AutoZone Inc

AZO: XNYS (USA)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
	$3,496.00	Cqgs	Ddmhtymh

AutoZone Earnings: Few Surprises as Decent Results Announced; Limited Risk-Adjusted Upside

Kristoffer Inton

Dec 6, 2023

We’re raising narrow-moat AutoZone’s fair value estimate to $2,120 per share from $2,070, mostly due to the time value of money. We saw few surprises in its first-quarter fiscal 2024, so most of our long-term forecast remains intact. We see limited risk-adjusted upside at current levels. The current price implies even better performance than the 11% average annual top-line growth or 21% midcycle operating margin we forecast.

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