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

Advance Auto Parts, Inc. (NYSE:AAP) has been given a consensus rating of “Reduce” by the twenty-two analysts that are covering the stock, MarketBeat.com reports. Three equities research analysts have rated the stock with a sell recommendation, seventeen have assigned a hold recommendation and two have assigned a buy recommendation to the company. The average twelve-month price target among brokers that have issued a report on the stock in the last year is $52.9311.

Several equities research analysts have recently weighed in on the company. Northcoast Research raised Advance Auto Parts from a “neutral” rating to a “buy” rating and set a $55.00 target price on the stock in a research report on Wednesday, January 21st. Citigroup raised shares of Advance Auto Parts from a “hold” rating to a “buy” rating in a report on Wednesday, January 21st. Evercore set a $60.00 target price on shares of Advance Auto Parts in a report on Wednesday, February 11th. Wells Fargo & Company increased their target price on shares of Advance Auto Parts from $40.00 to $50.00 and gave the company an “equal weight” rating in a research report on Wednesday, February 11th. Finally, Royal Bank Of Canada lifted their price target on shares of Advance Auto Parts from $57.00 to $63.00 and gave the stock a “sector perform” rating in a research note on Tuesday, February 17th.

Advance Auto Parts Trading Down 2.4%

Shares of NYSE:AAP opened at $51.97 on Wednesday. Advance Auto Parts has a 52 week low of $28.89 and a 52 week high of $70.00. The company’s 50 day moving average is $48.21 and its two-hundred day moving average is $52.06. The company has a market cap of $3.12 billion, a PE ratio of 71.19, a P/E/G ratio of 0.71 and a beta of 1.11. The company has a current ratio of 1.75, a quick ratio of 0.87 and a debt-to-equity ratio of 1.55.

Advance Auto Parts (NYSE:AAP) last issued its earnings results on Friday, February 13th. The company reported $0.86 EPS for the quarter, topping analysts’ consensus estimates of $0.41 by $0.45. Advance Auto Parts had a net margin of 0.51% and a return on equity of 6.23%. The firm had revenue of $1.97 billion during the quarter, compared to the consensus estimate of $1.95 billion. During the same quarter in the previous year, the firm posted ($10.16) earnings per share. The company’s revenue was down 1.2% compared to the same quarter last year. Advance Auto Parts has set its FY 2026 guidance at 2.400-3.10 EPS. Equities analysts predict that Advance Auto Parts will post -0.46 earnings per share for the current fiscal year.

Advance Auto Parts Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, April 24th. Stockholders of record on Friday, April 10th will be given a dividend of $0.25 per share. The ex-dividend date is Friday, April 10th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 1.9%. Advance Auto Parts’s payout ratio is 136.99%.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the company. Price T Rowe Associates Inc. MD lifted its stake in Advance Auto Parts by 18.9% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 7,474,546 shares of the company’s stock valued at $293,751,000 after buying an additional 1,190,094 shares during the last quarter. Federated Hermes Inc. increased its holdings in shares of Advance Auto Parts by 4.4% in the 4th quarter. Federated Hermes Inc. now owns 2,811,675 shares of the company’s stock valued at $110,499,000 after acquiring an additional 117,648 shares during the period. State Street Corp raised its position in Advance Auto Parts by 3.9% in the 4th quarter. State Street Corp now owns 2,499,981 shares of the company’s stock valued at $98,249,000 after purchasing an additional 92,861 shares during the last quarter. American Century Companies Inc. boosted its stake in Advance Auto Parts by 559.0% during the 3rd quarter. American Century Companies Inc. now owns 1,519,591 shares of the company’s stock worth $93,303,000 after purchasing an additional 1,288,986 shares during the period. Finally, Royce & Associates LP boosted its stake in Advance Auto Parts by 30.5% during the 4th quarter. Royce & Associates LP now owns 1,478,633 shares of the company’s stock worth $58,110,000 after purchasing an additional 345,217 shares during the period. Hedge funds and other institutional investors 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.