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AutoZone's (AZO) Q3 Earnings Miss Estimates, Rise Y/Y
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AutoZone, Inc. (AZO - Free Report) is one of the nation’s leading specialty retailers of automotive replacement parts and accessories, operating in the Do-It-Yourself (“DIY”) retail, Do-It-for-Me (“DIFM”) commercial and other customer markets. The company is focused on increasing sales through store expansion and boosting earnings per share via an aggressive share repurchase program.
However, AutoZone has been facing challenges in terms higher expenses related to opening new distribution centers and increasing the frequency of delivery to stores. Currency headwinds also pose a challenge.
Estimate Trend & Surprise History
Investors should note that the third quarter of fiscal 2016 (ended May 7, 2016) earnings estimates for AutoZone have inched up by a cent over the past week.
Meanwhile, the company delivered a positive earnings surprise of 2.20% in the second quarter of fiscal 2016. It also recorded positive earnings surprises in each of the trailing four quarters with an average beat of around 13.43%. Investors have been eagerly awaiting AutoZone’s latest earnings report to see whether it delivers an earnings beat in the third quarter.
Zacks Rank
AutoZone currently has a Zacks Rank #2 (Buy), but that could change following its earnings report which was just released. We have highlighted some of the key stats from the company’s earnings announcement below:
Earnings Miss Estimates, Up Y/Y
AutoZone reported earnings of $10.77 per share in the third quarter of fiscal 2016, missing the Zacks Consensus Estimate of $10.96 by a wide margin. Earnings were significantly higher than $9.57 generated in the year-ago quarter.
Revenues Miss, Rise Y/Y
AutoZone logged revenues of $2.59 billion, missing the Zacks Consensus Estimate of $2.65 billion. However, revenues were 4% higher than $2.49 billion posted a year-ago.
Key Stats/Developments to Note
AutoZone opened 33 stores in the U.S., 7 stores in Mexico, and 1 Interamerican Motor Corporation (“IMC”) branch during the quarter. Additionally, it relocated 1 store in the U.S. As of May 7, 2016, the company had 5,226 stores in 50 states, the District of Columbia and Puerto Rico in the U.S., 458 stores in Mexico, 8 stores in Brazil and 25 IMC branches. Thus, the total store count was 5,717 as of that date.
Market Reaction
AutoZone’s shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on AutoZone’s earnings report!
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AutoZone's (AZO) Q3 Earnings Miss Estimates, Rise Y/Y
AutoZone, Inc. (AZO - Free Report) is one of the nation’s leading specialty retailers of automotive replacement parts and accessories, operating in the Do-It-Yourself (“DIY”) retail, Do-It-for-Me (“DIFM”) commercial and other customer markets. The company is focused on increasing sales through store expansion and boosting earnings per share via an aggressive share repurchase program.
However, AutoZone has been facing challenges in terms higher expenses related to opening new distribution centers and increasing the frequency of delivery to stores. Currency headwinds also pose a challenge.
Estimate Trend & Surprise History
Investors should note that the third quarter of fiscal 2016 (ended May 7, 2016) earnings estimates for AutoZone have inched up by a cent over the past week.
Meanwhile, the company delivered a positive earnings surprise of 2.20% in the second quarter of fiscal 2016. It also recorded positive earnings surprises in each of the trailing four quarters with an average beat of around 13.43%. Investors have been eagerly awaiting AutoZone’s latest earnings report to see whether it delivers an earnings beat in the third quarter.
Zacks Rank
AutoZone currently has a Zacks Rank #2 (Buy), but that could change following its earnings report which was just released. We have highlighted some of the key stats from the company’s earnings announcement below:
Earnings Miss Estimates, Up Y/Y
AutoZone reported earnings of $10.77 per share in the third quarter of fiscal 2016, missing the Zacks Consensus Estimate of $10.96 by a wide margin. Earnings were significantly higher than $9.57 generated in the year-ago quarter.
Revenues Miss, Rise Y/Y
AutoZone logged revenues of $2.59 billion, missing the Zacks Consensus Estimate of $2.65 billion. However, revenues were 4% higher than $2.49 billion posted a year-ago.
Key Stats/Developments to Note
AutoZone opened 33 stores in the U.S., 7 stores in Mexico, and 1 Interamerican Motor Corporation (“IMC”) branch during the quarter. Additionally, it relocated 1 store in the U.S. As of May 7, 2016, the company had 5,226 stores in 50 states, the District of Columbia and Puerto Rico in the U.S., 458 stores in Mexico, 8 stores in Brazil and 25 IMC branches. Thus, the total store count was 5,717 as of that date.
Market Reaction
AutoZone’s shares were inactive following the release. It would be interesting to see how the market reacts to the results during the trading session today.
Check back later for our full write up on AutoZone’s earnings report!
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>