Ratings for Advance Auto Parts AAP were provided by 16 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 0 | 15 | 1 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 5 | 0 | 0 |
| 2M Ago | 0 | 0 | 2 | 0 | 0 |
| 3M Ago | 0 | 0 | 7 | 1 | 0 |
The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $61.94, a high estimate of $73.00, and a low estimate of $45.00. Highlighting a 9.33% decrease, the current average has fallen from the previous average price target of $68.31.
Exploring Analyst Ratings: An In-Depth Overview
The analysis of recent analyst actions sheds light on the perception of Advance Auto Parts by financial experts. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| David Bellinger | Mizuho | Lowers | Neutral | $45.00 | $64.00 |
| Scott Ciccarelli | Truist Securities | Lowers | Hold | $46.00 | $63.00 |
| Greg Melich | Evercore ISI Group | Lowers | In-Line | $60.00 | $64.00 |
| Max Rakhlenko | TD Cowen | Lowers | Hold | $55.00 | $65.00 |
| Christopher Horvers | JP Morgan | Lowers | Neutral | $55.00 | $68.00 |
| Seth Basham | Wedbush | Maintains | Neutral | $65.00 | $65.00 |
| Greg Melich | Evercore ISI Group | Lowers | In-Line | $68.00 | $70.00 |
| Greg Melich | Evercore ISI Group | Lowers | In-Line | $70.00 | $73.00 |
| Greg Melich | Evercore ISI Group | Raises | In-Line | $73.00 | $72.00 |
| David Bellinger | Mizuho | Lowers | Neutral | $64.00 | $78.00 |
| Steven Shemesh | RBC Capital | Lowers | Sector Perform | $65.00 | $68.00 |
| Elizabeth Suzuki | B of A Securities | Raises | Underperform | $55.00 | $51.00 |
| Michael Lasser | UBS | Lowers | Neutral | $70.00 | $72.00 |
| Greg Melich | Evercore ISI Group | Lowers | In-Line | $72.00 | $80.00 |
| Scott Ciccarelli | Truist Securities | Lowers | Hold | $63.00 | $70.00 |
| Seth Basham | Wedbush | Lowers | Neutral | $65.00 | $70.00 |
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: Gaining insights, analysts provide qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Advance Auto Parts compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for Advance Auto Parts's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
To gain a panoramic view of Advance Auto Parts's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on Advance Auto Parts analyst ratings.
About Advance Auto Parts
Advance Auto Parts is a leading auto parts retailer in North America with over 5,000 store and branch locations. About 60% of the firm's sales are geared toward the professional channel, with the remaining 40% going to the do-it-yourself market. Through its vast store footprint and distribution network, Advance manages thousands of stock-keeping units conducive to 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: Delving into Financials
Market Capitalization Analysis: Falling below industry benchmarks, the company's market capitalization reflects a reduced size compared to peers. This positioning may be influenced by factors such as growth expectations or operational capacity.
Decline in Revenue: Over the 3 months period, Advance Auto Parts faced challenges, resulting in a decline of approximately -0.11% in revenue growth as of 30 June, 2024. This signifies a reduction in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Consumer Discretionary sector.
Net Margin: Advance Auto Parts's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.68% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): Advance Auto Parts's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 1.73% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): Advance Auto Parts's ROA excels beyond industry benchmarks, reaching 0.37%. This signifies efficient management of assets and strong financial health.
Debt Management: Advance Auto Parts's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 1.52.
The Significance of Analyst Ratings Explained
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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