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AutoZone (AZO) Dips More Than Broader Markets: What You Should Know
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AutoZone (AZO - Free Report) closed the most recent trading day at $1,924.60, moving -1.26% from the previous trading session. This change lagged the S&P 500's 0.38% loss on the day. At the same time, the Dow lost 0.5%, and the tech-heavy Nasdaq lost 0.05%.
Coming into today, shares of the auto parts retailer had lost 4.15% in the past month. In that same time, the Retail-Wholesale sector lost 6.47%, while the S&P 500 lost 6.25%.
Investors will be hoping for strength from AutoZone as it approaches its next earnings release. On that day, AutoZone is projected to report earnings of $17.80 per share, which would represent year-over-year growth of 19.22%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.16 billion, up 8.56% from the year-ago period.
AZO's full-year Zacks Consensus Estimates are calling for earnings of $107.29 per share and revenue of $15.54 billion. These results would represent year-over-year changes of +12.71% and +6.21%, respectively.
It is also important to note the recent changes to analyst estimates for AutoZone. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.11% lower. AutoZone is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, AutoZone currently has a Forward P/E ratio of 18.17. Its industry sports an average Forward P/E of 17.44, so we one might conclude that AutoZone is trading at a premium comparatively.
Meanwhile, AZO's PEG ratio is currently 1.64. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Retail and Wholesale - Parts industry currently had an average PEG ratio of 1.33 as of yesterday's close.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 69, putting it in the top 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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AutoZone (AZO) Dips More Than Broader Markets: What You Should Know
AutoZone (AZO - Free Report) closed the most recent trading day at $1,924.60, moving -1.26% from the previous trading session. This change lagged the S&P 500's 0.38% loss on the day. At the same time, the Dow lost 0.5%, and the tech-heavy Nasdaq lost 0.05%.
Coming into today, shares of the auto parts retailer had lost 4.15% in the past month. In that same time, the Retail-Wholesale sector lost 6.47%, while the S&P 500 lost 6.25%.
Investors will be hoping for strength from AutoZone as it approaches its next earnings release. On that day, AutoZone is projected to report earnings of $17.80 per share, which would represent year-over-year growth of 19.22%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.16 billion, up 8.56% from the year-ago period.
AZO's full-year Zacks Consensus Estimates are calling for earnings of $107.29 per share and revenue of $15.54 billion. These results would represent year-over-year changes of +12.71% and +6.21%, respectively.
It is also important to note the recent changes to analyst estimates for AutoZone. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 0.11% lower. AutoZone is holding a Zacks Rank of #3 (Hold) right now.
Digging into valuation, AutoZone currently has a Forward P/E ratio of 18.17. Its industry sports an average Forward P/E of 17.44, so we one might conclude that AutoZone is trading at a premium comparatively.
Meanwhile, AZO's PEG ratio is currently 1.64. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Automotive - Retail and Wholesale - Parts industry currently had an average PEG ratio of 1.33 as of yesterday's close.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 69, putting it in the top 28% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.