Autozone Gets Revved Up for New Rally
03/31/2011 8:00 am EST
After a brief correction, it appears that shares of the auto parts retailer are again ready to head higher, and this recent doubler could leave the prior highs in the dust.
Shares of Autozone Inc (AZO) finally corrected in early January after a rally lasting over a year and doubling the value of its stock. Now that correction appears to be nearing its end.
Autozone is a retailer and distributor of automotive parts and accessories. At the end of fiscal 2010, the company operated 4,389 domestic stores in the United States and Puerto Rico and 238 stores in Mexico.
Back in January, Autozone topped out with a closing high of $275.50. Last week, shares reached a higher intraday high but managed to close at $275.49, only one cent below the prior high.
A brief pullback on Monday, March 28 was followed by a rally on Tuesday, March 29, and Autozone is again close to breaking out.
A decisive close above $275.50 would point to continued gains and an advance to the next resistance level at about $293.70.
By Frank Kollar of FibTimer.com