AZO Current Ratio Analysis
Higher than 13% of Consumer Cyclical sector peers
Updated 564h ago·SEC filings & market data
Key Takeaway
The current ratio of 0.89x means AutoZone has $0.89 in current assets (like cash and inventory) for every $1.00 of short-term liabilities, indicating it may face difficulty covering near-term obligations.
Sector Performance
13th percentileAZO
0.89x
Sector Median
1.44x
Sector Avg
2.72x
Deep Analysis
The current ratio of 0.89x means AutoZone has $0.89 in current assets (like cash and inventory) for every $1.00 of short-term liabilities, indicating it may face difficulty covering near-term obligations.
This is well below the Consumer Cyclical sector median of 1.44x, placing AutoZone in the 15th percentile among its peers — meaning 85% of sector companies have a higher current ratio. No year-over-year or quarter-over-quarter changes are available, and no trend data exists for the last eight quarters, so no movement can be assessed. The combination of a low ratio (below 1.0x) with no trend history suggests elevated short-term liquidity risk but offers no insight into whether conditions are improving or worsening; this ambiguity increases uncertainty for investors. This metric supports the overall NEUTRAL verdict, as the low current ratio points to a risk that is not offset by any positive trend, yet the absence of deterioration keeps the stock from being an outright sell.
Frequently Asked Questions
What does the Current Ratio tell investors about AZO?
Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.
How is the Current Ratio calculated?
Current Ratio is calculated as: Current Assets / Current Liabilities.
How does AZO's Current Ratio compare to its sector?
AZO's Current Ratio of 0.89x compares to a Consumer Cyclical sector median of 1.44x, placing it in the 13th percentile.
Who are AZO's closest peers by Current Ratio?
The closest Consumer Cyclical peers by Current Ratio include: JD (1.18x), MELI (1.16x), CHPT (1.15x), XPEV (1.14x), RH (1.13x).
Learn More About Current Ratio
The Formula
Current Assets / Current Liabilities
Why It Matters
Measures short-term financial health. A ratio above 1.5 is generally healthy; below 1.0 may indicate liquidity stress.
Master AZO's Valuation
Get the complete institutional research report covering all fundamental and technical metrics.
View full AZO research report →AZO
0.89x
Sector Median
1.44x
Sector Avg
2.72x
How AZO's Current Ratio compares to sector peers.
Also Analyze
Not financial advice. Research tool only. Data may be delayed.