Advance Auto Parts, Inc. (NYSE:AAP) Receives Average Recommendation of “Reduce” from Brokerages

Shares of Advance Auto Parts, Inc. (NYSE:AAP) have been given a consensus recommendation of “Reduce” by the twenty-four research firms that are covering the firm, Marketbeat Ratings reports. Three equities research analysts have rated the stock with a sell recommendation, twenty have issued a hold recommendation and one has given a buy recommendation to the company. The average 1 year price objective among analysts that have issued ratings on the stock in the last year is $51.7845.

A number of research firms have weighed in on AAP. Wall Street Zen upgraded shares of Advance Auto Parts from a “sell” rating to a “hold” rating in a research note on Saturday, August 16th. Wells Fargo & Company upped their price objective on Advance Auto Parts from $45.00 to $50.00 and gave the company an “equal weight” rating in a research note on Friday, August 15th. Wolfe Research started coverage on Advance Auto Parts in a research report on Thursday, September 18th. They issued a “peer perform” rating for the company. JPMorgan Chase & Co. boosted their target price on Advance Auto Parts from $44.00 to $62.00 and gave the company a “neutral” rating in a research note on Friday, October 31st. Finally, Argus reaffirmed a “hold” rating and set a $60.52 price target on shares of Advance Auto Parts in a research report on Friday, August 29th.

Insider Transactions at Advance Auto Parts

In other Advance Auto Parts news, EVP Kristen L. Soler sold 7,662 shares of the firm’s stock in a transaction dated Thursday, November 13th. The stock was sold at an average price of $51.00, for a total value of $390,762.00. Following the completion of the transaction, the executive vice president owned 23,165 shares in the company, valued at $1,181,415. This trade represents a 24.85% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Company insiders own 0.35% of the company’s stock.

Hedge Funds Weigh In On Advance Auto Parts

Several hedge funds have recently bought and sold shares of the company. AMG National Trust Bank lifted its stake in shares of Advance Auto Parts by 38.1% in the 1st quarter. AMG National Trust Bank now owns 43,615 shares of the company’s stock valued at $1,710,000 after acquiring an additional 12,040 shares during the last quarter. Gainplan LLC bought a new stake in Advance Auto Parts in the second quarter valued at approximately $700,000. Pzena Investment Management LLC boosted its stake in shares of Advance Auto Parts by 1.9% during the second quarter. Pzena Investment Management LLC now owns 4,394,964 shares of the company’s stock valued at $204,322,000 after purchasing an additional 82,456 shares during the period. Raymond James Financial Inc. grew its holdings in shares of Advance Auto Parts by 13.0% in the first quarter. Raymond James Financial Inc. now owns 210,886 shares of the company’s stock worth $8,269,000 after purchasing an additional 24,342 shares during the last quarter. Finally, Dimensional Fund Advisors LP increased its stake in shares of Advance Auto Parts by 0.5% in the first quarter. Dimensional Fund Advisors LP now owns 2,741,701 shares of the company’s stock worth $107,500,000 after buying an additional 13,412 shares during the period. Hedge funds and other institutional investors own 88.70% of the company’s stock.

Advance Auto Parts Price Performance

Shares of NYSE AAP opened at $49.96 on Monday. The company has a market capitalization of $3.00 billion, a PE ratio of -7.84 and a beta of 1.06. The company has a quick ratio of 0.49, a current ratio of 1.27 and a debt-to-equity ratio of 0.68. The stock’s 50 day moving average price is $55.85 and its 200-day moving average price is $53.03. Advance Auto Parts has a twelve month low of $28.89 and a twelve month high of $70.00.

Advance Auto Parts (NYSE:AAP) last issued its quarterly earnings results on Thursday, October 30th. The company reported $0.92 EPS for the quarter, beating analysts’ consensus estimates of $0.74 by $0.18. The company had revenue of $2.04 billion during the quarter, compared to the consensus estimate of $2.02 billion. Advance Auto Parts had a negative return on equity of 1.97% and a negative net margin of 4.37%.Advance Auto Parts’s revenue was down 5.2% on a year-over-year basis. During the same period last year, the business posted ($0.04) earnings per share. Advance Auto Parts has set its FY 2025 guidance at 1.750-1.850 EPS. On average, equities analysts anticipate that Advance Auto Parts will post -0.46 EPS for the current year.

Advance Auto Parts Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Friday, January 23rd. Investors of record on Friday, January 9th will be paid a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a dividend yield of 2.0%. The ex-dividend date is Friday, January 9th. Advance Auto Parts’s payout ratio is presently -15.90%.

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.