AutoZone Inc (AZO)vsBorgWarner Inc (BWA)
AZO
AutoZone Inc
$3,282.90
-1.76%
CONSUMER CYCLICAL · Cap: $57.63B
BWA
BorgWarner Inc
$52.23
-0.38%
CONSUMER CYCLICAL · Cap: $11.08B
Smart Verdict
WallStSmart Research — data-driven comparison
AutoZone Inc generates 35% more annual revenue ($19.29B vs $14.32B). AZO leads profitability with a 12.8% profit margin vs 1.9%. BWA appears more attractively valued with a PEG of 0.38. BWA earns a higher WallStSmart Score of 58/100 (C).
AZO
Hold47
out of 100
Grade: D+
BWA
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-285.0%
Fair Value
$970.36
Current Price
$3282.90
$2312.54 premium
Margin of Safety
-659.8%
Fair Value
$8.70
Current Price
$52.23
$43.53 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Conservative balance sheet, low leverage
Large-cap with strong market position
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
ROE of 0.0% — below average capital efficiency
Earnings declined 2.3%
Distress zone — elevated risk
3.9% revenue growth
ROE of 5.9% — below average capital efficiency
1.9% margin — thin
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : AZO
The strongest argument for AZO centers on Debt/Equity, Market Cap.
Bull Case : BWA
The strongest argument for BWA centers on PEG Ratio, Price/Book. PEG of 0.38 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 : BWA
The primary concerns for BWA are Revenue Growth, Return on Equity, Profit Margin. A P/E of 40.5x leaves little room for execution misses. Thin 1.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
BWA carries more volatility with a beta of 1.02 — 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
BWA scores higher overall (58/100 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.
Visit Website →BorgWarner Inc
CONSUMER CYCLICAL · AUTO PARTS · USA
BorgWarner Inc. is an American multinational automotive supplier headquartered in Auburn Hills, Michigan.
Visit Website →Compare with Other AUTO PARTS Stocks
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