Advance Auto Parts (NYSE:AAP) Given New $45.00 Price Target at Citigroup

Advance Auto Parts (NYSE:AAP) had its price target dropped by Citigroup from $57.00 to $45.00 in a research report issued on Friday,Benzinga reports. The firm presently has a “neutral” rating on the stock. Citigroup’s price target suggests a potential upside of 5.02% from the company’s current price.

Several other research analysts have also recently weighed in on AAP. DA Davidson lowered their price target on shares of Advance Auto Parts from $58.00 to $48.00 and set a “neutral” rating on the stock in a report on Friday. Deutsche Bank Aktiengesellschaft upgraded Advance Auto Parts to a “buy” rating in a report on Friday, May 22nd. UBS Group lowered their target price on Advance Auto Parts from $65.00 to $47.00 and set a “neutral” rating on the stock in a research note on Friday. Weiss Ratings raised Advance Auto Parts from a “sell (d+)” rating to a “hold (c-)” rating in a report on Friday, May 29th. Finally, BMO Capital Markets restated a “market perform” rating on shares of Advance Auto Parts in a research note on Friday. Two equities research analysts have rated the stock with a Buy rating, nineteen have assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, Advance Auto Parts currently has a consensus rating of “Hold” and a consensus price target of $50.80.

Advance Auto Parts Stock Performance

AAP stock traded up $0.46 during midday trading on Friday, reaching $42.85. 4,533,744 shares of the company were exchanged, compared to its average volume of 1,909,895. Advance Auto Parts has a one year low of $37.89 and a one year high of $65.21. The firm has a market capitalization of $2.59 billion, a price-to-earnings ratio of 59.51, a price-to-earnings-growth ratio of 0.93 and a beta of 1.03. The business has a 50-day moving average price of $56.94 and a two-hundred day moving average price of $55.43. The company has a debt-to-equity ratio of 1.54, a current ratio of 1.78 and a quick ratio of 0.85.

Advance Auto Parts (NYSE:AAP) last issued its quarterly earnings data on Thursday, August 20th. The company reported $1.03 earnings per share for the quarter, beating the consensus estimate of $0.81 by $0.22. The company had revenue of $2 billion for the quarter, compared to analyst estimates of $2.04 billion. Advance Auto Parts had a net margin of 0.51% and a return on equity of 8.95%. The company’s revenue was down .5% on a year-over-year basis. During the same period in the prior year, the firm earned $0.69 earnings per share. Advance Auto Parts has set its FY 2026 guidance at 2.600-3.300 EPS. Equities research analysts forecast that Advance Auto Parts will post 2.94 EPS for the current year.

Institutional Investors Weigh In On Advance Auto Parts

Several institutional investors have recently made changes to their positions in the stock. Nykredit A S acquired a new stake in Advance Auto Parts during the second quarter worth approximately $155,000. Maple Rock Capital Partners Inc. raised its holdings in Advance Auto Parts by 86.5% in the 2nd quarter. Maple Rock Capital Partners Inc. now owns 2,421,040 shares of the company’s stock valued at $150,637,000 after acquiring an additional 1,122,900 shares in the last quarter. Quantitative Investment Management LLC lifted its position in shares of Advance Auto Parts by 16.6% during the 2nd quarter. Quantitative Investment Management LLC now owns 13,300 shares of the company’s stock valued at $827,000 after acquiring an additional 1,891 shares during the period. Two Sigma Securities LLC bought a new stake in shares of Advance Auto Parts during the 2nd quarter valued at $567,000. Finally, Hsbc Holdings PLC grew its holdings in shares of Advance Auto Parts by 4.7% during the 2nd quarter. Hsbc Holdings PLC now owns 7,879 shares of the company’s stock worth $490,000 after purchasing an additional 355 shares in the last quarter. 88.70% of the stock is currently owned by institutional investors.

Key Headlines Impacting Advance Auto Parts

Here are the key news stories impacting Advance Auto Parts this week:

• Positive Sentiment: Second-quarter adjusted EPS was $1.03, well above the $0.81 consensus estimate and up from $0.69 a year earlier. Gross margin improved to 46.2% from 43.5%, while net leverage declined to 2.1x from 2.4x. Advance Auto Parts rebounds after tariff refund and margin improvement
• Positive Sentiment: Advance raised its FY2026 adjusted EPS guidance to $2.60-$3.30, while maintaining revenue guidance of approximately $8.485 billion-$8.575 billion. The company also repaid roughly $30 million of debt principal during the quarter. Advance Auto Parts reports second-quarter 2026 results
• Positive Sentiment: Some analysts view the selloff as a potential turnaround opportunity, citing better margins, cash flow, debt reduction, expanded product selection and continued institutional interest. Advance Auto Parts turnaround analysis
• Neutral Sentiment: Advance declared a quarterly dividend of $0.25 per share, payable October 23 to shareholders of record October 9. The dividend provides income support but is unlikely to resolve the company’s operating concerns.
• Negative Sentiment: Revenue of about $2.00 billion missed the roughly $2.04 billion consensus, while comparable-store sales declined 0.5%. Weak do-it-yourself demand and constrained spending among lower-income customers raised concerns about near-term sales acceleration. Advance Auto Parts disappointing second-quarter comparable sales
• Negative Sentiment: Goldman Sachs cut its price target from $54 to $40 and reiterated a sell rating. JPMorgan, Morgan Stanley, RBC and DA Davidson also lowered targets, generally retaining neutral or market-perform ratings. Analysts cut Advance Auto Parts forecasts
• Negative Sentiment: The margin improvement was partly helped by a $26 million tariff refund, creating concern that some of the quarterly benefit may not be recurring. Investors are therefore focusing more on underlying demand than on the EPS beat.

Advance Auto Parts Company Profile

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.