Is AutoZone Stock Underperforming the Dow?

Memphis, Tennessee-based AutoZone, Inc. (AZO) is a retailer and distributor of automotive replacement parts and accessories. Valued at a market cap of $61.6 billion, the company provides an extensive product line for cars, SUVs, vans, and light-duty trucks, specializing in both new and remanufactured hard parts, maintenance items, and non-automotive products.

Companies valued at $10 billion or more are typically classified as “large-cap stocks,” and AutoZone fits the label perfectly, with its market cap exceeding this threshold, underscoring its size, influence, and dominance within the auto parts industry. The company's primary strength is its sophisticated 'Hub and Spoke' distribution network, anchored by over 140 Mega-Hubs that ensure industry-leading parts availability for both its traditional DIY customers and its rapidly growing Commercial segment.