Advance Auto Parts, Inc. (NYSE:AAP) Given Average Rating of "Reduce" by Analysts

Key Points

• Analysts have given Advance Auto Parts a consensus rating of "Reduce" , with 22 research firms covering the stock; 2 rated it as sell, 19 as hold, and 1 as buy.
• The company recently announced a quarterly dividend of $0.25 per share, yielding 1.6% annually, payable on October 24th.
• Following a recent earnings report, Advance Auto Parts posted a EPS of $0.69, surpassing estimates, despite a revenue decline of 7.7% year-over-year.

Advance Auto Parts, Inc. (NYSE:AAP - Get Free Report) has been given a consensus rating of "Reduce" by the twenty-two research firms that are covering the stock, MarketBeat.com reports. Two research analysts have rated the stock with a sell rating, nineteen have assigned a hold rating and one has assigned a buy rating to the company. The average 12 month price objective among brokers that have issued ratings on the stock in the last year is $52.0345.

Several brokerages have recently issued reports on AAP. Mizuho boosted their price target on shares of Advance Auto Parts from $44.00 to $54.00 and gave the company a "neutral" rating in a report on Friday, August 29th. Redburn Atlantic upgraded Advance Auto Parts from a "sell" rating to a "neutral" rating and increased their price objective for the stock from $28.00 to $45.00 in a research report on Tuesday, June 3rd. Morgan Stanley lifted their price objective on shares of Advance Auto Parts from $55.00 to $60.00 and gave the company an "equal weight" rating in a research note on Friday, September 12th. UBS Group set a $65.00 target price on Advance Auto Parts and gave the company a "neutral" rating in a report on Tuesday, August 12th. Finally, Wells Fargo & Company boosted their price objective on Advance Auto Parts from $45.00 to $50.00 and gave the stock an "equal weight" rating in a report on Friday, August 15th.

Advance Auto Parts Stock Up 2.0%

AAP opened at $61.03 on Friday. The stock's fifty day moving average is $59.42 and its 200-day moving average is $48.23. The company has a market capitalization of $3.66 billion, a PE ratio of -9.58 and a beta of 1.06. Advance Auto Parts has a one year low of $28.89 and a one year high of $70.00. The company has a debt-to-equity ratio of 0.68, a quick ratio of 0.49 and a current ratio of 1.27.

Advance Auto Parts (NYSE:AAP - Get Free Report) last issued its earnings results on Thursday, August 14th. The company reported $0.69 earnings per share for the quarter, topping the consensus estimate of $0.59 by $0.10. Advance Auto Parts had a negative return on equity of 1.97% and a negative net margin of 4.37%.The company had revenue of $2.01 billion for the quarter, compared to analyst estimates of $1.97 billion. During the same period in the prior year, the firm posted $0.75 EPS. The business's revenue was down 7.7% compared to the same quarter last year. Advance Auto Parts has set its FY 2025 guidance at 1.200-2.20 EPS. On average, equities analysts predict that Advance Auto Parts will post -0.46 EPS for the current fiscal year.

Advance Auto Parts Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 24th. Investors of record on Friday, October 10th will be issued a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date is Friday, October 10th. Advance Auto Parts's dividend payout ratio is currently -15.70%.

Institutional Trading of Advance Auto Parts

Several institutional investors have recently added to or reduced their stakes in AAP. AMG National Trust Bank raised its holdings in Advance Auto Parts by 38.1% in the 1st quarter. AMG National Trust Bank now owns 43,615 shares of the company's stock worth $1,710,000 after purchasing an additional 12,040 shares during the period. Raymond James Financial Inc. lifted its position in shares of Advance Auto Parts by 13.0% during the first quarter. Raymond James Financial Inc. now owns 210,886 shares of the company's stock valued at $8,269,000 after buying an additional 24,342 shares during the last quarter. Dimensional Fund Advisors LP grew its position in Advance Auto Parts by 0.5% during the 1st quarter. Dimensional Fund Advisors LP now owns 2,741,701 shares of the company's stock worth $107,500,000 after purchasing an additional 13,412 shares during the last quarter. Janney Montgomery Scott LLC raised its stake in shares of Advance Auto Parts by 455.0% in the first quarter. Janney Montgomery Scott LLC now owns 58,790 shares of the company's stock worth $2,305,000 after purchasing an additional 48,198 shares during the last quarter. Finally, Principal Financial Group Inc. raised its holdings in shares of Advance Auto Parts by 2.4% during the first quarter. Principal Financial Group Inc. now owns 294,537 shares of the company's stock worth $11,549,000 after purchasing an additional 6,805 shares during the last quarter. 88.70% of the stock is currently owned by hedge funds and other institutional investors.

Advance Auto Parts Company Profile

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.

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