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AutoZone Inc (AZO) Rated 87% by Multi-Factor Investor Model

AutoZone Inc (AZO) receives a strong 87% rating based on the Multi-Factor Investor model. Investors may find this company appealing due to its high valuation and strong fundamentals that suggest stability and growth potential.

Date: 
AI Rating:   7

Overview of AutoZone Inc (AZO)

AutoZone Inc has been evaluated through the Multi-Factor Investor model, achieving an impressive score of 87%. This rating is based on the company's strong underlying fundamentals and favorable stock valuation, which suggest that AZO can be a solid investment option for those seeking stable growth within the Auto & Truck Parts industry.

Market Capitalization and The Rating

The report indicates that the stock passes the market capitalization criterion, indicating a robust company presence in the market. This aspect is essential as larger companies tend to have more resources, stability, and investor interest.

Standard Deviation

The fact that standard deviation passed the assessment signifies that AZO exhibits low volatility compared to its peers. For investors who prefer stability in their investments, low volatility stocks have been shown to outperform high volatility stocks with less risk.

Momentum

Twelve minus one momentum is rated as neutral, suggesting no significant upward or downward trend within the recent month. This aspect is critical for momentum-based investment strategies, as it may not provide a strong signal for immediate investment decisions.

Net Payout Yield

Similarly, the net payout yield is also regarded as neutral. This could imply that while the company does return value to shareholders through buybacks or dividends, the current yield does not stand out as a major attractor for income-focused investors.

Final Rank

The final rank of "PASS" indicates that overall, AZO meets several important investment criteria according to the Multi-Factor strategy. A score above 80% typically suggests interest from the strategy, while a score above 90% would indicate strong interest.

In conclusion, while AutoZone Inc may not show exceptionally decisive momentum or yield, its strong fundamentals and low volatility make it appealing to investors looking for stability in a growth-oriented stock.

Stocks:  AZO