So, all last year CNBC has been running stories about Sears Holdings (SHLD) Chairman Eddie Lampert and saying he has “lost it”, or word to that effect. Yet, AutoZone (AZO), which Lampert will soon own about 50% of is trading just off an all-time high. The silence from the boob tube is deafening.
AutoZone, which is the largest U.S. auto-parts retailer, reported a 12.2% rise in quarterly profit on Monday.
Net income rose to $243.7 million, or $3.88 per share, in its fiscal fourth quarter that ended August 30, from $217.2 million, or $3.23 per share, a year earlier. Net sales increased 10.4 percent to $2.2 billion and same-store sales, rose 0.6 percent in the quarter.
Now, I still say that something is in the cards for AutoZone (AZO), AutoNation (AN) and Sears Auto. Lampert has controlling stakes in all of them and has friendly Boards to deal with.
Maybe not now, but there are just too many things pointing to it to ignore.
Disclosure (“none” means no position):long SHLD, AN, none
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