AUTOZONE INC (AZO) Factsheet
AUTOZONE INC (AZO) Stock Analysis
Analysis from 10-Q filed 2025-12-19. Data as of Q2 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 29.7%. FCF margin 8.2%. D/E -3.2x. Source: 10-Q filed 2025-12-19.
| Metric | Value | Context |
|---|---|---|
| ROIC | 29.7% | Above industry average |
| FCF Margin | 8.2% | Healthy cash flow |
| Debt/Equity | -3.2x | Conservative leverage |
ROIC 29.7% — Top 5% of sector peers. FCF margin 8.2% — Top 25%.
Explore AUTOZONE INC: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for AZO: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: AUTOZONE INC earns 29.7% ROIC, Top 5% in Consumer Discretionary
ROIC TTM 29.7%, sector median 7.7%, Top 5%. DuPont: NOPAT margin 14.3% × asset turnover 1.0x. Gross margin 51.8%. Operating margin 18.0%. Source: 10-Q filed 2025-12-19.
| Metric | AZO | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 29.7% | Excellent | Above sector median of 7.7% |
| Return on Equity (ROE) | -76.7% | Red flag | Moderate equity returns |
| Gross Margin | 51.8% | Excellent | Strong pricing power |
| Operating Margin | 18.0% | Good | Efficient operations |
Cash Flow: AUTOZONE INC generates $1.6B FCF at 8.2% margin, positive NaN/8 quarters
FCF TTM $1.6B. FCF margin 8.2%, Top 25%. OCF/Net income 1.2x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-12-19.
| Metric | AZO | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 8.2% | Adequate | Healthy cash generation |
| Free Cash Flow (TTM) | $1.6B | Good | Positive cash generation |
| OCF/Net Income | 1.2x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: AUTOZONE INC at -3.2x leverage
Debt/Equity -3.2x. Total debt $9.0B, cash & investments $253.7M. Source: 10-Q filed 2025-12-19.
| Metric | AZO | Rating | Context |
|---|---|---|---|
| Debt to Equity | -3.2x | Excellent | Conservative capital structure |
| Net Cash Position | $-8.8B | Warning | Net debt position |
Valuation: AUTOZONE INC trades at 23.4x earnings
P/E 23.4x. EV/Sales 3.3x. FCF yield 2.8%. Source: 10-Q filed 2025-12-19.
| Metric | AZO | Rating | Context |
|---|---|---|---|
| P/E Ratio | 23.4x | Adequate | Premium valuation |
| EV/Sales | 3.3x | Good | Growth premium priced in |
| FCF Yield | 2.8% | Adequate | Lower cash yield |
Capital Allocation: AUTOZONE INC returns 3.0% shareholder yield
Total shareholder yield 3.0% (buyback 3.0%). Capital returned $1.8B TTM. Source: 10-Q filed 2025-12-19.
| Metric | AZO | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 3.0% | Good | Dividend + buyback yield combined |
| Buyback Yield | 3.0% | Good | Active share repurchases |
| Total Capital Returned (TTM) | $1.8B | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 29.7% | Top 5% | 3.9x above |
| Free Cash Flow Margin | 8.2% | Top 25% | 3.7x above |
| Gross Margin | 51.8% | Top 50% | 1.3x above |
| Operating Margin | 18.0% | Top 25% | 4.2x above |
| Return on Equity (ROE) | -76.7% | Top 5% | -7.2x below |
| P/E Ratio | 23.4x | N/A | - |
Financial Scorecard
| Metric | AZO | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 29.7% | Excellent | Top 5% of sector (median: 7.7%) |
| Free Cash Flow Margin | 8.2% | Adequate | Top 25% of sector (median: 2.2%) |
| Gross Margin | 51.8% | Excellent | Top 50% of sector (median: 38.7%) |
| Debt to Equity Ratio | -323.8% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 23.4x | Adequate | Fair value |
| Free Cash Flow Yield | 2.8% | Warning | Growth-focused valuation |
Frequently Asked Questions
Q: What is AUTOZONE INC's Return on Invested Capital (ROIC)?
AUTOZONE INC (AZO) has a trailing twelve-month Return on Invested Capital (ROIC) of 29.7%. Sector median 7.7%. Source: 10-Q filed 2025-12-19.
Q: What is AUTOZONE INC's Free Cash Flow Margin?
AUTOZONE INC (AZO) has a free cash flow margin of 8.2%, generating $1.6 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-12-19.
Q: What is AUTOZONE INC's P/E ratio and how does it compare to peers?
AUTOZONE INC (AZO) trades at a P/E ratio of 23.4x, which is above the sector median of N/A. EV/Sales 3.3x. FCF yield 2.8%. Source: 10-Q filed 2025-12-19.
Q: What is AUTOZONE INC's revenue and earnings growth?
AUTOZONE INC (AZO) grew revenue by 5.7% year-over-year. EPS -1.6% YoY. Source: 10-Q filed 2025-12-19.
Q: Is AUTOZONE INC buying back stock?
AUTOZONE INC (AZO) repurchased $1.8 billion of stock over the trailing twelve months. This represents a buyback yield of 3.0%. Source: 10-Q filed 2025-12-19.
Q: How does AUTOZONE INC compare to competitors in Consumer Discretionary?
Compared to other companies in Consumer Discretionary, AUTOZONE INC (AZO) shows: ROIC 29.7%, sector median 7.7% (Top 5%). FCF margin 8.2%, sector median 2.2% (Top 25%). Gross margin 51.8%, 13.0pp above sector median. These rankings are based on MetricDuck's analysis of all Consumer Discretionary companies with available SEC filings.
Q: What warning signs should I watch for with AUTOZONE INC?
Quantitative warning flags for AUTOZONE INC (AZO): 1) ROIC declining -17.2% over 8 quarters. Source: 10-Q filed 2025-12-19.
Data Source: Data sourced from 10-Q filed 2025-12-19. TTM metrics as of Q2 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.