Advance Auto Parts (NYSE:AAP) Shares Up 5.7% – What’s Next?

Advance Auto Parts, Inc. (NYSE:AAP)’s stock price shot up 5.7% during mid-day trading on Tuesday . The stock traded as high as $43.57 and last traded at $43.3670. 662,770 shares were traded during mid-day trading, a decline of 65% from the average session volume of 1,888,084 shares. The stock had previously closed at $41.01.

Wall Street Analyst Weigh In

AAP has been the topic of several recent research reports. Barclays lowered their price objective on Advance Auto Parts from $59.00 to $50.00 and set an “equal weight” rating on the stock in a research report on Friday, August 21st. JPMorgan Chase & Co. reduced their price objective on Advance Auto Parts from $65.00 to $55.00 and set a “neutral” rating on the stock in a research note on Friday, August 21st. DA Davidson dropped their price target on Advance Auto Parts from $58.00 to $48.00 and set a “neutral” rating for the company in a research note on Friday, August 21st. The Goldman Sachs Group set a $49.00 target price on shares of Advance Auto Parts in a research report on Friday, August 21st. Finally, Evercore set a $65.00 price objective on shares of Advance Auto Parts in a research note on Tuesday, August 4th. Two equities research analysts have rated the stock with a Buy rating, seventeen have issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus price target of $50.19.

Advance Auto Parts Stock Performance

The stock has a fifty day simple moving average of $50.01 and a two-hundred day simple moving average of $53.64. The company has a debt-to-equity ratio of 1.50, a quick ratio of 0.85 and a current ratio of 1.75. The stock has a market capitalization of $2.59 billion, a price-to-earnings ratio of 31.33, a P/E/G ratio of 0.68 and a beta of 1.01.

Advance Auto Parts (NYSE:AAP) last announced its earnings results on Thursday, August 20th. The company reported $1.03 EPS 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 for the quarter, compared to analyst estimates of $2.04 billion. During the same quarter in the prior year, the company earned $0.69 EPS. The firm’s revenue for the quarter was down .5% compared to the same quarter last year. Advance Auto Parts has set its FY 2026 guidance at 2.600-3.300 EPS. Analysts forecast that Advance Auto Parts, Inc. will post 2.98 earnings per share for the current fiscal year.

Advance Auto Parts Announces Dividend

The business 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. The ex-dividend date is Friday, October 9th. This represents a $1.00 annualized dividend and a dividend yield of 2.3%. Advance Auto Parts’s payout ratio is currently 72.99%.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of AAP. BlackRock Inc. acquired a new stake in Advance Auto Parts in the second quarter worth $581,909,000. Pzena Investment Management LLC acquired a new stake in shares of Advance Auto Parts in the 2nd quarter valued at about $273,115,000. Maple Rock Capital Partners Inc. increased its position in Advance Auto Parts by 86.5% in 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 buying an additional 1,122,900 shares in the last quarter. Dimensional Fund Advisors LP increased its position in Advance Auto Parts by 15.3% in the 1st quarter. Dimensional Fund Advisors LP now owns 2,127,948 shares of the company’s stock valued at $112,243,000 after buying an additional 282,591 shares in the last quarter. Finally, Bank of America Corp DE acquired a new position in Advance Auto Parts during the 2nd quarter worth approximately $59,626,000. 88.70% of the stock is owned by institutional investors.

Advance Auto Parts Company Profile

Advance Auto Parts, Inc (NYSE:AAP) is an automotive aftermarket parts provider serving do-it-yourself customers, professional repair shops and commercial customers. The company sells replacement parts, accessories, maintenance items, batteries, engine components, tools and other products used to maintain and repair cars, trucks and other vehicles.

Advance Auto Parts serves customers through a network of retail stores, distribution centers and online channels. Its operations include the Advance Auto Parts and Carquest brands, with products available through company-operated locations, independently operated Carquest stores and commercial delivery programs for professional customers.

The company’s business primarily covers the United States, with additional operations and customer service in Canada and certain U.S.