WallStSmart

AutoZone Inc (AZO)vsLKQ Corporation (LKQ)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

AutoZone Inc generates 41% more annual revenue ($19.29B vs $13.65B). AZO leads profitability with a 12.8% profit margin vs 4.5%. LKQ appears more attractively valued with a PEG of 1.06. LKQ earns a higher WallStSmart Score of 52/100 (C-).

AZO

Hold

47

out of 100

Grade: D+

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

LKQ

Buy

52

out of 100

Grade: C-

Growth: 3.3Profit: 5.5Value: 7.3Quality: 7.0
Piotroski: 2/9Altman Z: 2.51
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
LKQSignificantly Overvalued (-121.5%)

Margin of Safety

-121.5%

Fair Value

$15.71

Current Price

$29.49

$13.78 premium

UndervaluedFair: $15.71Overvalued

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

LKQ2 strengths · Avg: 9.0/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

P/E RatioValuation
12.6x8/10

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

LKQ4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
2.7%4/10

2.7% revenue growth

Profit MarginProfitability
4.5%3/10

4.5% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-57.7%2/10

Earnings declined 57.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : AZO

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

Bull Case : LKQ

The strongest argument for LKQ centers on Price/Book, P/E Ratio. PEG of 1.06 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 : LKQ

The primary concerns for LKQ are Revenue Growth, Profit Margin, Piotroski F-Score. Thin 4.5% margins leave little buffer for downturns.

Key Dynamics to Monitor

LKQ carries more volatility with a beta of 0.87 — 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

LKQ scores higher overall (52/100 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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LKQ Corporation

CONSUMER CYCLICAL · AUTO PARTS · USA

LKQ Corporation (Like Kind and Quality) is an American provider of alternative and speciality parts to repair and accessorise automobiles and other vehicles.

Visit Website →

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