Advance Auto Parts (NYSE:AAP) Shares Gap Down Following Insider Selling

Advance Auto Parts, Inc. (NYSE:AAP - Get Free Report)'s share price gapped down prior to trading on Tuesday after an insider sold shares in the company. The stock had previously closed at $51.93, but opened at $49.91. Advance Auto Parts shares last traded at $47.96, with a volume of 1,137,258 shares traded.

Specifically, SVP Jason Hand sold 948 shares of Advance Auto Parts stock in a transaction that occurred on Friday, June 20th. The shares were sold at an average price of $48.52, for a total value of $45,996.96. Following the completion of the sale, the senior vice president now directly owns 9,876 shares in the company, valued at $479,183.52. The trade was a 8.76% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on the stock. Citigroup decreased their price target on shares of Advance Auto Parts from $47.00 to $40.00 and set a "neutral" rating for the company in a report on Thursday, February 27th. Redburn Partners upgraded Advance Auto Parts from a "sell" rating to a "neutral" rating and set a $45.00 target price for the company in a research note on Tuesday, June 3rd. Royal Bank Of Canada cut their price target on Advance Auto Parts from $50.00 to $44.00 and set a "sector perform" rating for the company in a report on Thursday, February 27th. The Goldman Sachs Group cut Advance Auto Parts from a "neutral" rating to a "sell" rating and reduced their price objective for the company from $48.00 to $46.00 in a research report on Tuesday. Finally, Roth Capital set a $50.00 target price on shares of Advance Auto Parts and gave the stock a "neutral" rating in a research report on Wednesday, May 28th. Two research analysts have rated the stock with a sell rating, twenty have issued a hold rating and one has assigned a buy rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus target price of $46.25.

Advance Auto Parts Trading Down 3.2%

The company has a quick ratio of 0.49, a current ratio of 1.27 and a debt-to-equity ratio of 0.68. The company has a market capitalization of $2.80 billion, a P/E ratio of -7.96 and a beta of 1.06. The business has a fifty day moving average price of $41.04 and a 200 day moving average price of $41.74.

Advance Auto Parts (NYSE:AAP - Get Free Report) last released its quarterly earnings results on Thursday, May 22nd. The company reported ($0.22) earnings per share for the quarter, topping analysts' consensus estimates of ($0.81) by $0.59. Advance Auto Parts had a negative return on equity of 1.76% and a negative net margin of 3.74%. The firm had revenue of $2.58 billion during the quarter, compared to the consensus estimate of $2.51 billion. During the same quarter in the prior year, the firm posted $0.67 EPS. The business's revenue was down 24.2% on a year-over-year basis. On average, analysts expect that Advance Auto Parts, Inc. will post -0.46 earnings per share 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. Shareholders of record on Friday, July 11th will be paid a $0.25 dividend. The ex-dividend date of this dividend is Friday, July 11th. This represents a $1.00 annualized dividend and a yield of 2.14%. Advance Auto Parts's payout ratio is currently -17.04%.

Hedge Funds Weigh In On Advance Auto Parts

A number of large investors have recently modified their holdings of the business. Eminence Capital LP acquired a new position in Advance Auto Parts during the fourth quarter valued at approximately $87,214,000. Price T Rowe Associates Inc. MD grew its stake in shares of Advance Auto Parts by 34.3% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 6,685,541 shares of the company's stock valued at $316,160,000 after buying an additional 1,706,328 shares in the last quarter. Cooper Creek Partners Management LLC bought a new position in shares of Advance Auto Parts in the fourth quarter valued at $75,055,000. Marshall Wace LLP raised its position in Advance Auto Parts by 2,585.1% during the fourth quarter. Marshall Wace LLP now owns 1,353,912 shares of the company's stock worth $64,026,000 after acquiring an additional 1,303,488 shares in the last quarter. Finally, Thrivent Financial for Lutherans lifted its stake in Advance Auto Parts by 2,662.0% in the fourth quarter. Thrivent Financial for Lutherans now owns 1,293,205 shares of the company's stock valued at $61,156,000 after acquiring an additional 1,246,384 shares during the last quarter. 88.75% of the stock is currently owned by institutional investors and hedge funds.

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.