Don't Buy AutoZone (AZO) Before Checking Its Fundamentals!

After moving -3.1% during today's evening session, AutoZone is now trading at a price of $2636.69 per share. On average, analysts give it a target price of $2956.29.

AutoZone, Inc. retails and distributes automotive replacement parts and accessories in the United States, Mexico, and Brazil.

Potential AutoZone Investors Should Analyze the Following:

  • AutoZone has moved 15.3% over the last year.

  • The company has a price to earnings growth (PEG) ratio of 2.03. A number between 0 and 1 could mean that the market is undervaluing AutoZone's estimated growth potential

Understanding AutoZone's Operating Margins

Date Reported Total Revenue ($ k) Operating Expenses ($ k) Operating Margins (%) YoY Growth (%)
2023 19,442,640 6,350,876 19 -5.0
2022 16,252,230 5,201,921 20 0.0
2021 14,629,585 4,773,258 20 5.26
2020 12,631,967 4,353,074 19 0.0
2019 11,863,743 4,148,864 19 18.75
2018 11,221,077 4,162,890 16

Over the last 6 years, AutoZone's operating margins have averaged 18.8%, which is better than the 6.19% Auto & Truck Dealerships industry average. We also note that the company's operating margins have a high coefficient of variability at 48.37%. The firm's margins exhibit a relatively stable growth trend of 2.7%.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.