AUTOZONE INC (AZO) Fundamental Analysis & Valuation

NYSE:AZO • US0533321024

3686.46 USD
-30.54 (-0.82%)
Last: Mar 5, 2026, 10:53 AM
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This AZO fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

Fundamental Rating

5

Overall AZO gets a fundamental rating of 5 out of 10. We evaluated AZO against 123 industry peers in the Specialty Retail industry. AZO scores excellent on profitability, but there are some minor concerns on its financial health. AZO is not valued too expensively and it also shows a decent growth rate.


Dividend Valuation Growth Profitability Health

8

1. AZO Profitability Analysis

1.1 Basic Checks

  • In the past year AZO was profitable.
  • AZO had a positive operating cash flow in the past year.
  • In the past 5 years AZO has always been profitable.
  • Each year in the past 5 years AZO 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 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B

1.2 Ratios

  • With an excellent Return On Assets value of 12.53%, AZO belongs to the best of the industry, outperforming 88.62% of the companies in the same industry.
  • AZO's Return On Invested Capital of 28.76% is amongst the best of the industry. AZO outperforms 95.94% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for AZO is significantly above the industry average of 13.62%.
  • The last Return On Invested Capital (28.76%) for AZO is well below the 3 year average (34.01%), which needs to be investigated, but indicates that AZO had better years and this may not be a problem.
Industry RankSector Rank
ROA 12.53%
ROE N/A
ROIC 28.76%
ROA(3y)14.74%
ROA(5y)15.02%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)34.01%
ROIC(5y)34.88%
AZO Yearly ROA, ROE, ROICAZO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 -50 -100 -150

1.3 Margins

  • AZO has a Profit Margin of 12.78%. This is amongst the best in the industry. AZO outperforms 94.31% of its industry peers.
  • AZO's Profit Margin has been stable in the last couple of years.
  • AZO's Operating Margin of 18.42% is amongst the best of the industry. AZO outperforms 95.94% of its industry peers.
  • In the last couple of years the Operating Margin of AZO has remained more or less at the same level.
  • With an excellent Gross Margin value of 52.15%, AZO belongs to the best of the industry, outperforming 80.49% of the companies in the same industry.
  • In the last couple of years the Gross Margin of AZO has remained more or less at the same level.
Industry RankSector Rank
OM 18.42%
PM (TTM) 12.78%
GM 52.15%
OM growth 3Y-1.79%
OM growth 5Y-0.76%
PM growth 3Y-4.08%
PM growth 5Y-0.78%
GM growth 3Y0.31%
GM growth 5Y-0.37%
AZO Yearly Profit, Operating, Gross MarginsAZO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

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ROAROEROICOperating and Profit MarginShow most profitable peers

4

2. AZO Health Analysis

2.1 Basic Checks

  • AZO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
  • The number of shares outstanding for AZO has been reduced compared to 1 year ago.
  • The number of shares outstanding for AZO has been reduced compared to 5 years ago.
  • AZO has a better debt/assets ratio than last year.
AZO Yearly Shares OutstandingAZO Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5M 10M 15M 20M 25M
AZO Yearly Total Debt VS Total AssetsAZO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5B 10B 15B

2.2 Solvency

  • AZO has an Altman-Z score of 2.86. 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.
  • AZO has a Altman-Z score of 2.86. This is in the better half of the industry: AZO outperforms 64.23% of its industry peers.
  • AZO has a debt to FCF ratio of 4.65. This is a neutral value as AZO would need 4.65 years to pay back of all of its debts.
  • AZO's Debt to FCF ratio of 4.65 is fine compared to the rest of the industry. AZO outperforms 65.85% of its industry peers.
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 4.65
Altman-Z 2.86
ROIC/WACC3.12
WACC9.22%
AZO Yearly LT Debt VS Equity VS FCFAZO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 5B

2.3 Liquidity

  • AZO has a Current Ratio of 0.86. This is a bad value and indicates that AZO is not financially healthy enough and could expect problems in meeting its short term obligations.
  • AZO has a worse Current ratio (0.86) than 81.30% of its industry peers.
  • AZO has a Quick Ratio of 0.86. This is a bad value and indicates that AZO is not financially healthy enough and could expect problems in meeting its short term obligations.
  • Looking at the Quick ratio, with a value of 0.13, AZO is doing worse than 92.68% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 0.86
Quick Ratio 0.13
AZO Yearly Current Assets VS Current LiabilitesAZO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. AZO Growth Analysis

3.1 Past

  • AZO shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -4.25%.
  • AZO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 15.01% yearly.
  • Looking at the last year, AZO shows a small growth in Revenue. The Revenue has grown by 2.43% in the last year.
  • AZO shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.44% yearly.
EPS 1Y (TTM)-4.25%
EPS 3Y7.22%
EPS 5Y15.01%
EPS Q2Q%-2.33%
Revenue 1Y (TTM)2.43%
Revenue growth 3Y5.23%
Revenue growth 5Y8.44%
Sales Q2Q%8.15%

3.2 Future

  • AZO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.89% yearly.
  • Based on estimates for the next years, AZO will show a small growth in Revenue. The Revenue will grow by 7.30% on average per year.
EPS Next Y3.21%
EPS Next 2Y10.37%
EPS Next 3Y10.92%
EPS Next 5Y11.89%
Revenue Next Year8.47%
Revenue Next 2Y7.97%
Revenue Next 3Y7.87%
Revenue Next 5Y7.3%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
  • When comparing the Revenue 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 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10B 20B 30B
AZO Yearly EPS VS EstimatesAZO Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 100 200 300

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Find the best growth stocksShow best growing peers

4

4. AZO Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 25.83, AZO can be considered very expensive at the moment.
  • Based on the Price/Earnings ratio, AZO is valued a bit cheaper than 63.41% of the companies in the same industry.
  • AZO is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.03, which is the current average of the S&P500 Index.
  • AZO is valuated rather expensively with a Price/Forward Earnings ratio of 20.89.
  • Based on the Price/Forward Earnings ratio, AZO is valued a bit cheaper than the industry average as 62.60% of the companies are valued more expensively.
  • The average S&P500 Price/Forward Earnings ratio is at 25.11. AZO is around the same levels.
Industry RankSector Rank
PE 25.83
Fwd PE 20.89
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

  • AZO's Enterprise Value to EBITDA is on the same level as the industry average.
  • Based on the Price/Free Cash Flow ratio, AZO is valued a bit cheaper than 60.16% of the companies in the same industry.
Industry RankSector Rank
P/FCF 32.92
EV/EBITDA 16.72
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.
  • The excellent profitability rating of AZO may justify a higher PE ratio.
PEG (NY)8.04
PEG (5Y)1.72
EPS Next 2Y10.37%
EPS Next 3Y10.92%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. AZO Dividend Analysis

5.1 Amount

  • No dividends for AZO!.
Industry RankSector Rank
Dividend Yield 0%

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Find the best dividend stocksShow peers with best dividend

AZO Fundamentals: All Metrics, Ratios and Statistics

AUTOZONE INC

NYSE:AZO (3/5/2026, 10:53:57 AM)

3686.46

-30.54 (-0.82%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)03-03
Earnings (Next)05-25
Inst Owners94.75%
Inst Owner Change0.12%
Ins Owners0.23%
Ins Owner Change0.39%
Market Cap61.08B
Revenue(TTM)18.94B
Net Income(TTM)2.46B
Analysts80.61
Price Target4330.5 (17.47%)
Short Float %1.94%
Short Ratio1.94
Dividend
Industry RankSector Rank
Dividend Yield 0%
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)-5.26%
Min EPS beat(2)-5.46%
Max EPS beat(2)-5.06%
EPS beat(4)0
Avg EPS beat(4)-4.99%
Min EPS beat(4)-5.67%
Max EPS beat(4)-3.76%
EPS beat(8)2
Avg EPS beat(8)-2.33%
EPS beat(12)6
Avg EPS beat(12)0.38%
EPS beat(16)10
Avg EPS beat(16)3.19%
Revenue beat(2)0
Avg Revenue beat(2)-1.09%
Min Revenue beat(2)-1.16%
Max Revenue beat(2)-1.02%
Revenue beat(4)1
Avg Revenue beat(4)-0.6%
Min Revenue beat(4)-1.72%
Max Revenue beat(4)1.49%
Revenue beat(8)1
Avg Revenue beat(8)-1%
Revenue beat(12)3
Avg Revenue beat(12)-0.66%
Revenue beat(16)7
Avg Revenue beat(16)0.34%
PT rev (1m)-1.3%
PT rev (3m)-7.05%
EPS NQ rev (1m)0.08%
EPS NQ rev (3m)-6.26%
EPS NY rev (1m)-0.66%
EPS NY rev (3m)-3.99%
Revenue NQ rev (1m)-0.02%
Revenue NQ rev (3m)0.65%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.53%
Valuation
Industry RankSector Rank
PE 25.83
Fwd PE 20.89
P/S 3.17
P/FCF 32.92
P/OCF 18.8
P/B N/A
P/tB N/A
EV/EBITDA 16.72
EPS(TTM)142.74
EY3.87%
EPS(NY)176.49
Fwd EY4.79%
FCF(TTM)111.97
FCFY3.04%
OCF(TTM)196.12
OCFY5.32%
SpS1164.01
BVpS-194.85
TBVpS-213.11
PEG (NY)8.04
PEG (5Y)1.72
Graham NumberN/A
Profitability
Industry RankSector Rank
ROA 12.53%
ROE N/A
ROCE 36.07%
ROIC 28.76%
ROICexc 29.63%
ROICexgc 30.59%
OM 18.42%
PM (TTM) 12.78%
GM 52.15%
FCFM 9.62%
ROA(3y)14.74%
ROA(5y)15.02%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)34.01%
ROIC(5y)34.88%
ROICexc(3y)35.2%
ROICexc(5y)37.22%
ROICexgc(3y)36.57%
ROICexgc(5y)38.86%
ROCE(3y)42.65%
ROCE(5y)43.74%
ROICexgc growth 3Y-9.99%
ROICexgc growth 5Y-1.06%
ROICexc growth 3Y-9.5%
ROICexc growth 5Y-0.73%
OM growth 3Y-1.79%
OM growth 5Y-0.76%
PM growth 3Y-4.08%
PM growth 5Y-0.78%
GM growth 3Y0.31%
GM growth 5Y-0.37%
F-Score6
Asset Turnover0.98
Health
Industry RankSector Rank
Debt/Equity N/A
Debt/FCF 4.65
Debt/EBITDA 2.06
Cap/Depr 221.96%
Cap/Sales 7.23%
Interest Coverage 250
Cash Conversion 77.72%
Profit Quality 75.29%
Current Ratio 0.86
Quick Ratio 0.13
Altman-Z 2.86
F-Score6
WACC9.22%
ROIC/WACC3.12
Cap/Depr(3y)190.56%
Cap/Depr(5y)175.25%
Cap/Sales(3y)5.79%
Cap/Sales(5y)5.15%
Profit Quality(3y)76.33%
Profit Quality(5y)93.39%
High Growth Momentum
Growth
EPS 1Y (TTM)-4.25%
EPS 3Y7.22%
EPS 5Y15.01%
EPS Q2Q%-2.33%
EPS Next Y3.21%
EPS Next 2Y10.37%
EPS Next 3Y10.92%
EPS Next 5Y11.89%
Revenue 1Y (TTM)2.43%
Revenue growth 3Y5.23%
Revenue growth 5Y8.44%
Sales Q2Q%8.15%
Revenue Next Year8.47%
Revenue Next 2Y7.97%
Revenue Next 3Y7.87%
Revenue Next 5Y7.3%
EBIT growth 1Y-6.03%
EBIT growth 3Y3.35%
EBIT growth 5Y7.61%
EBIT Next Year18.47%
EBIT Next 3Y12.37%
EBIT Next 5Y9.76%
FCF growth 1Y-9.93%
FCF growth 3Y-10.99%
FCF growth 5Y-4.58%
OCF growth 1Y9.14%
OCF growth 3Y-0.98%
OCF growth 5Y2.76%

AUTOZONE INC / AZO FAQ

What is the fundamental rating for AZO stock?

ChartMill assigns a fundamental rating of 5 / 10 to AZO.


Can you provide the valuation status for AUTOZONE INC?

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 25.83 and the Price/Book (PB) ratio is -18.92.


How financially healthy is AUTOZONE INC?

The financial health rating of AUTOZONE INC (AZO) is 4 / 10.