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AZO

S&P 500
Neutral · 50/100

AutoZone

Consumer Discretionary
Automotive Retail

$2,949.06

3.8%

Updated Today 6:01 PM ET

Price — Past Year

▼ Down 15.0% over the last 12 months

Price 50-day average 200-day averageSource: Yahoo Finance · refreshed daily
Key Metrics

Market Cap

$50.03B

P/E

20.16x

Forward P/E (est.)

20.51x

ROE

249.3%

Revenue Growth

5.7%

EPS Growth

-1.7%

Profit Margin

12.4%

FCF Yield

5.1%

Debt / Equity

9.8x

ROIC

163.0%

Interest Coverage

11.28x

Current Ratio

0.89x

Dividend Yield

Implied Growth (rev. DCF)

5.2%

Rating Score

50/100

Technical Analysis (Educational)
Research

Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what AZO's chart says today, with each tool explained.

Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. AZO trades near $2,949.06, below its 50-day average ($3,353.13) and 200-day average ($3,652.71). Price below both averages is a downtrend — momentum is against buyers for now.

Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 55 it is in neutral territory — neither stretched nor washed out.

MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.

Volatility — ATR. Average True Range is the typical daily move. AZO's is $83.25 (~2.8% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.

Support & resistance. Over the last month AZO found buyers near $2,928.11 (support) and sellers near $3,496.76 (resistance); its 52-week range is $2,928.11–$4,388.11. A decisive break beyond either edge often marks the next move.

Volume. The latest session traded 1.5× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.

Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.

Business Overview
Research

AutoZone (AZO) is a large-cap company in the Automotive Retail industry, part of the Consumer Discretionary sector of the S&P 500, with a market value around $50.03B.

In its latest reported year it generated about $18.94B in revenue and $2.50B in net profit.

Our model rates AZO Neutral (50/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.

Revenue Growth
Research

4Y CAGR

6.7%

Revenue moved from $14.63B in 2021 to $18.94B in 2025, a 6.7% compound annual growth rate. The most recent year grew a steady 5.7% year over year. Slower, mature growth is common for established businesses.

Profitability
Research

Gross Margin

52.6%

Operating Margin

19.1%

Net Margin

13.2%

ROE

249.3%

AutoZone keeps about 12.4% of each sales dollar as net profit, with a 52.6% gross margin and 19.1% operating margin. Return on equity is 249.3% and return on invested capital about 163.0%. Margins are moderate — typical of a competitive but profitable business.

Debt Analysis
Research

Total Debt

$4.53B

Net Debt

$4.28B

Net Debt / EBITDA

1.19x

Debt / Equity

9.8x

Leverage: debt-to-equity is 9.8x, and operating profit covers interest about 11.3x, with a current ratio of 0.9x. That is elevated leverage, which raises risk if earnings or rates move against it. It carries roughly $4.53B of total debt against $253.73M of cash.

Cash Flow Analysis
Research

Operating CF

$3.12B

Free Cash Flow

$1.79B

FCF Margin

9.5%

In the latest year AutoZone produced about $3.12B of operating cash flow and $1.79B of free cash flow after capital spending. That is a free-cash-flow yield of about 5.1% on today's price. Strong cash generation funds dividends, buybacks, and reinvestment.

Valuation Analysis
Research

P/E

20.16x

P/S

2.69x

P/B

37.34x

EV / EBITDA

13.1x

AZO trades at 20.2x trailing earnings (about 20.5x on estimated forward earnings), 2.7x sales, and 37.3x book value. Reverse-engineering today's price implies the market expects roughly 5.2% long-term free-cash-flow growth. That is a fairly typical valuation for a profitable company.

Metrics vs. Typical Range

Where this stock sits versus what most companies trade at.

TTM P/E
20.2xFair
Forward P/E
20.5xFair
P/S ratio
2.7xExpensive
Revenue growth
5.7%Average
EPS growth
-1.7%Weak
Gross margin
52.6%Strong
Net margin
12.4%Strong
ROE
249.3%Strong

Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.

Sector Peer Comparison

How AZO stacks up against its Consumer Discretionary peers — valuation, profitability, and growth versus the sector median.

In the Consumer Discretionary sector (48 S&P 500 companies), AZO ranks #27 of 48 by our overall rating. It trades at a discount versus the sector on earnings (20.2x P/E vs. 23.7x median) with a higher return on equity (249.3% vs. 39.2%) and slower revenue growth (5.7% vs. 6.2%).

P/E vs sector

20.2x

median 23.7x

ROE vs sector

249.3%

median 39.2%

Growth vs sector

5.7%

median 6.2%

Sector rank

#27

of 48 by rating

CompanyP/ERev Gr.Rating
AZOThis stock20.2x5.7%Neutral· 50
ORLY27.8x7.9%Neutral· 42
CVNA50.7x51.7%Neutral· 54
EBAY24x12.5%Favorable· 63
GRMN26.1x15.7%Favorable· 68
DHI14x-5.6%Neutral· 47
F3.8%Weak· 22
YUM23.6x9.7%Favorable· 63
Consumer Discretionary median23.7x6.2%54/100

Valuation vs. quality map

sector medianORLYCVNAEBAYGRMNDHIYUMAZOP/E — cheaper ←→ pricierROE — more profitable ↑

The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.

Compare side by side

Peers are the closest Consumer Discretionary companies by sub-industry and size. Sector median is across all 48 S&P 500 names in the sector. Educational, not a recommendation.

5-Year Projection Model

Project revenue → earnings → price. Edit the assumptions to build your own case.

2030 price target (Base Case)

$2,421.82$4,036.37

vs. $2,949.06 today · expected CAGR -4%6%

Metric20262027202820292030
Revenue$20.08B$21.28B$22.56B$23.91B$25.34B
Net income$2.61B$2.77B$2.93B$3.11B$3.29B
EPS$159.86$169.45$179.62$190.39$201.82
Share price (low)$1,918.31$2,033.41$2,155.41$2,284.74$2,421.82
Share price (high)$3,197.18$3,389.01$3,592.35$3,807.89$4,036.37
CAGR (low–high)-35% / 8%-17% / 7%-10% / 7%-6% / 7%-4% / 6%

Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.

Bull Case

The case for AZO:

  • Strong return on equity (249.3%) shows capital is put to work well.
  • Healthy free-cash-flow yield (~5.1%) funds buybacks and dividends.
Bear Case

The case against AZO:

  • Elevated leverage (debt/equity 9.8x) adds financial risk.
  • Like any single stock, it is exposed to competition, the economic cycle, and shifts in its end markets.
Key Risks
Research

Balance-sheet risk — debt/equity of 9.8x magnifies the impact of higher rates or weaker earnings.

Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.

Investment Thesis
Research

On balance, the picture is mixed: AutoZone is a large-cap consumer discretionary business growing at a mature pace, with solid profitability, and a heavier debt load to watch. It trades at 20.2x earnings, which our model scores Neutral (50/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.

Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.

Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.