Key Takeaways AutoZone posted $4.6B in Q1 fiscal 2026 revenues, up 8.2% YoY, marking 36 straight years of record sales.AZO is expanding mega hubs, targeting 200 locations and 350-360 new stores in fiscal 2026 to boost reach.Rising capex, high leverage and expected LIFO charges may pressure margins and earnings in upcoming quarters.AutoZone, Inc. (AZO) is one of the leading specialty retailers and distributors of automotive replacement parts and accessories in the United States. It is set to gain from streng ...

Core Viewpoint - AutoZone, Inc. is positioned for potential growth with a recent price target set at $4,650, indicating a possible increase of approximately 37.17% from its current stock price of $3,390 [2][5][6] Group 1: Company Overview - AutoZone is a leading retailer and distributor of automotive replacement parts and accessories in the United States, operating thousands of stores nationwide [1] - The company competes with major players in the automotive parts industry, including Advance Auto Parts and O'Reilly Auto Parts [1] Group 2: Stock Performance - AutoZone's stock recently experienced a modest pullback, currently priced at $3,409.07, down 2.51% or $87.70, but remains in a strong long-term uptrend [3][6] - The stock has traded between $3,388.79 and $3,503.09 on the day, with a market capitalization of approximately $57 billion [4][6] - Over the past year, the stock reached a high of $4,388.11 and a low of $3,162, indicating significant volatility [4] Group 3: Market Sentiment - The recent price target from Roth Capital and current market conditions suggest that AutoZone may have significant growth potential, with the price dip viewed as a buying opportunity [5][6] - Active investor interest is reflected in the trading volume of 42,741 shares on the NYSE for the day [4][6]

Core Insights - AutoZone, Inc. is a leading retailer and distributor of automotive replacement parts and accessories in the U.S., operating thousands of stores across the U.S., Mexico, and Brazil [1] - Roth Capital maintains a "Buy" rating for AutoZone, adjusting the price target from $4,750 to $4,650, with the stock currently priced at approximately $3,493.36, reflecting a decrease of 7.26% from previous levels [2][6] - The company has opened 53 new stores globally in the latest quarter, bringing its total to 7,710 stores, with 39 in the U.S., 12 in Mexico, and 2 in Brazil [3][6] - CEO Phil Daniele expressed satisfaction with the company's performance and plans to continue expansion throughout the fiscal year, aiming to strengthen its market position [4] - AutoZone's market capitalization is approximately $58.65 billion, with a trading volume of 337,490 shares on the NYSE [4][6] - The stock has traded between $3,162 and $4,388.11 over the past year, indicating ongoing challenges but a focus on growth strategy [5]

The auto parts retailer reported its fiscal first-quarter results this week.AutoZone (AZO 7.17%) shares plunged on Tuesday, making it the worst-performing stock in the S&P 500 index at midday. What's going on?Well, the automotive replacement parts and accessories chain reported its first-quarter financial results on Tuesday morning and Wall Street was not impressed.NYSE : AZOAutoZoneToday's Change( -7.17 %) $ -270.19Current Price$ 3496.77Key Data PointsMarket Cap$58BDay's Range$ 3460.23 - $ 3720.6352wk Rang ...

Core Insights - AutoZone reported earnings per share (EPS) of $31.04, slightly below the estimated $32.24, with net sales reaching $4.6 billion, an 8.2% increase from the previous year [2][6] - The company's gross profit margin decreased by 203 basis points to 51.0%, primarily due to a non-cash LIFO impact [3][6] - Operating expenses rose to 34.0% of sales, leading to a 6.8% decline in operating profit to $784.2 million, and net income fell to $530.8 million from $564.9 million year-over-year [4] Financial Metrics - AutoZone's price-to-earnings (P/E) ratio is approximately 25.46, with a price-to-sales ratio of about 3.28 and an enterprise value to sales ratio of around 3.90 [5] - The company has a negative debt-to-equity ratio of -3.57, indicating a higher level of debt compared to equity [5]

Core Insights - AutoZone, Inc. reported net sales of $4.6 billion for the first quarter of fiscal 2026, marking an 8.2% increase compared to the same period in fiscal 2025 [1] - Same store sales increased by 5.5% overall, with domestic sales up 4.8% and international sales up 11.2% [1][25] - The company opened 53 net new stores globally during the quarter, contributing to a total of 7,710 stores as of November 22, 2025 [6][7] Financial Performance - Gross profit margin decreased to 51.0%, down 203 basis points year-over-year, primarily due to a non-cash LIFO impact [2] - Operating profit fell by 6.8% to $784.2 million, while net income decreased to $530.8 million from $564.9 million in the prior year [3] - Diluted earnings per share were $31.04, down from $32.52 in the same quarter last year [3] Share Repurchase and Capital Allocation - AutoZone repurchased 108 thousand shares at an average price of $3,999, totaling $431.1 million, with $1.7 billion remaining under its share repurchase authorization [4] - The company’s inventory increased by 13.9% year-over-year, driven by growth initiatives and inflation [5] Store Expansion and Operations - The company opened 39 new stores in the U.S., 12 in Mexico, and 2 in Brazil during the quarter [7] - As of the end of the quarter, the company had 6,666 stores in the U.S., 895 in Mexico, and 149 in Brazil [7] Sales and Inventory Metrics - Sales per average store increased to $602, up from $570 in the previous year, while sales per average square foot rose to $89 from $85 [24] - Total inventory as of November 22, 2025, was $7.1 billion, with inventory per store at $927 [26]

Core Viewpoint - AutoZone, Inc. is experiencing growth across its commercial, DIY, and international segments, with a positive outlook reflected in the upward trend of its stock price target by analysts [2][3][6] Segment Contributions - The commercial segment, particularly the Do-It-For-Me (DIFM) market, is showing structural and sustainable growth [3][6] - The DIY segment remains stable, while international expansion, especially in Mexico, provides diversified growth opportunities [3][6] Financial Performance and Projections - The consensus price target for AutoZone's stock has increased from $4,090.07 a year ago to $4,655 last quarter, indicating growing analyst confidence [2][6] - Despite short-term margin challenges due to LIFO accounting methods, AutoZone's underlying profitability is strong, with anticipated earnings per share (EPS) growth expected by fiscal year 2027 [4][6] - AutoZone is expected to surpass earnings estimates in its upcoming quarterly report, suggesting favorable conditions for an earnings beat [5]

Core Viewpoint - AutoZone is positioned as a strong player in the automotive replacement parts market, with significant growth potential across various segments, particularly in the commercial and international markets [2][3]. Company Overview - AutoZone, Inc. is a leading retailer and distributor of automotive replacement parts and accessories in the United States, operating through commercial, DIY, and international segments [1]. - Competitors include O'Reilly Automotive and Advance Auto Parts [1]. Earnings Expectations - The company is set to release its quarterly earnings on December 9, 2025, with Wall Street estimating an earnings per share (EPS) of $32.35 and projected revenue of approximately $4.64 billion [2]. - The commercial segment, especially the Do-It-For-Me (DIFM) market, is experiencing structural and sustainable growth [2]. Analyst Ratings and Market Sentiment - JP Morgan analyst Christopher Horvers maintains an Overweight rating on AutoZone, citing resilient demand and potential for improved long-term earnings [3]. - Horvers has increased his estimates and set a price target of $4,850, noting no structural slowdown in DIY demand despite early-quarter fluctuations [3]. Financial Metrics - AutoZone has a price-to-earnings (P/E) ratio of approximately 25.60, indicating the market's valuation of its earnings [4]. - The price-to-sales ratio stands at about 3.39, reflecting the company's market value relative to its revenue [4]. - The enterprise value to sales ratio is around 4.02, showing the company's total valuation compared to its sales [4]. - The enterprise value to operating cash flow ratio is approximately 24.41, suggesting how the company's valuation compares to its cash flow from operations [4]. - AutoZone's earnings yield is about 3.91%, providing insight into the return on investment for shareholders [4]. - The company has a debt-to-equity ratio of approximately -3.57, indicating a higher level of debt compared to its equity [4]. - The current ratio is around 0.88, suggesting the company's ability to cover its short-term liabilities with its short-term assets [4]. Growth Potential - The upcoming earnings report could significantly impact AutoZone's stock price, with potential upward movement if results exceed expectations [4].

Core Insights - AutoZone, Inc. operates as a retailer and distributor of automotive replacement parts and accessories, with a market cap of $64.1 billion [1] - The company has shown strong stock performance, gaining 24.3% over the past year, significantly outperforming the S&P 500 Index's 11% increase [2] - AZO's performance is also superior to the SPDR S&P Retail ETF, which has declined by 1.8% over the same period [3] Financial Performance - In Q4, AutoZone reported an EPS of $48.71, which missed Wall Street expectations of $50.52, while revenue of $6.24 billion exceeded forecasts of $6.22 billion [5] - For the fiscal year ending in August 2026, analysts project a 4.5% growth in EPS to $151.32 on a diluted basis [5] Market Position and Strategy - The company's strong performance is attributed to effective execution in retail and commercial channels, with commercial sales outpacing retail growth [4] - AutoZone has gained market share and expanded internationally in Mexico and Brazil, despite facing margin pressures from tariffs and a non-cash LIFO charge [4] - Management remains optimistic about long-term growth, focusing on investments in stores, inventory, and technology [4] Analyst Consensus - Among 28 analysts covering AutoZone, the consensus rating is a "Strong Buy," with 22 "Strong Buy" ratings, two "Moderate Buys," three "Holds," and one "Strong Sell" [6]

Core Points - AutoZone, Inc. will hold its Annual Meeting of Stockholders on December 17, 2025, at 9:00 a.m. (ET) in Memphis, Tennessee, with a webcast available on its website [1] - As of August 30, 2025, AutoZone operates a total of 7,657 stores, including 6,627 in the U.S., 883 in Mexico, and 147 in Brazil [2] - AutoZone is the leading retailer and distributor of automotive replacement parts and accessories in the Americas, offering a wide range of products for various vehicle types and providing commercial sales programs [3] Company Overview - AutoZone's stores carry an extensive product line, including new and remanufactured automotive hard parts, maintenance items, accessories, and non-automotive products [3] - The company does not generate revenue from automotive repair or installation services, focusing instead on parts and accessories sales [3] - AutoZone also sells products through its websites, including www.autozone.com for retail and www.autozonepro.com for commercial customers, along with diagnostic and management software through www.alldata.com [3]