Jefferies analyst Bret Jordan maintains $AutoZone (AZO.US)$ with a buy rating, and maintains the target price at $3,500.
According to TipRanks data, the analyst has a success rate of 63.5% and a total average return of 10.5% over the past year.
Furthermore, according to the comprehensive report, the opinions of $AutoZone (AZO.US)$'s main analysts recently are as follows:
AutoZone's Q4 results have not significantly altered the positive outlook for the company, which is supported by the expectation that it can maintain mid-single digit growth in operating income. This growth is further bolstered by a comparable decrease in the number of shares outstanding, thereby potentially leading to double-digit growth in earnings per share.
Despite revisions in estimates, the underlying fundamentals remain largely unaltered, indicating that the stock is reasonably valued for a company well-situated within a defensive sector anticipated to return to standard top-line growth over time. AutoZone is seen as a strong compounding entity capable of further market share acquisition within the domestic market.
AutoZone's fiscal Q4 results came in below expectations on both revenue and earnings. It is indicated that the auto parts retail sector is experiencing a dip in demand, as budget-conscious lower-income consumers are postponing major auto maintenance and reducing discretionary do-it-yourself expenditures. Nevertheless, it is believed that with the recalibration of expectations, AutoZone is positioned for a resurgence in earnings growth by fiscal 2026.
Note:
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