0722 ET - AutoZone is positioned defensively as the auto-parts aftermarket industry tends to be resilient in times of economic downturns, D.A. Davidson says. Both AutoZone and O'Reilly Automotive have posted positive comparable sales every year since at least 2007, the analysts say. Higher prices for auto parts are usually passed to the customer without much loss in volume, resulting in improved comparable sales. If tariffs or inflation raise auto part prices, it could be a positive for AutoZone. Higher new car prices would also lead more drivers to hang on to their used vehicles for longer, potentially spending more on repairs, the analystst say. D.A. Davidson upgrades AutoZone to buy and lifts price target to $4,192 from $3,500. AutoZone is up 0.3% to $3,584.90 premarket. (katherine.hamilton@wsj.com)

(END) Dow Jones Newswires

March 21, 2025 07:22 ET (11:22 GMT)

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