AZO vs. NKE: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AZO and NKE, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
NKE’s market capitalization of 112.75 billion USD is significantly greater than AZO’s 63.05 billion USD, highlighting its more substantial market valuation.
NKE carries a higher beta at 1.22, indicating it’s more sensitive to market moves, while AZO (beta: 0.40) exhibits greater stability.
| Symbol | AZO | NKE |
|---|---|---|
| Company Name | AutoZone, Inc. | NIKE, Inc. |
| Country | US | US |
| Sector | Consumer Cyclical | Consumer Cyclical |
| Industry | Specialty Retail | Apparel - Footwear & Accessories |
| CEO | Philip B. Daniele III | Elliott J. Hill |
| Price | 3,769.26 USD | 76.39 USD |
| Market Cap | 63.05 billion USD | 112.75 billion USD |
| Beta | 0.40 | 1.22 |
| Exchange | NYSE | NYSE |
| IPO Date | April 2, 1991 | December 2, 1980 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AZO and NKE 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.
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.
NKE
23.33%
Apparel - Footwear & Accessories Industry
- Max
- 53.33%
- Q3
- 31.96%
- Median
- 19.72%
- Q1
- 13.83%
- Min
- 9.34%
NKE’s Return on Equity of 23.33% is on par with the norm for the Apparel - Footwear & Accessories industry, indicating its profitability relative to shareholder equity is typical for the sector.
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.
NKE
11.57%
Apparel - Footwear & Accessories Industry
- Max
- 23.85%
- Q3
- 16.13%
- Median
- 10.13%
- Q1
- 7.01%
- Min
- 6.14%
NKE’s Return on Invested Capital of 11.57% is in line with the norm for the Apparel - Footwear & Accessories industry, reflecting a standard level of efficiency in generating profits from its capital base.
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.
NKE
6.95%
Apparel - Footwear & Accessories Industry
- Max
- 19.38%
- Q3
- 12.90%
- Median
- 9.43%
- Q1
- 6.96%
- Min
- 3.11%
Falling into the lower quartile for the Apparel - Footwear & Accessories industry, NKE’s Net Profit Margin of 6.95% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
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.
NKE
7.99%
Apparel - Footwear & Accessories Industry
- Max
- 25.16%
- Q3
- 23.65%
- Median
- 10.39%
- Q1
- 9.54%
- Min
- 4.43%
NKE’s Operating Profit Margin of 7.99% is in the lower quartile for the Apparel - Footwear & Accessories industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.
Profitability at a Glance
| Symbol | AZO | NKE |
|---|---|---|
| Return on Equity (TTM) | -57.43% | 23.33% |
| Return on Assets (TTM) | 13.77% | 8.80% |
| Return on Invested Capital (TTM) | 15.20% | 11.57% |
| Net Profit Margin (TTM) | 13.56% | 6.95% |
| Operating Profit Margin (TTM) | 19.63% | 7.99% |
| Gross Profit Margin (TTM) | 52.95% | 42.73% |
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.
NKE
2.21
Apparel - Footwear & Accessories Industry
- Max
- 3.72
- Q3
- 3.06
- Median
- 2.19
- Q1
- 1.52
- Min
- 1.10
NKE’s Current Ratio of 2.21 aligns with the median group of the Apparel - Footwear & Accessories industry, indicating that its short-term liquidity is in line with its sector peers.
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.
NKE
0.83
Apparel - Footwear & Accessories Industry
- Max
- 1.40
- Q3
- 0.85
- Median
- 0.43
- Q1
- 0.11
- Min
- 0.05
NKE’s Debt-to-Equity Ratio of 0.83 is typical for the Apparel - Footwear & Accessories industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
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.
NKE
-34.60
Apparel - Footwear & Accessories Industry
- Max
- 335.26
- Q3
- 172.65
- Median
- 8.49
- Q1
- 3.88
- Min
- -58.42
NKE has a negative Interest Coverage Ratio of -34.60. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | AZO | NKE |
|---|---|---|
| Current Ratio (TTM) | 0.75 | 2.21 |
| Quick Ratio (TTM) | 0.03 | 1.50 |
| Debt-to-Equity Ratio (TTM) | -2.99 | 0.83 |
| Debt-to-Asset Ratio (TTM) | 0.64 | 0.30 |
| Net Debt-to-EBITDA Ratio (TTM) | 2.33 | 3.30 |
| Interest Coverage Ratio (TTM) | 4.36 | -34.60 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AZO and NKE. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
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.
NKE
2.06%
Apparel - Footwear & Accessories Industry
- Max
- 9.03%
- Q3
- 2.23%
- Median
- 2.16%
- Q1
- 0.00%
- Min
- 0.00%
NKE’s Dividend Yield of 2.06% is consistent with its peers in the Apparel - Footwear & Accessories industry, providing a dividend return that is standard for its sector.
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.
NKE
70.49%
Apparel - Footwear & Accessories Industry
- Max
- 99.56%
- Q3
- 44.76%
- Median
- 11.55%
- Q1
- 0.00%
- Min
- 0.00%
NKE’s Dividend Payout Ratio of 70.49% is in the upper quartile for the Apparel - Footwear & Accessories industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | AZO | NKE |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 2.06% |
| Dividend Payout Ratio (TTM) | 0.00% | 70.49% |
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.
NKE
35.04
Apparel - Footwear & Accessories Industry
- Max
- 31.36
- Q3
- 20.35
- Median
- 14.84
- Q1
- 10.48
- Min
- 4.90
At 35.04, NKE’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Apparel - Footwear & Accessories industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
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.
NKE
1.53
Apparel - Footwear & Accessories Industry
- Max
- 1.70
- Q3
- 1.44
- Median
- 1.02
- Q1
- 0.62
- Min
- 0.40
A Forward PEG Ratio of 1.53 places NKE in the upper quartile for the Apparel - Footwear & Accessories industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.
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.
NKE
2.43
Apparel - Footwear & Accessories Industry
- Max
- 4.04
- Q3
- 2.22
- Median
- 1.13
- Q1
- 0.85
- Min
- 0.16
NKE’s P/S Ratio of 2.43 is in the upper echelon for the Apparel - Footwear & Accessories 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.
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.
NKE
8.54
Apparel - Footwear & Accessories Industry
- Max
- 7.65
- Q3
- 4.81
- Median
- 2.83
- Q1
- 1.89
- Min
- 0.67
At 8.54, NKE’s P/B Ratio is at an extreme premium to the Apparel - Footwear & Accessories industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | AZO | NKE |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 24.62 | 35.04 |
| Forward PEG Ratio (TTM) | 2.12 | 1.53 |
| Price-to-Sales Ratio (P/S, TTM) | 3.34 | 2.43 |
| Price-to-Book Ratio (P/B, TTM) | -15.88 | 8.54 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 31.49 | 21.23 |
| EV-to-EBITDA (TTM) | 14.99 | 37.09 |
| EV-to-Sales (TTM) | 3.95 | 2.67 |