AZO
Consumer Cyclical · Auto Parts
Performance
AZO (AZO) Stock Analysis 2026
Rule-based · Updated daily · Not financial advice
AZO (AZO) operates in the Auto Parts space within the Consumer Cyclical sector. With a market cap of $51.2B, it qualifies as a mid-cap company. Growth is moderate and the business remains profitable, offering a balanced risk/reward profile compared to high-multiple peers.
- Forward P/E (17.8×) is lower than trailing P/E (21.5×) — analysts expect earnings to improve
- Revenue growth of 8% YoY shows solid business momentum
- Healthy profit margin of 12.4%
- Price is near its 52-week low — potential entry point with asymmetric upside
- Low beta of 0.35 — less volatile than the market, suitable for conservative portfolios
- Current ratio below 1 (0.89×) — short-term liabilities exceed current assets
- No dividend history — total return depends entirely on price appreciation
Verdict
Strong Buy
Multiple fundamental strengths with few red flags. Long-term buyers may find this compelling.
AI Insight
Powered by ClaudeAI-generated analysis for informational purposes only. Not financial advice.
Related Articles
Revenue & Results
Dividends
This stock does not pay dividends.
If You Had Invested…
Hypothetical return based on historical prices
* Dividend reinvestment calculated at ex-date price. For informational purposes only.
Earnings
EPS (TTM)
$145.34
P/E (TTM)
21.5
Fwd P/E
17.8
Earnings History
SEC EDGAR · official filings
SEC Filings
Official EDGAR documents
Key Statistics
Valuation
Trading
Dividends
Profitability
Balance Sheet
Fair Value Estimates
Current price: $3129.88
Graham Number
√(22.5 × EPS × Book Value)
N/A
Benjamin Graham's intrinsic value formula. Assumes a fair stock trades at no more than 22.5× the product of EPS and book value per share.
Bazin Ceiling Price
Avg. Annual DPS (5Y) ÷ 6%
N/A
Décio Bazin's dividend-based ceiling. The max price you should pay so that dividends alone deliver at least 6% annual yield on your cost basis.
These are simplified estimates. Not financial advice.
Buy & Hold Checklist
Quality criteria for long-term holding
4/10
67% score
Pays dividends
No dividend history found
Dividend consistency (5Y+)
Uninterrupted dividend payments for at least 5 years
ROE above 10%
Return on equity — measures how efficiently capital is used
Positive profit margin
12.4%Net profit margin must be positive — company earns more than it spends
Revenue growth (annual)
+8.4%Annual revenue must be growing compared to the prior year
Earnings growth (annual)
+7.7%Annual earnings must be growing compared to the prior year
Debt/Equity below 2×
Low financial leverage reduces risk of distress
Current ratio above 1
0.89×Short-term assets must cover short-term liabilities
Daily liquidity above $5M
$792M/dayHigh trading volume ensures easy entry and exit
Dividend yield above 0%
Stock must distribute income to shareholders
Related Assets
Consumer Cyclical
About AZO
AutoZone, Inc. operates as a retailer and distributor of automotive replacement parts and accessories in the United States, Mexico, and Brazil. The company offers a product line for cars, sport utility vehicles, vans, and light duty trucks, including new and remanufactured automotive hard parts, maintenance items, accessories, and non-automotive products. It also provides A/C compressors, batteries and accessories, bearings, belts and hoses, calipers, chassis, clutches, CV axles, engines, fuel pumps, fuses, ignition and lighting products, mufflers, radiators, starters and alternators, thermostats, and water pumps, as well as tire repairs. In addition, the company provides maintenance products, such as antifreeze and windshield washer fluids; brake drums, rotors, shoes, and pads; brake and power steering fluids, and oil and fuel additives; oil and transmission fluids; oil, cabin, air, fuel, and transmission filters; oxygen sensors; paints and accessories; refrigerants and accessories; shock absorbers and struts; spark plugs and wires; and windshield wipers. Further, it offers air fresheners, cell phone accessories, drinks and snacks, floor mats and seat covers, interior and exterior accessories, mirrors, performance products, protectants and cleaners, sealants and adhesives, steering wheel covers, tools, vehicle entertainment systems, and wash and wax products, as well as towing services. Additionally, the company provides a sales program that offers commercial credit and delivery of parts and other products; sells automotive diagnostic, repair, collision, and shop management information software under the ALLDATA brand through alldata.com; Duralast branded products through duralastparts.com; and automotive hard parts, maintenance items, accessories, and non-automotive products through autozone.com. AutoZone, Inc. was founded in 1979 and is headquartered in Memphis, Tennessee.
Sector
Consumer Cyclical
Industry
Auto Parts
Location
Memphis, United States
Employees
78,000