WallStSmart

AutoZone Inc (AZO)vsMagna International Inc (MGA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Magna International Inc generates 116% more annual revenue ($42.32B vs $19.61B). AZO leads profitability with a 12.5% profit margin vs 1.6%. MGA appears more attractively valued with a PEG of 0.35. MGA earns a higher WallStSmart Score of 55/100 (C-).

AZO

Hold

47

out of 100

Grade: D+

Growth: 4.7Profit: 6.5Value: 4.0Quality: 5.5
Piotroski: 4/9Altman Z: 1.23

MGA

Buy

55

out of 100

Grade: C-

Growth: 3.3Profit: 4.5Value: 8.7Quality: 5.8
Piotroski: 4/9Altman Z: 2.45
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AZOSignificantly Overvalued (-71.7%)

Margin of Safety

-71.7%

Fair Value

$2176.42

Current Price

$3594.08

$1417.66 premium

UndervaluedFair: $2176.42Overvalued
MGAUndervalued (+58.6%)

Margin of Safety

+58.6%

Fair Value

$139.52

Current Price

$60.83

$78.69 discount

UndervaluedFair: $139.52Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AZO2 strengths · Avg: 9.5/10
Debt/EquityHealth
-3.7310/10

Conservative balance sheet, low leverage

Market CapQuality
$59.55B9/10

Large-cap with strong market position

MGA2 strengths · Avg: 10.0/10
PEG RatioValuation
0.3510/10

Growing faster than its price suggests

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Areas to Watch

AZO4 concerns · Avg: 3.3/10
PEG RatioValuation
1.644/10

Expensive relative to growth rate

P/E RatioValuation
25.2x4/10

Moderate valuation

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

EPS GrowthGrowth
-2.3%2/10

Earnings declined 2.3%

MGA4 concerns · Avg: 3.5/10
P/E RatioValuation
25.7x4/10

Moderate valuation

Revenue GrowthGrowth
3.1%4/10

3.1% revenue growth

Return on EquityProfitability
6.0%3/10

ROE of 6.0% — below average capital efficiency

Profit MarginProfitability
1.6%3/10

1.6% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : AZO

The strongest argument for AZO centers on Debt/Equity, Market Cap.

Bull Case : MGA

The strongest argument for MGA centers on PEG Ratio, Price/Book. PEG of 0.35 suggests the stock is reasonably priced for its growth.

Bear Case : AZO

The primary concerns for AZO are PEG Ratio, P/E Ratio, Return on Equity.

Bear Case : MGA

The primary concerns for MGA are P/E Ratio, Revenue Growth, Return on Equity. Thin 1.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

MGA carries more volatility with a beta of 1.83 — expect wider price swings.

AZO is growing revenue faster at 8.2% — sustainability is the question.

MGA generates stronger free cash flow (452M), providing more financial flexibility.

Monitor AUTO PARTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MGA scores higher overall (55/100 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.

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Magna International Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

Magna International Inc. designs, designs and manufactures components, assemblies, systems, subsystems and modules for vehicle and light truck original equipment manufacturers worldwide. The company is headquartered in Aurora, Canada.

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