Invenomic Capital Management LP Grows Stock Holdings in Advance Auto Parts, Inc. $AAP

Key Points

• Invenomic Capital Management LP increased its stake in Advance Auto Parts by 281.2%, holding 600,895 shares valued at approximately $23.56 million, making it the fund's 21st largest position.
• Advance Auto Parts reported a quarterly EPS of $0.69, exceeding analysts' expectations of $0.59, despite a 7.7% decline in year-over-year revenue.
• The company announced a quarterly dividend of $0.25 per share, with an annualized yield of 1.7%, set to be paid on October 24th.

Invenomic Capital Management LP grew its holdings in Advance Auto Parts, Inc. (NYSE:AAP - Free Report) by 281.2% in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 600,895 shares of the company's stock after acquiring an additional 443,251 shares during the period. Advance Auto Parts comprises approximately 1.2% of Invenomic Capital Management LP's portfolio, making the stock its 21st largest position. Invenomic Capital Management LP owned 1.00% of Advance Auto Parts worth $23,561,000 as of its most recent SEC filing.

Other institutional investors have also modified their holdings of the company. AMG National Trust Bank grew its stake in shares of Advance Auto Parts by 38.1% in the first quarter. AMG National Trust Bank now owns 43,615 shares of the company's stock worth $1,710,000 after acquiring an additional 12,040 shares in the last quarter. Raymond James Financial Inc. lifted its position in shares of Advance Auto Parts by 13.0% during the 1st quarter. Raymond James Financial Inc. now owns 210,886 shares of the company's stock worth $8,269,000 after purchasing an additional 24,342 shares during the last quarter. Dimensional Fund Advisors LP lifted its position in shares of 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 lifted its position in shares of Advance Auto Parts by 455.0% during the 1st 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. lifted its position in shares of Advance Auto Parts by 2.4% during the 1st 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. Institutional investors and hedge funds own 88.70% of the company's stock.

Wall Street Analyst Weigh In

AAP has been the subject of several recent analyst reports. Morgan Stanley lifted their price objective on shares of Advance Auto Parts from $48.00 to $55.00 and gave the stock an "equal weight" rating in a research report on Friday, August 15th. Citigroup set a $60.00 price objective on shares of Advance Auto Parts in a research report on Thursday, August 14th. Bank of America lifted their price objective on shares of Advance Auto Parts from $33.00 to $39.00 and gave the stock an "underperform" rating in a research report on Friday, May 23rd. UBS Group set a $65.00 price objective on shares of Advance Auto Parts and gave the stock a "neutral" rating in a research report on Tuesday, August 12th. Finally, Cowen reaffirmed a "hold" rating on shares of Advance Auto Parts in a research report on Friday, May 23rd. One research analyst has rated the stock with a Buy rating, eighteen have assigned a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, Advance Auto Parts presently has a consensus rating of "Reduce" and a consensus target price of $51.78.

Insider Buying and Selling at Advance Auto Parts

In other news, SVP Jason Hand sold 948 shares of Advance Auto Parts stock in a transaction dated Friday, June 20th. The shares were sold at an average price of $48.52, for a total value of $45,996.96. Following the sale, the senior vice president owned 9,876 shares of the company's stock, valued at $479,183.52. The trade was a 8.76% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 0.67% of the stock is currently owned by insiders.

Advance Auto Parts Stock Performance

Shares of NYSE:AAP traded down $1.44 during midday trading on Tuesday, hitting $59.56. The stock had a trading volume of 1,539,526 shares, compared to its average volume of 2,578,755. The company has a market capitalization of $3.57 billion, a PE ratio of -9.35 and a beta of 1.06. The stock has a 50 day moving average price of $58.36 and a two-hundred day moving average price of $45.99. The company has a current ratio of 1.27, a quick ratio of 0.49 and a debt-to-equity ratio of 0.68. Advance Auto Parts, Inc. has a 1 year low of $28.89 and a 1 year high of $70.00.

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, beating the consensus estimate of $0.59 by $0.10. The business had revenue of $2.01 billion for the quarter, compared to the consensus estimate of $1.97 billion. Advance Auto Parts had a negative net margin of 4.37% and a negative return on equity of 1.97%. The business's quarterly revenue was down 7.7% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.75 earnings per share. Advance Auto Parts has set its FY 2025 guidance at 1.200-2.20 EPS. As a group, equities analysts predict 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, October 24th. Stockholders of record on Friday, October 10th will be issued a $0.25 dividend. The ex-dividend date of this dividend is Friday, October 10th. This represents a $1.00 annualized dividend and a dividend yield of 1.7%. Advance Auto Parts's payout ratio is presently -15.70%.

Advance Auto Parts 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.