AutoZone stock price target raised to $4,925 from $4,260 at UBS

Investing.com - UBS raised its price target on AutoZone (NYSE:AZO) to $4,925.00 from $4,260.00 on Thursday, maintaining a Buy rating on the auto parts retailer. The stock, currently trading at $4,293.50, is near its 52-week high of $4,304.94 and has delivered an impressive 32.82% return year-to-date.

The firm expects AutoZone to deliver strong fiscal fourth-quarter results, citing returns on investments the company has made across its stores, fleet, supply chain, personnel, and technology infrastructure. With earnings scheduled for September 23 and revenue growth of 5.15% over the last twelve months, InvestingPro analysis shows the company maintains a strong market position with a $71.66B market capitalization.

UBS projects AutoZone will report approximately 4% comparable sales growth, partly driven by high-single digit increases in its commercial business segment.

The analyst noted this performance would demonstrate that AutoZone is "performing well on both sides of the industry" as it continues to gain market share from competitors.

UBS maintains a positive outlook on AutoZone’s risk/reward profile, describing it as "favorable" as the company continues its strategic investments to strengthen its competitive position.

In other recent news, Mizuho has raised its price target for AutoZone to $4,050 from the previous $3,740. This adjustment follows AutoZone’s fiscal third-quarter results. The research firm continues to maintain an Outperform rating for the auto parts retailer. Mizuho noted some softer margin trends in its analysis. Despite this, the firm adjusted its earnings estimates, indicating confidence in AutoZone’s commercial growth prospects. These developments highlight AutoZone’s ongoing performance and market expectations. Investors may find these insights useful as they consider their positions.

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