DA Davidson Has Pessimistic Outlook of AAP FY2026 Earnings

Advance Auto Parts, Inc. (NYSE:AAP) – Equities researchers at DA Davidson decreased their FY2026 earnings per share (EPS) estimates for shares of Advance Auto Parts in a report released on Thursday, March 6th. DA Davidson analyst M. Baker now expects that the company will earn $3.72 per share for the year, down from their prior estimate of $3.83. DA Davidson has a “Neutral” rating and a $45.00 price target on the stock. The consensus estimate for Advance Auto Parts’ current full-year earnings is ($0.46) per share.

A number of other analysts have also recently issued reports on AAP. The Goldman Sachs Group lowered their target price on Advance Auto Parts from $60.00 to $43.00 and set a “neutral” rating for the company in a research note on Friday, November 15th. Barclays lowered their target price on Advance Auto Parts from $66.00 to $54.00 and set an “equal weight” rating for the company in a research note on Thursday, January 9th. BMO Capital Markets decreased their price target on shares of Advance Auto Parts from $45.00 to $40.00 and set a “market perform” rating for the company in a research note on Thursday, February 27th. Citigroup decreased their price target on shares of Advance Auto Parts from $47.00 to $40.00 and set a “neutral” rating for the company in a research note on Thursday, February 27th. Finally, Truist Financial decreased their price target on shares of Advance Auto Parts from $39.00 to $34.00 and set a “hold” rating for the company in a research note on Thursday, February 27th. One investment analyst has rated the stock with a sell rating, sixteen have given a hold rating and one has given a buy rating to the stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $46.69.

Advance Auto Parts Price Performance

NYSE AAP opened at $35.45 on Friday. The business has a 50 day simple moving average of $44.97 and a 200 day simple moving average of $42.82. Advance Auto Parts has a 52-week low of $33.08 and a 52-week high of $88.56. The company has a debt-to-equity ratio of 0.69, a quick ratio of 0.62 and a current ratio of 1.34. The stock has a market cap of $2.12 billion, a price-to-earnings ratio of 48.56, a PEG ratio of 1.98 and a beta of 1.27.

Institutional Investors Weigh In On Advance Auto Parts

Hedge funds and other institutional investors have recently modified their holdings of the company. Versant Capital Management Inc lifted its holdings in shares of Advance Auto Parts by 207.4% during the fourth quarter. Versant Capital Management Inc now owns 541 shares of the company’s stock worth $26,000 after buying an additional 365 shares in the last quarter. Allworth Financial LP lifted its holdings in shares of Advance Auto Parts by 1,543.4% during the fourth quarter. Allworth Financial LP now owns 871 shares of the company’s stock worth $40,000 after buying an additional 818 shares in the last quarter. Vision Financial Markets LLC acquired a new stake in shares of Advance Auto Parts during the fourth quarter worth $42,000. Advisory Services Network LLC acquired a new stake in shares of Advance Auto Parts during the fourth quarter worth $46,000. Finally, GAMMA Investing LLC lifted its holdings in shares of Advance Auto Parts by 198.3% during the fourth quarter. GAMMA Investing LLC now owns 1,575 shares of the company’s stock worth $74,000 after buying an additional 1,047 shares in the last quarter. Institutional investors and hedge funds own 88.75% of the company’s stock.

Advance Auto Parts Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, April 25th. Shareholders of record on Friday, April 11th will be issued a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a yield of 2.82%. The ex-dividend date is Friday, April 11th. Advance Auto Parts’s dividend payout ratio is -17.86%.

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.