Quick Overview AutoZone delivered fourth-quarter earnings per share of $56.05, surpassing the analyst estimate of approximately $54 Revenue increased 5.6% to reach $6.59 billion, falling shor
AutoZone shares climbed 2.1% to $2,862 during premarket activity on Tuesday following the automotive parts retailer’s stronger-than-anticipated earnings report, despite falling short on revenue and comparable store performance metrics.
The retailer announced fourth-quarter earnings per share of $56.05, representing an increase from $48.71 in the prior-year period and exceeding the Wall Street consensus estimate of roughly $54. Revenue climbed 5.6% to $6.59 billion, though this figure trailed the $6.7 billion projection from analysts.
Comparable store sales increased 1.5% on a constant currency basis, representing a significant shortfall compared to the 3.8% growth rate analysts had forecast. Domestic comparable sales registered at 1.6%.
AutoZone, $AZO, Q4-26.
Profit beat, but sales missed. Margin tailwinds did the heavy lifting.
Revenue: $6.59B | vs. $6.71B est.
Diluted EPS: $56.05 | vs. $54.30 est.
Gross margin: 53.3% | +182 bps YoY
Buybacks: $697.5M pic.twitter.com/PgEvZqQaqr
— EarningsTime (@Earnings_Time) September 22, 2026
Notwithstanding the revenue disappointment, gross profit margin improved by 182 basis points to reach 53.3%. This enhancement was attributed in part to a 145 basis point contribution from tariff refunds and a 105 basis point non-cash LIFO adjustment. A higher proportion of commercial sales partially counterbalanced these positive factors.
Operating expenses as a share of revenue increased to 33.4% from 32.4% in the year-ago period, with the uptick attributed to strategic growth investments.
Net profit totaled $931.6 million, representing an increase from $837 million during the comparable quarter in the previous year.
Chief Executive Phil Daniele acknowledged a challenging start to the reporting period. “In spite of a difficult selling environment the first eight weeks of our quarter, we remained committed to executing on our strategies to grow both our domestic and international businesses,” he said.
Daniele noted that revenue performance gained momentum throughout the latter eight weeks of the quarter and expressed confidence in the company’s positioning for revenue expansion entering fiscal 2027.
Market analysts appeared to prioritize the profit beat over the revenue disappointment. The quarterly results were interpreted as an encouraging indicator relative to more conservative commentary from AutoZone’s industry peers, particularly as rising interest rates and high fuel costs have constrained consumer discretionary spending.
Competing automotive aftermarket retailers also experienced upward movement following the announcement. O’Reilly Automotive increased 0.2% while Advance Auto Parts climbed 0.8% during early market activity.
Prior to Tuesday’s premarket rally, AZO stock had declined 6.3% during September and was down 17% year-to-date through Monday’s market close.
AutoZone concluded Monday’s trading session with a 1.8% loss, making Tuesday’s premarket advance a notable turnaround.
Across the complete fiscal year, the company established 374 additional store locations and recorded annual revenue of $20.3 billion, representing a 7.4% year-over-year increase.
The company’s fiscal fourth quarter concluded on August 29, 2026.
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