Advance Auto Parts (NYSE:AAP) Earns Neutral Rating from DA Davidson

Advance Auto Parts (NYSE:AAP)‘s stock had its “neutral” rating reaffirmed by investment analysts at DA Davidson in a research note issued to investors on Tuesday,Benzinga reports. They presently have a $47.00 price target on the stock. DA Davidson’s price target suggests a potential downside of 16.01% from the company’s previous close.

Several other brokerages have also commented on AAP. Cfra raised Advance Auto Parts to a “hold” rating in a research note on Thursday, October 30th. Roth Mkm restated a “neutral” rating and issued a $55.00 target price (up previously from $50.00) on shares of Advance Auto Parts in a research note on Monday, October 27th. TD Cowen reaffirmed a “hold” rating on shares of Advance Auto Parts in a report on Tuesday. UBS Group reissued a “neutral” rating on shares of Advance Auto Parts in a report on Monday, February 9th. Finally, Citigroup raised shares of Advance Auto Parts from a “hold” rating to a “buy” rating in a research note on Wednesday, January 21st. Three analysts have rated the stock with a Buy rating, seventeen have assigned a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, Advance Auto Parts has a consensus rating of “Hold” and an average target price of $52.93.

Advance Auto Parts Price Performance

Shares of Advance Auto Parts stock opened at $55.96 on Tuesday. The firm has a market cap of $3.36 billion, a P/E ratio of 76.66, a price-to-earnings-growth ratio of 0.80 and a beta of 1.14. The firm’s 50-day simple moving average is $46.36 and its 200-day simple moving average is $52.40. Advance Auto Parts has a twelve month low of $28.89 and a twelve month high of $70.00. The company has a debt-to-equity ratio of 1.55, a quick ratio of 0.87 and a current ratio of 1.75.

Advance Auto Parts (NYSE:AAP) last posted its quarterly earnings results on Friday, February 13th. The company reported $0.86 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.41 by $0.45. The firm had revenue of $1.97 billion during the quarter, compared to analyst estimates of $1.95 billion. Advance Auto Parts had a net margin of 0.51% and a return on equity of 6.23%. The company’s quarterly revenue was down 1.2% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($10.16) earnings per share. Advance Auto Parts has set its FY 2026 guidance at 2.400-3.10 EPS. As a group, research analysts expect that Advance Auto Parts will post -0.46 EPS for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Salomon & Ludwin LLC acquired a new stake in shares of Advance Auto Parts in the 3rd quarter valued at $26,000. Caitong International Asset Management Co. Ltd bought a new position in Advance Auto Parts in the third quarter valued at about $31,000. AlphaCore Capital LLC increased its position in 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 during the period. Hantz Financial Services Inc. raised its holdings in Advance Auto Parts by 184.5% during the 4th quarter. Hantz Financial Services Inc. now owns 919 shares of the company’s stock worth $36,000 after purchasing an additional 596 shares during the last quarter. Finally, Smartleaf Asset Management LLC lifted its position in Advance Auto Parts by 290.3% during the 2nd quarter. Smartleaf Asset Management LLC now owns 925 shares of the company’s stock valued at $43,000 after purchasing an additional 688 shares during the period. Institutional investors and hedge funds own 88.70% of the company’s stock.

Key Stories Impacting Advance Auto Parts

Here are the key news stories impacting Advance Auto Parts this week:

• Positive Sentiment: Q4 results beat expectations — AAP reported better-than-expected Q4 earnings and revenue (EPS and sales topped consensus), and management set FY2026 guidance (EPS range). That beat prompted analysts to raise forecasts, supporting upside potential. Advance Auto Parts Analysts Raise Their Forecasts After Better-Than-Expected Q4 Earnings
• Positive Sentiment: Several firms lifted price targets after the quarter — Royal Bank of Canada raised its PT to $63 (sector perform) and Truist raised its PT to $57 while keeping a hold/neutral view; those raises signal some analyst conviction in the recovery. RBC Adjusts Price Target on Advance Auto Parts to $63
• Neutral Sentiment: Morgan Stanley reiterated a hold rating — the firm is sticking with a neutral view, which suggests limited near-term upside from their perspective. Morgan Stanley Sticks to Their Hold Rating for Advance Auto Parts (AAP)
• Neutral Sentiment: RBC Capital (press coverage) is still labeling AAP a hold despite adjusting targets — mixed messaging from the same/related houses can muddy investor conviction. RBC Capital Remains a Hold on Advance Auto Parts (AAP)
• Negative Sentiment: DA Davidson reaffirmed a neutral (“neutral”) rating with a $47 price target — this implies meaningful downside from recent levels and highlights divergent analyst views. DA Davidson Reaffirms Neutral on Advance Auto Parts
• Negative Sentiment: Technical/valuation and flow considerations: the stock’s P/E is elevated, trading volume was below average today, and several firms retain neutral/hold stances — those factors can limit rally momentum even after an earnings beat. Advance Auto Parts Trading and Valuation Snapshot

About Advance Auto Parts

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.