Advance Auto Parts (NYSE:AAP) Updates FY 2025 Earnings Guidance

Advance Auto Parts (NYSE:AAP - Get Free Report) updated its FY 2025 earnings guidance on Thursday. The company provided earnings per share guidance of 1.500-2.500 for the period, compared to the consensus earnings per share estimate of 1.540. The company issued revenue guidance of $8.4 billion-$8.6 billion, compared to the consensus revenue estimate of $8.5 billion.

Wall Street Analyst Weigh In

A number of brokerages have issued reports on AAP. Raymond James increased their price target on Advance Auto Parts to $49.17 and gave the company a "hold" rating in a research note on Monday. Royal Bank of Canada cut their price objective on Advance Auto Parts from $50.00 to $44.00 and set a "sector perform" rating for the company in a research report on Thursday, February 27th. Bank of America increased their price objective on Advance Auto Parts from $33.00 to $39.00 and gave the company an "underperform" rating in a research report on Friday. UBS Group restated a "neutral" rating and issued a $50.00 target price (up previously from $36.00) on shares of Advance Auto Parts in a report on Friday. Finally, Evercore ISI increased their target price on Advance Auto Parts from $35.00 to $45.00 and gave the company an "in-line" rating in a report on Friday. One research analyst has rated the stock with a sell rating, nineteen have given a hold rating and one has assigned a buy rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $45.90.

Advance Auto Parts Stock Performance

Shares of AAP stock traded up $0.02 on Tuesday, reaching $48.69. The stock had a trading volume of 2,045,818 shares, compared to its average volume of 2,440,831. The firm's 50-day moving average is $34.86 and its two-hundred day moving average is $40.47. The company has a quick ratio of 0.62, a current ratio of 1.34 and a debt-to-equity ratio of 0.69. The firm has a market capitalization of $2.91 billion, a price-to-earnings ratio of 66.62, a P/E/G ratio of 1.98 and a beta of 0.93. Advance Auto Parts has a 12 month low of $28.89 and a 12 month high of $71.62.

Advance Auto Parts (NYSE:AAP - Get Free Report) last posted its quarterly earnings results on Thursday, May 22nd. The company reported ($0.22) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.81) by $0.59. Advance Auto Parts had a net margin of 0.41% and a return on equity of 1.82%. The business had revenue of $2.58 billion for the quarter, compared to analyst estimates of $2.51 billion. During the same quarter last year, the business posted $0.67 EPS. The firm's revenue for the quarter was down 24.2% on a year-over-year basis. On average, research analysts expect that Advance Auto Parts will post -0.46 EPS for the current fiscal year.

Advance Auto Parts Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, July 25th. Stockholders of record on Friday, July 11th will be issued a dividend of $0.25 per share. The ex-dividend date is Friday, July 11th. This represents a $1.00 dividend on an annualized basis and a dividend yield of 2.05%. Advance Auto Parts's dividend payout ratio (DPR) is presently -17.04%.

Insider Buying and Selling

In related news, Director Eugene I. Lee, Jr. acquired 14,640 shares of the company's stock in a transaction dated Thursday, March 6th. The shares were purchased at an average price of $34.15 per share, for a total transaction of $499,956.00. Following the completion of the acquisition, the director now owns 34,070 shares of the company's stock, valued at approximately $1,163,490.50. This trade represents a 75.35% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Shane M. Okelly purchased 1,500 shares of the company's stock in a transaction that occurred on Tuesday, March 11th. The shares were purchased at an average cost of $36.79 per share, for a total transaction of $55,185.00. Following the completion of the purchase, the chief executive officer now owns 183,121 shares in the company, valued at $6,737,021.59. This trade represents a 0.83% increase in their position. The disclosure for this purchase can be found here. 0.35% of the stock is owned by insiders.

Hedge Funds Weigh In On Advance Auto Parts

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Royal Bank of Canada grew its stake in Advance Auto Parts by 107.2% in the 1st quarter. Royal Bank of Canada now owns 79,558 shares of the company's stock valued at $3,119,000 after buying an additional 41,157 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in Advance Auto Parts by 14.6% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 180,979 shares of the company's stock worth $7,096,000 after buying an additional 23,018 shares during the period. Finally, Goldman Sachs Group Inc. grew its holdings in shares of Advance Auto Parts by 327.7% during the 1st quarter. Goldman Sachs Group Inc. now owns 362,918 shares of the company's stock worth $14,230,000 after acquiring an additional 278,066 shares during the period. 88.75% of the stock is owned by hedge funds and other institutional investors.

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.