Roth Capital Expects Weaker Earnings for Advance Auto Parts

Advance Auto Parts, Inc. (NYSE:AAP - Free Report) - Roth Capital decreased their Q2 2025 earnings per share estimates for Advance Auto Parts in a report released on Wednesday, May 28th. Roth Capital analyst S. Stember now anticipates that the company will post earnings per share of $0.50 for the quarter, down from their prior estimate of $0.61. Roth Capital currently has a "Neutral" rating and a $50.00 target price on the stock. The consensus estimate for Advance Auto Parts' current full-year earnings is ($0.46) per share. Roth Capital also issued estimates for Advance Auto Parts' Q4 2025 earnings at $0.86 EPS, FY2025 earnings at $1.95 EPS and Q2 2026 earnings at $0.81 EPS.

Several other research analysts have also recently issued reports on the company. Wedbush reissued an "outperform" rating and issued a $55.00 price target on shares of Advance Auto Parts in a research note on Monday, March 3rd. BMO Capital Markets reaffirmed a "market perform" rating and set a $50.00 target price (up from $40.00) on shares of Advance Auto Parts in a research report on Friday, May 23rd. Royal Bank of Canada cut their target price on Advance Auto Parts from $50.00 to $44.00 and set a "sector perform" rating on the stock in a research report on Thursday, February 27th. Redburn Partners raised Advance Auto Parts from a "sell" rating to a "neutral" rating and set a $45.00 price target on the stock in a research report on Tuesday. Finally, Truist Financial lowered their target price on Advance Auto Parts from $39.00 to $34.00 and set a "hold" rating on the stock in a research note on Thursday, February 27th. One analyst has rated the stock with a sell rating, twenty have issued a hold rating and one has issued a buy rating to the company. According to MarketBeat.com, Advance Auto Parts currently has an average rating of "Hold" and an average price target of $46.01.

Advance Auto Parts Stock Performance

NYSE:AAP traded up $2.60 during midday trading on Friday, reaching $52.33. 1,193,305 shares of the company traded hands, compared to its average volume of 2,697,609. Advance Auto Parts has a twelve month low of $28.89 and a twelve month high of $67.03. The firm has a market capitalization of $3.14 billion, a price-to-earnings ratio of 71.69, a price-to-earnings-growth ratio of 1.98 and a beta of 0.93. The company has a debt-to-equity ratio of 0.69, a current ratio of 1.34 and a quick ratio of 0.62. The company has a fifty day moving average price of $36.05 and a 200 day moving average price of $40.81.

Advance Auto Parts (NYSE:AAP - Get Free Report) last released its earnings results on Thursday, May 22nd. The company reported ($0.22) EPS for the quarter, topping analysts' consensus estimates of ($0.81) by $0.59. Advance Auto Parts had a return on equity of 1.82% and a net margin of 0.41%. The company had revenue of $2.58 billion for the quarter, compared to the consensus estimate of $2.51 billion. During the same quarter last year, the business posted $0.67 EPS. Advance Auto Parts's quarterly revenue was down 24.2% compared to the same quarter last year.

Advance Auto Parts Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, July 25th. Investors of record on Friday, July 11th will be paid a $0.25 dividend. This represents a $1.00 annualized dividend and a dividend yield of 1.91%. The ex-dividend date of this dividend is Friday, July 11th. Advance Auto Parts's dividend payout ratio (DPR) is currently -17.04%.

Insider Activity at Advance Auto Parts

In related news, Director Eugene I. Lee, Jr. acquired 14,640 shares of the firm's stock in a transaction that occurred on Thursday, March 6th. The stock was acquired at an average cost of $34.15 per share, for a total transaction of $499,956.00. Following the completion of the acquisition, the director now directly owns 34,070 shares of the company's stock, valued at approximately $1,163,490.50. This trade represents a 75.35% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. Also, CEO Shane M. Okelly purchased 1,500 shares of the business's stock in a transaction on Tuesday, March 11th. The shares were purchased at an average cost of $36.79 per share, for a total transaction of $55,185.00. Following the transaction, the chief executive officer now directly owns 183,121 shares of the company's stock, valued at approximately $6,737,021.59. The trade was a 0.83% increase in their position. The disclosure for this purchase can be found here. 0.35% of the stock is currently owned by corporate insiders.

Institutional Trading of Advance Auto Parts

Institutional investors have recently bought and sold shares of the company. CIBC Asset Management Inc grew its position in shares of Advance Auto Parts by 3.9% during the 4th quarter. CIBC Asset Management Inc now owns 5,865 shares of the company's stock valued at $277,000 after purchasing an additional 221 shares in the last quarter. Yousif Capital Management LLC lifted its holdings in shares of Advance Auto Parts by 1.1% during the 4th quarter. Yousif Capital Management LLC now owns 26,258 shares of the company's stock worth $1,242,000 after acquiring an additional 281 shares during the last quarter. Central Pacific Bank Trust Division grew its position in Advance Auto Parts by 10.0% in the first 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 in the last quarter. Ingalls & Snyder LLC grew its position in Advance Auto Parts by 5.0% in the fourth quarter. Ingalls & Snyder LLC now owns 6,680 shares of the company's stock worth $316,000 after acquiring an additional 317 shares in the last quarter. Finally, Sovran Advisors LLC grew its position in Advance Auto Parts by 4.3% in the first quarter. Sovran Advisors LLC now owns 7,822 shares of the company's stock worth $307,000 after acquiring an additional 322 shares in the last quarter. Institutional investors own 88.75% of the company's stock.

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.