AutoZone Institutional Stakes Shift as CFO Jackson Sells $22.9M in Stock
AutoZone saw third-quarter portfolio adjustments by several major institutional investors, while CFO Jamere Jackson sold $22.9 million in company stock. Wall Street maintains a Moderate Buy consensus.
Institutional investors have recently adjusted their holdings in AutoZone, Inc. (NYSE: AZO). According to regulatory filings, New South Capital Management Inc. lowered its position by 18.9% during the third quarter, selling 7,186 shares. The investment firm retained 30,829 shares worth $87,247,000, representing about 5.9% of its portfolio. Other institutions expanded their stakes in the third quarter, including Retirement Systems of Alabama, which lifted its holding by 38.2% to 20,235 shares, and Beutel Goodman & Co Ltd., which increased its ownership by 23.9% to 58,300 shares.
The institutional activity comes alongside significant insider selling. AutoZone Chief Financial Officer Jamere Jackson sold 6,900 shares on Wednesday, November 4th, at an average price of $3,319.71, generating roughly $22,905,999.00. The sale marked a 93.29% reduction in his holdings, leaving him with 496 direct shares worth $1,646,576.16.
On the public markets, AutoZone shares opened at $3,234.93 on Thursday, with the company's market capitalization reaching $52.06 billion. Institutional investors own 92.74% of the retailer's shares, while corporate insiders hold between 1.80% and 2.60%. The equity has traded between a 52-week low of $2,730.65 and a 52-week high of $3,996.25.
Wall Street remains broadly favorable toward the automotive parts distributor. According to MarketBeat, the company holds a consensus rating of Moderate Buy, backed by two Strong Buy ratings, 18 Buy ratings, and six Hold ratings, alongside an average price objective of $3,674.36. TD Cowen reaffirmed a buy rating on Monday, October 26th, and Bank of America initiated coverage the same day with a buy rating and a $3,800.00 price target. Morgan Stanley downgraded the shares to market perform on Tuesday, September 29th.
AutoZone previously reported its quarterly financial results on Tuesday, September 22nd. The retailer posted earnings per share of $56.05, outperforming consensus estimates of $0.54, while net margin stood at 12.65% and return on equity was negative 90.08%. Quarterly revenue reached $6.59 billion, rising 5.6% from the prior year's period but missing analyst expectations of $6.70 billion. Analysts project that AutoZone will deliver 170.30 earnings per share for the current fiscal year.