Advance Auto Parts Inc (AAP)vsAutoZone Inc (AZO)
AAP
Advance Auto Parts Inc
$52.73
+3.60%
CONSUMER CYCLICAL · Cap: $3.06B
AZO
AutoZone Inc
$3,386.14
+1.20%
CONSUMER CYCLICAL · Cap: $55.27B
Smart Verdict
WallStSmart Research — data-driven comparison
AutoZone Inc generates 124% more annual revenue ($19.29B vs $8.60B). AZO leads profitability with a 12.8% profit margin vs 0.5%. AAP appears more attractively valued with a PEG of 0.64. AAP earns a higher WallStSmart Score of 49/100 (D+).
AAP
Hold49
out of 100
Grade: D+
AZO
Hold47
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-676.4%
Fair Value
$7.68
Current Price
$52.73
$45.05 premium
Margin of Safety
-284.5%
Fair Value
$971.52
Current Price
$3386.14
$2414.62 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Growing faster than its price suggests
Conservative balance sheet, low leverage
Large-cap with strong market position
Areas to Watch
Distress zone — elevated risk
ROE of 3.1% — below average capital efficiency
0.5% margin — thin
Operating margin of 3.4%
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Earnings declined 2.3%
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : AAP
The strongest argument for AAP centers on Price/Book, PEG Ratio. PEG of 0.64 suggests the stock is reasonably priced for its growth.
Bull Case : AZO
The strongest argument for AZO centers on Debt/Equity, Market Cap.
Bear Case : AAP
The primary concerns for AAP are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 45.0x leaves little room for execution misses. Debt-to-equity of 2.38 is elevated, increasing financial risk.
Bear Case : AZO
The primary concerns for AZO are PEG Ratio, Return on Equity, EPS Growth.
Key Dynamics to Monitor
AAP carries more volatility with a beta of 1.11 — expect wider price swings.
AZO is growing revenue faster at 8.2% — sustainability is the question.
Monitor AUTO PARTS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
AAP scores higher overall (49/100 vs 47/100). Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Advance Auto Parts Inc
CONSUMER CYCLICAL · AUTO PARTS · USA
Advance Auto Parts, Inc. (Advance) is an American automotive aftermarket parts provider. Headquartered in Raleigh, North Carolina, it serves both professional installer and do-it-yourself (DIY) customers.
Visit Website →AutoZone Inc
CONSUMER CYCLICAL · AUTO PARTS · USA
AutoZone, Inc. is an American retailer of aftermarket automotive parts and accessories, the largest in the United States.
Visit Website →Compare with Other AUTO PARTS Stocks
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