Zacks Research Issues Pessimistic Estimate for AAP Earnings

Advance Auto Parts, Inc. (NYSE:AAP) – Stock analysts at Zacks Research decreased their Q3 2026 earnings estimates for Advance Auto Parts in a research report issued to clients and investors on Thursday, September 3rd. Zacks Research analyst Team now forecasts that the company will post earnings of $0.67 per share for the quarter, down from their previous estimate of $0.80. The consensus estimate for Advance Auto Parts’ current full-year earnings is $2.97 per share. Zacks Research also issued estimates for Advance Auto Parts’ Q4 2026 earnings at $0.43 EPS, FY2026 earnings at $2.90 EPS and Q1 2027 earnings at $0.80 EPS.

Several other analysts also recently commented on AAP. Deutsche Bank Aktiengesellschaft upgraded Advance Auto Parts to a “buy” rating in a research note on Friday, May 22nd. TD Cowen decreased their price target on Advance Auto Parts from $61.00 to $45.00 and set a “hold” rating for the company in a research note on Thursday, August 20th. Morgan Stanley lowered their price target on Advance Auto Parts from $65.00 to $52.00 and set an “equal weight” rating on the stock in a report on Friday, August 21st. Wells Fargo & Company dropped their price objective on Advance Auto Parts from $60.00 to $50.00 and set an “equal weight” rating on the stock in a research report on Friday, August 21st. Finally, Citigroup reduced their price objective on Advance Auto Parts from $57.00 to $45.00 and set a “neutral” rating for the company in a report on Friday, August 21st. Two research analysts have rated the stock with a Buy rating, eighteen have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Advance Auto Parts has an average rating of “Hold” and a consensus target price of $50.19.

Advance Auto Parts Price Performance

Shares of NYSE AAP opened at $42.69 on Friday. Advance Auto Parts has a twelve month low of $37.89 and a twelve month high of $65.21. The firm has a market cap of $2.58 billion, a P/E ratio of 31.16, a PEG ratio of 0.69 and a beta of 1.01. The company has a 50 day moving average of $53.79 and a 200 day moving average of $54.59. The company has a quick ratio of 0.85, a current ratio of 1.75 and a debt-to-equity ratio of 1.50.

Advance Auto Parts (NYSE:AAP) last issued its earnings results on Thursday, August 20th. The company reported $1.03 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.81 by $0.22. Advance Auto Parts had a net margin of 0.97% and a return on equity of 9.84%. The firm had revenue of $2 billion for the quarter, compared to the consensus estimate of $2.04 billion. During the same quarter in the prior year, the firm posted $0.69 earnings per share. The business’s revenue was down .5% on a year-over-year basis. Advance Auto Parts has set its FY 2026 guidance at 2.600-3.300 EPS.

Institutional Investors Weigh In On Advance Auto Parts

Hedge funds and other institutional investors have recently made changes to their positions in the business. Allworth Financial LP purchased a new position in shares of Advance Auto Parts in the second quarter worth approximately $25,000. Caitong International Asset Management Co. Ltd bought a new stake in Advance Auto Parts during the third quarter valued at approximately $31,000. State of Wyoming purchased a new stake in Advance Auto Parts during the second quarter valued at approximately $34,000. AlphaCore Capital LLC raised its position in Advance Auto Parts by 53.6% in the fourth quarter. AlphaCore Capital LLC now owns 883 shares of the company’s stock worth $35,000 after acquiring an additional 308 shares during the period. Finally, Hantz Financial Services Inc. raised its position in Advance Auto Parts by 184.5% in the fourth quarter. Hantz Financial Services Inc. now owns 919 shares of the company’s stock worth $36,000 after acquiring an additional 596 shares during the period. Hedge funds and other institutional investors own 88.70% of the company’s stock.

Advance Auto Parts Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, October 23rd. Shareholders of record on Friday, October 9th will be given a $0.25 dividend. This represents a $1.00 annualized dividend and a yield of 2.3%. The ex-dividend date of this dividend is Friday, October 9th. Advance Auto Parts’s dividend payout ratio (DPR) is presently 72.99%.

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.