Founded in 1979, AutoZone is the largest US-based retailer of aftermarket automotive parts and accessories, operating over 7,600 stores and generating roughly $18.9 billion in fiscal 2025 sales. Beyond its primary home market (88% of total revenue), the company also maintains a growing presence in Mexico and Brazil.
It is a $47.5B consumer company. Revenue grew 7.4% over the last year, it keeps 13¢ of every dollar of sales as profit, and its net debt equals ~11.2 years of free cash flow. It trades at 18.7× earnings — in the cheapest third of its own history.
- Website
- autozone.com
- Location
- Memphis, TN
- Employees
- 130 000
- Sector
- Consumer Cyclical
- Founded
- 1979
Skills
Six independent scores, 0–100, built from reported numbers and valuation history. Click a row to see how it was scored.
Strong profitability and moat; Growth and Health lag behind.
Valuation65
- P/E vs own history29th pct · 20/25
- FCF yield2.4% · 5/25
- P/S2.4x · 20/25
- EV/EBITDA13.3x · 20/25
Growth42
- Revenue CAGR5.8% · 12/25
- Net income CAGR1.4% · 6/25
- EPS CAGR ~5Y9.9% · 12/25
- Fwd implied growth8.3% · 12/25
Profitability90
- ROIC25.6% · 25/25
- ROE249.3% · 25/25
- Net margin12.6% · 20/25
- Operating margin18.3% · 20/25
Health42
- Altman Z2.68 · 18/25
- Current ratio0.89 · 6/25
- Interest coverage7.9x · 18/25
- Net cash / debtD/A 58% · 0/25
Quality70
- Piotroski F4/9 · 10/25
- Beneish M-2.26 · 20/25
- FCF conversion66% · 15/25
- Margin stabilityσ 1.4% · 25/25
Moat95
- ROIC >12% years11/11 yrs · 25/25
- Median gross margin52.7% · 20/25
- FCF-positive years10/10 yrs · 25/25
- Worst-year net marginworst 11.7% · 25/25
Experience
The company's career so far — founding, the IPO, landmark products and acquisitions, plus revenue milestones and insider buying.
- FY2024FinancialBest year on record$2.66B net income
- 2023MilestoneAfter years functioning as a shared services center, DataZone was renamed to AutoZone Business and…
- FY2016FinancialProfitable every year on record11 consecutive profitable years in our data
- FY2016FinancialRevenue already above $10B$10.6B in first reported year
- 2014AcquisitionThe company acquired Interamerican Motor Corporation, a distributor of imported replacement parts
- 2012AcquisitionAutoZone purchased AutoAnything.com, an e-commerce leader in aftermarket automotive parts based in…
- 2004AcquisitionAutoZone acquired 12 stores from ABC Discount Auto Parts, an auto parts chain headquartered in Cherry…
- 2003ProductThe Duralast tool line was introduced
- 1996ProductThe company launched its website
- 1986MilestoneAuto Shack was spun off from Malone & Hyde, with Hyde and Formanek remaining in charge
- 1984AcquisitionMalone & Hyde was acquired in a management buyout that included Hyde, investment firm Kohlberg Kravis…
- 1979FoundedFounded in 1979, AutoZone has 7,140 stores across the United States, Mexico, Puerto Rico, Brazil
- 1979MilestoneAutoZone, Inc., doing business as AutoZone (and formerly known as Auto Shack from 1979 to 1987), is an American…
Achievements
Verifiable track record, straight from the reported numbers.
Strengths & watch-outs
What a bull and a bear would each point to. Both lists come from the reported numbers, not opinions.
Strengths
- High gross margin (52.3%)
- Interest covered 7.9× by operating earnings
- High returns on invested capital (ROIC 25.6%)
Watch-outs
- Net debt would take ~7.7 years of free cash flow to repay
- Net debt equals ~11.2 years of free cash flow
Qualifications
The basics a company should meet before you research it further. Each check uses the reported numbers.
- Revenue growing — the company sells more than a year ago+7.4% YoY
- Profitable — makes more than it spends$2.57B TTM
- Profit growing — earnings are higher than last year+4.8% YoY
- Generates cash — cash left after running and investing$1.12B TTM
- Debt under control — could handle its obligations~11.2y of cash flow to repay
- Established company — not a micro-cap — lower blow-up risk$47.5B market cap
- Not printing shares — share count not ballooning — you keep your slice-26.0% shares over ~5y
- Proven track record — years of profitability behind it11/11 profitable years
- Financially stable — balance sheet not near distressAltman Z 2.7 — grey
- Pays a dividend — returns cash to shareholdersno data
- Valuation not extreme — price not wildly above earningsP/E 18.7
Peer comparisonAutoZone, Inc. vs 6 largest consumer cyclical peers — cap, P/E, growth and margin side by sideOpen ▾Close ▴
| Company | Market cap | P/E | Revenue growth | Net margin | Profile |
|---|---|---|---|---|---|
| AZO this company | $47.5B | 18.7 | +7.4% | 12.6% | Mixed |
| AMZN Amazon.Com Inc | $2.8T | 20.9 | +15.8% | 17.4% | Mixed |
| TSLA Tesla, Inc. | $1.5T | 397.1 | +11.8% | 3.7% | Strong |
| NFLX NetFlix Inc | $292.8B | 21.4 | +16.0% | 28.2% | Solid |
| HD Home Depot, Inc. | $290.4B | 20.4 | -16.0% | 8.7% | Solid |
| DIS The Walt Disney Company | $186.5B | 21.7 | +4.6% | 8.7% | Solid |
| MCD McDonald's Corporation | $166.9B | 18.9 | +6.3% | 31.7% | Strained |
Head-to-head: AZO vs AMZN · AZO vs TSLA · AZO vs NFLX
References
What covering analysts publish about the company — information only, not a recommendation.
Appendix · Financial records
The full statements behind this CV, FY2016–FY2026. For readers who want to check the numbers.
Live data and quarterly detail: stockcv.com/AZO
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Deeper analysis of AZO on PreMarketPriceFigures are derived from company filings (quarterly values normalised from as-filed year-to-date data where applicable) and may be delayed, restated or incomplete. This page is information, not investment advice. Latest price $2 936.00 · market cap $47.5B.