freefall51

S&P's Best and Worst of 2008

I am absolutely puzzled by the price performance of AZO (Autozone);
in my view the financial picture is absolutely over-leveraged in a time where credit availability is restrained; latest credit rating is BBB;

From the Aug 08 numbers I take Debt/ Equity is 22/1; AZO are buying back shares on credit and manage to lower the equity per share from $ 6 to $ 3.60 in a year. The incomplete numbers for the last quarter ending Nov. hint an equity of only $ 1/share and the share price sits at $ 141 and a triple top high. What kind of improvement can one reasonably expect form here? I think AZO is an excellent short candidate.