Advance Auto Parts, Inc. (NYSE:AAP) Given Average Recommendation of “Hold” by Brokerages

Advance Auto Parts, Inc. (NYSE:AAP) has been assigned an average rating of “Hold” from the twenty-two research firms that are currently covering the stock, MarketBeat Ratings reports. One research analyst has rated the stock with a sell recommendation, nineteen have issued a hold recommendation and two have given a buy recommendation to the company. The average 1 year price objective among brokerages that have issued a report on the stock in the last year is $50.7953.

Several brokerages recently commented on AAP. UBS Group reduced their target price on Advance Auto Parts from $65.00 to $47.00 and set a “neutral” rating on the stock in a report on Friday. TD Cowen dropped their price target on shares of Advance Auto Parts from $61.00 to $45.00 and set a “hold” rating on the stock in a research report on Thursday, August 20th. Roth Capital set a $48.00 price objective on shares of Advance Auto Parts in a research note on Friday. Mizuho lifted their target price on shares of Advance Auto Parts from $54.00 to $58.00 and gave the stock a “neutral” rating in a research note on Tuesday, May 26th. Finally, Truist Financial set a $43.00 target price on shares of Advance Auto Parts and gave the company a “hold” rating in a report on Thursday, August 20th.

Advance Auto Parts Stock Up 0.0%

Shares of AAP opened at $43.63 on Wednesday. The company has a market capitalization of $2.64 billion, a PE ratio of 31.85, a PEG ratio of 0.71 and a beta of 1.03. Advance Auto Parts has a 12 month low of $37.89 and a 12 month high of $65.21. The stock’s 50-day moving average price is $55.89 and its two-hundred day moving average price is $55.26. The company has a current ratio of 1.75, a quick ratio of 0.85 and a debt-to-equity ratio of 1.50.

Advance Auto Parts (NYSE:AAP) last issued its quarterly earnings results on Thursday, August 20th. The company reported $1.03 earnings per share for the quarter, beating the consensus estimate of $0.81 by $0.22. Advance Auto Parts had a return on equity of 9.84% and a net margin of 0.97%.The company had revenue of $2 billion during the quarter, compared to analysts’ expectations of $2.04 billion. During the same quarter in the prior year, the firm posted $0.69 earnings per share. The business’s quarterly revenue was down .5% on a year-over-year basis. Advance Auto Parts has set its FY 2026 guidance at 2.600-3.300 EPS. On average, analysts anticipate that Advance Auto Parts will post 2.95 EPS for the current year.

Advance Auto Parts Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, October 23rd. Stockholders of record on Friday, October 9th will be paid a $0.25 dividend. This represents a $1.00 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend is Friday, October 9th. Advance Auto Parts’s payout ratio is currently 72.99%.

Institutional Investors Weigh In On Advance Auto Parts

Several large investors have recently added to or reduced their stakes in AAP. BlackRock Inc. acquired a new position in Advance Auto Parts in the second quarter valued at approximately $581,909,000. California State Teachers Retirement System increased its stake in shares of Advance Auto Parts by 7,208.9% in the 2nd quarter. California State Teachers Retirement System now owns 5,135,203 shares of the company’s stock valued at $319,512,000 after acquiring an additional 5,064,943 shares in the last quarter. Pzena Investment Management LLC bought a new stake in shares of Advance Auto Parts in the 2nd quarter valued at $273,115,000. Price T Rowe Associates Inc. MD lifted its position in shares of Advance Auto Parts by 18.9% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 7,474,546 shares of the company’s stock valued at $293,751,000 after acquiring an additional 1,190,094 shares during the period. Finally, Maple Rock Capital Partners Inc. lifted its position in shares of Advance Auto Parts by 86.5% during the 2nd quarter. Maple Rock Capital Partners Inc. now owns 2,421,040 shares of the company’s stock valued at $150,637,000 after acquiring an additional 1,122,900 shares during the period. Institutional investors and hedge funds own 88.70% of the company’s stock.

Advance Auto Parts Company Profile

Advance Auto Parts, Inc (NYSE: AAP) is a leading distributor of automotive aftermarket parts, accessories, and maintenance items. The company operates a network of stores and distribution centers across North America, serving both do-it-yourself (DIY) customers and professional service providers. Advance Auto Parts focuses on offering a comprehensive selection of replacement parts, batteries, engine components, and performance products for cars and light trucks.

The company’s product portfolio includes engine oils and lubricants, cooling system components, brake and suspension parts, filters, belts, hoses, and diagnostic tools.