Why AutoZone Shares Are Trading Higher Today

  • AutoZone Inc AZO reported third-quarter FY22 sales growth of 5.9% year-on-year, to $3.87 billion, beating the consensus of $3.71 billion.
  • EPS of $29.03 beat the analyst consensus of $26.05. 
  • Domestic same-store sales for the quarter increased 2.6%.
  • The gross margin decreased 54 basis points Y/Y to 51.91%. The operating margin was 20.1%, and operating income for the quarter fell 2.2% to $785.7 million.
  • AutoZone held $263 million in cash and equivalents as of May 7, 2022. Adjusted debt totaled $8.5 billion.
  • The company’s inventory increased 13.9% over the same period last year, primarily driven by inflation.
  • At the end of Q3, the company had $2.058 billion remaining under its current share repurchase authorization.
  • As of May 7, 2022, AutoZone had 6,115 stores in the U.S., 673 in Mexico, and 58 in Brazil, for a total store count of 6,846.
  • Price Action: AZO shares are trading higher by 4.03% at $1,878.03 on the last check Tuesday.
Posted In: Briefswhy it's movingEarningsNewsMoversTrading Ideas