Advance Auto Parts (NYSE:AAP) Trading Down 6.4% on Analyst Downgrade

Advance Auto Parts, Inc. (NYSE:AAP) traded down 6.4% during mid-day trading on Tuesday after TD Cowen lowered their price target on the stock from $62.00 to $46.00. TD Cowen currently has a hold rating on the stock. Advance Auto Parts traded as low as $40.42 and last traded at $40.4410. 331,861 shares were traded during trading, a decline of 81% from the average session volume of 1,763,875 shares. The stock had previously closed at $43.20.

A number of other research analysts have also issued reports on the stock. Weiss Ratings reiterated a “sell (d)” rating on shares of Advance Auto Parts in a report on Wednesday, October 8th. BMO Capital Markets reaffirmed a “market perform” rating and issued a $55.00 price target on shares of Advance Auto Parts in a research note on Friday, October 31st. Morgan Stanley reduced their target price on Advance Auto Parts from $55.00 to $45.00 and set an “equal weight” rating for the company in a research note on Thursday, January 15th. UBS Group set a $40.00 price target on Advance Auto Parts in a research note on Thursday, October 30th. Finally, Roth Mkm reissued a “neutral” rating and issued a $55.00 price objective (up previously from $50.00) on shares of Advance Auto Parts in a research note on Monday, October 27th. Three investment analysts have rated the stock with a Buy rating, eighteen have assigned a Hold rating and three have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $50.08.

Insider Buying and Selling

In other Advance Auto Parts news, EVP Kristen L. Soler sold 7,662 shares of the stock in a transaction dated Thursday, November 13th. The shares were sold at an average price of $51.00, for a total value of $390,762.00. Following the completion of the sale, the executive vice president owned 23,165 shares in the company, valued at approximately $1,181,415. This trade represents a 24.85% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Company insiders own 0.35% of the company’s stock.

Institutional Trading of Advance Auto Parts

A number of large investors have recently bought and sold shares of the company. REAP Financial Group LLC bought a new position in shares of Advance Auto Parts during the 2nd quarter worth $26,000. Salomon & Ludwin LLC purchased a new stake in Advance Auto Parts during the third quarter valued at about $26,000. Caitong International Asset Management Co. Ltd bought a new position in Advance Auto Parts during the third quarter worth about $31,000. AlphaCore Capital LLC increased its stake in shares of Advance Auto Parts by 6,288.9% in the third quarter. AlphaCore Capital LLC now owns 575 shares of the company’s stock worth $35,000 after purchasing an additional 566 shares in the last quarter. Finally, Smartleaf Asset Management LLC increased its stake in shares of Advance Auto Parts by 290.3% in the second quarter. Smartleaf Asset Management LLC now owns 925 shares of the company’s stock worth $43,000 after purchasing an additional 688 shares in the last quarter. 88.70% of the stock is owned by hedge funds and other institutional investors.

Advance Auto Parts Trading Up 10.2%

The company has a market cap of $2.73 billion, a P/E ratio of -7.23 and a beta of 1.14. The company has a quick ratio of 0.88, a current ratio of 1.73 and a debt-to-equity ratio of 1.55. The firm’s 50-day moving average price is $45.54 and its 200-day moving average price is $53.32.

Advance Auto Parts (NYSE:AAP) last posted its quarterly earnings results on Thursday, October 30th. The company reported $0.92 EPS for the quarter, topping analysts’ consensus estimates of $0.74 by $0.18. Advance Auto Parts had a positive return on equity of 0.64% and a negative net margin of 4.37%.The firm had revenue of $2.04 billion during the quarter, compared to analyst estimates of $2.02 billion. During the same period last year, the company earned ($0.04) earnings per share. The business’s revenue for the quarter was down 5.2% on a year-over-year basis. Advance Auto Parts has set its FY 2025 guidance at 1.750-1.850 EPS. As a group, equities research analysts expect 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 declared a quarterly dividend, which will be paid on Friday, January 23rd. Stockholders of record on Friday, January 9th will be given a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date is Friday, January 9th. Advance Auto Parts’s payout ratio is -15.90%.

Advance Auto Parts Company Profile

Advance Auto Parts, Inc (NYSE: AAP) is a leading distributor of automotive aftermarket parts, accessories, and maintenance items. The company operates a network of stores and distribution centers across North America, serving both do-it-yourself (DIY) customers and professional service providers. Advance Auto Parts focuses on offering a comprehensive selection of replacement parts, batteries, engine components, and performance products for cars and light trucks.

The company’s product portfolio includes engine oils and lubricants, cooling system components, brake and suspension parts, filters, belts, hoses, and diagnostic tools.