Delta Global Management LP Makes New Investment in AutoZone, Inc. $AZO

Delta Global Management LP purchased a new stake in AutoZone, Inc. (NYSE:AZO) during the first quarter, according to the company in its most recent disclosure with the SEC. The firm purchased 668 shares of the company’s stock, valued at approximately $2,256,000.

Several other hedge funds and other institutional investors have also made changes to their positions in AZO. Norges Bank acquired a new position in shares of AutoZone during the fourth quarter worth about $939,205,000. Morgan Stanley increased its stake in shares of AutoZone by 17.8% during the fourth quarter. Morgan Stanley now owns 492,794 shares of the company’s stock worth $1,671,323,000 after buying an additional 74,555 shares during the period. Northwestern Mutual Wealth Management Co. raised its holdings in AutoZone by 387.1% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 77,792 shares of the company’s stock valued at $263,832,000 after acquiring an additional 61,821 shares in the last quarter. Mitsubishi UFJ Asset Management Co. Ltd. raised its holdings in AutoZone by 39.5% in the fourth quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 176,986 shares of the company’s stock valued at $584,730,000 after acquiring an additional 50,071 shares in the last quarter. Finally, AQR Capital Management LLC raised its holdings in AutoZone by 80.8% in the third quarter. AQR Capital Management LLC now owns 101,185 shares of the company’s stock valued at $432,059,000 after acquiring an additional 45,212 shares in the last quarter. Hedge funds and other institutional investors own 92.74% of the company’s stock.

Wall Street Analyst Weigh In

Several research analysts have commented on the stock. Evercore reiterated an “outperform” rating on shares of AutoZone in a report on Tuesday, May 26th. Robert W. Baird reduced their price objective on shares of AutoZone from $3,900.00 to $3,600.00 and set a “neutral” rating on the stock in a report on Wednesday, May 27th. Citigroup decreased their price objective on shares of AutoZone from $4,300.00 to $3,700.00 and set a “buy” rating for the company in a research report on Wednesday, May 27th. Morgan Stanley lowered their target price 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. Finally, Weiss Ratings lowered AutoZone from a “hold (c+)” rating to a “hold (c)” rating in a report on Thursday. One analyst has rated the stock with a Strong Buy rating, twenty have given a Buy rating and six have given a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $4,040.87.

Insider Activity

In related news, Director Brian Hannasch bought 165 shares of the company’s stock in a transaction that occurred on Friday, May 29th. The shares were purchased at an average cost of $2,987.00 per share, with a total value of $492,855.00. Following the transaction, the director directly owned 1,219 shares of the company’s stock, valued at approximately $3,641,153. This represents a 15.65% increase in their position. The purchase was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 2.60% of the company’s stock.

AutoZone Stock Up 1.0%

Shares of AZO opened at $2,953.62 on Friday. The company has a market capitalization of $48.23 billion, a price-to-earnings ratio of 20.31, a price-to-earnings-growth ratio of 1.50 and a beta of 0.33. AutoZone, Inc. has a 52-week low of $2,902.20 and a 52-week high of $4,388.11. The stock has a 50 day moving average price of $3,101.53 and a 200 day moving average price of $3,402.12.

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

AutoZone declared that its board has initiated a stock repurchase plan on Tuesday, June 16th that authorizes the company to repurchase $1.50 billion in shares. This repurchase authorization authorizes the company to reacquire up to 3% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board of directors believes its stock is undervalued.

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.