensus estimates of $0.54 by $55.51. The business had revenue of $6.59 billion for the quarter, compared to analyst estimates of $6.70 billion. AutoZone had a negative return on equity of 90.08% and a net margin of 12.65%.The business’s revenue for the quarter was up 5.6% compared to the same quarter last year. During the same quarter last year, the company earned $48.71 earnings per share. As a group, equities research analysts predict that AutoZone, Inc. will post 175.04 earnings per share for the current fiscal year. AutoZone declared that its board has authorized a share repurchase plan on Tuesday, June 16th that permits the company to repurchase $1.50 billion in shares. This repurchase authorization permits the company to reacquire up to 3% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board of directors believes its stock is undervalued.
Wall Street Analysts Forecast Growth Several research firms have issued reports on AZO. Jefferies Financial Group cut their price objective on AutoZone from $4,400.00 to $4,000.00 and set a “buy” rating for the company in a research report on Wednesday, May 27th. Robert W. Baird decreased their target price on shares of AutoZone from $3,600.00 to $3,400.00 and set a “neutral” rating on the stock in a research report on Wednesday. Morgan Stanley lowered their price target on shares of AutoZone from $4,020.00 to $3,605.00 and set an “overweight” rating on the stock in a research note on Wednesday, May 27th. Barclays cut their price target on shares of AutoZone from $3,637.00 to $3,400.00 and set an “overweight” rating for the company in a report on Wednesday. Finally, DA Davidson reduced their price objective on shares of AutoZone from $3,750.00 to $3,500.00 and set a “buy” rating for the company in a research note on Wednesday. One research analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $3,724.58.
View Our Latest Analysis on AutoZone
Key AutoZone News Here are the key news stories impacting AutoZone this week:
Positive Sentiment: Profit and margins exceeded expectations. Fiscal fourth-quarter EPS was $56.05, above analyst estimates, while net sales increased 5.6% year over year to $6.59 billion. Gross margin expanded to 53.3%, helped by tariff refunds and a favorable LIFO comparison, and operating profit rose 10.1%. AutoZone Q4 Earnings Beat Estimates on Tariff Refunds, Sales Miss Positive Sentiment: Management sees improved growth ahead. AutoZone said it is positioned for sales growth in fiscal 2027. Commercial sales remained strong, international same-store sales increased 10.7%, the company opened 175 stores during the quarter, and it repurchased approximately $697.5 million of stock. AutoZone Fourth-Quarter Results Neutral Sentiment: Analysts remain broadly constructive but less optimistic. Roth Capital, DA Davidson, BMO Capital Markets and Raymond James cut their price targets, while maintaining buy, outperform or strong-buy ratings. Baird retained a neutral rating, and Mizuho lowered its target to $3,000 while maintaining neutral. The revised targets still imply potential upside from current levels. AutoZone Analysts Cut Their Forecasts After Q4 Results Negative Sentiment: Sales quality raised concerns. Quarterly revenue fell short of consensus, while constant-currency same-store sales rose only 1.5% and domestic same-store sales increased 1.6%. Investors may view the earnings beat as partly dependent on temporary tariff refunds and accounting benefits, rather than underlying demand. AutoZone Reports Mixed Fourth-Quarter Results Insider Transactions at AutoZone In other AutoZone news, VP Dennis LeRiche sold 1,455 shares of the firm’s stock in a transaction dated Friday, August 7th. The shares were sold at an average price of $3,100.00, for a total transaction of $4,510,500.00. Following the sale, the vice president directly owned 441 shares of the company’s stock, valued at $1,367,100. This trade represents a 76.74% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Company insiders own 2.60% of the company’s stock.
About AutoZone (Free Report)
AutoZone, Inc is a retailer and distributor of automotive replacement parts, accessories, and maintenance products. The company serves do-it-yourself customers, professional service technicians, and commercial repair businesses through its stores, distribution network, and online platform.
Its product offerings include replacement parts such as batteries, brakes, engine components, and ignition products, along with tools, fluids, filters, and other automotive accessories. AutoZone also provides services such as parts lookup, diagnostic assistance, battery testing and charging, and loaner tools for eligible repairs.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional locations in Mexico and Brazil.
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AutoZone (AZO -0.63%) doesn't get a lot of fanfare on the stock market, but it's quietly been one of the best-performing stocks for decades.
Its hub-and-spoke business model, in which larger central stores can resupply satellite ones, consistent expansion, and steadily growing demand for aftermarket auto parts have made the company a winner over its history. The stock is up nearly 300% over the last decade.
However, over the last year, the company's winning ways have changed as the stock has fallen nearly 40% from its peak due to a stretched valuation and sluggish growth in the DIY sector as inflation has pinched consumers' wallets.
Against those concerns about slowing growth, AutoZone stepped up to deliver its fourth-quarter earnings Tuesday morning, and investors liked what they saw as the stock finished up more than 3% yesterday.
Image source: The Motley Fool.
AutoZone's fourth quarter was good enoughThe company posted mixed results as it missed top-line estimates but beat on the bottom line. Revenue in the quarter was up 5.6% to $6.59 billion, which was short of the consensus at $6.7 billion.
Same-store sales increased 1.5% on a constant-currency basis in the quarter, and earnings per share jumped 15.1% to $56.05, topping estimates at $53.84.
However, the company benefited from tariff refunds that lifted its gross margin by 145 basis points, or a windfall of roughly $100 million. Without that, its EPS increase would have been much smaller.
AutoZone has a long track record of buying back its stock, and it continued to do so in the quarter, reducing shares outstanding by 3.3% over the last year.
The company doesn't give formal guidance, but said it expected first-quarter same-store sales to be relatively flat, with higher oil and gas prices weighing on traffic, though it expects the average ticket to be up 5%. It also called for gross margins to be flat to up 25 basis points in fiscal 2027.
Management remains confident in its long-term growth as it continues to aggressively open new stores. It opened 374 new locations in fiscal 2026, with about two-thirds of those in the U.S., giving it more than 8,000 stores globally. The company also operates in Mexico and Brazil.
In recent years, management has ramped up new store openings, as physical locations and scale are critical in its industry. That strategy has impacted margins, but management said it continues to execute well at the store level. In fiscal 2027, it plans to open 400 new stores, and it dialed down its target for fiscal 2028 from 500 to 430. After 2028, it expects the ramp in new store openings to moderate.
Whether the business does well in the coming years will be determined in part by the success of its new-store ramp, and management is committed to maintaining a return on invested capital (ROIC) in the mid-30s and growing it over the long term.
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The auto parts industry is vulnerable to the macroeconomic climate, and steady inflation and higher interest rates seem to be weighing on AutoZone's sales growth.
However, the industry has also been historically resilient to downturns, as replacement parts are often a need, rather than a want. In tough times, consumers will delay buying new cars, meaning they'll spend more to keep their current one running.
I'd prefer to see stronger same-store sales growth from AutoZone, but its long-term track record speaks for itself, and investors will continue to benefit from its share buyback strategy.
Accelerating new store openings makes sense, and it should pay off over the long run. Investors may have to be patient with the stock, but AutoZone still looks like a buy.
Key Takeaways AutoZone's Q4 EPS rose 15.1% as gross margin expanded 182 basis points to 53.3%.Commercial sales grew 8.6%, with 6,443 programs supporting continued professional customer growth.AutoZone opened 175 stores, taking its global footprint to 8,031 locations at quarter-end. AutoZone, Inc. (AZO - Free Report) reported fourth-quarter fiscal 2026 earnings per share of $56.05, which increased 15.1% year over year and beat the Zacks Consensus Estimate of $54.54 by 2.8%. Gross margin expansion supported the profit increase.
Net sales rose 5.6% to $6.60 billion but missed the consensus mark of $6.69 billion by 1.4%. Total company same-store sales increased 1.5% on a constant-currency basis.
AZO’s Same-Store Sales Show Mixed Regional TrendsDomestic same-store sales increased 1.6% in the 16-week quarter. International same-store sales advanced 10.7% on a reported basis, while constant-currency growth was 1.3%, reflecting the impact of currency movements.
Total company same-store sales rose 2.7% on a reported basis. Sales per average store increased to $830,000 from $823,000, while sales per average square foot remained at $122. Management said the selling environment was difficult during the first eight weeks, but sales strengthened over the final eight weeks.
AutoZone’s Margin Gains Lift Quarterly ProfitabilityGross margin expanded 182 basis points year over year to 53.3%. The improvement included a 145-basis-point benefit from tariff refunds and a 105-basis-point favorable net non-cash LIFO impact, partly offset by a higher commercial sales mix. The quarter included a $15 million LIFO charge versus an $80 million charge a year earlier.
Operating expenses increased to 33.4% of sales from 32.4%, with deleverage primarily tied to growth initiatives. Operating profit rose 10.1% to $1.32 billion, while net income increased 11.3% to $931.59 million. Operating margin improved 81 basis points to 20%.
AZO’s Commercial Business Maintains Solid MomentumDomestic commercial sales reached $1.91 billion, up 8.6% from the year-ago quarter. Average weekly sales per commercial program increased 2.7% to $18,700, showing continued growth in the professional customer channel.
The company ended the quarter with 6,443 domestic commercial programs, up 5.7% year over year. Commercial programs were available in 94% of domestic stores, supporting AutoZone’s push to expand service to repair shops and other professional customers.
AutoZone’s Store Openings Expand Its Global FootprintAutoZone opened 175 stores during the quarter, including 97 in the United States, 68 in Mexico and 10 in Brazil. The global store count reached 8,031 at quarter-end compared with 7,657 a year earlier.
The domestic network ended with 6,863 stores, while Mexico and Brazil had 1,001 and 167 stores, respectively. Total company square footage reached 54.66 million square feet versus 51.82 million a year earlier. The company also opened 16 new Mega Hub stores in the United States.
AZO’s Balance Sheet Reflects Growth InvestmentMerchandise inventories increased 10.1% year over year to $7.74 billion, primarily due to growth initiatives. Inventory per store rose 5% to $963,000, while net inventory per store was negative $107,000 compared with negative $131,000 a year earlier. Inventory turns eased to 1.3 times from 1.4 times.
Cash and cash equivalents stood at $326.12 million at fiscal year-end, while total debt was $9.08 billion. Fourth-quarter cash flow from operations totaled $1.18 billion, and capital spending was $498.77 million. Adjusted debt to EBITDAR remained at 2.5 times, while working capital was negative $1 billion.
AutoZone’s Capital Returns Stay SubstantialAutoZone repurchased 223,000 shares during the quarter for $697.50 million at an average price of $3,125 per share. Diluted weighted average shares outstanding declined 3.3% year over year to 16.6 million. The company had $1.61 billion remaining under its share repurchase authorization at fiscal year-end.
Management expects sales in the United States, Mexico and Brazil to accelerate in fiscal 2027. The company plans to keep improving its inventory offering, delivery speed and customer service while pursuing domestic commercial, do-it-yourself and international growth.
AZO currently has a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Key Releases From Auto SpaceGeneral Motors Company (GM - Free Report) reported second-quarter 2026 adjusted earnings of $3.57 per share, up 41.3% year over year. The figure beat the Zacks Consensus Estimate of $3.13 by 14.06%. Revenues increased 1.9% to $48.03 billion and surpassed the consensus estimate of $46.56 billion by 3.15%. Strong pricing, lower costs and disciplined incentives supported results. General Motors raised its full-year adjusted EBIT guidance to $14-$16 billion from $13.5-$15.5 billion. Adjusted earnings are now projected at $12-$14 per share, up from the prior range of $11.50-$13.50.
Tesla, Inc. (TSLA - Free Report) reported second-quarter 2026 adjusted earnings of 33 cents per share, which declined 17.5% year over year. The figure missed the Zacks Consensus Estimate of 50 cents by 34%. Revenues advanced 25.5% to $28.24 billion and surpassed the consensus estimate of $25.81 billion by 9.41%. Tesla expects 2026 capital expenditures to exceed $25 billion and rise further over the next two to three years.
Genuine Parts Company (GPC - Free Report) reported second-quarter 2026 adjusted earnings of $2.15 per share, beating the Zacks Consensus Estimate of $2.10 by 2.38%. The bottom line increased 2.4% from $2.10 in the year-ago quarter. Revenues rose 6% year over year to $6.54 billion and surpassed the consensus estimate of $6.39 billion by 2.36%. Genuine Parts reaffirmed its 2026 adjusted earnings guidance of $7.50-$8 per share and total sales growth outlook of 3-5.5%. Genuine Parts ended June with $2.3 billion of liquidity, including $559 million in cash.
AutoZone (NYSE:AZO) reported fiscal 2026 fourth-quarter sales growth of 5.6% to $6.6 billion, while diluted earnings per share rose 15.1% to $56.05. The company said its results included a $96 million benefit from tariff refunds and a $15 million non-cash LIFO charge.
For the full fiscal year, sales increased 7.4% to a record $20.3 billion and earnings per share grew 5.3% to $152.55. AutoZone opened 374 stores during the year, its highest annual total, including 175 locations in the fourth quarter.
“We continued to gain market share in a challenging macro environment,” President and Chief Executive Officer Phil Daniele said, pointing to improved customer service, store execution, inventory availability and investments in supply-chain capabilities. Comparable Sales Improve Late in the Quarter Total company same-store sales increased 1.5% on a constant-currency basis in the fourth quarter. Domestic comparable sales rose 1.6%, as an 8.6% increase in commercial sales offset a 0.6% decline in the do-it-yourself, or DIY, business. International comparable sales increased 1.3% on a constant-currency basis.
Daniele said domestic sales strengthened as the quarter progressed. Domestic comparable sales averaged approximately 1.4% growth during the first three months of the 16-week period before accelerating to 2.1% in August. Retail sales were negative over the first three months before becoming essentially flat in August.
The company attributed earlier-quarter weakness partly to milder temperatures in the Southeast and South Central markets, as well as lower customer traffic. Higher oil and gasoline prices also likely pressured traffic and sales, according to management. Hot-weather product categories performed better late in the quarter as temperatures increased.
DIY average ticket increased about 5%, supported by mid-single-digit same-SKU inflation, but traffic declines offset that gain. Chief Financial Officer Jamere Jackson said customers, particularly financially challenged DIY consumers, have shown signs of deferring purchases and trading down amid inflation. Management expects transaction trends to improve as inflation moderates.
For the first quarter of fiscal 2027, AutoZone expects same-store sales to be relatively flat, with average ticket remaining near the approximately 5% increase seen in the fourth quarter.
Commercial Business Remains a Growth Driver Domestic commercial sales, also known as DIFM sales, totaled $1.9 billion during the quarter and represented 34% of domestic auto-parts sales. For the full year, commercial sales were just under $5.8 billion and grew nearly 11%.
AutoZone said its commercial growth has been supported by greater inventory availability at satellite locations, improved hub and Mega Hub coverage, the Duralast brand, and efforts to improve delivery speed and professional-customer service.
Commercial programs increased by 87 net new locations during the quarter to 6,443. The commercial program was operating in 94% of domestic stores at year-end. AutoZone opened 39 Mega Hubs during fiscal 2026, ending the year with 172 Mega Hubs. The company expects to open more than 40 Mega Hubs in fiscal 2027 and is targeting about 300 over the next three years. Jackson said commercial programs connected to a Mega Hub network generate 16% more annual sales than the remainder of the company’s commercial programs. Mega Hubs generally carry more than 100,000 SKUs and supply expanded assortments to surrounding stores.
International Growth Continues Despite Mexico Softness AutoZone ended the quarter with 1,001 stores in Mexico and 167 in Brazil, for 1,168 international locations. The company opened 68 Mexican stores and 10 Brazilian stores during the quarter. Approximately 15% of AutoZone’s store base is now outside the United States.
While constant-currency international same-store sales rose 1.3%, reported international comparable sales increased 10.7% because of favorable exchange rates. The Mexican peso strengthened nearly 9% against the U.S. dollar year over year, providing a $70 million benefit to sales, a $21 million benefit to EBIT and an $0.87 benefit to quarterly earnings per share, Jackson said.
Management said Mexico has faced a softer macroeconomic environment, though sales improved during the final four weeks of the quarter. AutoZone expects international comparable sales to improve to low- to mid-single-digit constant-currency growth for fiscal 2027, with low-double-digit reported growth anticipated in the first quarter.
The company opened a relocated Monterrey distribution center that is nearly twice the size of its previous facility and broke ground on a new León, Mexico, distribution center expected to begin operating in late fiscal 2028.
Fiscal 2027 Outlook and Capital Plans AutoZone expects domestic same-store sales in fiscal 2027 to range from flat to low-single-digit growth, driven by approximately 4% ticket growth. The company expects total domestic commercial sales to grow at a high-single-digit to low-double-digit rate and international constant-currency comparable sales to rise at a low- to mid-single-digit pace.
The retailer plans to open about 400 stores globally in fiscal 2027, compared with 374 in fiscal 2026. It expects roughly 300 openings in the U.S., about 120 in Mexico and about 20 in Brazil. AutoZone reduced its fiscal 2028 global store-opening target to about 430 from approximately 500, largely because it plans to slow expansion in Brazil and concentrate more heavily on the U.S. and Mexico.
Capital expenditures are expected to be about $1.65 billion in fiscal 2027, primarily for new stores, hubs and Mega Hubs. Daniele said newer stores are performing slightly ahead of the company’s original sales and EBIT forecasts. AutoZone estimates an average new store generates roughly $1.7 million in first-year sales, rising to approximately $2.7 million by year six, with return on invested capital exceeding 20% by the end of the sixth year.
For fiscal 2027, the company expects gross margin to be flat to up 25 basis points on a GAAP basis. It forecasts $85 million to $90 million in LIFO charges, including approximately $40 million in the first quarter. AutoZone also expects SG&A per store to rise about 3% for the year, or approximately 8% in total.
AutoZone generated approximately $1.8 billion in free cash flow during fiscal 2026 and repurchased $2 billion of its shares during the year. At year-end, $1.6 billion remained available under its repurchase authorization.
About AutoZone (NYSE:AZO) AutoZone, Inc is a retailer and distributor of automotive replacement parts, accessories, and maintenance products. The company serves do-it-yourself customers, professional service technicians, and commercial repair businesses through its stores, distribution network, and online platform.
Its product offerings include replacement parts such as batteries, brakes, engine components, and ignition products, along with tools, fluids, filters, and other automotive accessories. AutoZone also provides services such as parts lookup, diagnostic assistance, battery testing and charging, and loaner tools for eligible repairs.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional locations in Mexico and Brazil.
AutoZone Inc. (NYSE:AZO) on Tuesday reported better-than-expected fourth-quarter earnings.
AutoZone reported fourth-quarter earnings of $56.05 per share, beating the analyst estimate of $53.98. Revenue rose 5.6% year over year to $6.595 billion, slightly below Wall Street expectations of $6.681 billion.
“I want to thank our entire organization for delivering another quarter of sales and earnings growth. In spite of a difficult selling environment the first eight weeks of our quarter, we remained committed to executing on our strategies to grow both our domestic and international businesses. Over the last eight weeks of the quarter our sales results strengthened, and we feel we are well positioned for sales growth in fiscal 2027,” said Phil Daniele, President and Chief Executive Officer.
AutoZone shares closed at $2,894.73 on Tuesday.
These analysts made changes to their price targets on AutoZone following earnings announcement.
Guggenheim analyst Steven Forbes maintained the stock with a Buy and lowered the price target from $4,000 to $3,750.Baird analyst Justin Kleber maintained the stock with a Neutral and cut the price target from $3,600 to $3,400.Barclays analyst Seth Sigman maintained the stock with an Overweight rating and cut the price target from $3,637 to $3,400.BMO Capital analyst Tristan Thomas-Martin maintained the stock with an Outperform rating and lowered the price target from $4,000 to $3,500.Mizuho analyst David Bellinger maintained the stock with a Neutral and lowered the price target from $3,200 to $3,000.Raymond James analyst Bobby Griffin maintained the stock with a Strong Buy and lowered the price target from $4,000 to $3,700.Considering buying AZO stock? Here’s what analysts think:
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AutoZone NYSE: AZO is struggling with consumer headwinds, like every other retailer. However, its recent earnings results reflected the company’s strengths, including sustained growth, geographic expansion, robust cash flow, and capital returns.
Key investor takeaways from the report included outperformance and an improved outlook, enough to trigger a bottoming in the stock price.
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AutoZone’s stock price action is significant, as the company’s sell-off created a descending wedge pattern, which often indicates a bullish reversal.
In this case, the pattern was compounded by diverging MACD and stochastic, with stochastic deeply oversold and MACD momentum unwound to nearly zero.
In this scenario, the stock is set up not only to rebound but to sustain upward movement, needing only a trigger to get it moving. The trigger was the company's earnings results.
AutoZone Drives Growth and ProfitabilityAutoZone had a mixed quarter, with 5.6% growth below expectations and a 4.8% annual store count increase. However, the company produced growth, compounded it with positive comps, and drove significant profitability, which is what counts. Comps rose 1.5% systemwide, adjusted for foreign exchange, with domestic comps up 1.6% and international up 10.7% on a currency-neutral basis.
Margins were also good, even better than the revenue. While tariff refunds helped, margin gains also reflected organic improvement that carried through to the bottom line. Key details include low double-digit operating and net profit growth and nearly 15% earnings-per-share growth, amplified by share buybacks.
AutoZone is a cash-flow machine, allocating capital in a tiered manner: first on growth, second on balance sheet health, and third on buybacks. As a result, the company sustained its investment-grade credit ratings while expanding its store count in its fiscal 2026, increasing inventory to drive sales, and significantly reducing its share count. The share count fell by 2.2% during the period, a pace likely to continue into the coming year. Looking ahead, buybacks may accelerate year over year in the next quarter, given the low share prices and increased buyback activity in the latest quarter.
AutoZone Decoupled From Reality: 30% Upside AheadAutoZone’s analyst trends, including analyst reactions to the earnings results, reveal a market decoupled from reality. While trends have included price target reductions and a drop in the consensus price target relative to last year, the data remains bullish.
Current Price$2,891.00High Forecast$4,800.00Average Forecast$3,887.58Low Forecast$3,200.00AutoZone Stock Forecast Details
MarketBeat tracks 27 analysts with current ratings. No Sell ratings are logged, and the consensus is Moderate Buy with 77.7% Buy-side bias. The average price target, while moderated, indicates more than 30% upside from the late-September lows and, more importantly, deep value at the low end. AZO shares have fallen below the analysts’ lowest target, suggesting a quick move to $3,200 is possible.
Institutional activity suggests the downside is limited. The group owns more than 90% of the shares and bought on balance in the trailing 12 months, ramping activity in early Q3. A wide range of institutional buyers, from retirement funds to private capital to asset managers, will likely keep buying the dips.
AutoZone continues to face headwinds, and it is not an attention-grabbing stock with accelerating AI growth potential. The most likely outcome is a slow grind to higher levels, underpinned by performance and capital returns, with a retest of existing highs possible within the next 12 months.
AutoZone Has Risks, But the Market Is Mispricing Them in 2026Among AutoZone’s risks is the EV shift. EVs mean fewer replaceable parts, especially for aftermarket do-it-yourselfers, and are affecting sales. To counter it, AutoZone execs are shifting inventory to match demand for replacement parts, focusing on high-wear items like tires, suspension, and chassis parts, along with the usual low-voltage electrical components that power cabin electronics, sensors, and gauges. Charging and charging equipment are another avenue, as is leveraging the ALLDATA segment. It is a proprietary platform being upgraded and updated to include pertinent information for EV maintenance and repair, ensuring AutoZone’s network of independent repair shops remains dependent on it for information and solutions.
Investors often get AZO's model wrong. While balance sheet metrics often show low cash relative to accounts payable, AZO sells inventory before payments are due, mitigating the perceived cash flow crisis. At the same time, consumer headwinds impair near-term sales but keep consumers in their cars longer, sustaining the business long term and, in turn, its capacity for capital returns. Capital returns are consistent, reduce the count significantly each year, and keep earnings per share tracking higher, at an accelerated pace, regardless of business cycles. When business improves, buybacks improve along with it.
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Shares of AutoZone (AZO +3.26%) rose on Tuesday after the automotive replacement parts and accessories distributor reported stronger-than-expected profits.
Image source: Getty Images.
AutoZone is expanding its store count at a solid clip AutoZone's net sales grew 5.6% year over year to $6.6 billion in its fiscal 2026 fourth quarter, which ended on Aug. 29.
The auto-parts purveyor opened 175 stores during the quarter and a total of 374 over the trailing 12 months. AutoZone ended the period with 8,031 stores, including 6,863 stores in the U.S., 1,001 in Mexico, and 167 in Brazil.
Additionally, same-store sales, which measure revenue from locations open for at least a year, increased by 2.7%, or 1.5% when excluding foreign currency fluctuations.
"We grew our total store count, opening the most stores ever in a single year, improved on our assortment and in-stock positions, and continued to invest in systems to deliver even better customer service," CEO Phil Daniele said during a conference call with analysts.
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Better still, tariff refunds helped to drive AutoZone's operating profit up by 10% to $1.3 billion. Its net income, in turn, increased 11% to $931.6 million. And its earnings per share, boosted by stock buybacks, jumped 15% to $56.05.
That topped Wall Street's estimates, which had called for per-share profits of $53.89, according to Yahoo! Finance.
Management sees further growth in the U.S. and internationally Despite higher gas prices and a challenging overall economic environment, AutoZone expects more gains in the year ahead.
"Over the last eight weeks of the quarter, our sales results strengthened, and we feel we are well-positioned for sales growth in fiscal 2027," Daniele said.
AutoZone, Inc. (AZO) Q4 2026 Earnings Call September 22, 2026 10:00 AM EDT
Company Participants
Brian Campbell - Vice President of Tax, Treasury & Investor Relations
Philip Daniele - CEO, President & Director
Jamere Jackson - Chief Financial Officer of Customer Satisfaction
Conference Call Participants
Bret Jordan - Jefferies LLC, Research Division
Simeon Gutman - Morgan Stanley, Research Division
Christopher Horvers - JPMorgan Chase & Co, Research Division
Steven Zaccone - Citigroup Inc., Research Division
Michael Lasser - UBS Investment Bank, Research Division
Steven Forbes - Guggenheim Securities, LLC, Research Division
Seth Sigman - Barclays Bank PLC, Research Division
Scot Ciccarelli - Truist Securities, Inc., Research Division
Presentation
Operator
Good day, everyone, and welcome to AutoZone's 2026 Fourth Quarter Earnings Release Conference Call. [Operator Instructions] At this time, the company would like to provide its forward-looking statement.
Brian Campbell
Vice President of Tax, Treasury & Investor Relations
Before we begin, please note that today's call includes forward-looking statements that are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not guarantees of future performance. Please refer to this morning's press release and the company's most recent annual report on Form 10-K and other filings with the Securities and Exchange Commission for a discussion of important risks and uncertainties that could cause actual results to differ materially from expectations. Forward-looking statements speak only as of the date made, and the company undertakes no obligation to update such statements. Today's call will also include certain non-GAAP measures. A reconciliation of GAAP to non-GAAP financial measures can be found in our press release.
Philip Daniele
CEO, President & Director
Good morning, and thank you for joining us today for AutoZone's 2026 fourth quarter conference call. With me today are Jamere Jackson, Chief Financial Officer; and Brian Campbell, Vice President, Treasurer and Investor Relations.
AutoZone's latest quarter split the market in two directions at once, and the ripple through its rivals says something surprising about how traders are reading the aftermarket retail group right now.
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AutoZone (NYSE:AZO | AZO Price Prediction) delivered a fourth quarter that beat on profit but missed on sales, and the reaction is running through auto parts retailers rather than through consumer discretionary as a whole. The move is a cluster response to one company’s report, not a sector-wide verdict.
The Consumer Discretionary Select Sector SPDR Fund (NYSEARCA:XLY) is at $112.18 and effectively unchanged in Tuesday trading, and the SPDR S&P 500 ETF Trust (NYSEARCA:SPY) is at $772.84 and essentially unmoved. With neither fund moving, the day frames as an idiosyncratic read on one corner of retail rather than a rotation into cyclicals.
AutoZone stock is at $2,977.26, up 6% in Tuesday trading, and the move reads as a recovery off a weak year-to-date base rather than a fresh breakout. Also, Advance Auto Parts (NYSE:AAP) stock is at $43.29, up 6%, climbing on the read-across from AutoZone’s numbers rather than any release of its own. O’Reilly Automotive (NASDAQ:ORLY) stock is at $86.24, up 4%, rising on the AutoZone report rather than on any fresh disclosure.
Profit Beat, Sales Miss AutoZone reported fourth-quarter earnings per share of $56.05 for the period that ended August 29, ahead of an analyst consensus of $54.30, according to InvestorsHub. Net sales at AutoZone came in at $6.6 billion, short of the $6.71 billion analysts polled by InvestorsHub expected. The split is what the market is reading: margin and execution held up in the quarter while the top line didn’t clear the bar.
Phil Daniele, AutoZone’s chief executive, stated that in spite of a difficult selling environment during the first eight weeks of the quarter, the company remained committed to executing on its strategies to grow both its domestic and international businesses. Daniele added that sales results strengthened over the final eight weeks and that AutoZone is well positioned for sales growth in fiscal 2027.
That framing matters because it points at back-half momentum rather than a broken quarter. AZO stock came into the session down 13% year to date, so a jump of this size is a recovery from a weak base rather than a fresh high-water mark. The bull case leans on margin discipline and the chief executive’s account of a strengthening exit, while the bear case notes that the revenue shortfall is real and doesn’t disappear because the profit line held.
Read-Across to Aftermarket Peers Advance Auto Parts and O’Reilly Automotive reported nothing of their own on Tuesday. Both are moving because AutoZone’s quarter is being taken as evidence about demand across the group, particularly on the commercial side where the three names compete for professional-installer wallet share and for do-it-yourself traffic in their retail aisles.
The mechanism is straightforward. When one aftermarket retailer posts a profit beat and speaks to strengthening sales in the back half of its quarter, traders extrapolate to peers whose businesses run through the same repair shops and the same suburban store footprints. Advance Auto Parts and O’Reilly Automotive rising nearly as hard as AutoZone on a day when neither issued a release is that read-across at work.
The caution attached to it is that the two peers didn’t report the quarter that caused the move. AutoZone’s sales miss is a real data point about traffic that a strong margin line doesn’t erase, and Advance Auto Parts and O’Reilly Automotive will each have to answer with their own numbers before the read turns into a confirmed trend across the group. Sympathy bids often unwind faster than they open when the underlying report was mixed.
What to Watch Next Going forward, the commercial book and the fiscal 2027 outlook the chief executive flagged is what can shape the next leg for AutoZone stock. Traders may want to check for whether the tone on the call matches the release, since a softer live delivery can take some of the buying back before the close.
Market watchers could look for signs that the read-across into Advance Auto Parts and O’Reilly Automotive holds into the afternoon, or fades as the session moves on and the initial reaction cools. A cluster move without sector participation can compress as easily as it opened, particularly when the driving report carried a revenue miss alongside its profit beat.
For position sizing in AutoZone stock, the setup argues for restraint. Bullish investors should scale their exposure with the sales miss in mind and treat the pop as recovery rather than breakout, and anyone chasing Advance Auto Parts or O’Reilly Automotive on the sympathy bid should keep their positions modest until each name reports its own quarter and confirms whether the AutoZone signal was a real read on the aftermarket or a one-name event.
Contact [email protected] for any questions or corrections.
Index Dow Jones -0,34 % na 51869,27 b. S&P 500 +0,02 % na 7765,99 b. Nasdaq Composite +0,31 % na 27204,89 b.
Včerejší růst rozšiřují technologie, které měřeno indexem Nasdaq Composite připisují tři desetiny. Index současně rozšířil své historické intradenní maximum. V širokém indexu S&P 500 převládla zelená barva a kosmeticky posiluje. Brzdí jej především sektor financí, kde vyšší úrokové sazby tlačí na nově poskytované úvěry a trh se tak obává slabších bankovních výsledků. V nemilosti je dnes index Dow Jones, který se mimo finančních titulů potopil do červených čísel díky Cisco Systems (- 6,1 %).
Netflix klesá o 1,9 % po snížení investičního doporučení HSBS na stupeň Hold s cílovou cenou USD 76. HSBC upozorňuje na pokles podílu Netflixu na sledování a zostřený souboj s Youtube.
Shopify roste o 7,6 %. Meta Platforms jej zapojí do svého nového AI agenta, který může vyhledávat produkty v obchodech provozovaných na Shopify. Benefity pro obchodníka by tak bylo generování transakčních příjmů i bez zákaznické návštěvy obchodu.
V USA obchodované ADR Alibaba Group dnes připisují 0,6 %. Čínský technologický gigant představil plány na významné rozšíření kapacity datových center a představil čip nové generace pro umělou inteligenci.
Společnost Lennar (5,8 %) se může pochlubit zařazením do portfolia Berkshire Hathaway, která nakoupila 2,7 mil. kusů jejich akcií.
Poskytovatel diagnostických služeb Quest Diagnostics klesá o 4 % po zveřejnění zprávy o vyšších platbách za laboratorní služby pro Medicare ve srovnání se soukromými plátci o 16 %. CMS (Centers for Medicare & Medicaid) zveřejnil návrh na změnu úhrad laboratorních testů od ledna 2027, kde předpokládá pokles cen o 15 %.
Futures na ropu WTI klesají po zprávách o výzvě Iránu k deeskalaci konfliktu s možností znovuotevření plavby Hormuzským průlivem do týdne. Prezident Trump se nechal slyšet, že učiní velké rozhodnutí o tom, zda uzavře dohodu, anebo zemi anihiluje. Cena barelu klesá o 0,9 % k USD 91,4.
Index S&P 500 +0,02 % na 7765,99 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Základní materiály +1,5 % Finanční sektor -1,7 % Nezbytná spotřeba +1,2 % Komunikační služby -0,9 % Zdravotní péče +0,7 % Zbytná spotřeba -0,2 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Monolithic Power Systems (MPWR) +7,6 % Gen Digital (GEN) -6,6 % Sandisk Corp (SNDK) +6,9 % Cisco Systems (CSCO) -5,9 % AutoZone (AZO) +6,3 % Charles Schwab Corp (SCHW) -5,8 % Lennar Corp (LEN) +5,8 % Allstate Corp (ALL) -5,1 % O'Reilly Automotive (ORLY) +4,5 % Ameriprise Financial (AMP) -4,6 %
Marek Kameništiak
Fio banka, a.s.
Prohlášení
Autozone Inc (NYSE:AZO), the automotive parts retailer, reported fourth-quarter net sales of $6.6 billion on Tuesday, up 5.6% from the same period last year.
Diluted earnings per share rose to $56.05 from $48.71 in the fourth quarter of fiscal 2025.
Net income for the quarter climbed to $931.6 million, compared with $837.0 million a year earlier.
AutoZone shares were trading at $2,887.51, up over 3% early Tuesday.
Total company same-store sales increased 1.5% on a constant-currency basis over the 16-week quarter, while domestic same-store sales rose 1.6%.
Operating profit rose 10.1% to $1.3 billion, while gross margin increased to 53.3%, up 182 basis points from the prior year.
The margin gain was driven by tariff refunds and a net non-cash LIFO benefit, partially offset by a higher commercial sales mix.
For fiscal 2026, net sales reached $20.3 billion, up 7.4% from the prior year.
Annual diluted earnings per share increased 5.3% to $152.55, while net income rose 3.0% to $2.6 billion.
AutoZone opened 175 new stores during the quarter, including 16 new Mega Hub stores in the US.
The company opened 374 new stores during fiscal 2026, ending the year with 8,031 stores across the US, Mexico and Brazil.
Phil Daniele, president and chief executive, said sales strengthened during the final eight weeks of the quarter after a difficult first eight weeks.
Daniele said the company expected sales in each of the three countries where it operates to accelerate in fiscal 2027.
AutoZone repurchased 223,000 shares of its common stock during the quarter for $697.5 million, bringing fiscal-year buybacks to $2.0 billion.
The company had $1.6 billion remaining under its current share repurchase authorization at the end of fiscal 2026.
Domestic commercial sales, which serve repair garages and other professional customers, rose 8.6% during the quarter to $1.9 billion.
Shares of AutoZone gained nearly 5% on Tuesday morning.
AutoZone (AZO - Free Report) reported $6.59 billion in revenue for the quarter ended August 2026, representing a year-over-year increase of 5.6%. EPS of $56.05 for the same period compares to $48.71 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $6.69 billion, representing a surprise of -1.38%. The company delivered an EPS surprise of +2.77%, with the consensus EPS estimate being $54.54.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how AutoZone performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Same store sales - Total Company - Constant Currency - YoY change: 1.5% versus the six-analyst average estimate of 3.1%.Same store sales - Domestic - YoY change: 1.6% compared to the 3.1% average estimate based on six analysts.Number of stores - Domestic: 6,863 versus 6,869 estimated by four analysts on average.Square footage - Total: 54,661.00 Ksq ft compared to the 54,237.76 Ksq ft average estimate based on four analysts.Number of stores - Total Auto-Zone: 8,031 versus the four-analyst average estimate of 8,017.Square footage per store: 6.81 million versus 6.8 million estimated by four analysts on average.Total Company stores opened, net: 175 versus the four-analyst average estimate of 161.Same store sales - International - YoY change: 10.7% versus 7.4% estimated by three analysts on average.Number of stores - Brazil: 167 compared to the 168 average estimate based on three analysts.Number of stores - Mexico: 1,001 versus 970 estimated by three analysts on average.Same store sales - Total International - Constant Currency - YoY change: 1.3% versus the three-analyst average estimate of 1.7%.Net Sales- Domestic Commercial sales: $1.91 billion versus the four-analyst average estimate of $1.94 billion. The reported number represents a year-over-year change of +8.6%.View all Key Company Metrics for AutoZone here>>>
Shares of AutoZone have returned -6.9% over the past month versus the Zacks S&P 500 composite's +1.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
AutoZone NYSE: AZO reported fiscal 2026 fourth-quarter sales growth of 5.6% to $6.6 billion, while diluted earnings per share rose 15.1% to $56.05. The company said its results included a $96 million benefit from tariff refunds and a $15 million non-cash LIFO charge.
AutoZone (AZO - Free Report) came out with quarterly earnings of $56.05 per share, beating the Zacks Consensus Estimate of $54.54 per share. This compares to earnings of $48.71 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of +2.77%. A quarter ago, it was expected that this auto parts retailer would post earnings of $36.18 per share when it actually produced earnings of $38.07, delivering a surprise of +5.22%.
Over the last four quarters, the company has surpassed consensus EPS estimates three times.
AutoZone, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $6.59 billion for the quarter ended August 2026, missing the Zacks Consensus Estimate by 1.38%. This compares to year-ago revenues of $6.24 billion. The company has not been able to beat consensus revenue estimates over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
AutoZone shares have lost about 17.4% since the beginning of the year versus the S&P 500's gain of 13.4%.
What's Next for AutoZone?While AutoZone has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for AutoZone was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $38.05 on $4.98 billion in revenues for the coming quarter and $175.04 on $21.98 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Retail and Wholesale - Parts is currently in the top 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, CarMax (KMX - Free Report) , is yet to report results for the quarter ended August 2026. The results are expected to be released on September 29.
This used car dealership chain is expected to post quarterly earnings of $0.66 per share in its upcoming report, which represents a year-over-year change of +3.1%. The consensus EPS estimate for the quarter has been revised 2.3% lower over the last 30 days to the current level.
CarMax's revenues are expected to be $7.05 billion, up 6.9% from the year-ago quarter.
MEMPHIS, Tenn., Sept. 22, 2026 (GLOBE NEWSWIRE) -- AutoZone, Inc. (NYSE: AZO) today reported net sales of $6.6 billion for its fourth quarter (16 weeks) ended August 29, 2026, an increase of 5.6% from the fourth quarter of fiscal 2025 (16 weeks). Same store sales, or sales for our domestic and international stores open at least one year, are as follows:
The auto-parts retailer posted a fiscal fourth-quarter profit of $931.6 million, or $56.05 a share, compared with $837 million, or $48.71 a share, a year earlier.
Whenever an ETF’s benchmark index gets rebalanced, current and prospective investors alike ought to take a close look at what’s changed.
Key Takeaways: The Tuttle Capital Heavy Assets Low Obsolescence Index (HALX), the index for the Tuttle Capital Heavy Assets Low Obsolescence ETF (HALX), was recently rebalanced. As part of the rebalancing effort, five companies exited the index, including SpaceX. Five new companies replaced their positions, including AutoZone and United Therapeutics. HALX’s approach to low AI disruption could pay off for investors wary of the AI boom. Earlier this month, change came knocking for the Tuttle Capital Heavy Assets Low Obsolescence Index (HALX). This index focuses on companies that possess ‘HALO’ characteristics: Heavy Assets, Low Obsolescence. In layman’s terms, this refers to companies that are potentially better insulated from AI disruption.
Of course, many may be wondering what changed in the index’s rebalance. To start, five companies have exited the index, and five new companies have replaced them.
See More: Tuttle Capital Launches ETF Targeting Underwriting Profitability
Two of the latest additions to the Tuttle Capital index are within the healthcare sector: laboratory instrument manufacturer Mettler-Toledo (MTD) and biotechnology firm United Therapeutics (UTHR).
The healthcare sector isn’t the only one being supported in the rebalance. Automotive parts and maintenance manufacturer AutoZone (AZO) was also added to the index.
Meanwhile, rounding out the rebalance are NiSource (NI) and Copart (CPRT). NiSource is a utility company, while Copart is an online car auctioning service.
SpaceX Exits HALX’s Orbit Inversely, some are likely wondering what companies have exited the index. Five companies have been removed, but the one investors will likely notice out of the gate is SpaceX (SPCX). While the spacefaring giant had a record IPO earlier this year, its stock has been subject to noticeable volatility in recent months. Furthermore, the company’s AI infrastructure pivot may have put it at odds with the index’s thesis.
See More: Bitcoin Powers Gains as Permanent Portfolio ETF Approaches $25M
Other companies that got shuffled out of the index were Ross Stores (ROST), American Electric Power Company (AEP), Weyerhaeuser (WY), and J.B. Hunt (JBHT).
Naturally, this rebalancing will have an effect on the Tuttle Capital Heavy Assets Low Obsolescence ETF (HALX). Using the Tuttle Capital index as a benchmark, HALX invests in companies with heavy assets, low obsolescence, and low disruption risk.
Given the prevalent nature of AI in our geopolitical environment, a fund that helps mitigate AI disruption could certainly pay off in the long run. If the AI bubble ultimately pops, a HALO approach may work as an efficient hedge within a portfolio.
For more news, information, and analysis visit the Thematic Investing Content Hub.
vettafi.com is owned by VettaFi LLC (“VettaFi”). VettaFi is the index provider for HALX, for which it receives an index licensing fee. However, HALX is not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of HALX.
Stock futures are rising as oil prices and government bond yields retreat; the AI trade is starting off the week hot, with a number of chipmakers gaining; crypto stocks are also rallying as bitcoin climbs to its highest point since January; Paramount and Warner Bros. Discovery are reportedly nearing a settlement to the suit several states filed to block their merger; and earnings from Costco and a Meta event are on tap this week. Here’s what you need to know today.
Stock Futures Rise as Oil, Bond Yields Pull Back
Stock futures are surging this morning after a volatile performance last week. Nasdaq futures were up 1.1% recently, while futures linked to the Dow Jones Industrial Average and S&P 500 added 0.9% and 0.7%, respectively. The tech-heavy Nasdaq managed to post a modest gain last week, while the S&P 500 lost ground for the second straight week and the Dow extended its losing streak to three weeks. WTI crude oil futures were down nearly 3% at under $98 per barrel, after hitting a high last week near $107. The 10-year Treasury yield, which influences a range of consumer interest rates including mortgages, was at 4.95%, down from Friday’s close near 5%. Bitcoin was at $85,000, up from a low last week of around $75,000 and trading at its highest level since January. Gold futures were down 0.5% at $4,400 an ounce.
AI Stocks Extend Rally
Nasdaq futures are setting the pace for the major indexes this morning, as the AI trade looks set to start the week off on a strong note. Shares of Nvidia (NVDA), Intel (INTC), Advanced Micro Devices (AMD), Micron (MU), Sandisk (SNDK) and several others are rising after gaining to close out last week. The Roundhill Memory ETF (DRAM) and the iShares Philadelphia Semiconductor ETF (SOXX) were each up roughly 3% in recent premarket trading. Worries about a potential slowdown in AI development appear to have eased, after the AI trade was rocked early last week by comments from CEOs calling for a slowdown owing to safety concerns.
Crypto Stocks Surge as Bitcoin Hits Highest Point Since January
The price of bitcoin is sharply higher to start the week, and cryptocurrency-related stocks are along for the ride. Bitcoin was at $85,000 recently, trading at its highest levels since January, as the cryptocurrency extends a rally that started late last week. Strategy (MSTR), the largest single corporate holder of bitcoin, was up 6% before the bell after soaring 16% on Friday. Shares of Robinhood (HOOD), Coinbase (COIN), Circle (CRCL) and Mara Holdings (MARA) were each up about 5% recently. The sector rallied Friday after the SEC announced new rule changes for crypto, suggesting that the industry could get regulatory clarity even as crypto legislation stalls in Congress.
Paramount, State AGs Reportedly in Talks to Settle Antitrust Suit
Shares of Paramount Skydance (PSKY) and Warner Bros. Discovery (WBD) are climbing this morning after The Wall Street Journal and New York Times reported over the weekend that the companies have been in talks with the attorneys general from several states that sued to block the merger about potential concessions they could make in order to settle the suit. The Journal reported that could come in the form of a $1.5 billion investment into California, along with guarantees to keep ownership of its studio lots in Hollywood and continue producing a set number of movies annually. The reports also said the sides are discussing ways to maintain the editorial independence of CNN after Paramount has been criticized for imposing changes across CBS News since its merger with David Ellison’s Skydance.12 Shares of both companies were up 7% recently.
Coming This Week: Costco Earnings, Meta Event, Trump-Xi Summit
This will be busy week of earnings reports, headlined by warehouse retail giant Costco Wholesale (COST), which is set to post results after the closing bell on Thursday. Reports are also due from Autozone (AZO) on Tuesday, General Mills (GIS) and Cracker Barrel (CBRL) on Wednesday, and Darden Restaurants (DRI) on Thursday. Meta Platforms (META) is set to hold its annual Connect event where analysts expect updates to the Facebook parent’s AI strategy. President Trump is scheduled to meet with Chinese President Xi Jinping this week, with Treasury Secretary Scott Bessent saying yesterday that his talks with vice premier He Lifeng on AI and trade went well ahead of the Trump-Xi summit.3
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Nykredit A S acquired a new position in shares of AutoZone, Inc. (NYSE:AZO – Free Report) in the second quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor acquired 8,538 shares of the company’s stock, valued at approximately $27,287,000. Nykredit A S owned about 0.05% of AutoZone as of its most recent filing with the SEC.
Several other hedge funds also recently made changes to their positions in AZO. Corient Private Wealth LP lifted its holdings in AutoZone by 14.0% in the second quarter. Corient Private Wealth LP now owns 11,599 shares of the company’s stock valued at $37,071,000 after acquiring an additional 1,423 shares during the period. Formuepleje A S grew its holdings in shares of AutoZone by 19.4% in the 2nd quarter. Formuepleje A S now owns 9,855 shares of the company’s stock worth $31,496,000 after acquiring an additional 1,598 shares during the period. VIRGINIA RETIREMENT SYSTEMS ET Al purchased a new position in AutoZone in the 2nd quarter valued at approximately $37,456,000. CYBER HORNET ETFs LLC increased its stake in AutoZone by 33,193.5% in the 2nd quarter. CYBER HORNET ETFs LLC now owns 15,315 shares of the company’s stock valued at $48,946,000 after purchasing an additional 15,269 shares in the last quarter. Finally, Wedmont Private Capital raised its holdings in AutoZone by 4.3% during the second quarter. Wedmont Private Capital now owns 244 shares of the company’s stock worth $750,000 after purchasing an additional 10 shares during the last quarter. Institutional investors and hedge funds own 92.74% of the company’s stock.
Analyst Upgrades and Downgrades Several research firms have weighed in on AZO. JPMorgan Chase & Co. lowered their target price on AutoZone from $4,300.00 to $3,850.00 and set an “overweight” rating on the stock in a report on Wednesday, May 27th. Evercore reiterated an “outperform” rating on shares of AutoZone in a research report on Tuesday, May 26th. BNP Paribas Exane lowered their price objective on shares of AutoZone from $4,478.00 to $3,979.00 and set an “outperform” rating on the stock in a research note on Wednesday, May 27th. Mizuho dropped their target price on shares of AutoZone from $3,600.00 to $3,200.00 and set a “neutral” rating for the company in a report on Wednesday, May 27th. Finally, Weiss Ratings cut shares of AutoZone from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, July 23rd. One research analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $3,913.62.
View Our Latest Research Report on AZO AutoZone Price Performance Shares of NYSE AZO opened at $2,859.61 on Friday. AutoZone, Inc. has a 12 month low of $2,815.00 and a 12 month high of $4,332.68. The company has a 50-day simple moving average of $2,994.83 and a 200-day simple moving average of $3,221.20. The company has a market cap of $46.70 billion, a PE ratio of 19.66, a price-to-earnings-growth ratio of 1.42 and a beta of 0.34.
AutoZone announced that its Board of Directors has approved a stock buyback program on Tuesday, June 16th that permits the company to buyback $1.50 billion in shares. This buyback authorization permits the company to repurchase up to 3% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.
Key Stories Impacting AutoZone Here are the key news stories impacting AutoZone this week:
Positive Sentiment: AutoZone’s earnings report next week could provide a near-term catalyst. Options traders are pricing in an approximately 10% move around the release, signaling elevated expectations and potential volatility. AutoZone Stock Set for Near 10% Move After Q4 Earnings Positive Sentiment: Oppenheimer maintained an “outperform” rating despite lowering its price target to $3,500. The revised target still implies substantial upside from recent trading levels, suggesting the firm views the oil-related weakness as manageable over the longer term. AutoZone Facing Near-Term Pressure From Recent Oil Price Spike Neutral Sentiment: Analysts are watching revenue, comparable sales, margins, and commercial-business performance for the quarter ended August 2026. Current previews cite an estimated earnings per share figure of about $54.22, but the market will place greater emphasis on forward guidance. AutoZone Q4 2026 Preview Negative Sentiment: Oppenheimer cut its fiscal fourth-quarter estimates and reduced its price target after the recent oil-price spike. Higher fuel costs could pressure consumer driving activity, do-it-yourself maintenance demand, and AutoZone’s near-term sales outlook. AutoZone Fiscal Fourth-Quarter Estimates Cut Negative Sentiment: The upcoming earnings event is increasing uncertainty, with analysts highlighting potential near-term pressure from fuel prices even as AutoZone’s longer-term replacement-parts demand remains intact. AutoZone Q4 Earnings Analysts’ Insights Insider Buying and Selling In other AutoZone news, VP Dennis LeRiche sold 1,455 shares of AutoZone stock in a transaction on Friday, August 7th. The shares were sold at an average price of $3,100.00, for a total value of $4,510,500.00. Following the transaction, the vice president owned 441 shares in the company, valued at $1,367,100. This trade represents a 76.74% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Insiders own 2.60% of the company’s stock.
AutoZone Company Profile (Free Report)
AutoZone, Inc is a retailer and distributor of automotive replacement parts, accessories, and maintenance products. The company serves do-it-yourself customers, professional service technicians, and commercial repair businesses through its stores, distribution network, and online platform.
Its product offerings include replacement parts such as batteries, brakes, engine components, and ignition products, along with tools, fluids, filters, and other automotive accessories. AutoZone also provides services such as parts lookup, diagnostic assistance, battery testing and charging, and loaner tools for eligible repairs.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional locations in Mexico and Brazil.
Recommended Stories Five stocks we like better than AutoZone J.B. Hunt’s Stock Plunges After Market Misprices Profit Warning 2 Stocks Breaking Out Post-FOMC With One Thing in Common Lennar’s Q3 Miss Hides a Stronger Operating Story Beneath the Housing Slump These 3 Stocks Are Drawing Insider Buyers for Very Different Reasons Want to see what other hedge funds are holding AZO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for AutoZone, Inc. (NYSE:AZO – Free Report).
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AutoZone (AZO - Free Report) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Over the past month, shares of this auto parts retailer have returned -4%, compared to the Zacks S&P 500 composite's -1.3% change. During this period, the Zacks Automotive - Retail and Wholesale - Parts industry, which AutoZone falls in, has lost 5.5%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Earnings Estimate RevisionsHere at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, AutoZone is expected to post earnings of $54.97 per share, indicating a change of +12.9% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
The consensus earnings estimate of $150.98 for the current fiscal year indicates a year-over-year change of +4.2%. This estimate has changed -0.1% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $175.47 indicates a change of +16.2% from what AutoZone is expected to report a year ago. Over the past month, the estimate has changed -0.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, AutoZone is rated Zacks Rank #4 (Sell).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth ForecastEven though a company's earnings growth is arguably the best indicator of its financial health, nothing much happens if it cannot raise its revenues. It's almost impossible for a company to grow its earnings without growing its revenue for long periods. Therefore, knowing a company's potential revenue growth is crucial.
In the case of AutoZone, the consensus sales estimate of $6.71 billion for the current quarter points to a year-over-year change of +7.5%. The $20.48 billion and $22.02 billion estimates for the current and next fiscal years indicate changes of +8.1% and +7.5%, respectively.
Last Reported Results and Surprise HistoryAutoZone reported revenues of $4.84 billion in the last reported quarter, representing a year-over-year change of +8.4%. EPS of $38.07 for the same period compares with $35.36 a year ago.
Compared to the Zacks Consensus Estimate of $4.86 billion, the reported revenues represent a surprise of -0.45%. The EPS surprise was +5.22%.
Over the last four quarters, AutoZone surpassed consensus EPS estimates two times. The company topped consensus revenue estimates just once over this period.
ValuationWithout considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
AutoZone is graded C on this front, indicating that it is trading at par with its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom LineThe facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about AutoZone. However, its Zacks Rank #4 does suggest that it may underperform the broader market in the near term.
Wall Street analysts expect AutoZone (AZO - Free Report) to post quarterly earnings of $54.97 per share in its upcoming report, which indicates a year-over-year increase of 12.9%. Revenues are expected to be $6.71 billion, up 7.5% from the year-ago quarter.
Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period.
Prior to a company's earnings release, it is of utmost importance to factor in any revisions made to the earnings projections. These revisions serve as a critical gauge for predicting potential investor behaviors with respect to the stock. Empirical studies consistently reveal a strong link between trends in earnings estimate revisions and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
Given this perspective, it's time to examine the average forecasts of specific AutoZone metrics that are routinely monitored and predicted by Wall Street analysts.
The consensus estimate for 'Net Sales- Domestic Commercial sales' stands at $1.95 billion. The estimate suggests a change of +10.6% year over year.
The consensus among analysts is that 'Same store sales - Domestic - YoY change' will reach 3.7%. Compared to the current estimate, the company reported 4.8% in the same quarter of the previous year.
Analysts predict that the 'Total Same Store Sales (Constant Currency)' will reach 3.6%. Compared to the current estimate, the company reported 5.1% in the same quarter of the previous year.
It is projected by analysts that the 'Square footage - Total' will reach 54495 thousands of square feet. Compared to the current estimate, the company reported 51818 thousands of square feet in the same quarter of the previous year.
Analysts expect 'Square footage per store' to come in at 6.80 million. Compared to the present estimate, the company reported 6.77 million in the same quarter last year.
Analysts' assessment points toward 'Total Auto-Zone Store' reaching 8,017 . Compared to the current estimate, the company reported 7,657 in the same quarter of the previous year.
The collective assessment of analysts points to an estimated 'Number of stores - Domestic' of 6,869 . The estimate compares to the year-ago value of 6,627 .
Analysts forecast 'Sales per average square foot' to reach $124.73 thousand. Compared to the present estimate, the company reported $122.00 thousand in the same quarter last year.
The combined assessment of analysts suggests that 'Sales per average store' will likely reach $845.01 thousand. The estimate compares to the year-ago value of $823.00 thousand.
According to the collective judgment of analysts, 'Number of stores - Opened-Brazil' should come in at 13 . Compared to the current estimate, the company reported 6 in the same quarter of the previous year.
Based on the collective assessment of analysts, 'Number of stores - Opened-Mexico' should arrive at 45 . The estimate is in contrast to the year-ago figure of 45 .
The average prediction of analysts places 'Number of stores - Opened-Domestic' at 100 . Compared to the present estimate, the company reported 91 in the same quarter last year.
View all Key Company Metrics for AutoZone here>>>
Over the past month, shares of AutoZone have returned -7.4% versus the Zacks S&P 500 composite's -2.9% change. Currently, AZO carries a Zacks Rank #4 (Sell), suggesting that it may underperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Bank of America Corp DE bought a new position in shares of AutoZone, Inc. (NYSE:AZO – Free Report) in the second quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor bought 73,085 shares of the company’s stock, valued at approximately $233,576,000. Bank of America Corp DE owned 0.45% of AutoZone at the end of the most recent quarter.
Other hedge funds and other institutional investors have also bought and sold shares of the company. BlackRock Inc. bought a new position in AutoZone in the second quarter worth about $3,938,566,000. Norges Bank purchased a new stake in AutoZone in the fourth quarter worth about $939,205,000. First Manhattan CO. LLC. boosted its position in shares of AutoZone by 2.7% in the 4th quarter. First Manhattan CO. LLC. now owns 261,314 shares of the company’s stock worth $886,246,000 after purchasing an additional 6,765 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of AutoZone in the 2nd quarter worth approximately $572,885,000. Finally, Goldman Sachs Group Inc. grew its stake in shares of AutoZone by 4.8% in the fourth quarter. Goldman Sachs Group Inc. now owns 119,399 shares of the company’s stock worth $404,943,000 after acquiring an additional 5,480 shares during the last quarter. Institutional investors own 92.74% of the company’s stock.
More AutoZone News Here are the key news stories impacting AutoZone this week:
Positive Sentiment: Analysts still expect AutoZone’s fourth-quarter earnings to grow, with consensus estimates calling for approximately $54.26 in earnings per share and $6.72 billion in revenue. Some top-rated Wall Street forecasters remain bullish despite lowering their targets. Top Wall Street Forecasters Revamp AutoZone Expectations Ahead Of Q4 Earnings Positive Sentiment: UBS described fiscal fourth-quarter results as a potential “inflection point” for fiscal 2027 earnings growth, offering a possible catalyst if AutoZone demonstrates improving sales and margins. AutoZone’s Fiscal Q4 Could Mark Inflection Point for Fiscal 2027 Earnings Growth Neutral Sentiment: Analyst views are mixed ahead of the earnings report. While the broader analyst stance remains constructive, expectations have become more cautious, increasing the importance of the company’s guidance and comparable-sales performance. Analysts Conflicted on These Consumer Cyclical Names Negative Sentiment: UBS warned that AutoZone’s fourth-quarter comparable sales may fall short of Wall Street expectations because of soft demand in the automotive aftermarket. That warning is pressuring the stock ahead of results. AutoZone Fourth-Quarter Comps May Miss Street Views Amid Soft Aftermarket Demand Negative Sentiment: Citigroup reduced its AutoZone price target from $3,700 to $3,450, although it retained a Buy rating. The lower target reflects more cautious expectations for the company’s near-term outlook. Citigroup Adjusts Price Target on AutoZone Negative Sentiment: A Zacks analysis said AutoZone lacks the combination of factors typically associated with a likely earnings beat, adding to pre-earnings caution despite projected earnings growth. AutoZone Earnings Expected to Grow: Should You Buy? AutoZone Stock Down 0.3% NYSE AZO opened at $2,852.97 on Thursday. AutoZone, Inc. has a 52 week low of $2,849.04 and a 52 week high of $4,332.68. The firm has a market capitalization of $46.59 billion, a P/E ratio of 19.61, a PEG ratio of 1.43 and a beta of 0.34. The company has a 50-day moving average price of $3,002.33 and a 200-day moving average price of $3,230.13. AutoZone declared that its Board of Directors has authorized a stock repurchase plan on Tuesday, June 16th that permits the company to buyback $1.50 billion in outstanding shares. This buyback authorization permits the company to reacquire up to 3% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board of directors believes its shares are undervalued.
Analysts Set New Price Targets AZO has been the subject of several analyst reports. Barclays reduced their price target on AutoZone from $3,900.00 to $3,637.00 and set an “overweight” rating for the company in a report on Tuesday, August 4th. Mizuho reduced their price target on shares of AutoZone from $3,600.00 to $3,200.00 and set a “neutral” rating for the company in a research report on Wednesday, May 27th. The Goldman Sachs Group cut their target price on AutoZone from $4,345.00 to $4,096.00 and set a “buy” rating on the stock in a research note on Wednesday, May 27th. Raymond James Financial reissued a “strong-buy” rating on shares of AutoZone in a report on Wednesday, May 27th. Finally, Jefferies Financial Group decreased their price target on AutoZone from $4,400.00 to $4,000.00 and set a “buy” rating for the company in a research note on Wednesday, May 27th. One equities research analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $3,946.96.
View Our Latest Research Report on AZO
Insider Transactions at AutoZone In other AutoZone news, VP Dennis LeRiche sold 1,455 shares of the business’s stock in a transaction dated Friday, August 7th. The stock was sold at an average price of $3,100.00, for a total transaction of $4,510,500.00. Following the completion of the sale, the vice president owned 441 shares of the company’s stock, valued at approximately $1,367,100. The trade was a 76.74% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 2.60% of the company’s stock.
AutoZone Profile (Free Report)
AutoZone, Inc is a retailer and distributor of automotive replacement parts, accessories, and maintenance products. The company serves do-it-yourself customers, professional service technicians, and commercial repair businesses through its stores, distribution network, and online platform.
Its product offerings include replacement parts such as batteries, brakes, engine components, and ignition products, along with tools, fluids, filters, and other automotive accessories. AutoZone also provides services such as parts lookup, diagnostic assistance, battery testing and charging, and loaner tools for eligible repairs.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional locations in Mexico and Brazil.
Further Reading Five stocks we like better than AutoZone 3 Luxury Consumer Brands to Watch in a Beaten-Down Sector Jackson’s Record Quarter Powers the Bull Case Holiday Shopping Is Almost Here—And Target May Be Ready to Win Big AI Panic Hit Tech Stocks—But NVIDIA’s Growth Engine Is Intact Want to see what other hedge funds are holding AZO? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for AutoZone, Inc. (NYSE:AZO – Free Report).
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On September 16, 2026, we delve into the DCF analysis for AutoZone Inc AZO, a company that has faced notable price declines recently, with a year-to-date drop of 15.7% and a staggering 32.4% over the past year. The current price stands at $2860.25, raising questions about its intrinsic value and market position. Here are some key points to consider:
DCF Earnings-based intrinsic value suggests a valuation of $3817.47 per share, indicating a margin of safety of 25.1% compared to the current price. In contrast, the DCF Free Cash Flow (FCF)-based intrinsic value is $2184.44, suggesting a significant overvaluation with a margin of safety of -30.9%. The GF Score™ of 84/100 indicates strong financial health and profitability, but the low predictability rank of 2/5 stars raises concerns about the reliability of the DCF inputs. What Is AZO Worth? DCF Earnings-Based Model The DCF earnings-based model employs a two-stage approach to assess AutoZone's intrinsic value. The first stage anticipates robust growth in earnings over the next ten years, while the second stage accounts for a more moderate growth rate thereafter. Below are the assumptions used in this model:
Parameter Value Current EPS (TTM, excl. non-recurring) $145.45 10-Year Growth Rate 17.4% 10-Year Treasury Rate 4.99% Discount Rate (ceil(Treasury) + 6%) 11% Terminal Growth Rate 4% The calculation summary for the two-stage DCF model is as follows:
Stage Description Value Growth Stage (Years 1-10) EPS growing at 17.4%, discounted at 11% $2005.52 Terminal Stage (Years 11-20) 4% terminal growth, discounted at 11% $1811.95 Intrinsic Value Growth + Terminal $3817.47 With the current price at $2860.25, the intrinsic value of $3817.47 indicates that AutoZone is modestly undervalued, presenting a margin of safety of 25.1%. It is important to note that GuruFocus utilizes EPS excluding non-recurring items, as research indicates that stock prices correlate more closely with earnings than free cash flow. For further analysis, you can visit the AZO DCF Calculator.
What Does the Free Cash Flow DCF Say? The FCF-based intrinsic value for AutoZone is calculated at $2184.44. This figure starkly contrasts with the earnings-based valuation, highlighting a significant disagreement between the two models. The FCF DCF suggests that AutoZone is significantly overvalued, with a margin of safety of -30.9%. This discrepancy raises questions about the reliability of the earnings-based DCF in this instance.
How Does GF Value™ Compare to the DCF Models? The GF Value™ for AutoZone is calculated at $3811.62, providing a third perspective on the company's valuation. This proprietary measure takes into account historical trading multiples, past business growth, and future performance estimates. While the earnings-based DCF and GF Value™ align on the valuation front, the FCF model diverges significantly, suggesting a more cautious approach to investment decisions. For more insights, check the GF Value™.
What Does AZO's GF Score™ Tell Us? The GF Score™ evaluates a company's financial health, profitability, growth potential, and valuation metrics. AutoZone's score of 84/100 reflects strong fundamentals, particularly in profitability and growth, but the predictability rank of 2/5 stars indicates that the DCF model may be less reliable for this stock. Below is a summary of AZO's GF Score™ metrics:
Metric Rating GF Score™ 84/100 Financial Strength 5/10 Profitability 10/10 Growth 10/10 Valuation 8/10 Momentum 1/10 With a predictability rank of 2/5 stars, it is crucial to approach the DCF results with caution. For more details, visit the AZO stock page.
Key Assumptions and Limitations It is essential to recognize that DCF models are highly sensitive to assumptions regarding growth and discount rates. Stocks with low predictability ratings, such as AutoZone, yield less reliable DCF estimates. The terminal growth rate of 4% is a simplifying assumption that may not fully capture future market dynamics.
What This Means for Investors In synthesizing the three valuation models—DCF earnings, DCF FCF, and GF Value™—a clear tension emerges. The earnings-based DCF and GF Value™ suggest that AutoZone is modestly undervalued, while the FCF model indicates significant overvaluation. This discrepancy highlights the need for investors to weigh the reliability of each model, especially given the low predictability rank. Additionally, the guru ownership signal is noteworthy, with 11 gurus currently holding the stock, 10 of whom have added positions, while insiders have been net sellers over the past year. This mixed signal from insider activity and guru ownership should be considered when evaluating investment decisions. For a deeper dive into the analysis, explore the AZO DCF Calculator.
Frequently Asked Questions What is AZO's intrinsic value based on DCF?
earnings-based $3817.47, FCF-based $2184.44
Is AZO overvalued or undervalued?
According to the DCF earnings model, AZO is undervalued, while the FCF model suggests it is overvalued. The GF Value™ aligns with the earnings-based DCF.
How reliable is the DCF model for AZO?
The predictability rank of 2/5 indicates that the DCF model may be less reliable for AZO.
This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].
Disclosures I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.
In the latest trading session, AutoZone (AZO - Free Report) closed at $2,858.78, marking a -3.6% move from the previous day. This move lagged the S&P 500's daily loss of 0.45%. Meanwhile, the Dow experienced a drop of 0.63%, and the technology-dominated Nasdaq saw a decrease of 0.78%.
The auto parts retailer's stock has dropped by 1.78% in the past month, exceeding the Retail-Wholesale sector's loss of 5.39% and the S&P 500's loss of 1.99%.
Market participants will be closely following the financial results of AutoZone in its upcoming release. The company plans to announce its earnings on September 22, 2026. It is anticipated that the company will report an EPS of $54.97, marking a 12.85% rise compared to the same quarter of the previous year. Meanwhile, the latest consensus estimate predicts the revenue to be $6.71 billion, indicating a 7.52% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $150.98 per share and a revenue of $20.48 billion, indicating changes of +4.22% and +8.13%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for AutoZone. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.08% lower. AutoZone is currently a Zacks Rank #4 (Sell).
Investors should also note AutoZone's current valuation metrics, including its Forward P/E ratio of 16.9. This denotes a discount relative to the industry average Forward P/E of 17.07.
It's also important to note that AZO currently trades at a PEG ratio of 1.48. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As of the close of trade yesterday, the Automotive - Retail and Wholesale - Parts industry held an average PEG ratio of 2.07.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 75, this industry ranks in the top 31% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AZO in the coming trading sessions, be sure to utilize Zacks.com.
Deciding between established retail and high-growth technology often reveals a tension in many portfolios. Investors must weigh the recovery potential of Advance Auto Parts (AAP -0.67%) against the rapid expansion of NIO (NIO -1.64%).
Advance Auto Parts serves the mature automotive aftermarket, focusing on a turnaround strategy to improve profitability. Meanwhile, NIO leads in the premium electric vehicle space with its unique battery-swapping technology. This comparison looks at how a legacy retailer and a modern innovator stack up for your 2026 investment strategy.
The case for Advance Auto PartsIn its latest annual report, Advance Auto Parts noted that it serves both professional installers and DIY retail customers through its network of stores. The company distributes products through more than 4,300 stores and roughly 800 independently owned Carquest locations. It competes in the broader market for retail stocks by providing essential parts to garages and service stations that account for nearly 50% of total sales.
In FY 2025, revenue reached nearly $8.6 billion, representing a decline of approximately 5.4% compared to the prior year. Despite the lower top-line results, the company reported a net income of about $44.0 million. This resulted in a net margin of nearly 0.5%, which shows a return to profitability compared to the net loss seen in the previous fiscal year.
The case for NIONIO focuses on the premium segment of the electric vehicle market, offering smart cars equipped with advanced software and connectivity features. A core part of its business strategy is the development of charging infrastructure, specifically its battery-swapping stations. By August 2026, the company had inaugurated its 4,000th battery swap station, a key differentiator that allows drivers to replace batteries in minutes.
In FY 2025, revenue reached $12.5 billion, which represents growth of about 33% year over year. While revenue continues to climb as more drivers switch to electric vehicles, the company is not yet profitable. NIO reported a net loss of approximately $2.2 billion for the period, leading to a net margin of roughly negative 17.1%.
Risk profile comparisonAdvance Auto Parts faces significant operational risks as it works through a restructuring plan designed to transform its supply chain and store footprint. The company must compete with massive national chains like AutoZone (AZO -2.28%) that may have more resources to open new stores or lower prices. Additionally, the business remains vulnerable to cybersecurity threats, having recently dealt with a data breach settlement process that began in early 2026.
NIO operates in a fiercely competitive environment where both global manufacturers and local rivals are constantly introducing new electric models. Because the company conducts most of its business in China, it remains sensitive to local economic conditions and potential trade restrictions in international markets. Furthermore, the high costs of maintaining a massive battery-swapping network require significant capital that could weigh on its financial position if growth slows down.
Valuation comparisonMetricAdvance Auto PartsNIOForward P/E14.9xN/AP/S ratio0.3x0.7xValuation metrics sourced from Financial Modeling Prep (FMP) and may differ from other data providers.
I'd go with Advance Auto Parts, though this is not a particularly comfortable pick. Both companies carry a lot of uncertainty right now, and neither is a slam dunk.
Despite its recent stock performance, NIO is making progress as a business, with deliveries growing sharply year over year across all three of its brands. Vehicle margins are improving, and the battery-swap network is a competitive advantage most rivals cannot match. But NIO missed both revenue and earnings estimates in its most recent quarter, losses widened, and geopolitical tensions between the U.S. and China add a layer of risk that is difficult for U.S. investors to plan around.
Advance Auto Parts is not without its own complications. The turnaround is early, the retail environment is challenging, and one strong quarter does not make a trend. But the underlying auto parts market is durable and non-cyclical and the momentum, however modest, is building.
For investors with patience and a long horizon, the more predictable market and lower geopolitical risk make Advance Auto Parts the better place to start.
The market expects AutoZone (AZO - Free Report) to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended August 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates.
The earnings report, which is expected to be released on September 22, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise.
Zacks Consensus EstimateThis auto parts retailer is expected to post quarterly earnings of $54.97 per share in its upcoming report, which represents a year-over-year change of +12.9%.
Revenues are expected to be $6.71 billion, up 7.5% from the year-ago quarter.
Estimate Revisions TrendThe consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that an aggregate change may not always reflect the direction of estimate revisions by each of the covering analysts.
Price, Consensus and EPS Surprise
Earnings WhisperEstimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction).
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for AutoZone?For AutoZone, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -3.74%.
On the other hand, the stock currently carries a Zacks Rank of #4.
So, this combination makes it difficult to conclusively predict that AutoZone will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that AutoZone would post earnings of $36.18 per share when it actually produced earnings of $38.07, delivering a surprise of +5.22%.
Over the last four quarters, the company has beaten consensus EPS estimates two times.
Bottom LineAn earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
AutoZone doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
AutoZone, Inc. (NYSE:AZO) will release its fourth quarter earnings report before the opening bell on Tuesday, Sept. 22.
Analysts expect the Houston, Texas-based company to report quarterly earnings of $54.26 per share, up from $48.71 per share in the year-ago period. The consensus estimate for AZO’s quarterly revenue is $6.72 million. It reported $6.24 million last year, according to Benzinga Pro.
On May 26, AutoZone posted better-than-expected third-quarter earnings.
Shares of AutoZone gained 3.1% to close at $2,965.52 on Monday.
Benzinga readers can access the latest analyst ratings on the Analyst Stock Ratings page. Readers can sort by stock ticker, company name, analyst firm, rating change or other variables.
Let’s have a look at how Benzinga’s most-accurate analysts have rated the company in the recent period.
Citigroup analyst Steven Zaccone maintained the stock with a Buy and lowered the price target from $3,700 to $3,450 on Sept. 14, 2026. This analyst has an accuracy rate of 51%. Wells Fargo analyst Zachary Fadem maintained the stock with an Overweight rating and cut the price target from $4,150 to $3,500 on Sept. 10, 2026. This analyst has an accuracy rate of 76%. TD Cowen analyst Max Rakhlenko maintained the stock with a Buy and slashed the price target from $3,700 to $3,500 on Aug. 31, 2026. This analyst has an accuracy rate of 56%. Truist Securities analyst Scot Ciccarelli maintained the stock with a Buy rating on May 27, 2026. This analyst has an accuracy rate of 70%. Roth Capital analyst Scott Stember maintained the stock with a Buy and lowered the price target from $4,526 to $4,023 on May 27, 2026. This analyst has an accuracy rate of 53%. Trending
Considering buying AZO stock? Here’s what analysts think:
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NewEdge Advisors LLC raised its holdings in AutoZone, Inc. (NYSE:AZO – Free Report) by 13.0% during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 2,293 shares of the company’s stock after buying an additional 263 shares during the period. NewEdge Advisors LLC’s holdings in AutoZone were worth $7,328,000 as of its most recent SEC filing.
Several other institutional investors and hedge funds have also made changes to their positions in AZO. Brighton Jones LLC lifted its position in AutoZone by 14.4% in the fourth quarter. Brighton Jones LLC now owns 111 shares of the company’s stock valued at $356,000 after acquiring an additional 14 shares during the last quarter. Sivia Capital Partners LLC acquired a new stake in shares of AutoZone in the 2nd quarter valued at about $356,000. Guggenheim Capital LLC grew its stake in AutoZone by 3.8% during the 2nd quarter. Guggenheim Capital LLC now owns 248 shares of the company’s stock worth $921,000 after buying an additional 9 shares during the last quarter. Treasurer of the State of North Carolina grew its stake in AutoZone by 52.3% during the 2nd quarter. Treasurer of the State of North Carolina now owns 11,763 shares of the company’s stock worth $43,667,000 after buying an additional 4,039 shares during the last quarter. Finally, Ieq Capital LLC increased its position in AutoZone by 212.5% during the second quarter. Ieq Capital LLC now owns 1,525 shares of the company’s stock worth $5,663,000 after buying an additional 1,037 shares during the period. 92.74% of the stock is owned by institutional investors and hedge funds.
Wall Street Analyst Weigh In Several equities research analysts have recently weighed in on AZO shares. Wells Fargo & Company decreased their price objective on AutoZone from $4,150.00 to $3,500.00 and set an “overweight” rating for the company in a report on Thursday. Morgan Stanley lowered their price objective on shares of AutoZone from $4,020.00 to $3,605.00 and set an “overweight” rating on the stock in a research report on Wednesday, May 27th. BNP Paribas Exane dropped their price objective on shares of AutoZone from $4,478.00 to $3,979.00 and set an “outperform” rating on the stock in a research note on Wednesday, May 27th. Barclays reduced their target price on shares of AutoZone from $3,900.00 to $3,637.00 and set an “overweight” rating for the company in a report on Tuesday, August 4th. Finally, Robert W. Baird decreased their target price on shares of AutoZone from $3,900.00 to $3,600.00 and set a “neutral” rating for the company in a research note on Wednesday, May 27th. One equities research analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating and six have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $3,957.38.
Read Our Latest Research Report on AZO AutoZone Stock Up 0.0% Shares of NYSE:AZO opened at $2,876.76 on Monday. AutoZone, Inc. has a fifty-two week low of $2,865.13 and a fifty-two week high of $4,363.29. The firm’s 50-day simple moving average is $3,010.86 and its 200-day simple moving average is $3,247.22. The company has a market cap of $46.98 billion, a price-to-earnings ratio of 19.78, a PEG ratio of 1.44 and a beta of 0.34.
AutoZone declared that its Board of Directors has authorized a share buyback program on Tuesday, June 16th that allows the company to buyback $1.50 billion in outstanding shares. This buyback authorization allows the company to buy up to 3% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.
Insider Transactions at AutoZone In other AutoZone news, VP Dennis LeRiche sold 1,455 shares of the business’s stock in a transaction that occurred on Friday, August 7th. The stock was sold at an average price of $3,100.00, for a total transaction of $4,510,500.00. Following the transaction, the vice president owned 441 shares in the company, valued at approximately $1,367,100. The trade was a 76.74% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Insiders own 2.60% of the company’s stock.
AutoZone Company Profile (Free Report)
AutoZone, Inc is a retailer and distributor of automotive replacement parts, accessories, and maintenance products. The company serves do-it-yourself customers, professional service technicians, and commercial repair businesses through its stores, distribution network, and online platform.
Its product offerings include replacement parts such as batteries, brakes, engine components, and ignition products, along with tools, fluids, filters, and other automotive accessories. AutoZone also provides services such as parts lookup, diagnostic assistance, battery testing and charging, and loaner tools for eligible repairs.
Founded in 1979 and headquartered in Memphis, Tennessee, AutoZone operates primarily in the United States, with additional locations in Mexico and Brazil.
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AutoZone remains a Buy, now driven by compressed valuation and moderate earnings growth rather than expectations of rapid margin normalization. Revenue growth exceeded expectations, with commercial sales up 10% and the store base surpassing 8,000 locations, but margin normalization and ROIC lagged prior assumptions. LIFO expense is finally normalizing, improving EPS visibility; Q4 results will hinge on merchandise margin, SG&A leverage, commercial growth, and DIY traffic trends.
