What is William Blair's Estimate for AAP FY2025 Earnings?

Key Points

• William Blair has raised its FY2025 earnings per share estimate for Advance Auto Parts to $2.00, up from the previous estimate of $1.80, significantly higher than the consensus estimate of ($0.46) per share.
• Despite the positive outlook from William Blair, other analysts have issued mixed ratings, with Goldman Sachs downgrading the stock to a "sell" and reducing its price target to $46.00.
• Advance Auto Parts recently announced a quarterly dividend of $0.25 per share, reflecting an annualized yield of 1.70%, although its dividend payout ratio is currently negative at -17.04%.

Advance Auto Parts, Inc. (NYSE:AAP - Free Report) - Equities research analysts at William Blair upped their FY2025 earnings per share estimates for Advance Auto Parts in a research note issued on Thursday, July 24th. William Blair analyst P. Blee now anticipates that the company will post earnings per share of $2.00 for the year, up from their previous forecast of $1.80. The consensus estimate for Advance Auto Parts' current full-year earnings is ($0.46) per share. William Blair also issued estimates for Advance Auto Parts' Q4 2025 earnings at $0.74 EPS and FY2026 earnings at $3.30 EPS.

A number of other equities research analysts have also recently issued reports on the company. DA Davidson upped their target price on Advance Auto Parts from $47.00 to $65.00 and gave the stock a "neutral" rating in a research report on Friday, July 25th. Wells Fargo & Company set a $35.00 target price on Advance Auto Parts and gave the stock an "equal weight" rating in a research report on Monday, May 19th. Roth Capital set a $50.00 target price on Advance Auto Parts and gave the stock a "neutral" rating in a research report on Wednesday, May 28th. Cowen reaffirmed a "hold" rating on shares of Advance Auto Parts in a research report on Friday, May 23rd. Finally, UBS Group reissued a "neutral" rating and issued a $50.00 price objective (up from $36.00) on shares of Advance Auto Parts in a research report 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 data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $48.53.

Advance Auto Parts Stock Performance

Advance Auto Parts stock traded down $1.69 during trading hours on Monday, reaching $54.15. 315,894 shares of the company were exchanged, compared to its average volume of 2,704,787. The firm has a market cap of $3.24 billion, a price-to-earnings ratio of -9.28 and a beta of 1.04. 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 stock has a 50-day moving average of $52.96 and a 200 day moving average of $43.71. 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 issued its quarterly earnings data on Thursday, May 22nd. The company reported ($0.22) earnings per share for the quarter, beating analysts' consensus estimates of ($0.81) by $0.59. The business had revenue of $2.58 billion for the quarter, compared to the consensus estimate of $2.51 billion. Advance Auto Parts had a negative return on equity of 1.76% and a negative net margin of 3.74%. The firm's revenue was down 24.2% compared to the same quarter last year. During the same period last year, the business earned $0.67 EPS.

Advance Auto Parts Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, July 25th. Shareholders of record on Friday, July 11th were paid a dividend of $0.25 per share. The ex-dividend date of this dividend was Friday, July 11th. This represents a $1.00 annualized dividend and a yield of 1.85%. Advance Auto Parts's dividend payout ratio is currently -17.04%.

Insider Transactions at Advance Auto Parts

In other news, SVP Jason Hand sold 948 shares of the firm's stock in a transaction 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 completion of the sale, the senior vice president directly owned 9,876 shares in the company, valued at approximately $479,183.52. This trade represents a 8.76% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. 0.35% of the stock is owned by corporate insiders.

Institutional Trading of Advance Auto Parts

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Price T Rowe Associates Inc. MD boosted its holdings in Advance Auto Parts by 34.3% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 6,685,541 shares of the company's stock worth $316,160,000 after buying an additional 1,706,328 shares during the last quarter. Pzena Investment Management LLC increased its holdings in shares of Advance Auto Parts by 1.9% during the 2nd quarter. Pzena Investment Management LLC now owns 4,394,964 shares of the company's stock worth $204,322,000 after acquiring an additional 82,456 shares during the last quarter. Fuller & Thaler Asset Management Inc. grew its holdings in Advance Auto Parts by 3.0% in the 1st quarter. Fuller & Thaler Asset Management Inc. now owns 3,552,475 shares of the company's stock valued at $139,293,000 after buying an additional 102,921 shares in the last quarter. Dimensional Fund Advisors LP grew its holdings in Advance Auto Parts by 0.5% in the 1st quarter. Dimensional Fund Advisors LP now owns 2,741,701 shares of the company's stock valued at $107,500,000 after buying an additional 13,412 shares in the last quarter. Finally, Eminence Capital LP acquired a new stake in shares of Advance Auto Parts during the 4th quarter worth $87,214,000. 88.75% of the stock is owned by institutional investors.

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.