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AutoZone (NYSE:AZO) GF Value Rank

: 3 (As of Today)
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AutoZone has the GF Value Rank of 3.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.


Competitive Comparison

For the Specialty Retail subindustry, AutoZone's GF Value Rank, along with its competitors' market caps and GF Value Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

   

AutoZone GF Value Rank Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, AutoZone's GF Value Rank distribution charts can be found below:

* The bar in red indicates where AutoZone's GF Value Rank falls in comparison to its industry or sector. The grey bar indicates the GF Value Rank's extreme value range as defined by GuruFocus.



AutoZone GF Value Rank Related Terms

Thank you for viewing the detailed overview of AutoZone's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


AutoZone (NYSE:AZO) Business Description

AutoZone logo
Traded in Other Exchanges
Address
123 South Front Street, Memphis, TN, USA, 38103
AutoZone is the premier seller of aftermarket automotive parts, tools, and accessories to do-it-yourself customers in the United States. The company derives an increasing proportion of its sales from domestic commercial customers, although its presence in its home market is still dominated by its do-it-yourself operation, which accounts for around 70% of sales in country. AutoZone also has a growing presence in Mexico and Brazil. AutoZone had 6,943 stores in the U.S. (6,168), Mexico (703), and Brazil (72) as of the end of fiscal 2022.
Executives
Brian Hannasch director 123 FRONT STREET, MEMPHIS TN 38103
Michael A George director
John Scott Murphy officer: Vice President, Controller 123 FRONT STREET, MEMPHIS TN 38103
Dennis W. Leriche officer: Sr. Vice President 123 FRONT STREET, MEMPHIS TN 38103
Grant E. Mcgee officer: Sr. Vice President 123 FRONT STREET, MEMPHIS TN 38103
K. Michelle Borninkhof officer: Senior Vice President & CIO 123 FRONT STREET, MEMPHIS TN 38103
Eric S. Gould officer: Sr. Vice President 123 SOUTH FRONT STREET, MEMPHIS TN 38103
Seong K. Ohm officer: Sr. Vice President 123 SOUTH FRONT STREET, MEMPHIS TN 38103
Jamere Jackson officer: Executive V.P. & CFO Elect C/O NIELSEN 85 BROAD ST., NEW YORK NY 10004
Preston Frazer officer: Sr. Vice President 123 SOUTH FRONT ST, MEMPHIS TN 38103
Michael M Calbert director C/O DOLLAR GENERAL CORPORATION, 100 MISSION RIDGE, GOODLETTSVILLE TN 37072
Mitchell C. Major officer: Sr. Vice President 123 SOUTH FRONT STREET, MEMPHIS TN 38103
Domingo Hurtado officer: Sr. Vice President 123 SOUTH FRONT STREET, MEMPHIS TN 38103
Gale V. King director 123 SOUTH FRONT STREET, MEMPHIS TN 38103
Jill A. Soltau director 123 SOUTH FRONT STREET, MEMPHIS TN 38103

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