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AZO vs. DKNG: A Head-to-Head Stock Comparison

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Here’s a clear look at AZO and DKNG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

AZO’s market capitalization of 63.05 billion USD is substantially larger than DKNG’s 20.23 billion USD, indicating a significant difference in their market valuations.

DKNG carries a higher beta at 1.64, indicating it’s more sensitive to market moves, while AZO (beta: 0.40) exhibits greater stability.

SymbolAZODKNG
Company NameAutoZone, Inc.DraftKings Inc.
CountryUSUS
SectorConsumer CyclicalConsumer Cyclical
IndustrySpecialty RetailGambling, Resorts & Casinos
CEOPhilip B. Daniele IIIJason D. Robins
Price3,769.26 USD40.77 USD
Market Cap63.05 billion USD20.23 billion USD
Beta0.401.64
ExchangeNYSENASDAQ
IPO DateApril 2, 1991July 25, 2019
ADRNoNo

Historical Performance

This chart compares the performance of AZO and DKNG by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AZO vs. DKNG: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AZO

-57.43%

Specialty Retail Industry

Max
70.52%
Q3
29.03%
Median
10.90%
Q1
-7.86%
Min
-57.43%

AZO has a negative Return on Equity of -57.43%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

DKNG

-37.44%

Gambling, Resorts & Casinos Industry

Max
78.31%
Q3
30.92%
Median
11.51%
Q1
-3.76%
Min
-37.44%

DKNG has a negative Return on Equity of -37.44%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

AZO vs. DKNG: A comparison of their ROE against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Return on Invested Capital

AZO

15.20%

Specialty Retail Industry

Max
29.46%
Q3
13.75%
Median
8.05%
Q1
0.80%
Min
-17.95%

In the upper quartile for the Specialty Retail industry, AZO’s Return on Invested Capital of 15.20% signifies a highly effective use of its capital to generate profits when compared to its peers.

DKNG

-13.86%

Gambling, Resorts & Casinos Industry

Max
22.28%
Q3
12.49%
Median
8.30%
Q1
2.92%
Min
-3.66%

DKNG has a negative Return on Invested Capital of -13.86%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

AZO vs. DKNG: A comparison of their ROIC against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Net Profit Margin

AZO

13.56%

Specialty Retail Industry

Max
19.78%
Q3
8.49%
Median
3.43%
Q1
-0.69%
Min
-9.88%

A Net Profit Margin of 13.56% places AZO in the upper quartile for the Specialty Retail industry, signifying strong profitability and more effective cost management than most of its peers.

DKNG

-7.97%

Gambling, Resorts & Casinos Industry

Max
15.15%
Q3
10.36%
Median
4.33%
Q1
1.08%
Min
-7.97%

DKNG has a negative Net Profit Margin of -7.97%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

AZO vs. DKNG: A comparison of their Net Profit Margin against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Operating Profit Margin

AZO

19.63%

Specialty Retail Industry

Max
24.47%
Q3
11.10%
Median
5.85%
Q1
0.66%
Min
-12.62%

An Operating Profit Margin of 19.63% places AZO in the upper quartile for the Specialty Retail industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

DKNG

-10.33%

Gambling, Resorts & Casinos Industry

Max
29.13%
Q3
21.80%
Median
14.93%
Q1
6.67%
Min
-10.33%

DKNG has a negative Operating Profit Margin of -10.33%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

AZO vs. DKNG: A comparison of their Operating Margin against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Profitability at a Glance

SymbolAZODKNG
Return on Equity (TTM)-57.43%-37.44%
Return on Assets (TTM)13.77%-8.83%
Return on Invested Capital (TTM)15.20%-13.86%
Net Profit Margin (TTM)13.56%-7.97%
Operating Profit Margin (TTM)19.63%-10.33%
Gross Profit Margin (TTM)52.95%38.33%

Financial Strength

Current Ratio

AZO

0.75

Specialty Retail Industry

Max
3.24
Q3
1.99
Median
1.42
Q1
1.02
Min
0.54

AZO’s Current Ratio of 0.75 falls into the lower quartile for the Specialty Retail industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

DKNG

1.20

Gambling, Resorts & Casinos Industry

Max
2.48
Q3
1.57
Median
1.08
Q1
0.82
Min
0.53

DKNG’s Current Ratio of 1.20 aligns with the median group of the Gambling, Resorts & Casinos industry, indicating that its short-term liquidity is in line with its sector peers.

AZO vs. DKNG: A comparison of their Current Ratio against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Debt-to-Equity Ratio

AZO

-2.99

Specialty Retail Industry

Max
2.72
Q3
1.42
Median
0.87
Q1
0.35
Min
0.01

AZO has a Debt-to-Equity Ratio of -2.99, which indicates negative shareholder equity where liabilities exceed assets. This is a critical sign of financial distress.

DKNG

2.20

Gambling, Resorts & Casinos Industry

Max
6.19
Q3
4.56
Median
2.20
Q1
0.47
Min
0.03

DKNG’s Debt-to-Equity Ratio of 2.20 is typical for the Gambling, Resorts & Casinos industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AZO vs. DKNG: A comparison of their D/E Ratio against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Interest Coverage Ratio

AZO

4.36

Specialty Retail Industry

Max
37.34
Q3
17.19
Median
4.28
Q1
0.11
Min
-23.60

AZO’s Interest Coverage Ratio of 4.36 is positioned comfortably within the norm for the Specialty Retail industry, indicating a standard and healthy capacity to cover its interest payments.

DKNG

-69.76

Gambling, Resorts & Casinos Industry

Max
5.12
Q3
3.39
Median
2.46
Q1
1.34
Min
-0.76

DKNG has a negative Interest Coverage Ratio of -69.76. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

AZO vs. DKNG: A comparison of their Interest Coverage against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Financial Strength at a Glance

SymbolAZODKNG
Current Ratio (TTM)0.751.20
Quick Ratio (TTM)0.031.20
Debt-to-Equity Ratio (TTM)-2.992.20
Debt-to-Asset Ratio (TTM)0.640.42
Net Debt-to-EBITDA Ratio (TTM)2.33-4.12
Interest Coverage Ratio (TTM)4.36-69.76

Growth

The following charts compare key year-over-year (YoY) growth metrics for AZO and DKNG. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AZO vs. DKNG: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AZO vs. DKNG: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AZO vs. DKNG: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AZO

0.00%

Specialty Retail Industry

Max
5.54%
Q3
1.52%
Median
0.00%
Q1
0.00%
Min
0.00%

AZO currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

DKNG

0.00%

Gambling, Resorts & Casinos Industry

Max
5.65%
Q3
1.71%
Median
0.00%
Q1
0.00%
Min
0.00%

DKNG currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

AZO vs. DKNG: A comparison of their Dividend Yield against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Dividend Payout Ratio

AZO

0.00%

Specialty Retail Industry

Max
177.64%
Q3
9.49%
Median
0.00%
Q1
0.00%
Min
0.00%

AZO has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

DKNG

0.00%

Gambling, Resorts & Casinos Industry

Max
248.00%
Q3
26.55%
Median
0.00%
Q1
0.00%
Min
0.00%

DKNG has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

AZO vs. DKNG: A comparison of their Payout Ratio against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Dividend at a Glance

SymbolAZODKNG
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio

AZO

24.62

Specialty Retail Industry

Max
81.45
Q3
42.51
Median
25.40
Q1
12.72
Min
1.88

AZO’s P/E Ratio of 24.62 is within the middle range for the Specialty Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

DKNG

-50.46

Gambling, Resorts & Casinos Industry

Max
36.37
Q3
25.05
Median
21.63
Q1
14.56
Min
10.20

DKNG has a negative P/E Ratio of -50.46. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.

AZO vs. DKNG: A comparison of their P/E Ratio against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Forward P/E to Growth Ratio

AZO

2.12

Specialty Retail Industry

Max
5.90
Q3
2.79
Median
1.76
Q1
0.69
Min
0.00

AZO’s Forward PEG Ratio of 2.12 is within the middle range of its peers in the Specialty Retail industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.

DKNG

-0.57

Gambling, Resorts & Casinos Industry

Max
4.15
Q3
2.83
Median
1.76
Q1
0.98
Min
0.06

DKNG has a negative Forward PEG Ratio of -0.57. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

AZO vs. DKNG: A comparison of their Forward PEG Ratio against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Price-to-Sales Ratio

AZO

3.34

Specialty Retail Industry

Max
5.26
Q3
2.60
Median
1.29
Q1
0.41
Min
0.06

AZO’s P/S Ratio of 3.34 is in the upper echelon for the Specialty Retail industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

DKNG

4.05

Gambling, Resorts & Casinos Industry

Max
4.26
Q3
2.74
Median
1.62
Q1
0.79
Min
0.14

DKNG’s P/S Ratio of 4.05 is in the upper echelon for the Gambling, Resorts & Casinos industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

AZO vs. DKNG: A comparison of their P/S Ratio against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Price-to-Book Ratio

AZO

-15.88

Specialty Retail Industry

Max
12.73
Q3
6.96
Median
3.28
Q1
1.42
Min
0.24

AZO has a negative P/B Ratio of -15.88, indicating its liabilities exceed its assets and result in negative shareholder equity. This is a critical warning sign of financial distress.

DKNG

23.04

Gambling, Resorts & Casinos Industry

Max
24.24
Q3
11.64
Median
4.58
Q1
2.52
Min
0.60

DKNG’s P/B Ratio of 23.04 is in the upper tier for the Gambling, Resorts & Casinos industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

AZO vs. DKNG: A comparison of their P/B Ratio against their respective Specialty Retail and Gambling, Resorts & Casinos industry benchmarks.

Valuation at a Glance

SymbolAZODKNG
Price-to-Earnings Ratio (P/E, TTM)24.62-50.46
Forward PEG Ratio (TTM)2.12-0.57
Price-to-Sales Ratio (P/S, TTM)3.344.05
Price-to-Book Ratio (P/B, TTM)-15.8823.04
Price-to-Free Cash Flow Ratio (P/FCF, TTM)31.4951.41
EV-to-EBITDA (TTM)14.99-108.34
EV-to-Sales (TTM)3.954.21