Here's Why AutoZone (AZO) is a Strong Momentum Stock
It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors.
While you may have an investing style you rely on, finding great stocks is made easier with the Zacks Style Scores. These are complementary indicators that rate stocks based on value, growth, and/or momentum characteristics.
Is This 1 Momentum Stock a Screaming Buy Right Now?
Momentum investors, who live by the saying "the trend is your friend," are most interested in taking advantage of upward or downward trends in a stock's price or earnings outlook. Utilizing one-week price change and the monthly percentage change in earnings estimates, among other factors, the Momentum Style Score can help determine favorable times to buy high-momentum stocks.
AutoZone (AZO)
AutoZone, Inc. is one of the leading specialty retailers and distributors of automotive replacement parts and accessories in the United States. It operates in the Do-It-Yourself (DIY) retail, Do-It-for-Me (DIFM) auto parts and products markets. At the end of fiscal 2023, the company had 6,300 stores in the United States, 740 in Mexico and 100 in Brazil. The total store count was 7,140 as of Aug 26, 2023. Each store offers wide-ranging products for cars, sport utility vehicles, vans and light trucks, including new and remanufactured automotive hard parts, maintenance items, accessories and non-automotive products.
AZO is a Zacks Rank #3 (Hold) stock, with a Momentum Style Score of B and VGM Score of A. Shares are up 2.5% over the past one week and up 0.2% over the past four weeks. AZO has lost 2.3% in the last one-year period as well. Looking at trading volume, an average of 131,089 shares exchanged hands over the last 20 trading days.
Momentum investors also pay close attention to a company's earnings. For AZO, seven analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $3.81 to $147.60 per share for 2024. AZO boasts an average earnings surprise of 9.9%.
With strong earnings growth, a good Zacks Rank, and top-tier Momentum and VGM Style Scores, investors should think about adding AZO to their portfolios.
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AutoZone, Inc. (AZO) : Free Stock Analysis Report
