I only play the short side of Autozone. I currently am short 1600 shares. I do hedge part of the position by selling near term puts and I do trade part of the position on the wide swings this stock can have. I did not say BK was going to happen soon I just said that it will happen. In autozones case if you look at EPS alone it looks great but when you realize that these #'s are inflated by the buyback its more sobering. If you look at the technicals they don't look real bad either but the price of the stock is supported by the buyback also. Insiders are NOW selling ... easy money to continue buyback is over. They have squeezed their suppliers and their employees, but the party in AZO's stock is at the end stage.
I am still looking at those three stocks and of course noted AZO' debt situation. I would reply to 'serious investor advice' to me, that if that is the only thing you look at, the perhaps you are NOT a serious investor. Based on my analysis to this point, I would bet good odds against any of the three being in BK court anytime soon. But hey, if you seriously believe that AZO is headed that way, you should short it like crazy - and I choose that last word carefully.
I travel all over the country for my job. Autozones all over the country are jampacked with consumers looking for expert advice and world class parts and supplies so they can keep their pride and joy running and looking good.
Lines are often around the block on Saturdays.
This is the next GOOGLE. Don't miss out.
Think about it.
Are you on This Planet ????
I travel about 1000 miles each week in four states. Southeastern PA, South Jersey, Delaware and Maryland.
I have often wondered how these guy's pay the rent. In my experience the traffic is 'Light at best'.
It's not at all rare to pass an Auto zone store and not see ANY cars in the parking lots, except for employee's vehicles. I usually do see one or two cars in the lots. I just do not consider this amount of traffic to be sufficient to support the PPS at this level.
I have noticed Pep Boys traffic to be much higher, but that is just my personal experience and may not translate well across the country. On Sundays I do see a few cars in the lots, the DIY. Just doesn't make sense to me.
I agree with chia katt. we should find the next GOOGLE. I'm pretty sure Autozone didn't make the list. And not just because it's not a tech stock. It's actually because Autozone is just a retailer, and a marginal one at that. AZO has reached the end thanks to corruption and misappropriation of corporate funds (purchasing their own stock when they should have been paying their vendors). This shell game will soon end.
you made my day. I am laughing so hard right now at your comments my stomach hurts, you're killing me bud.
P.S. remember one thing, it will always be known as THE GHETTO ZONE. don't quote me on that, I heard the employees call it that when I was returning a defective part.