AutoZone (AZO) Stock Declines While Market Improves: Some Information for Investors

AutoZone (AZO) closed the most recent trading day at $3,387.00, moving -1.49% from the previous trading session. The stock's change was less than the S&P 500's daily gain of 0.08%. On the other hand, the Dow registered a loss of 0.18%, and the technology-centric Nasdaq increased by 0.1%.

The auto parts retailer's shares have seen a decrease of 6.38% over the last month, not keeping up with the Retail-Wholesale sector's loss of 2.61% and the S&P 500's loss of 1.74%.

Market participants will be closely following the financial results of AutoZone in its upcoming release. The company's upcoming EPS is projected at $36.09, signifying a 2.06% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $4.86 billion, indicating a 8.8% growth compared to the corresponding quarter of the prior year.

For the full year, the Zacks Consensus Estimates are projecting earnings of $149.27 per share and revenue of $20.53 billion, which would represent changes of +3.04% and +8.38%, respectively, from the prior year.

It's also important for investors to be aware of any recent modifications to analyst estimates for AutoZone. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.12% upward. AutoZone is holding a Zacks Rank of #3 (Hold) right now.

In the context of valuation, AutoZone is at present trading with a Forward P/E ratio of 23.03. This valuation marks a premium compared to its industry average Forward P/E of 17.85.

We can also see that AZO currently has a PEG ratio of 1.76. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Automotive - Retail and Wholesale - Parts industry currently had an average PEG ratio of 1.43 as of yesterday's close.

The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 199, positioning it in the bottom 19% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

5 Stocks Set to Double

Each was handpicked by a Zacks expert as the favorite stock to gain +100% or more in the months ahead. They include

Stock #1: A Disruptive Force with Notable Growth and Resilience

Stock #2: Bullish Signs Signaling to Buy the Dip

Stock #3: One of the Most Compelling Investments in the Market

Stock #4: Leader In a Red-Hot Industry Poised for Growth

Stock #5: Modern Omni-Channel Platform Coiled to Spring

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor. While not all picks can be winners, previous recommendations have soared +171%, +209% and +232%.

See Our Newest 5 Stocks Set to Double Picks >>

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

AutoZone, Inc. (AZO): Free Stock Analysis Report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research