AutoZone shares plunge over 10% despite beating earnings estimates, hit by growth and margin concerns.

AutoZone's stock dropped more than 10% in a single day, marking its worst trading day in over six years, despite reporting earnings per share of $38.07, beating the expected $36.28. Revenue matched estimates at $4.84 billion. Analysts expressed concerns about weak international growth, margin compression, and inflationary pressures, alongside potential supply chain issues related to motor oil shortages. The company attributed slower sales partly to cooler weather affecting heat-related product demand and expects inflation pressures to persist but remain moderate. AutoZone's cautious outlook and external challenges contributed to the sharp stock decline.