Roth Capital Has Pessimistic Outlook of AAP FY2025 Earnings

Advance Auto Parts, Inc. (NYSE:AAP) – Stock analysts at Roth Capital reduced their FY2025 earnings estimates for Advance Auto Parts in a research note issued to investors on Monday, October 27th. Roth Capital analyst S. Stember now expects that the company will earn $1.62 per share for the year, down from their prior estimate of $1.95. Roth Capital currently has a “Neutral” rating and a $55.00 target price on the stock. The consensus estimate for Advance Auto Parts’ current full-year earnings is ($0.46) per share. Roth Capital also issued estimates for Advance Auto Parts’ Q4 2025 earnings at $0.43 EPS, Q1 2026 earnings at $0.44 EPS and FY2026 earnings at $2.67 EPS.

Other equities analysts have also recently issued research reports about the stock. Mizuho boosted their price target on shares of Advance Auto Parts from $44.00 to $54.00 and gave the stock a “neutral” rating in a research note on Friday, August 29th. Wall Street Zen upgraded shares of Advance Auto Parts from a “sell” rating to a “hold” rating in a research report on Saturday, August 16th. DA Davidson set a $65.00 target price on Advance Auto Parts in a research note on Thursday, August 14th. Truist Financial lowered their price target on Advance Auto Parts from $53.00 to $50.00 and set a “hold” rating on the stock in a research report on Monday, October 20th. Finally, UBS Group reiterated a “neutral” rating on shares of Advance Auto Parts in a report on Tuesday, October 21st. One investment analyst has rated the stock with a Buy rating, eighteen have issued a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Reduce” and an average target price of $52.77.

Advance Auto Parts Stock Down 3.2%

Shares of NYSE AAP opened at $55.16 on Wednesday. The company has a current ratio of 1.27, a quick ratio of 0.49 and a debt-to-equity ratio of 0.68. The business has a 50-day moving average of $58.38 and a 200-day moving average of $51.50. The firm has a market capitalization of $3.31 billion, a price-to-earnings ratio of -8.66 and a beta of 1.08. Advance Auto Parts has a 12 month low of $28.89 and a 12 month high of $70.00.

Advance Auto Parts (NYSE:AAP) last released its quarterly earnings results on Thursday, July 24th. The company reported ($0.22) EPS for the quarter. Advance Auto Parts had a negative net margin of 4.37% and a negative return on equity of 1.97%. The firm had revenue of $2.58 billion for the quarter. Advance Auto Parts has set its Q2 2025 guidance at EPS.

Advance Auto Parts Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Friday, October 24th. Investors of record on Friday, October 10th were given a dividend of $0.25 per share. The ex-dividend date was Friday, October 10th. This represents a $1.00 annualized dividend and a dividend yield of 1.8%. Advance Auto Parts’s payout ratio is currently -15.70%.

Institutional Trading of Advance Auto Parts

A number of hedge funds have recently made changes to their positions in AAP. REAP Financial Group LLC purchased a new stake in shares of Advance Auto Parts in the 2nd quarter worth $26,000. Salomon & Ludwin LLC purchased a new position in Advance Auto Parts during the third quarter valued at $26,000. Hexagon Capital Partners LLC boosted its holdings in shares of Advance Auto Parts by 189.0% during the 1st quarter. Hexagon Capital Partners LLC now owns 711 shares of the company’s stock valued at $28,000 after purchasing an additional 465 shares during the last quarter. Smartleaf Asset Management LLC grew its position in shares of Advance Auto Parts by 290.3% during the second quarter. Smartleaf Asset Management LLC now owns 925 shares of the company’s stock valued at $43,000 after purchasing an additional 688 shares in the last quarter. Finally, Parallel Advisors LLC lifted its position in shares of Advance Auto Parts by 355.8% in the second quarter. Parallel Advisors LLC now owns 939 shares of the company’s stock worth $44,000 after buying an additional 733 shares in the last quarter. 88.70% of the stock is owned by institutional investors.

About Advance Auto Parts

Advance Auto Parts, Inc provides automotive replacement parts, accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy duty trucks. The company offers battery accessories; belts and hoses; brakes and brake pads; chassis and climate control parts; clutches and drive shafts; engines and engine parts; exhaust systems and parts; hub assemblies; ignition components and wires; radiators and cooling parts; starters and alternators; and steering and alignment parts.