# How AutoZone (AZO) compares with the whole market and its popular alternatives

> Source: EasyCompare research, https://easycompare.io/research/azo
> Data as of October 20, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on AZO alone. It places AZO (AutoZone, Inc.) against 18 popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where AZO stands in the market, and of the alternatives worth a closer look.

Period covered: AZO's full trading record, from April 1991 through September 2026. All returns include reinvested dividends. Data as of October 20, 2026.

## Key findings

- **Right now:** AZO has gone against the market, falling 11.8% over the past 6 months while the S&P 500 rose 9.1%. AZO is 27.4% below its high, bear-market territory, while the S&P 500 sits 1.3% below a record.
- **Stock or market?:** AZO held up far better than its industry: it rose 5.5% over the past 3 months while the specialty retail ETF XRT (State Street SPDR S&P Retail ETF) fell 1.2%. The S&P 500 rose 3.9%. AZO rose 12.7% last month as the S&P 500 fell 0.6% and the Nasdaq 100 fell 3.2%.
- **Past 1 to 3 years:** Over the past year, AZO fell 20.4% while the S&P 500 rose 15.8%. The same gap shows up over 3 years (27.0% against 89.3%). A ahead of 76% of stocks worth at least $300 million over 10 years, but behind 63% of the stocks worth at least $300 million over 3 years.
- **Long term:** AZO's 10-year return of 323% puts it ahead of 76% of the stocks worth at least $300 million with that much history. The S&P 500 returned 321%. AZO turned $10,000 into $42,300 over the past decade, against $42,100 in the S&P 500.
- **In a crash:** AZO fell less than the S&P 500 in five of seven sell-offs, but the Covid crash broke the pattern: it fell 37.0%, more than the S&P 500's 33.7%.
- **Diversification:** Against the S&P 500, AZO has a correlation of 0.25 over 5 years, less closely than 79% of stocks worth at least $300 million. Next to an index fund it is a real diversifier. Over 10 years, AZO's beta versus the S&P 500 was 0.63: 72% of the S&P 500's gains in rising months and 54% of its losses in falling ones.
- **Better options**
  - **Popular alternatives:** ORLY (O'Reilly Automotive) earned more than AZO with less volatility over the past 5 years: 15.9% a year at 23.4% volatility, against 12.3% a year at 25.3%.
  - **Nearby categories and themes:** WMT (Walmart, discount retail) and COST (Costco Wholesale, discount retail) earned more than AZO with less volatility over the past 5 years. WMT returned 20.8% a year at 22.6% volatility, against 12.3% a year at 25.3%.
  - **Whole market:** 134 of the 3,633 stocks and funds worth at least $500 million earned more than AZO with less volatility over the past 5 years, among them BRK-B (Berkshire Hathaway), BRK-A (Berkshire Hathaway) and WMT (Walmart).

## How much would $10,000 in AZO have grown?

This chart tracks a hypothetical $10,000 investment in AZO over the past 29 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of AZO over the same span and AZO's popular alternatives, among those that traded for the entire period.

- $10,000 invested in AZO at the end of September 1997 would have grown to $947,149 by September 2026, more than the $132,907 it would have become in SPY, an S&P 500 fund.
- Five of the eight other investments on the chart ended ahead of AZO, and AAPL finished highest, at $20,534,853.

## AZO at a glance

This section summarizes the key facts about the stock, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout.

- AZO is still 27.4% below its all-time high.
- AZO's deepest decline since it began trading in 1991 was 46.3%, from April 1996 to January 1997. It took about four years from the low to climb back to its old high.
- Over 29 full calendar years, AZO's best was 2001, when it returned 152%, and its worst was 2000, when it lost 11.8%. It lost money in five of those years.

- Type: Stock, Consumer Discretionary (Specialty Retail)
- Trading since: April 2, 1991
- Market value: $52B
- Volatility (5 years): 25.3%; Sharpe ratio: 0.59
- Worst decline ever: −46.3%, from April 24, 1996 to January 6, 1997; back at its high by June 18, 2001

| Period | AZO total return |
| --- | --- |
| 1 month | +12.7% |
| 3 months | +5.5% |
| 6 months | −11.8% |
| year to date | −4.3% |
| 1 year | −20.4% |
| 3 years | +27.0% |
| 5 years | +78.6% |
| 10 years | +323% |

## AZO against the whole market

Where AZO ranks among every stock and fund, and what across the market has done better.

### How does AZO rank among all stocks?

This section ranks AZO on return, volatility, risk-adjusted return and worst decline against every stock worth at least $300 million with enough history.

- AZO's worst decline of the past 10 years ranks in the top 9% of the 2,187 stocks worth at least $300 million, where the top fell the least.
- AZO's 1-year return ranks in the bottom 20% of the 3,287 stocks worth at least $300 million with 1 year of history.

| Measure | AZO | Rank |
| --- | --- | --- |
| 1-year return | −20.4% | 2,647 of 3,287 (top 81%) |
| 3-year return | +27.0% | 1,907 of 3,017 (top 64%) |
| 5-year return | +78.6% | 828 of 2,893 (top 29%) |
| 10-year return | +323% | 530 of 2,202 (top 25%) |
| Volatility, 5 years | 25.3% | 350 of 2,893 (top 13%) |
| Sharpe ratio, 5 years | 0.59 | 708 of 2,893 (top 25%) |
| Worst decline, past 10 years | −42.1% | 205 of 2,187 (top 10%) |

### What has beaten AZO on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer).

- 46 stocks and 88 ETFs worth at least $500 million sit in the green region: each earned more than AZO over the past 5 years with smaller price swings. That is 4% of the 3,633 screened.
- Among those with at least half AZO's swings, DXJ has the best return for its risk: 26.6% a year at 19.1% volatility, 25% less than AZO's 25.3%, and a Sharpe ratio (return above cash per unit of volatility) of 1.34 against 0.59 for AZO.
- Among AZO's popular alternatives, ORLY is in the region. ORLY earned 15.9% a year against 12.3% a year for AZO, at 23.4% volatility, 7% less than AZO's 25.3%.

### Is there a better investment than AZO?

The table below lists investments that beat AZO over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes.

- Among AZO's popular alternatives, ORLY earned more than AZO with less volatility over the past 5 years: 15.9% a year at 23.4% volatility, against 12.3% a year at 25.3%.
- Looking beyond its popular alternatives, WMT (discount retail) and COST (discount retail) earned more than AZO with less volatility over the past 5 years. WMT returned 20.8% a year at 22.6% volatility, against 12.3% a year at 25.3%.
- Across the whole market, 134 of the 3,633 stocks and funds worth at least $500 million earned more than AZO with less volatility over the past 5 years, among them BRK-B, BRK-A and WMT.

The 15 strongest of 134 investments that beat AZO over the past 5 years, out of 3,633 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with AZO | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| AZO: AutoZone, Inc. (this page) |  | +12.3% | 25.3% | 0.59 | −42.1% | +323% |  |  |
| [BRK-B](https://easycompare.io/research/brk-b): Berkshire Hathaway Inc. | Insurance | +13.4% | 17.1% | 0.82 | −29.6% | +274% | 0.46 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | International Equity | +17.0% | 11.1% | 1.48 | −32.4% | +194% | 0.32 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [KO](https://easycompare.io/research/ko): The Coca-Cola Company | Food & Beverages | +14.7% | 16.8% | 0.91 | −37.0% | +204% | 0.37 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [QQQ](https://easycompare.io/research/qqq): Invesco QQQ Trust, Series 1 | US Large-Cap Growth | +14.5% | 23.0% | 0.71 | −35.1% | +553% | 0.07 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [NVS](https://easycompare.io/research/nvs): Novartis AG | Pharmaceuticals | +17.1% | 20.7% | 0.87 | −26.8% | +226% | 0.35 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [COR](https://easycompare.io/research/cor): Cencora, Inc. | Health Care Distribution | +24.2% | 22.8% | 1.07 | −32.4% | +406% | 0.52 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [RSG](https://easycompare.io/research/rsg): Republic Services, Inc. | Environmental Services | +13.9% | 18.5% | 0.80 | −34.0% | +446% | 0.49 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [MSI](https://easycompare.io/research/msi): Motorola Solutions, Inc. | Communications Equipment | +14.8% | 23.6% | 0.71 | −32.8% | +625% | 0.45 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [DYNF](https://easycompare.io/research/dynf): iShares U.S. Equity Factor Rotation Active ETF | US Multifactor Equity | +14.7% | 17.5% | 0.87 | −34.7% | — | 0.22 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [WMT](https://easycompare.io/research/wmt): Walmart Inc. | Discount Retail | +20.8% | 22.6% | 0.96 | −25.7% | +508% | 0.33 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| ATO: Atmos Energy Corporation | Gas Utilities | +14.9% | 18.4% | 0.85 | −32.9% | +194% | 0.46 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| SPMO: Invesco S&P 500 Momentum ETF | US Momentum Equity | +18.7% | 20.8% | 0.93 | −30.9% | +499% | 0.29 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| DFIV: Dimensional - International Value ETF | International Equity | +14.8% | 16.4% | 0.93 | −25.4% | — | 0.28 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| AVLV: Avantis U.S. Large Cap Value ETF | US Large-Cap Value | +14.0% | 16.9% | 0.86 | −19.5% | — | 0.33 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [COST](https://easycompare.io/research/cost): Costco Wholesale Corporation | Discount Retail | +17.4% | 22.9% | 0.82 | −31.4% | +685% | 0.28 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |

## AZO against its popular alternatives

The investments people most often weigh against AZO, compared period by period and year by year.

### How do AZO's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings.

- Only ORLY was both more rewarding and calmer than AZO over the past 5 years, earning a higher annual return with lower volatility.
- 15 of the 18 popular alternatives earned less than AZO over the past 5 years while swinging more, the weaker corner of the map.
- Over the past 5 years, AZO returned 12.3% a year, less than the S&P 500's 12.7%, with higher volatility (25.3% against 17.1%).

### Has AZO consistently beaten its popular alternatives?

This section compares AZO with the investments people most often weigh against it, checking each one over eight periods from one month to ten years.

- PAG and ORLY outperformed AZO in every long-term period and in all but one short-term period, the most consistent record in the group.
- Two of the 18 popular alternatives, PAG and ORLY, outperformed AZO in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- ORLY earned more for the risk it took than AZO (a higher Sharpe ratio) and fell less in its worst decline of the past 10 years.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of AZO | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| AZO: AutoZone, Inc. (this page) | −20.4% | +27.0% | +78.6% | +323% |  |  | 0.59 |
| PAG: Penske Automotive Group, Inc. | +29.4% | +57.0% | +131% | +528% | 4/5 short-term, 3/3 long-term | all-weather | 0.69 |
| [ORLY](https://easycompare.io/research/orly): O'Reilly Automotive, Inc. | −10.8% | +48.9% | +110% | +393% | 4/5 short-term, 3/3 long-term | all-weather | 0.75 |
| MOD: Modine Manufacturing Company | −7.0% | +260% | +1,127% | +1,187% | 2/5 short-term, 3/3 long-term |  | 1.13 |
| SAH: Sonic Automotive, Inc. | −13.6% | +50.3% | +38.7% | +309% | 3/5 short-term, 1/3 long-term |  | 0.37 |
| BWA: BorgWarner Inc. | +37.9% | +57.7% | +55.9% | +121% | 3/5 short-term, 1/3 long-term |  | 0.43 |
| DORM: Dorman Products, Inc. | −13.8% | +69.3% | +21.0% | +99.9% | 3/5 short-term, 1/3 long-term |  | 0.28 |
| GPI: Group 1 Automotive, Inc. | −45.1% | +1.6% | +32.2% | +351% | 0/5 short-term, 1/3 long-term |  | 0.34 |
| VVV: Valvoline Inc. | −9.8% | +2.4% | −7.5% | +58.0% | 4/5 short-term, 0/3 long-term |  | 0.10 |
| GPC: Genuine Parts Company | −2.9% | +5.6% | +10.1% | +85.3% | 3/5 short-term, 0/3 long-term |  | 0.21 |
| LAD: Lithia Motors, Inc. | −2.3% | +18.5% | −9.2% | +275% | 2/5 short-term, 0/3 long-term |  | 0.15 |
| GNTX: Gentex Corporation | −17.9% | −26.1% | −36.2% | +49.2% | 2/5 short-term, 0/3 long-term |  | -0.21 |
| AAP: Advance Auto Parts, Inc. | −14.8% | −8.3% | −78.0% | −63.9% | 2/5 short-term, 0/3 long-term |  | -0.28 |
| MNRO: Monro Inc. | −14.1% | −32.2% | −69.2% | −66.8% | 1/5 short-term, 0/3 long-term |  | -0.25 |
| DRVN: Driven Brands Holdings Inc. | −24.3% | +7.3% | −59.1% | — | 1/5 short-term, 0/3 long-term |  | -0.15 |
| AN: AutoNation, Inc. | −25.3% | +21.1% | +38.4% | +246% | 0/5 short-term, 0/3 long-term |  | 0.36 |
| ABG: Asbury Automotive Group, Inc. | −30.0% | −15.9% | −20.0% | +224% | 0/5 short-term, 0/3 long-term |  | 0.09 |
| LKQ: LKQ Corporation | −25.3% | −50.9% | −55.3% | −24.8% | 0/5 short-term, 0/3 long-term |  | -0.36 |
| GT: The Goodyear Tire & Rubber Company | −39.8% | −65.5% | −78.5% | −85.4% | 0/5 short-term, 0/3 long-term |  | -0.34 |

### How did AZO do year by year?

This table shows each investment's total return in every full calendar year since 1997, along with where AZO ranked among its popular alternatives each year.

- AZO finished ahead of the S&P 500 in 13 of its 29 full calendar years, and behind it in each of the last three.
- Ranked against its popular alternatives each year, AZO finished in the top quarter in ten of 29 years and in the bottom quarter in three. In 2025, it ranked 7 of 19.
- Among its popular alternatives, ORLY came out ahead of AZO most often, in 19 of the 29 years both traded.

| Year | AZO | SPY |
| --- | --- | --- |
| 2025 | +5.9% | +17.7% |
| 2024 | +23.8% | +24.9% |
| 2023 | +4.8% | +26.2% |
| 2022 | +17.6% | −18.2% |
| 2021 | +76.8% | +28.7% |
| 2020 | −0.5% | +18.3% |
| 2019 | +42.1% | +31.2% |
| 2018 | +17.8% | −4.6% |
| 2017 | −9.9% | +21.7% |
| 2016 | +6.5% | +12.0% |

## Risk and diversification

How AZO has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

### What were AZO's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high.

- Not every decline was the market's doing: AZO fell 46.3% from April 1996 to January 1997, while the S&P 500 rose 16.3%.
- The slowest recovery came after AZO fell 46.3% from April 1996 to January 1997; it did not regain that peak until June 2001, four years later.
- In three of AZO's four worst declines, the S&P 500 held up better over the same dates.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −46.3% | April 24, 1996 | January 6, 1997 | June 18, 2001 | +16.3% |  |
| −42.1% | December 10, 2019 | March 23, 2020 | September 2, 2020 | −28.1% | Covid crash |
| −39.6% | July 28, 2016 | July 12, 2017 | November 14, 2018 | +14.8% |  |
| −37.0% | February 6, 1992 | June 22, 1992 | March 10, 1993 | — |  |
| −36.9% | September 3, 2008 | November 20, 2008 | February 6, 2009 | −40.6% | 2008 financial crisis |

### How did AZO do in stock market crashes?

This section measures how far AZO, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000.

- AZO fell less than the S&P 500 in seven of the ten crashes it has traded through. The clearest case was the dot-com bust, when AZO fell 29.0% and the S&P 500 fell 47.5%.
- None of its popular alternatives fell less than AZO in most of the crashes they both traded through.

| Crash | Dates | AZO fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | −29.0% | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −36.9% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | −1.1% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −9.2% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −12.8% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −4.3% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −9.3% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −37.0% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −21.4% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | −1.6% | −3.4% |

### How closely does AZO move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell.

- None of the 17 popular alternatives with the same record had a higher capture ratio (upside capture divided by downside capture) than AZO's 1.34.
- Over the past 10 years, AZO captured 72% of the S&P 500's gains in rising months and 54% of its losses in falling months, with a beta of 0.63. That is a defensive profile: it gave up some of the market's upside in exchange for smaller losses.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| AZO: AutoZone, Inc. (this page) | 72.0% | 54.0% | 0.63 |
| PAG: Penske Automotive Group, Inc. | 112% | 106% | 1.20 |
| [ORLY](https://easycompare.io/research/orly): O'Reilly Automotive, Inc. | 86.0% | 66.0% | 0.78 |
| MOD: Modine Manufacturing Company | 189% | 180% | 2.20 |
| SAH: Sonic Automotive, Inc. | 116% | 136% | 1.69 |
| BWA: BorgWarner Inc. | 109% | 157% | 1.31 |
| DORM: Dorman Products, Inc. | 73.0% | 100% | 0.88 |
| GPI: Group 1 Automotive, Inc. | 110% | 118% | 1.38 |
| VVV: Valvoline Inc. | 74.0% | 121% | 1.21 |
| GPC: Genuine Parts Company | 77.0% | 116% | 0.87 |
| LAD: Lithia Motors, Inc. | 133% | 176% | 1.52 |
| GNTX: Gentex Corporation | 63.0% | 98.0% | 0.92 |
| AAP: Advance Auto Parts, Inc. | 40.0% | 158% | 1.19 |
| MNRO: Monro Inc. | 44.0% | 165% | 1.09 |
| AN: AutoNation, Inc. | 106% | 127% | 1.16 |
| ABG: Asbury Automotive Group, Inc. | 114% | 145% | 1.19 |
| LKQ: LKQ Corporation | 74.0% | 163% | 1.25 |
| GT: The Goodyear Tire & Rubber Company | 77.0% | 263% | 1.63 |

### What diversifies AZO?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions).

- Moving a fifth of the money in AZO into GLD would have cut the portfolio's volatility by 17% over the past 5 years and raised its annual return (+10.8% for AZO alone, +13.0% for the mix).
- Among large ETFs, LVHI, DXJ and EMLP have moved largely independently of AZO over the past 5 years, with correlations of 0.42 or lower, and each still earned a positive 5-year return.
- MCK made money in three of the five calendar years in which AZO lost money.

| Investment | Correlation with AZO | 5Y return | Volatility | Sharpe | Rose in AZO's 5 down years |
| --- | --- | --- | --- | --- | --- |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | 0.32 | +119% | 11.1% | 1.48 | 1 of 5 |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.22 | +225% | 19.1% | 1.34 | 2 of 5 |
| EMLP: First Trust North American Energy Infrastructure Fund | 0.42 | +101% | 14.5% | 1.04 | 1 of 5 |
| FDL: First Trust Morningstar Dividend Leaders Index Fund | 0.42 | +91.8% | 14.4% | 0.98 | 1 of 5 |
| [SMH](https://easycompare.io/research/smh): VanEck Semiconductor ETF | 0.01 | +323% | 36.9% | 0.97 | 2 of 5 |
| DBEF: Xtrackers MSCI EAFE Hedged Equity ETF | 0.29 | +85.0% | 13.8% | 0.96 | 2 of 5 |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | 0.10 | +126% | 18.9% | 0.96 | 2 of 5 |
| SPMO: Invesco S&P 500 Momentum ETF | 0.29 | +136% | 20.8% | 0.93 | 2 of 5 |

## Common questions

### What was AZO's worst drawdown?

AZO's deepest decline since it began trading in 1991 was 46.3%, from April 1996 to January 1997. It took about four years from the low to climb back to its old high.

### What were AZO's best and worst years?

Over 29 full calendar years, AZO's best year was 2001, when it returned 152%. Its worst was 2000, with a return of -11.8%.

### Is there a better investment than AZO?

Among AZO's popular alternatives, ORLY earned more than AZO with less volatility over the past 5 years: 15.9% a year at 23.4% volatility, against 12.3% a year at 25.3%. Looking beyond its popular alternatives, WMT (discount retail) and COST (discount retail) earned more than AZO with less volatility over the past 5 years. WMT returned 20.8% a year at 22.6% volatility, against 12.3% a year at 25.3%.

### Is AZO more volatile than the S&P 500?

Yes. AZO's volatility over the past 5 years was 25.3%, 1.5 times the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, AZO's return lands within 25.3% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

### What is AZO's Sharpe ratio?

AZO's Sharpe ratio over the past 5 years was 0.59, against 0.79 for the S&P 500, so AZO earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

### How correlated is AZO with the S&P 500?

Over the past 5 years, AZO's monthly returns had a correlation of 0.25 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They are only loosely linked, which makes it a real diversifier next to an index fund. In the table, the correlation column measures each option against AZO instead: the lower it is, the more that option would diversify a AZO holding.

### What are the best alternatives to AZO?

Of the 18 popular alternatives we compared, two outperformed AZO in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: PAG and ORLY.

### Did AZO outperform the S&P 500?

AZO finished ahead of the S&P 500 (SPY) in 13 of 29 full calendar years. In 2025, it returned +5.9%, against +17.7% for the index.

### How did AZO do in stock market crashes?

AZO fell less than the S&P 500 (SPY) in seven of the ten major crashes it has traded through, and further in one. The clearest case was the dot-com bust, when AZO fell 29.0% and the S&P 500 fell 47.5%.

### What diversifies AZO?

These had a low correlation with AZO over the past 5 years and still earned a positive 5-year return: among large ETFs, LVHI (correlation 0.32), DXJ (correlation 0.22) and EMLP (correlation 0.42); among large stocks, CAH (correlation 0.24), CLS (correlation 0.00) and FIX (correlation 0.29). A correlation near zero means the two have moved largely independently.

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## Explore further

- Full page with charts: https://easycompare.io/research/azo
- All research pages: https://easycompare.io/llms.txt
- Compare the entire market against AZO live: https://betterthanspy.com/?b=AZO&utm_source=easycompare&utm_medium=research