WallStSmart

AutoZone Inc (AZO)vsLear Corporation (LEA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Lear Corporation generates 21% more annual revenue ($23.26B vs $19.29B). AZO leads profitability with a 12.8% profit margin vs 1.9%. LEA appears more attractively valued with a PEG of 0.36. LEA earns a higher WallStSmart Score of 55/100 (C).

AZO

Hold

47

out of 100

Grade: D+

Growth: 4.7Profit: 6.5Value: 7.3Quality: 5.5
Piotroski: 4/9Altman Z: 1.23

LEA

Buy

55

out of 100

Grade: C

Growth: 3.3Profit: 5.0Value: 7.3Quality: 4.5
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AZOSignificantly Overvalued (-284.5%)

Margin of Safety

-284.5%

Fair Value

$971.52

Current Price

$3386.14

$2414.62 premium

UndervaluedFair: $971.52Overvalued
LEASignificantly Overvalued (-146.9%)

Margin of Safety

-146.9%

Fair Value

$56.24

Current Price

$122.23

$65.99 premium

UndervaluedFair: $56.24Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AZO2 strengths · Avg: 9.5/10
Debt/EquityHealth
-3.7310/10

Conservative balance sheet, low leverage

Market CapQuality
$55.27B9/10

Large-cap with strong market position

LEA3 strengths · Avg: 9.3/10
PEG RatioValuation
0.3610/10

Growing faster than its price suggests

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

P/E RatioValuation
14.8x8/10

Attractively priced relative to earnings

Areas to Watch

AZO4 concerns · Avg: 2.8/10
PEG RatioValuation
1.824/10

Expensive relative to growth rate

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

EPS GrowthGrowth
-2.3%2/10

Earnings declined 2.3%

Altman Z-ScoreHealth
1.232/10

Distress zone — elevated risk

LEA4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
4.8%4/10

4.8% revenue growth

Profit MarginProfitability
1.9%3/10

1.9% margin — thin

Operating MarginProfitability
4.4%3/10

Operating margin of 4.4%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : AZO

The strongest argument for AZO centers on Debt/Equity, Market Cap.

Bull Case : LEA

The strongest argument for LEA centers on PEG Ratio, Price/Book, P/E Ratio. PEG of 0.36 suggests the stock is reasonably priced for its growth.

Bear Case : AZO

The primary concerns for AZO are PEG Ratio, Return on Equity, EPS Growth.

Bear Case : LEA

The primary concerns for LEA are Revenue Growth, Profit Margin, Operating Margin. Thin 1.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

LEA carries more volatility with a beta of 1.25 — 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

LEA scores higher overall (55/100 vs 47/100). Both earn "Buy" 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.

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.

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Lear Corporation

CONSUMER CYCLICAL · AUTO PARTS · USA

Lear Corporation designs, develops, designs, manufactures, assembles, and supplies automotive seats, electrical distribution systems, and related components for automotive original equipment manufacturers in North America, Europe, Africa, Asia, and South America. The company is headquartered in Southfield, Michigan.

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