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AUTOZONE INC (AZO) Stock Fundamental Analysis

USA - NYSE:AZO - US0533321024 - Common Stock

3803 USD
-11.21 (-0.29%)
Last: 10/28/2025, 7:36:47 PM
3803 USD
0 (0%)
After Hours: 10/28/2025, 7:36:47 PM
Fundamental Rating

4

AZO gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 121 industry peers in the Specialty Retail industry. AZO has an excellent profitability rating, but there are concerns on its financial health. AZO has a valuation in line with the averages, but it does not seem to be growing.


Dividend Valuation Growth Profitability Health

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8

1. Profitability

1.1 Basic Checks

AZO had positive earnings in the past year.
In the past year AZO had a positive cash flow from operations.
Of the past 5 years AZO 4 years were profitable.
Of the past 5 years AZO 4 years had a positive operating cash flow.
AZO Yearly Net Income VS EBIT VS OCF VS FCFAZO Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B

1.2 Ratios

With an excellent Return On Assets value of 13.77%, AZO belongs to the best of the industry, outperforming 87.60% of the companies in the same industry.
AZO has a Return On Invested Capital of 32.34%. This is amongst the best in the industry. AZO outperforms 98.35% of its industry peers.
The Average Return On Invested Capital over the past 3 years for AZO is significantly above the industry average of 11.81%.
The last Return On Invested Capital (32.34%) for AZO is well below the 3 year average (37.29%), which needs to be investigated, but indicates that AZO had better years and this may not be a problem.
Industry RankSector Rank
ROA 13.77%
ROE N/A
ROIC 32.34%
ROA(3y)15.74%
ROA(5y)14.84%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)37.29%
ROIC(5y)33.95%
AZO Yearly ROA, ROE, ROICAZO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 -50 -100 -150

1.3 Margins

AZO's Profit Margin of 13.56% is amongst the best of the industry. AZO outperforms 94.21% of its industry peers.
AZO's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 19.63%, AZO belongs to the top of the industry, outperforming 96.69% of the companies in the same industry.
In the last couple of years the Operating Margin of AZO has grown nicely.
AZO has a Gross Margin of 52.95%. This is amongst the best in the industry. AZO outperforms 82.64% of its industry peers.
AZO's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 19.63%
PM (TTM) 13.56%
GM 52.95%
OM growth 3Y0.11%
OM growth 5Y1.87%
PM growth 3Y-0.99%
PM growth 5Y1.1%
GM growth 3Y0.21%
GM growth 5Y-0.21%
AZO Yearly Profit, Operating, Gross MarginsAZO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10 20 30 40 50

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3

2. Health

2.1 Basic Checks

The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so AZO is creating value.
There is no outstanding debt for AZO. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
AZO Yearly Shares OutstandingAZO Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 10M 20M 30M
AZO Yearly Total Debt VS Total AssetsAZO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 5B 10B 15B

2.2 Solvency

AZO has an Altman-Z score of 2.90. This is not the best score and indicates that AZO is in the grey zone with still only limited risk for bankruptcy at the moment.
With a decent Altman-Z score value of 2.90, AZO is doing good in the industry, outperforming 64.46% of the companies in the same industry.
AZO has a debt to FCF ratio of 4.42. This is a neutral value as AZO would need 4.42 years to pay back of all of its debts.
AZO has a Debt to FCF ratio of 4.42. This is in the better half of the industry: AZO outperforms 66.12% of its industry peers.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 4.42
Altman-Z 2.9
ROIC/WACC3.56
WACC9.09%
AZO Yearly LT Debt VS Equity VS FCFAZO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 5B

2.3 Liquidity

A Current Ratio of 0.84 indicates that AZO may have some problems paying its short term obligations.
AZO has a worse Current ratio (0.84) than 81.82% of its industry peers.
A Quick Ratio of 0.12 indicates that AZO may have some problems paying its short term obligations.
AZO has a Quick ratio of 0.12. This is amonst the worse of the industry: AZO underperforms 94.21% of its industry peers.
Industry RankSector Rank
Current Ratio 0.84
Quick Ratio 0.12
AZO Yearly Current Assets VS Current LiabilitesAZO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

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3

3. Growth

3.1 Past

AZO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -3.23%.
AZO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.01% yearly.
EPS 1Y (TTM)-3.23%
EPS 3Y7.22%
EPS 5Y15.01%
EPS Q2Q%-5.56%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%0.6%

3.2 Future

The Earnings Per Share is expected to grow by 12.12% on average over the next years. This is quite good.
AZO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.79% yearly.
EPS Next Y7.52%
EPS Next 2Y12.53%
EPS Next 3Y12.1%
EPS Next 5Y12.12%
Revenue Next Year7.9%
Revenue Next 2Y7.32%
Revenue Next 3Y7.65%
Revenue Next 5Y6.79%

3.3 Evolution

When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
AZO Yearly Revenue VS EstimatesAZO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 10B 20B 30B
AZO Yearly EPS VS EstimatesAZO Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 100 200 300

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4

4. Valuation

4.1 Price/Earnings Ratio

With a Price/Earnings ratio of 26.25, AZO can be considered very expensive at the moment.
65.29% of the companies in the same industry are more expensive than AZO, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.83, AZO is valued at the same level.
AZO is valuated rather expensively with a Price/Forward Earnings ratio of 24.41.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AZO is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.88, AZO is valued at the same level.
Industry RankSector Rank
PE 26.25
Fwd PE 24.41
AZO Price Earnings VS Forward Price EarningsAZO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AZO is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, AZO is valued a bit cheaper than the industry average as 60.33% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 31.64
EV/EBITDA 16.77
AZO Per share dataAZO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 0 200 -200 400 600 800 1K

4.3 Compensation for Growth

The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates AZO does not grow enough to justify the current Price/Earnings ratio.
AZO has an outstanding profitability rating, which may justify a higher PE ratio.
AZO's earnings are expected to grow with 12.10% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.49
PEG (5Y)1.75
EPS Next 2Y12.53%
EPS Next 3Y12.1%

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0

5. Dividend

5.1 Amount

No dividends for AZO!.
Industry RankSector Rank
Dividend Yield N/A

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AUTOZONE INC

NYSE:AZO (10/28/2025, 7:36:47 PM)

After market: 3803 0 (0%)

3803

-11.21 (-0.29%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)09-23 2025-09-23/bmo
Earnings (Next)12-08 2025-12-08
Inst Owners94.94%
Inst Owner Change0.42%
Ins Owners0.25%
Ins Owner Change-3.08%
Market Cap63.36B
Revenue(TTM)N/A
Net Income(TTM)2.56B
Analysts81.82
Price Target4637.44 (21.94%)
Short Float %1.24%
Short Ratio1.63
Dividend
Industry RankSector Rank
Dividend Yield N/A
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.72%
Min EPS beat(2)-5.67%
Max EPS beat(2)-3.76%
EPS beat(4)0
Avg EPS beat(4)-4.52%
Min EPS beat(4)-5.67%
Max EPS beat(4)-3.76%
EPS beat(8)4
Avg EPS beat(8)-0.47%
EPS beat(12)8
Avg EPS beat(12)2.26%
EPS beat(16)12
Avg EPS beat(16)6.35%
Revenue beat(2)1
Avg Revenue beat(2)-0.12%
Min Revenue beat(2)-1.72%
Max Revenue beat(2)1.49%
Revenue beat(4)1
Avg Revenue beat(4)-0.74%
Min Revenue beat(4)-1.72%
Max Revenue beat(4)1.49%
Revenue beat(8)2
Avg Revenue beat(8)-0.82%
Revenue beat(12)5
Avg Revenue beat(12)-0.09%
Revenue beat(16)9
Avg Revenue beat(16)1.36%
PT rev (1m)7.1%
PT rev (3m)9.76%
EPS NQ rev (1m)-0.36%
EPS NQ rev (3m)-0.59%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.13%
Revenue NQ rev (1m)0.11%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0.14%
Revenue NY rev (3m)0.15%
Valuation
Industry RankSector Rank
PE 26.25
Fwd PE 24.41
P/S 3.35
P/FCF 31.64
P/OCF 19.59
P/B N/A
P/tB N/A
EV/EBITDA 16.77
EPS(TTM)144.88
EY3.81%
EPS(NY)155.78
Fwd EY4.1%
FCF(TTM)120.19
FCFY3.16%
OCF(TTM)194.17
OCFY5.11%
SpS1134.54
BVpS-238.56
TBVpS-256.73
PEG (NY)3.49
PEG (5Y)1.75
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 13.77%
ROE N/A
ROCE 40.53%
ROIC 32.34%
ROICexc 33.32%
ROICexgc 34.49%
OM 19.63%
PM (TTM) 13.56%
GM 52.95%
FCFM 10.59%
ROA(3y)15.74%
ROA(5y)14.84%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)37.29%
ROIC(5y)33.95%
ROICexc(3y)38.73%
ROICexc(5y)37.47%
ROICexgc(3y)40.44%
ROICexgc(5y)39.23%
ROCE(3y)46.72%
ROCE(5y)42.54%
ROICexgc growth 3Y-2.92%
ROICexgc growth 5Y-3.24%
ROICexc growth 3Y-2.45%
ROICexc growth 5Y-2.5%
OM growth 3Y0.11%
OM growth 5Y1.87%
PM growth 3Y-0.99%
PM growth 5Y1.1%
GM growth 3Y0.21%
GM growth 5Y-0.21%
F-Score6
Asset Turnover1.02
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 4.42
Debt/EBITDA 2.06
Cap/Depr 208.49%
Cap/Sales 6.52%
Interest Coverage 250
Cash Conversion 75.2%
Profit Quality 78.11%
Current Ratio 0.84
Quick Ratio 0.12
Altman-Z 2.9
F-Score6
WACC9.09%
ROIC/WACC3.56
Cap/Depr(3y)169.09%
Cap/Depr(5y)154.99%
Cap/Sales(3y)4.83%
Cap/Sales(5y)4.48%
Profit Quality(3y)87.28%
Profit Quality(5y)105.17%
High Growth Momentum
Growth
EPS 1Y (TTM)-3.23%
EPS 3Y7.22%
EPS 5Y15.01%
EPS Q2Q%-5.56%
EPS Next Y7.52%
EPS Next 2Y12.53%
EPS Next 3Y12.1%
EPS Next 5Y12.12%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%0.6%
Revenue Next Year7.9%
Revenue Next 2Y7.32%
Revenue Next 3Y7.65%
Revenue Next 5Y6.79%
EBIT growth 1Y-0.1%
EBIT growth 3Y8.24%
EBIT growth 5Y11.32%
EBIT Next Year11.01%
EBIT Next 3Y8.94%
EBIT Next 5Y7.61%
FCF growth 1Y-15.41%
FCF growth 3Y-12.64%
FCF growth 5Y3.42%
OCF growth 1Y4.32%
OCF growth 3Y-5.13%
OCF growth 5Y7.13%

AUTOZONE INC / AZO FAQ

What is the fundamental rating for AZO stock?

ChartMill assigns a fundamental rating of 4 / 10 to AZO.


What is the valuation status for AZO stock?

ChartMill assigns a valuation rating of 4 / 10 to AUTOZONE INC (AZO). This can be considered as Fairly Valued.


What is the profitability of AZO stock?

AUTOZONE INC (AZO) has a profitability rating of 8 / 10.


What is the valuation of AUTOZONE INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for AUTOZONE INC (AZO) is 26.25 and the Price/Book (PB) ratio is -15.94.


What is the expected EPS growth for AUTOZONE INC (AZO) stock?

The Earnings per Share (EPS) of AUTOZONE INC (AZO) is expected to grow by 7.52% in the next year.