AutoZone, Inc. Harvard Case Solution & Analysis

This case scenario can be taught in an introductory corporate finance course or to executives or more experienced students to spur corporate financial strategies in general and a discussion about share repurchases.This case scenario is more efficient if lead by a conventional dividend class if used in an introductory course. It follows a portfolio manager of Johnson & Associates, Mark Johnson, who was reviewing his holdings, including his place in AutoZone in early 2012.

Edward Lampert, a prominent shareholder, had started liquidating his place in AutoZone, and Johnson was concerned that Lampert's decreased place could lead the organization to quit utilizing share repurchases as a technique of distributing the cashflows to the shareholders. The case scenario lists a number of routes available for the cashflows and inquires pupils to assess the likely impact of those alternatives on AutoZone's stock price and to assume Johnson's function as an analyst. The case can be taught in an introductory corporate finance course or to seasoned students or executives to spur a discussion about share repurchases and general corporate fiscal strategies. If utilized in a commencement course, the case is best if preceded by a conventional dividend class.


This is just an excerpt. This case is about FINANCE & ACCOUNTING

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