Zain Akbari

Zain Akbari, CFA, is an equity analyst for Morningstar.

More From Zain Akbari

We think its distribution network sets it up for success in the race for professional and DIY sales.

The purchase of Alliance Automotive will make the narrow-moat firm a more valuable partner to global part vendors that should increasingly depend on the firm for aftermarket sales.

The narrow-moat company faces a competitive onslaught in difficult categories, but it retains clout that constitutes a sustainable advantage.

It's poised to capitalize on trends favoring premium and natural pet foods, and it's undervalued.

We do not think sluggish quarterly results indicate lower long-term potential for the narrow-moat company.

While the industrywide price compression erodes the wide-moat company's price advantage against traditional retailers in the short term, we do not anticipate a long-term change to the company’s competitive standing.

The wide-moat firm's value proposition to its customers will improve as inflation returns across its product spectrum, as cost increases should underscore Costco's price gaps against alternative outlets.

The narrow-moat specialty retailer offers investors the best opportunity to capitalize on attractive industry dynamics.

The wide-moat retailer should be able to deliver strong long-term returns as it builds its international platform and expands its membership base.

Despite somewhat soft domestic sales growth, the narrow-moat auto-parts retailer continued to boost profitability, and should be able to increase margins through operating leverage as it scales.

Although the deflationary environment is suboptimal, we are encouraged that the narrow-moat grocer posted stronger-than-expected margin performance.

More About Zain Akbari

Zain Akbari, CFA, is an equity analyst for Morningstar Research Services LLC, a wholly owned subsidiary of Morningstar, Inc. He covers food companies, auto parts retailers, and information services firms.

Before joining Morningstar in 2015, Akbari spent several years at UBS, most recently leading the firm’s Liability Management, Americas team. During his time at UBS, Akbari structured and executed bond buybacks, exchange offers, and covenant modifications for investment-grade, high-yield, and convertible securities issued by American and Asian companies.

Akbari holds a bachelor’s degree in finance and real estate from The Wharton School of The University of Pennsylvania and master’s degree in business administration from the University of Chicago Booth School of Business.

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