AutoZone, Inc. (AZO) is a Auto - Parts company in the Consumer Cyclical sector, currently trading at $3,508.50. It has a SharesGrow Score of 67/100, indicating a above average investment profile with 4 out of 7 criteria passed.
SharesGrow calculates the intrinsic value of AZO = $5,985.31 (+70.6% from the current price, the stock appears undervalued). Analyst consensus target is AZO = $4,229 (+20.5% upside).
Valuation: AZO trades at a trailing Price-to-Earnings (P/E) of 23.8 (S&P 500 average ~25) with a forward Price/Earnings-to-Growth (PEG) of 1.35.
Financials: revenue is $18.9B, +5.3%/yr average growth. Net income is $2.5B, growing at +1.1%/yr. Net profit margin is 13.2% (healthy). Gross margin is 52.6% (+0.5 pp trend).
Balance sheet: total debt is $12.3B with negative equity of -$3.4B — this means total liabilities exceed total assets. This is a warning sign that may indicate accumulated losses, aggressive share buybacks, heavy debt financing, or aggressive dividend payouts. Companies like McDonald's and Starbucks also carry negative equity due to buybacks and dividends, but investors should assess whether the business generates sufficient cash flow to service its debt and sustain payouts. Current ratio is 0.88 (tight liquidity). Debt-to-assets is 63.5%. Total assets: $19.4B.
Analyst outlook: 33 / 45 analysts rate AZO as buy (73%) — strong consensus.
SharesGrow 7-Criteria breakdown: Value 73/100 (Pass), Growth 55/100 (Partial), Past 100/100 (Pass), Health 25/100 (Fail), Moat 80/100 (Pass), Future 79/100 (Pass), Income 55/100 (Partial).
