AutoZone (AZO) Stock Falls 9% After Q2 Same-Store Sales Miss Estimates

TLDR

• AutoZone posted Q2 revenue of $4.27 billion, missing the $4.31 billion analyst estimate
• Adjusted EPS came in at $27.63, beating the $27.15 consensus but down from $28.29 last year
• Same-store sales grew 3.3%, well below the 5.6% analysts had expected
• The stock dropped around 8.6% in premarket trading on Tuesday
• Operating profit fell 1.2% year over year to $698.5 million

AutoZone stock fell hard in premarket trading Tuesday after the auto parts retailer posted fiscal second-quarter results that beat on profit but missed where it counted most — the top line.

The stock dropped roughly 8.6%, hitting $3,550 before the open. That’s a sharp reversal for a name that had gained 15% year-to-date through Monday’s close.

AutoZone, Inc., AZO

Revenue came in at $4.27 billion for the quarter. Analysts had been expecting $4.31 billion. Not a massive miss on paper, but the market noticed.

Adjusted earnings per share landed at $27.63. That beat the consensus estimate of $27.15. Still, it’s down from $28.29 in the same quarter a year ago.

Same-store sales rose 3.3% on a constant-currency basis. The Street had pencilled in 5.6%. That gap is what did the damage.

Net sales were up 8.1% year over year in total, which sounds decent — but comparable sales tell a different story.

Domestic vs. International

Domestic comparable sales grew 3.4% in constant currency. International same-store sales came in at 2.5%.

Operating Profit Takes a Dip

Operating profit came in at $698.5 million, a decline of 1.2% compared to the same period last year.

That’s a modest drop, but combined with the comp sales miss, it gives investors less to hold onto.

AutoZone had been a Barron’s stock pick last March, and the 15% run-up this year heading into earnings had set a high bar.

The results weren’t a disaster by any stretch. EPS beat, total sales grew, and the company maintained its position in key international markets.

But same-store sales missing by more than two full percentage points is hard to spin.

The stock’s premarket move reflects that. A 8.6% drop on earnings day is a meaningful correction for a stock that had been on a solid run.

AutoZone operates stores across the U.S., Mexico, and Brazil, and same-store sales growth is one of the most closely watched metrics for the retailer.

The 3.3% comp growth marks a slowdown from what analysts had been modeling, raising questions about near-term demand trends.

The company’s fiscal Q2 covers the period ending in late February 2026.

AutoZone stock was trading at $3,550 in premarket Tuesday, down from Monday’s close of approximately $3,886.

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