Cramer Rosenthal Mcglynn LLC Takes Position in Advance Auto Parts, Inc. $AAP

Key Points

• Cramer Rosenthal Mcglynn LLC initiated a position in Advance Auto Parts, purchasing 64,332 shares worth about $3.95 million, representing roughly 0.11% of the company.
• Advance Auto Parts beat quarterly estimates, reporting $0.86 EPS versus $0.41 expected and $1.97 billion in revenue, and set FY2026 guidance of $2.40–3.10 EPS despite revenue being down 1.2% year-over-year.
• Analyst and market signals are mixed: the stock carries a high P/E (~70) and an average analyst rating of "Reduce" with a $52.93 consensus target, while the company declared a $0.25 quarterly dividend (2.0% yield).

Cramer Rosenthal Mcglynn LLC bought a new position in shares of Advance Auto Parts, Inc. (NYSE:AAP - Free Report) during the 3rd quarter, according to its most recent 13F filing with the SEC. The fund bought 64,332 shares of the company's stock, valued at approximately $3,950,000. Cramer Rosenthal Mcglynn LLC owned about 0.11% of Advance Auto Parts at the end of the most recent reporting period.

A number of other institutional investors also recently bought and sold shares of the stock. Salomon & Ludwin LLC purchased a new stake in shares of Advance Auto Parts during the third quarter valued at $26,000. AlphaCore Capital LLC lifted its position in Advance Auto Parts by 6,288.9% during the 3rd quarter. AlphaCore Capital LLC now owns 575 shares of the company's stock worth $35,000 after acquiring an additional 566 shares during the period. Farther Finance Advisors LLC grew its stake in Advance Auto Parts by 198.0% during the 3rd quarter. Farther Finance Advisors LLC now owns 751 shares of the company's stock valued at $46,000 after purchasing an additional 499 shares during the last quarter. Atlantic Union Bankshares Corp acquired a new stake in shares of Advance Auto Parts during the third quarter worth about $52,000. Finally, Westfuller Advisors LLC acquired a new position in Advance Auto Parts in the 3rd quarter worth approximately $56,000. 88.70% of the stock is currently owned by institutional investors and hedge funds.

Advance Auto Parts Trading Down 0.2%

Shares of AAP stock opened at $51.09 on Friday. Advance Auto Parts, Inc. has a fifty-two week low of $28.89 and a fifty-two week high of $70.00. The company has a debt-to-equity ratio of 1.55, a quick ratio of 0.87 and a current ratio of 1.75. The stock's fifty day moving average is $48.63 and its two-hundred day moving average is $52.05. The firm has a market capitalization of $3.07 billion, a P/E ratio of 69.99, a PEG ratio of 0.68 and a beta of 1.11.

Advance Auto Parts (NYSE:AAP - Get Free Report) last announced its quarterly earnings data on Friday, February 13th. The company reported $0.86 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.41 by $0.45. The company had revenue of $1.97 billion during the quarter, compared to analysts' expectations of $1.95 billion. Advance Auto Parts had a net margin of 0.51% and a return on equity of 6.23%. Advance Auto Parts's revenue was down 1.2% compared to the same quarter last year. During the same quarter in the prior year, the company earned ($10.16) EPS. Advance Auto Parts has set its FY 2026 guidance at 2.400-3.10 EPS. Research analysts expect that Advance Auto Parts, Inc. will post -0.46 earnings per share for the current fiscal year.

Advance Auto Parts Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, April 24th. Shareholders of record on Friday, April 10th will be paid a dividend of $0.25 per share. The ex-dividend date of this dividend is Friday, April 10th. This represents a $1.00 dividend on an annualized basis and a yield of 2.0%. Advance Auto Parts's payout ratio is 136.99%.

Analysts Set New Price Targets

Several equities research analysts have commented on AAP shares. Truist Financial upped their price target on shares of Advance Auto Parts from $48.00 to $57.00 and gave the company a "hold" rating in a report on Tuesday, February 17th. Evercore set a $60.00 target price on Advance Auto Parts in a research note on Wednesday, February 11th. UBS Group reaffirmed a "neutral" rating on shares of Advance Auto Parts in a research note on Monday, February 9th. Roth Mkm reaffirmed a "neutral" rating and issued a $57.00 price objective on shares of Advance Auto Parts in a report on Thursday, February 19th. Finally, Wells Fargo & Company increased their target price on shares of Advance Auto Parts from $40.00 to $50.00 and gave the stock an "equal weight" rating in a research note on Wednesday, February 11th. Two investment analysts have rated the stock with a Buy rating, seventeen have issued a Hold rating and three have issued a Sell rating to the company. According to MarketBeat.com, Advance Auto Parts presently has an average rating of "Reduce" and a consensus price target of $52.93.

About Advance Auto Parts

Advance Auto Parts, Inc NYSE: AAP is a leading distributor of automotive aftermarket parts, accessories, and maintenance items. The company operates a network of stores and distribution centers across North America, serving both do-it-yourself (DIY) customers and professional service providers. Advance Auto Parts focuses on offering a comprehensive selection of replacement parts, batteries, engine components, and performance products for cars and light trucks.

The company's product portfolio includes engine oils and lubricants, cooling system components, brake and suspension parts, filters, belts, hoses, and diagnostic tools.

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