Raymond James Reaffirms Strong Buy Rating for AutoZone, Adjusts Price Target to $4800
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Sep 24 2025
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Should l Buy AZO?
Source: Benzinga
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Analyst Views on AZO
Wall Street analysts forecast AZO stock price to rise
19 Analyst Rating
16 Buy
3 Hold
0 Sell
Strong Buy
Current: 3755.580
Low
3550
Averages
4225
High
4800
Current: 3755.580
Low
3550
Averages
4225
High
4800
About AZO
AutoZone, Inc. is a retailer and distributor of automotive replacement parts and accessories in the Americas. Its Auto Parts Stores segment is a retailer and distributor of automotive parts and accessories through its approximately 7,353 stores in the United States, Mexico and Brazil. Each store carries an extensive product line for cars, sport utility vehicles, vans and light duty trucks, including new and remanufactured automotive hard parts, maintenance items, accessories and non-automotive products. The Company also sells automotive hard parts, maintenance items, accessories and non-automotive products through www.autozone.com, and its commercial customers can make purchases through www.autozonepro.com. In addition, the Company sells the ALLDATA brand of automotive diagnostic, repair, collision and shop management software through www.alldata.com. It also provides product information on its Duralast branded products through www.duralastparts.com.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
AutoZone Shares Fall Following Earnings Report Due to Disappointing Sales Growth
- AutoZone's Stock Performance: Shares of AutoZone experienced a significant decline on Tuesday.
- Quarterly Sales Report: The drop in stock price followed the company's report of weaker-than-expected quarterly sales growth.
See More
AutoZone Set to Announce Q2 Earnings on March 3rd
- Earnings Announcement: AutoZone is set to release its Q2 earnings report for fiscal 2026 on March 3rd before market open, with consensus estimates predicting an EPS of $27.41 and revenue of $4.31 billion, reflecting a 9.1% year-over-year growth.
- Historical Performance: Over the past two years, AutoZone has exceeded EPS estimates 63% of the time and revenue estimates 38% of the time, indicating a degree of stability in its profitability.
- Estimate Revision Trends: In the last three months, there have been no upward revisions to EPS estimates, with 18 downward adjustments, while revenue estimates saw 14 upward revisions and 4 downward adjustments, highlighting market divergence regarding the company's future performance.
- Future Growth Plans: AutoZone plans to accelerate store growth in fiscal 2026 with over 350 new openings and a capital expenditure investment of $1.6 billion, demonstrating the company's confidence in expanding its market presence.
See More
AutoZone Q1 2026 Earnings Beat Expectations
- Earnings Performance Exceeds Expectations: AutoZone reported a GAAP EPS of $27.63 for Q1 2026, surpassing market expectations by $0.34, indicating strong profitability despite a challenging market environment.
- Revenue Misses Expectations: The company's revenue for the quarter was $4.27 billion, falling short of expectations by $40 million, reflecting some sales growth pressures in the competitive auto parts market.
- Positive Market Reaction: Investors reacted positively to AutoZone's earnings beat, with the stock price experiencing a slight uptick post-earnings release, suggesting strong market confidence in the company's future growth potential.
- Optimistic Future Outlook: Despite the revenue miss, AutoZone maintains an optimistic outlook for the coming quarters, expecting to drive sales growth through ongoing product innovation and market expansion, thereby strengthening its leadership position in the auto parts industry.
See More
AutoZone Q1 Earnings Beat Expectations but Revenue Misses Target
- Earnings Highlights: AutoZone reported a GAAP EPS of $27.63 for Q1 2026, exceeding market expectations by $0.34, indicating strong profitability despite overall revenue falling short of projections.
- Revenue Analysis: The total revenue for the quarter was $4.27 billion, missing expectations by $40 million, which reflects weak domestic same-store sales and may impact investor confidence in the company's future growth.
- Market Reaction: Following the disappointing same-store sales figures, AutoZone's stock price declined, prompting investors to monitor how the company addresses market challenges to regain growth momentum, particularly in the competitive auto parts sector.
- Strategic Outlook: Despite facing short-term challenges, AutoZone must focus on optimizing inventory management and enhancing customer experience to strengthen its market competitiveness and ensure sustainable long-term growth.
See More
AutoZone Misses Revenue Estimates in Q2 Earnings Report
- Sales Growth Weakness: AutoZone reported a same-store sales increase of 5.2% for the quarter ending February 14, falling short of the 6.1% consensus estimate, indicating pressure on sales growth in a competitive market that could impact future market share.
- Gross Margin Decline: The company's gross margin decreased by 137 basis points to 52.5%, primarily due to a 138 basis point non-cash LIFO charge, reflecting increased cost pressures that may have long-term implications for profitability.
- Inventory Increase: AutoZone's inventory rose by 13.1% year-over-year, driven mainly by growth initiatives and inflation, indicating challenges in inventory management during expansion that could affect cash flow.
- New Store Openings: The company opened 43 net new stores globally in the quarter, bringing the total store count to 7,774, demonstrating a commitment to increasing market share despite performance pressures, highlighting the sustainability of its expansion strategy.
See More
AutoZone Reports Decline in Q2 Profit
- Profit Decline: AutoZone's Q2 net profit fell to $468.86 million, or $27.63 per share, down from $487.92 million and $28.29 per share last year, indicating pressure on the company's profitability.
- Revenue Growth: Despite the profit decline, the company reported an 8.1% year-over-year revenue increase to $4.274 billion, up from $3.952 billion last year, suggesting strong sales performance potentially driven by market demand.
- Performance Comparison: The decline in earnings per share by $2.33 compared to last year reflects rising costs or increased competition impacting profitability, indicating a need for strategic measures to restore growth.
- Market Reaction: While revenue growth is positive, the profit decline may negatively affect investor confidence, necessitating close attention to the company's future strategic adjustments to address profitability pressures.
See More
AutoZone Shares Fall Following Earnings Report Due to Disappointing Sales Growth
- AutoZone's Stock Performance: Shares of AutoZone experienced a significant decline on Tuesday.
- Quarterly Sales Report: The drop in stock price followed the company's report of weaker-than-expected quarterly sales growth.
See More
AutoZone Set to Announce Q2 Earnings on March 3rd
- Earnings Announcement: AutoZone is set to release its Q2 earnings report for fiscal 2026 on March 3rd before market open, with consensus estimates predicting an EPS of $27.41 and revenue of $4.31 billion, reflecting a 9.1% year-over-year growth.
- Historical Performance: Over the past two years, AutoZone has exceeded EPS estimates 63% of the time and revenue estimates 38% of the time, indicating a degree of stability in its profitability.
- Estimate Revision Trends: In the last three months, there have been no upward revisions to EPS estimates, with 18 downward adjustments, while revenue estimates saw 14 upward revisions and 4 downward adjustments, highlighting market divergence regarding the company's future performance.
- Future Growth Plans: AutoZone plans to accelerate store growth in fiscal 2026 with over 350 new openings and a capital expenditure investment of $1.6 billion, demonstrating the company's confidence in expanding its market presence.
See More
AutoZone Q1 2026 Earnings Beat Expectations
- Earnings Performance Exceeds Expectations: AutoZone reported a GAAP EPS of $27.63 for Q1 2026, surpassing market expectations by $0.34, indicating strong profitability despite a challenging market environment.
- Revenue Misses Expectations: The company's revenue for the quarter was $4.27 billion, falling short of expectations by $40 million, reflecting some sales growth pressures in the competitive auto parts market.
- Positive Market Reaction: Investors reacted positively to AutoZone's earnings beat, with the stock price experiencing a slight uptick post-earnings release, suggesting strong market confidence in the company's future growth potential.
- Optimistic Future Outlook: Despite the revenue miss, AutoZone maintains an optimistic outlook for the coming quarters, expecting to drive sales growth through ongoing product innovation and market expansion, thereby strengthening its leadership position in the auto parts industry.
See More
AutoZone Q1 Earnings Beat Expectations but Revenue Misses Target
- Earnings Highlights: AutoZone reported a GAAP EPS of $27.63 for Q1 2026, exceeding market expectations by $0.34, indicating strong profitability despite overall revenue falling short of projections.
- Revenue Analysis: The total revenue for the quarter was $4.27 billion, missing expectations by $40 million, which reflects weak domestic same-store sales and may impact investor confidence in the company's future growth.
- Market Reaction: Following the disappointing same-store sales figures, AutoZone's stock price declined, prompting investors to monitor how the company addresses market challenges to regain growth momentum, particularly in the competitive auto parts sector.
- Strategic Outlook: Despite facing short-term challenges, AutoZone must focus on optimizing inventory management and enhancing customer experience to strengthen its market competitiveness and ensure sustainable long-term growth.
See More
AutoZone Misses Revenue Estimates in Q2 Earnings Report
- Sales Growth Weakness: AutoZone reported a same-store sales increase of 5.2% for the quarter ending February 14, falling short of the 6.1% consensus estimate, indicating pressure on sales growth in a competitive market that could impact future market share.
- Gross Margin Decline: The company's gross margin decreased by 137 basis points to 52.5%, primarily due to a 138 basis point non-cash LIFO charge, reflecting increased cost pressures that may have long-term implications for profitability.
- Inventory Increase: AutoZone's inventory rose by 13.1% year-over-year, driven mainly by growth initiatives and inflation, indicating challenges in inventory management during expansion that could affect cash flow.
- New Store Openings: The company opened 43 net new stores globally in the quarter, bringing the total store count to 7,774, demonstrating a commitment to increasing market share despite performance pressures, highlighting the sustainability of its expansion strategy.
See More
AutoZone Reports Decline in Q2 Profit
- Profit Decline: AutoZone's Q2 net profit fell to $468.86 million, or $27.63 per share, down from $487.92 million and $28.29 per share last year, indicating pressure on the company's profitability.
- Revenue Growth: Despite the profit decline, the company reported an 8.1% year-over-year revenue increase to $4.274 billion, up from $3.952 billion last year, suggesting strong sales performance potentially driven by market demand.
- Performance Comparison: The decline in earnings per share by $2.33 compared to last year reflects rising costs or increased competition impacting profitability, indicating a need for strategic measures to restore growth.
- Market Reaction: While revenue growth is positive, the profit decline may negatively affect investor confidence, necessitating close attention to the company's future strategic adjustments to address profitability pressures.
See More
