In a fledgling economy, people start to cut back, and naturally they start with biggest ticket items first. So when your car starts to breakdown you don't buy a new one, you repair the car you have. With new car dealerships turning into empty parking lots and people turning to independent mechanics or DIY for their repairs, companies like Autozone (AZO) and O'Reilly Automotive (ORLY) end up the big winners. Autozone (AZO) and O'Reilly Automotive (ORLY) should grow at 17% and 20% respectively in an industry estimated to grow at 3% next year. With slowing economic growth and high unemployment set to continue over the next few years, I expect these two to continue delivering stellar numbers. Autozone (AZO) reports before the bell tomorrow. I bought some OCT 330 and JAN 320 calls as I think they should beat handily.
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