DA Davidson Issues Positive Forecast for Advance Auto Parts (NYSE:AAP) Stock Price

Key Points

• DA Davidson has raised its price target for Advance Auto Parts from $47 to $65, reflecting a potential upside of 11.14% from its previous close, while maintaining a "neutral" rating.
• Multiple analysts have provided updated price targets: Morgan Stanley now at $48, Cowen maintains a "hold," Mizuho increases to $44, and BMO Capital Markets lifts its target to $50.
• Despite a negative earnings report with an EPS of -$0.22, Advance Auto Parts outperformed analysts' expectations of -$0.81, reporting quarterly revenue of $2.58 billion.
• Institutional investors own approximately 88.75% of Advance Auto Parts stock, highlighting strong institutional interest in the company.

Advance Auto Parts (NYSE:AAP - Get Free Report) had its price objective increased by stock analysts at DA Davidson from $47.00 to $65.00 in a research note issued on Friday,Benzinga reports. The brokerage currently has a "neutral" rating on the stock. DA Davidson's price objective indicates a potential upside of 11.14% from the stock's previous close.

A number of other equities analysts have also weighed in on AAP. Morgan Stanley upped their target price on shares of Advance Auto Parts from $45.00 to $48.00 and gave the stock an "equal weight" rating in a research note on Friday, May 23rd. Cowen reiterated a "hold" rating on shares of Advance Auto Parts in a research report on Friday, May 23rd. Mizuho raised their price target on shares of Advance Auto Parts from $38.00 to $44.00 and gave the company a "neutral" rating in a research note on Thursday, July 3rd. BMO Capital Markets reissued a "market perform" rating and set a $50.00 target price (up previously from $40.00) on shares of Advance Auto Parts in a research note on Friday, May 23rd. Finally, Redburn Partners raised shares of Advance Auto Parts from a "sell" rating to a "neutral" rating and set a $45.00 price target for the company in a research note on Tuesday, June 3rd. Three investment analysts have rated the stock with a sell rating, nineteen have given a hold rating and one has issued a buy rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus target price of $47.58.

Advance Auto Parts Price Performance

AAP traded down $1.17 during midday trading on Friday, reaching $58.48. 2,166,095 shares of the company's stock were exchanged, compared to its average volume of 2,729,893. The firm has a market capitalization of $3.50 billion, a price-to-earnings ratio of -9.96 and a beta of 1.04. The company has a quick ratio of 0.49, a current ratio of 1.27 and a debt-to-equity ratio of 0.68. Advance Auto Parts has a one year low of $28.89 and a one year high of $70.00. The business has a 50-day simple moving average of $51.58 and a two-hundred day simple moving average of $43.48.

Advance Auto Parts (NYSE:AAP - Get Free Report) last posted its earnings results on Thursday, May 22nd. The company reported ($0.22) earnings per share (EPS) for the quarter, beating analysts' consensus estimates of ($0.81) by $0.59. Advance Auto Parts had a negative net margin of 3.74% and a negative return on equity of 1.76%. The company had revenue of $2.58 billion during the quarter, compared to analysts' expectations of $2.51 billion. During the same quarter in the previous year, the company posted $0.67 earnings per share. Advance Auto Parts's quarterly revenue was down 24.2% compared to the same quarter last year. As a group, research analysts predict that Advance Auto Parts will post -0.46 EPS for the current year.

Insider Activity at Advance Auto Parts

In related news, SVP Jason Hand sold 948 shares of the company's stock in a transaction that occurred on Friday, June 20th. The shares were sold at an average price of $48.52, for a total transaction of $45,996.96. Following the sale, the senior vice president directly owned 9,876 shares in the company, valued at approximately $479,183.52. This represents a 8.76% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Insiders own 0.35% of the company's stock.

Institutional Trading of Advance Auto Parts

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Central Pacific Bank Trust Division increased its holdings in Advance Auto Parts by 10.0% during the 1st quarter. Central Pacific Bank Trust Division now owns 3,300 shares of the company's stock worth $129,000 after acquiring an additional 300 shares during the period. KLP Kapitalforvaltning AS increased its holdings in shares of Advance Auto Parts by 2.5% in the 2nd quarter. KLP Kapitalforvaltning AS now owns 12,500 shares of the company's stock worth $581,000 after buying an additional 300 shares during the last quarter. Sovran Advisors LLC increased its holdings in shares of Advance Auto Parts by 4.3% in the 1st quarter. Sovran Advisors LLC now owns 7,822 shares of the company's stock worth $307,000 after buying an additional 322 shares during the last quarter. Studio Investment Management LLC increased its holdings in shares of Advance Auto Parts by 6.7% in the 4th quarter. Studio Investment Management LLC now owns 5,557 shares of the company's stock worth $263,000 after buying an additional 350 shares during the last quarter. Finally, Investors Research Corp increased its holdings in shares of Advance Auto Parts by 7.1% in the 1st quarter. Investors Research Corp now owns 5,625 shares of the company's stock worth $221,000 after buying an additional 375 shares during the last quarter. Institutional investors own 88.75% of the company's stock.

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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