- AutoZone’s comparable sales increased by 5.5%, which is less than the estimated 5.93% growth.
- Domestic comparable sales rose by 4.8%, slightly underperforming the 4.94% estimation.
- International comparable sales showed a strong growth of 11.2%, surpassing the 10.4% estimate.
- Earnings per share (EPS) came in at $31.04, lower than the estimated $32.33 and last year’s $32.52.
- Net sales reached $4.63 billion, achieving an 8.2% year-over-year increase, just shy of the $4.64 billion estimate.
- Domestic commercial sales were $1.29 billion, exceeding the $1.27 billion estimate and growing 15% year-over-year.
- Operating profit was $784.2 million, falling 6.8% year-over-year and missing the $816.3 million estimate.
- Gross margin was 51%, slightly above the 50.8% estimate, but below last year’s 53%.
- Inventory levels increased by 13.9%, higher than both the 8.7% from last year and the 11.7% estimate.
- Total location count is 7,710, a 0.7% quarterly increase, in line with the 7,701 estimate.
- Retail space expanded by 4.9% to 52.22 million square feet, slightly above the 52.17 million square feet estimate.
- Capital spending was $314.2 million, a reversal from a negative $247.0 million last year, higher than the estimated negative $281 million.
- Analysts’ opinions consist of 27 buys, 2 holds, and 1 sell recommendation.
Autozone Inc on Smartkarma
Analyst coverage of AutoZone Inc on Smartkarma reveals contrasting sentiments from top independent analysts. Baptista Research‘s recent insight titled “AutoZone Exec Dumps $12 Million in Stock—Is A Crash Coming?” highlights concerns over a high-profile insider transaction coinciding with the company’s fifth consecutive earnings miss. Vice President and Controller, Scott Murphy’s sale of 2,860 shares for approximately $12 million raised eyebrows, especially after an $80 million LIFO charge impacted profitability. This report suggests potential turbulence ahead for AutoZone.
On a more optimistic note, Baptista Research also published a report titled “AutoZone Inc.: Store Network Expansion Strategy to Strengthen Distribution & Capitalizing On Market Opportunities!” focusing on AutoZone’s fourth-quarter and full-year 2025 results. Despite facing economic challenges, the company posted total sales of $6.2 billion in the quarter, with a modest 0.6% growth compared to the prior 17-week period. Adjusting for the extra week from the previous year, sales surged by 6.9%, indicating a resilient underlying performance and a strategic expansion vision to reinforce distribution channels and seize market opportunities.
A look at Autozone Inc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
AutoZone, Inc. is showing a promising long-term outlook according to Smartkarma Smart Scores. With a strong score in Growth, Resilience, and Momentum, the company seems to be well-positioned for future success. The Growth score indicates that AutoZone is on a path for expansion and development, while the Resilience score suggests that it has the ability to weather economic challenges. Furthermore, the Momentum score implies that there is positive market momentum behind the company.
Although AutoZone has a low score in Value and Dividend, the overall outlook remains positive given its high scores in other key factors. As a specialty retailer of automotive replacement parts and accessories operating in the United States, Puerto Rico, and Mexico, AutoZone, Inc. appears to have a solid foundation for long-term growth and success in the industry.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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