Advance Auto Parts (NYSE:AAP) Shares Down 4.4% on Analyst Downgrade

Advance Auto Parts, Inc. (NYSE:AAP - Get Free Report)'s stock price fell 4.4% during mid-day trading on Tuesday after Evercore ISI lowered their price target on the stock from $71.00 to $67.00. Evercore ISI currently has an in-line rating on the stock. Advance Auto Parts traded as low as $38.93 and last traded at $39.19. 340,761 shares were traded during mid-day trading, a decline of 83% from the average session volume of 1,953,665 shares. The stock had previously closed at $40.98.

Several other brokerages have also commented on AAP. Mizuho reiterated a "neutral" rating and set a $38.00 price target (down from $45.00) on shares of Advance Auto Parts in a research note on Thursday, September 12th. JPMorgan Chase & Co. lowered their price objective on Advance Auto Parts from $68.00 to $55.00 and set a "neutral" rating on the stock in a report on Friday, August 16th. Truist Financial dropped their price objective on Advance Auto Parts from $63.00 to $46.00 and set a "hold" rating on the stock in a report on Friday, August 23rd. TD Cowen reduced their price objective on shares of Advance Auto Parts from $65.00 to $55.00 and set a "hold" rating for the company in a research note on Friday, August 23rd. Finally, Wells Fargo & Company lowered their target price on shares of Advance Auto Parts from $50.00 to $40.00 and set an "equal weight" rating on the stock in a research report on Friday, September 13th. One investment analyst has rated the stock with a sell rating, fifteen have assigned a hold rating and one has given a buy rating to the company. According to data from MarketBeat, the company has an average rating of "Hold" and an average price target of $55.86.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Kovack Advisors Inc. grew its holdings in Advance Auto Parts by 0.7% in the 1st quarter. Kovack Advisors Inc. now owns 22,727 shares of the company's stock valued at $1,934,000 after buying an additional 150 shares during the last quarter. Benjamin F. Edwards & Company Inc. increased its position in shares of Advance Auto Parts by 28.0% during the 1st quarter. Benjamin F. Edwards & Company Inc. now owns 895 shares of the company's stock worth $76,000 after purchasing an additional 196 shares in the last quarter. Diversified Trust Co lifted its holdings in Advance Auto Parts by 3.5% during the 2nd quarter. Diversified Trust Co now owns 6,787 shares of the company's stock valued at $430,000 after purchasing an additional 232 shares during the last quarter. OLD National Bancorp IN lifted its holdings in Advance Auto Parts by 6.8% during the 2nd quarter. OLD National Bancorp IN now owns 3,697 shares of the company's stock worth $234,000 after buying an additional 237 shares in the last quarter. Finally, Hexagon Capital Partners LLC boosted its holdings in Advance Auto Parts by 267.7% in the first quarter. Hexagon Capital Partners LLC now owns 353 shares of the company's stock valued at $30,000 after acquiring an additional 257 shares during the last quarter. 88.75% of the stock is currently owned by institutional investors.

Advance Auto Parts Price Performance

The company has a 50-day moving average price of $44.08 and a 200-day moving average price of $59.09. The company has a market capitalization of $2.31 billion, a price-to-earnings ratio of 56.88, a price-to-earnings-growth ratio of 1.25 and a beta of 1.16. The company has a debt-to-equity ratio of 0.69, a quick ratio of 0.30 and a current ratio of 1.23.

Advance Auto Parts (NYSE:AAP - Get Free Report) last posted its quarterly earnings results on Thursday, August 22nd. The company reported $0.75 earnings per share for the quarter, missing analysts' consensus estimates of $0.97 by ($0.22). The business had revenue of $2.68 billion during the quarter, compared to the consensus estimate of $2.67 billion. Advance Auto Parts had a net margin of 0.01% and a return on equity of 0.05%. The firm's revenue was down .1% on a year-over-year basis. During the same quarter last year, the company posted $1.43 EPS. On average, equities research analysts expect that Advance Auto Parts, Inc. will post 2.19 EPS for the current fiscal year.

Advance Auto Parts Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 25th. Shareholders of record on Friday, October 11th will be issued a dividend of $0.25 per share. The ex-dividend date of this dividend is Friday, October 11th. This represents a $1.00 annualized dividend and a yield of 2.58%. Advance Auto Parts's payout ratio is 144.93%.

Advance Auto Parts Company Profile

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.