Providing a diverse range of perspectives from bullish to bearish, 9 analysts have published ratings on Advance Auto Parts (NYSE:AAP) in the last three months.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 0 | 9 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 0 | 3 | 0 | 0 |
| 3M Ago | 0 | 0 | 5 | 0 | 0 |
Analysts have recently evaluated Advance Auto Parts and provided 12-month price targets. The average target is $71.22, accompanied by a high estimate of $83.00 and a low estimate of $60.00. Observing a 16.75% increase, the current average has risen from the previous average price target of $61.00.
Deciphering Analyst Ratings: An In-Depth Analysis
The standing of Advance Auto Parts among financial experts is revealed through an in-depth exploration 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 |
|---|---|---|---|---|---|
| Seth Basham | Wedbush | Maintains | Neutral | $70.00 | - |
| Greg Melich | Evercore ISI Group | Lowers | In-Line | $78.00 | $82.00 |
| Scott Ciccarelli | Truist Securities | Raises | Hold | $70.00 | $60.00 |
| Greg Melich | Evercore ISI Group | Raises | In-Line | $83.00 | $74.00 |
| David Bellinger | Mizuho | Announces | Neutral | $78.00 | - |
| Steven Shemesh | RBC Capital | Raises | Sector Perform | $68.00 | $47.00 |
| Christopher Horvers | JP Morgan | Raises | Neutral | $68.00 | $55.00 |
| Seth Sigman | Barclays | Raises | Equal-Weight | $66.00 | $56.00 |
| Scott Ciccarelli | Truist Securities | Raises | Hold | $60.00 | $53.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Advance Auto Parts. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Advance Auto Parts compared to the broader market.
- Price Targets: Gaining insights, analysts provide estimates for the future value of Advance Auto Parts's stock. This comparison reveals trends in analysts' expectations over time.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Advance Auto Parts's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on Advance Auto Parts analyst ratings.
Get to Know Advance Auto Parts Better
Advance Auto Parts is one of the industry'sretailers of aftermarket automotive parts, tools, and accessories to do-it-yourself customers and third-party vehicle repair facilities in North America. Advance operated 5,086 stores as of the end of 2022, in addition to servicing 1,311 independently owned Carquest stores. The company's Worldpac chain is a distributor of imported original equipment parts.
Financial Insights: Advance Auto Parts
Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.
Negative Revenue Trend: Examining Advance Auto Parts's financials over 3 months reveals challenges. As of 31 December, 2023, the company experienced a decline of approximately -0.36% in revenue growth, reflecting a decrease in top-line earnings. When compared to others in the Consumer Discretionary sector, the company excelled with a growth rate higher 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 -2.45%, the company may need to address challenges in effective cost control.
Return on Equity (ROE): Advance Auto Parts's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -2.34%, the company may face hurdles in achieving optimal financial returns.
Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -0.49%, the company may need to address challenges in generating satisfactory returns from its assets.
Debt Management: Advance Auto Parts's debt-to-equity ratio is below the industry average. With a ratio of 1.59, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.
Understanding the Relevance of Analyst Ratings
Analysts are specialists within banking and financial systems that typically report for specific stocks or within defined sectors. These people research company financial statements, sit in conference calls and meetings, and speak with relevant insiders to determine what are known as analyst ratings for stocks. Typically, analysts will rate each stock once a quarter.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
