Q1 EPS Estimate for Advance Auto Parts Boosted by Analyst

Key Points

• Analysts at Zacks Research have increased their Q1 2027 EPS estimate for Advance Auto Parts from $1.12 to $1.16.
• The company recently reported a negative net margin of 4.37% and a revenue drop of 7.7% year-over-year, despite beating EPS estimates for the last quarter.
• Advance Auto Parts announced a quarterly dividend of $0.25 per share, set to be paid on October 24th, 2023.

Advance Auto Parts, Inc. (NYSE:AAP - Free Report) - Stock analysts at Zacks Research raised their Q1 2027 earnings estimates for shares of Advance Auto Parts in a report issued on Tuesday, September 16th. Zacks Research analyst Team now anticipates that the company will post earnings of $1.16 per share for the quarter, up from their previous forecast of $1.12. The consensus estimate for Advance Auto Parts' current full-year earnings is ($0.46) per share. Zacks Research also issued estimates for Advance Auto Parts' Q2 2027 earnings at $1.00 EPS and FY2027 earnings at $4.23 EPS.

AAP has been the subject of several other research reports. DA Davidson set a $65.00 price objective on shares of Advance Auto Parts in a research note on Thursday, August 14th. Cowen reiterated a "hold" rating on shares of Advance Auto Parts in a research note on Friday, May 23rd. Evercore ISI boosted their price target on shares of Advance Auto Parts from $56.00 to $58.00 and gave the company an "in-line" rating in a research note on Tuesday, August 12th. UBS Group set a $65.00 price target on shares of Advance Auto Parts and gave the company a "neutral" rating in a research note on Tuesday, August 12th. Finally, BMO Capital Markets restated a "market perform" rating and set a $50.00 price target (up previously from $40.00) on shares of Advance Auto Parts in a research note on Friday, May 23rd. One investment analyst has rated the stock with a Buy rating, nineteen have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Reduce" and an average target price of $52.03.

Advance Auto Parts Trading Down 2.6%

Shares of NYSE:AAP traded down $1.54 during mid-day trading on Thursday, hitting $58.58. The company had a trading volume of 2,549,057 shares, compared to its average volume of 1,386,789. The firm has a fifty day moving average price of $59.55 and a 200 day moving average price of $47.29. The company has a market capitalization of $3.51 billion, a PE ratio of -9.20 and a beta of 1.06. The company has a debt-to-equity ratio of 0.68, a current ratio of 1.27 and a quick ratio of 0.49. Advance Auto Parts has a one year low of $28.89 and a one year high of $70.00.

Advance Auto Parts (NYSE:AAP - Get Free Report) last released its quarterly earnings data 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 company had revenue of $2.01 billion during the quarter, compared to analyst estimates of $1.97 billion. Advance Auto Parts had a negative net margin of 4.37% and a negative return on equity of 1.97%. Advance Auto Parts's revenue for the quarter was down 7.7% compared to the same quarter last year. During the same quarter in the previous year, the business posted $0.75 EPS. Advance Auto Parts has set its FY 2025 guidance at 1.200-2.20 EPS.

Hedge Funds Weigh In On Advance Auto Parts

Hedge funds have recently bought and sold shares of the company. REAP Financial Group LLC purchased a new position in Advance Auto Parts during the 2nd quarter worth $26,000. Hexagon Capital Partners LLC boosted its holdings in shares of Advance Auto Parts by 189.0% in the 1st quarter. Hexagon Capital Partners LLC now owns 711 shares of the company's stock worth $28,000 after buying an additional 465 shares during the last quarter. Smartleaf Asset Management LLC boosted its holdings in shares of Advance Auto Parts by 290.3% in the 2nd quarter. Smartleaf Asset Management LLC now owns 925 shares of the company's stock worth $43,000 after buying an additional 688 shares during the last quarter. Parallel Advisors LLC boosted its holdings in shares of Advance Auto Parts by 355.8% in the 2nd quarter. Parallel Advisors LLC now owns 939 shares of the company's stock worth $44,000 after buying an additional 733 shares during the last quarter. Finally, Financial Management Professionals Inc. purchased a new position in shares of Advance Auto Parts in the 1st quarter worth about $49,000. 88.70% of the stock is owned by hedge funds and other institutional investors.

Advance Auto Parts Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, October 24th. Shareholders of record on Friday, October 10th will be issued a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date of this dividend is Friday, October 10th. Advance Auto Parts's payout ratio is currently -15.70%.

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.