AutoZone shares climbed 3.26% after the company posted better-than-expected Q4 profits, driven by margin expansion and aggressive store growth, though the stock remains down 30% annually.
AutoZone reported stronger-than-expected Q4 earnings with EPS beat, margin expansion, and positive fiscal 2027 outlook, though the stock remains down 30% over the past year.
AutoZone reported a strong fiscal fourth quarter, with net sales rising 5.6% to $6.6 billion and diluted EPS climbing to $56.05. Despite a challenging economic environment, the retailer expanded its footprint by 175 new stores and maintains a positive outlook for fiscal 2027, even as the stock struggles with a 30% decline over the past year.
Gross margin rose to 53.3%, largely due to a 145-basis-point benefit from tariff refunds and a 105-basis-point net non-cash LIFO benefit.
The market responded positively, with AutoZone shares rising 3.26% during the session following the earnings release.