Wells Fargo & Company Raises Advance Auto Parts (NYSE:AAP) Price Target to $45.00

Key Points

• Wells Fargo & Company has raised the price target for Advance Auto Parts from $35.00 to $45.00, maintaining an "equal weight" rating on the stock.
• Despite the increase, the new price target suggests a potential downside of 24.27% from Advance Auto Parts' previous close.
• Several analysts have mixed views on the stock, with ratings ranging from "sell" to "buy," while the consensus rating is currently a "Hold" with an average price target of $49.10.

Advance Auto Parts (NYSE:AAP - Get Free Report) had its target price increased by analysts at Wells Fargo & Company from $35.00 to $45.00 in a report issued on Tuesday,Benzinga reports. The brokerage currently has an "equal weight" rating on the stock. Wells Fargo & Company's price target would indicate a potential downside of 24.27% from the stock's previous close.

Several other equities analysts also recently issued reports on the stock. Redburn Atlantic upgraded shares of Advance Auto Parts from a "sell" rating to a "neutral" rating and upped their price objective for the company from $28.00 to $45.00 in a research note on Tuesday, June 3rd. Cowen restated a "hold" rating on shares of Advance Auto Parts in a research note on Friday, May 23rd. The Goldman Sachs Group downgraded shares of Advance Auto Parts from a "neutral" rating to a "sell" rating and decreased their price objective for the company from $48.00 to $46.00 in a research note on Tuesday, June 24th. DA Davidson increased their target price on shares of Advance Auto Parts from $47.00 to $65.00 and gave the stock a "neutral" rating in a research note on Friday, July 25th. Finally, BMO Capital Markets reiterated 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. Three research analysts have rated the stock with a sell rating, nineteen have issued a hold rating and one has assigned a buy rating to the company. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $49.10.

Advance Auto Parts Stock Performance

Shares of AAP stock opened at $59.42 on Tuesday. The company has a current ratio of 1.27, a quick ratio of 0.49 and a debt-to-equity ratio of 0.68. The firm has a fifty day moving average price of $54.62 and a 200 day moving average price of $44.36. The company has a market cap of $3.56 billion, a P/E ratio of -10.12 and a beta of 1.05. Advance Auto Parts has a 12 month low of $28.89 and a 12 month high of $70.00.

Advance Auto Parts (NYSE:AAP - Get Free Report) last released its quarterly earnings data on Thursday, May 22nd. The company reported ($0.22) earnings per share (EPS) for the quarter, beating the consensus estimate 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 the consensus estimate of $2.51 billion. During the same quarter in the prior year, the firm posted $0.67 earnings per share. Advance Auto Parts's revenue for the quarter was down 24.2% on a year-over-year basis. Sell-side analysts predict that Advance Auto Parts will post -0.46 earnings per share for the current fiscal 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 stock was 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 approximately $479,183.52. This represents a 8.76% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.67% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Advance Auto Parts

A number of institutional investors and hedge funds have recently bought and sold shares of AAP. REAP Financial Group LLC acquired a new stake in Advance Auto Parts during the second quarter worth approximately $26,000. Hexagon Capital Partners LLC boosted its position in Advance Auto Parts by 189.0% during the first quarter. Hexagon Capital Partners LLC now owns 711 shares of the company's stock worth $28,000 after acquiring an additional 465 shares during the last quarter. Parallel Advisors LLC boosted its position in Advance Auto Parts by 355.8% during the second quarter. Parallel Advisors LLC now owns 939 shares of the company's stock worth $44,000 after acquiring an additional 733 shares during the last quarter. Advisory Services Network LLC acquired a new position in shares of Advance Auto Parts in the 4th quarter valued at $46,000. Finally, Financial Management Professionals Inc. acquired a new position in shares of Advance Auto Parts in the 1st quarter valued at $49,000. Hedge funds and other 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.

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