Advance Auto Parts (NYSE:AAP) Hits New 52-Week Low – Time to Sell?

Advance Auto Parts, Inc. (NYSE:AAP) shares reached a new 52-week low during trading on Tuesday . The stock traded as low as $36.29 and last traded at $36.35, with a volume of 734915 shares traded. The stock had previously closed at $37.09.

Analyst Ratings Changes

AAP has been the topic of several research reports. Truist Financial decreased their target price on Advance Auto Parts from $63.00 to $46.00 and set a “hold” rating on the stock in a research note on Friday, August 23rd. Evercore ISI reduced their price target on shares of Advance Auto Parts from $71.00 to $67.00 and set an “in-line” rating on the stock in a research report on Tuesday, October 22nd. Mizuho restated a “neutral” rating and issued a $38.00 price objective (down previously from $45.00) on shares of Advance Auto Parts in a report on Thursday, September 12th. JPMorgan Chase & Co. reduced their target price on shares of Advance Auto Parts from $68.00 to $55.00 and set a “neutral” rating on the stock in a report on Friday, August 16th. Finally, Roth Capital raised Advance Auto Parts to a “hold” rating in a research report on Tuesday, October 15th. One analyst has rated the stock with a sell rating, fourteen have given a hold rating and one has given a buy rating to the stock. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $55.92.

Advance Auto Parts Price Performance

The stock has a market capitalization of $2.13 billion, a price-to-earnings ratio of 3,574.00, a P/E/G ratio of 1.25 and a beta of 1.16. The company has a quick ratio of 0.30, a current ratio of 1.23 and a debt-to-equity ratio of 0.69. The stock has a fifty day moving average of $40.69 and a 200-day moving average of $57.30.

Advance Auto Parts (NYSE:AAP) last announced its earnings results on Thursday, August 22nd. The company reported $0.75 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.97 by ($0.22). The firm had revenue of $2.68 billion during the quarter, compared to analyst estimates 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 for the quarter was down .1% compared to the same quarter last year. During the same period last year, the company earned $1.43 earnings per share. On average, equities research analysts predict that Advance Auto Parts, Inc. will post 2.19 EPS for the current fiscal year.

Advance Auto Parts Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Friday, October 25th. Shareholders of record on Friday, October 11th were given a dividend of $0.25 per share. This represents a $1.00 annualized dividend and a yield of 2.80%. The ex-dividend date of this dividend was Friday, October 11th. Advance Auto Parts’s payout ratio is currently 10,000.00%.

Hedge Funds Weigh In On Advance Auto Parts

Several institutional investors have recently added to or reduced their stakes in AAP. Price T Rowe Associates Inc. MD boosted its holdings in shares of Advance Auto Parts by 1.0% in the first quarter. Price T Rowe Associates Inc. MD now owns 3,998,910 shares of the company’s stock valued at $340,268,000 after acquiring an additional 40,669 shares in the last quarter. Capital World Investors increased its holdings in shares of Advance Auto Parts by 67.0% in the 1st quarter. Capital World Investors now owns 1,533,933 shares of the company’s stock valued at $130,522,000 after purchasing an additional 615,674 shares in the last quarter. Third Point LLC acquired a new stake in shares of Advance Auto Parts during the 1st quarter valued at approximately $127,234,000. Dimensional Fund Advisors LP raised its holdings in Advance Auto Parts by 76.2% during the second quarter. Dimensional Fund Advisors LP now owns 1,266,362 shares of the company’s stock worth $80,197,000 after purchasing an additional 547,696 shares during the last quarter. Finally, Dorsal Capital Management LP boosted its position in Advance Auto Parts by 159.7% during the second quarter. Dorsal Capital Management LP now owns 1,250,000 shares of the company’s stock worth $79,162,000 after purchasing an additional 768,664 shares in the last quarter. Institutional investors and hedge funds own 88.75% of the company’s stock.

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.