22 Analysts Assess Advance Auto Parts: What You Need To Know

Analysts' ratings for Advance Auto Parts (NYSE:AAP) over the last quarter vary from bullish to bearish, as provided by 22 analysts. The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months. Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish Total Ratings 0 0 20 1 1 Last 30D 0 0 2 0 0 1M Ago 0 0 6 0 0 2M Ago 0 0 3 0 1 3M Ago 0 0 9 1 0 Insights from analysts' 12-month price targets are revealed, presenting an average target of $50.18, a high estimate of $65.00, and a low estimate of $35.00. This upward trend is evident, with the current average reflecting a 13.92% increase from the previous average price target of $44.05. Deciphering Analyst Ratings: An In-Depth Analysis The standing of Advance Auto Parts among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets. Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target Simeon Gutman Morgan Stanley Raises Equal-Weight $55.00 $48.00 Scott Ciccarelli Truist Securities Raises Hold $53.00 $51.00 Michael Baker DA Davidson Lowers Neutral $63.00 $65.00 Zachary Fadem Wells Fargo Raises Equal-Weight $45.00 $35.00 Greg Melich Evercore ISI Group Raises In-Line $58.00 $56.00 Steven Zaccone Citigroup Raises Neutral $60.00 $49.00 Michael Baker DA Davidson Raises Neutral $65.00 $47.00 Greg Melich Evercore ISI Group Raises In-Line $56.00 $52.00 David Bellinger Mizuho Raises Neutral $44.00 $38.00 Greg Melich Evercore ISI Group Raises In-Line $52.00 $50.00 Kate McShane Goldman Sachs Lowers Sell $46.00 $48.00 Greg Melich Evercore ISI Group Raises In-Line $50.00 $45.00 Sam Hudson Redburn Atlantic Raises Neutral $45.00 $28.00 Scott Stember Roth Capital Raises Neutral $50.00 $40.00 Michael Lasser UBS Raises Neutral $50.00 $36.00 Michael Baker DA Davidson Raises Neutral $47.00 $45.00 Elizabeth Suzuki B of A Securities Raises Underperform $39.00 $33.00 Kate McShane Goldman Sachs Raises Neutral $48.00 $43.00 Tristan Thomas-Martin BMO Capital Raises Market Perform $50.00 $40.00 Simeon Gutman Morgan Stanley Raises Equal-Weight $48.00 $45.00 Greg Melich Evercore ISI Group Raises In-Line $45.00 $35.00 Zachary Fadem Wells Fargo Lowers Equal-Weight $35.00 $40.00 Key Insights: Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Advance Auto Parts. This information provides a snapshot of how analysts perceive the current state of the company. Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Advance Auto Parts compared to the broader market. Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Advance Auto Parts's stock. This comparison reveals trends in analysts' expectations over time. Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Advance Auto Parts's market position. Stay informed and make well-informed decisions with our Ratings Table. Stay up to date on Advance Auto Parts analyst ratings. Discovering Advance Auto Parts: A Closer Look Advance Auto Parts is a leading auto-parts retailer in North America with more than 4,000 store and branch locations. About half of the firm's sales are geared toward the professional channel, with the remaining sales in the do-it-yourself market. Through its vast store footprint and distribution network, Advance manages thousands of stock-keeping units for various vehicle makes and models. The retailer primarily competes on the basis of inventory availability and service speed, making the operating efficiency of its hub-and-spoke distribution model critical to meeting customer needs. Advance Auto Parts: Financial Performance Dissected Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity. Decline in Revenue: Over the 3M period, Advance Auto Parts faced challenges, resulting in a decline of approximately -6.82% in revenue growth as of 31 March, 2025. This signifies a reduction in the company's top-line earnings. When compared to others in the Consumer Discretionary sector, the company faces challenges, achieving a growth rate lower than the average among peers. Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of 0.93%, the company may need to address challenges in effective cost control. Return on Equity (ROE): Advance Auto Parts's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of 1.1%, the company may face hurdles in generating optimal returns for shareholders. Return on Assets (ROA): Advance Auto Parts's ROA falls below industry averages, indicating challenges in efficiently utilizing assets. With an ROA of 0.22%, the company may face hurdles in generating optimal returns from its assets. Debt Management: Advance Auto Parts's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 1.67. Understanding the Relevance of Analyst Ratings Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter. Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability. 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