FinArc Investments Inc. Takes Position in AutoZone, Inc. $AZO

FinArc Investments Inc. bought a new stake in AutoZone, Inc. (NYSE:AZO) in the first quarter, according to its most recent Form 13F filing with the SEC. The institutional investor bought 861 shares of the company’s stock, valued at approximately $2,908,000. AutoZone accounts for about 2.8% of FinArc Investments Inc.’s investment portfolio, making the stock its 12th biggest position.

A number of other hedge funds have also recently added to or reduced their stakes in the company. Morgan Stanley boosted its holdings in shares of AutoZone by 17.8% in the fourth quarter. Morgan Stanley now owns 492,794 shares of the company’s stock valued at $1,671,323,000 after acquiring an additional 74,555 shares during the period. Price T Rowe Associates Inc. MD grew its position in shares of AutoZone by 1.9% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 387,042 shares of the company’s stock worth $1,312,654,000 after acquiring an additional 7,390 shares during the last quarter. Norges Bank acquired a new position in shares of AutoZone in the 4th quarter valued at $939,205,000. First Manhattan CO. LLC. increased its holdings in shares of AutoZone by 2.7% in the 4th quarter. First Manhattan CO. LLC. now owns 261,314 shares of the company’s stock valued at $886,246,000 after acquiring an additional 6,765 shares during the period. Finally, Northern Trust Corp increased its holdings in shares of AutoZone by 1.2% in the 3rd quarter. Northern Trust Corp now owns 189,789 shares of the company’s stock valued at $814,240,000 after acquiring an additional 2,333 shares during the period. Hedge funds and other institutional investors own 92.74% of the company’s stock.

AutoZone Stock Performance

Shares of AZO opened at $3,013.79 on Friday. The stock has a market capitalization of $49.20 billion, a P/E ratio of 20.72, a P/E/G ratio of 1.60 and a beta of 0.33. The company’s fifty day moving average is $3,077.23 and its two-hundred day moving average is $3,396.38. AutoZone, Inc. has a 1 year low of $2,902.20 and a 1 year high of $4,388.11.

AutoZone (NYSE:AZO) last announced its quarterly earnings data on Tuesday, May 26th. The company reported $38.07 EPS for the quarter, topping analysts’ consensus estimates of $36.22 by $1.85. The company had revenue of $4.84 billion during the quarter, compared to the consensus estimate of $4.86 billion. AutoZone had a net margin of 12.40% and a negative return on equity of 80.35%. AutoZone’s quarterly revenue was up 8.4% on a year-over-year basis. During the same quarter in the prior year, the firm earned $35.36 EPS. Sell-side analysts predict that AutoZone, Inc. will post 150.39 EPS for the current year.

AutoZone declared that its Board of Directors has initiated a share repurchase program on Tuesday, June 16th that allows the company to buyback $1.50 billion in shares. This buyback authorization allows the company to repurchase up to 3% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s management believes its stock is undervalued.

Analyst Ratings Changes

A number of analysts recently weighed in on AZO shares. Morgan Stanley decreased their price target on shares of AutoZone from $4,020.00 to $3,605.00 and set an “overweight” rating for the company in a research note on Wednesday, May 27th. Mizuho dropped their price objective on shares of AutoZone from $3,600.00 to $3,200.00 and set a “neutral” rating on the stock in a research note on Wednesday, May 27th. The Goldman Sachs Group reduced their target price on shares of AutoZone from $4,345.00 to $4,096.00 and set a “buy” rating for the company in a report on Wednesday, May 27th. BMO Capital Markets decreased their target price on shares of AutoZone from $4,300.00 to $4,000.00 and set an “outperform” rating for the company in a research note on Wednesday, May 27th. Finally, DA Davidson lowered their price target on AutoZone from $4,300.00 to $3,750.00 and set a “buy” rating on the stock in a report on Wednesday, May 27th. One research analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating and six have given a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $4,040.87.

Insider Transactions at AutoZone

In other news, Director Brian Hannasch purchased 165 shares of the business’s stock in a transaction that occurred on Friday, May 29th. The stock was purchased at an average cost of $2,987.00 per share, with a total value of $492,855.00. Following the completion of the acquisition, the director directly owned 1,219 shares of the company’s stock, valued at approximately $3,641,153. This trade represents a 15.65% increase in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. 2.60% of the stock is owned by corporate insiders.

AutoZone Profile

AutoZone, Inc (NYSE: AZO) is a retailer and distributor of automotive replacement parts and accessories. Headquartered in Memphis, Tennessee, the company supplies a wide range of aftermarket components, maintenance items and accessories for passenger cars, light trucks and commercial vehicles. Its product assortment includes engine parts, electrical components, batteries, brakes, filters, fluids and interior and exterior accessories, supported by inventory management and logistics systems to serve retail customers and professional service providers.

AutoZone serves both do‑it‑yourself (DIY) consumers and commercial customers such as independent repair shops and service centers.