Live Nasdaq Composite: Micron Lifts Market Boat Alongside Mixed Economic Signals
Q1 26 EPS
$31.04
MISS 4.20%
Est. $32.40
Q1 26 Revenue
$4.63B
MISS 0.28%
Est. $4.64B
vs S&P Since Q1 26
-20.2%
TRAILING MARKET
AZO -13.0% vs S&P +7.2%
Market Reaction
Did AZO Beat Earnings? Q1 2026 Results
AutoZone delivered a mixed fiscal first quarter for 2026, posting solid top-line growth but falling short on both earnings and revenue as margin pressures weighed heavily on the bottom line. Net sales rose 8.2% year-over-year to $4.63 billion, narrow… Read more AutoZone delivered a mixed fiscal first quarter for 2026, posting solid top-line growth but falling short on both earnings and revenue as margin pressures weighed heavily on the bottom line. Net sales rose 8.2% year-over-year to $4.63 billion, narrowly missing the $4.64 billion consensus estimate by 0.28%, while diluted EPS of $31.04 came in 4.20% below the $32.40 analyst forecast, down from $32.52 in the year-ago quarter. The primary culprit was a 212 basis point non-cash LIFO charge that drove gross margin down 203 basis points to 51.0%, compounding the effect of SG&A deleverage as the company ramped spending on stores and supply chain infrastructure. Domestic commercial sales were a genuine bright spot, climbing 14.5% to $1.29 billion, and same-store sales rose 4.7% on a constant currency basis. A director purchase of AutoZone shares following the report signaled some insider confidence despite the headline misses. With 53 net new stores opened in the quarter and aggressive expansion planned through the remainder of fiscal 2026, CEO Phil Daniele is betting that market share gains will ultimately vindicate the near-term margin sacrifice.
Key Takeaways
- • Domestic same-store sales growth of 4.8%
- • International same-store sales growth of 11.2% (3.7% constant currency)
- • 53 net new store openings globally during the quarter
- • Domestic commercial sales growth of 14.5% year-over-year
- • Gross margin contracted 203 basis points driven by 212 basis point non-cash LIFO impact
- • SG&A deleverage to 34.0% from 33.3% due to growth initiative investments
- • Inventory increased 13.9% over prior year driven by growth initiatives and inflation
AZO YoY Financials
Q1 2026 vs Q1 2025, source: SEC Filings
AZO Revenue by Segment
With YoY comparisons, source: SEC Filings
“I would like to thank our AutoZoners for delivering another quarter of strong sales growth. Our Domestic and International businesses performed well throughout the quarter as we continue to execute on our growth initiatives. We were especially pleased to open 53 net new stores globally in the quarter and we plan to aggressively open stores over the remainder of the fiscal year as we continue our focus on gaining market share. As we invest in growing our business, we will remain committed to our disciplined approach of increasing earnings and cash flow to drive shareholder value.”
— Phil Daniele, Q1 2026 Earnings Press Release
AZO Earnings Trends
AZO vs Market 30 Day Price Reactions
30-day stock return vs benchmark after each earnings
AZO EPS Trend
Earnings per share: estimate vs actual
AZO Revenue Trend
Quarterly revenue: estimate vs actual
AZO Quarterly Results
5 quarters of earnings data
| Quarter | EPS Est. | EPS Act. | Surprise | Revenue | Rev. Surprise |
|---|---|---|---|---|---|
| Q3 26 BEAT | $36.17 | $38.07 | +5.26% | $4.84B | -0.44% |
| Q2 26 BEAT | $27.29 | $27.63 | +1.24% | $4.27B | -0.77% |
| Q1 26 MISS | $32.40 | $31.04 | -4.20% | $4.63B | -0.28% |
| Q4 25 MISS FY | $50.68 | $48.71 | -3.88% | $6.24B | -0.01% |
| FY Full Year | — | $144.87 | — | $18.94B | — |
| Q3 25 BEAT | $28.97 | $35.36 | +22.06% | $4.46B | +12.06% |