PEAK6 LLC Buys New Position in Advance Auto Parts, Inc. $AAP

PEAK6 LLC bought a new stake in shares of Advance Auto Parts, Inc. (NYSE:AAP) in the 2nd quarter, HoldingsChannel reports. The firm bought 29,200 shares of the company’s stock, valued at approximately $1,817,000.

A number of other hedge funds and other institutional investors have also bought and sold shares of the stock. Royal Bank of Canada lifted its holdings in shares of Advance Auto Parts by 107.2% during the 1st quarter. Royal Bank of Canada now owns 79,558 shares of the company’s stock worth $3,119,000 after acquiring an additional 41,157 shares during the last quarter. Goldman Sachs Group Inc. increased its stake in Advance Auto Parts by 327.7% in the first quarter. Goldman Sachs Group Inc. now owns 362,918 shares of the company’s stock valued at $14,230,000 after acquiring an additional 278,066 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Advance Auto Parts by 14.6% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 180,979 shares of the company’s stock valued at $7,096,000 after acquiring an additional 23,018 shares during the last quarter. Hsbc Holdings PLC raised its position in Advance Auto Parts by 3.1% during the second quarter. Hsbc Holdings PLC now owns 6,306 shares of the company’s stock valued at $293,000 after purchasing an additional 191 shares in the last quarter. Finally, Baird Financial Group Inc. raised its position in Advance Auto Parts by 2.7% during the second quarter. Baird Financial Group Inc. now owns 56,782 shares of the company’s stock valued at $2,640,000 after purchasing an additional 1,515 shares in the last quarter. Hedge funds and other institutional investors own 88.70% of the company’s stock.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on AAP shares. UBS Group cut their price objective on Advance Auto Parts from $65.00 to $47.00 and set a “neutral” rating for the company in a report on Friday. Wells Fargo & Company lowered their price objective on shares of Advance Auto Parts from $60.00 to $50.00 and set an “equal weight” rating for the company in a report on Friday. JPMorgan Chase & Co. cut their price objective on shares of Advance Auto Parts from $65.00 to $55.00 and set a “neutral” rating for the company in a research note on Friday. Evercore set a $65.00 target price on shares of Advance Auto Parts in a report on Tuesday, August 4th. Finally, Morgan Stanley decreased their target price on shares of Advance Auto Parts from $65.00 to $52.00 and set an “equal weight” rating on the stock in a research report on Friday. Two analysts have rated the stock with a Buy rating, nineteen have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $50.80.

Advance Auto Parts Price Performance

AAP stock opened at $42.85 on Monday. The company has a market cap of $2.59 billion, a P/E ratio of 31.28, a PEG ratio of 0.69 and a beta of 1.03. The company has a debt-to-equity ratio of 1.50, a current ratio of 1.75 and a quick ratio of 0.85. The firm has a 50-day moving average of $56.58 and a 200 day moving average of $55.39. Advance Auto Parts, Inc. has a 1 year low of $37.89 and a 1 year high of $65.21.

Advance Auto Parts (NYSE:AAP) last posted its quarterly earnings data on Thursday, August 20th. The company reported $1.03 EPS for the quarter, topping the consensus estimate of $0.81 by $0.22. The business had revenue of $2 billion for the quarter, compared to analyst estimates of $2.04 billion. Advance Auto Parts had a net margin of 0.97% and a return on equity of 9.84%. Advance Auto Parts’s quarterly revenue was down .5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $0.69 earnings per share. Advance Auto Parts has set its FY 2026 guidance at 2.600-3.300 EPS. On average, sell-side analysts forecast that Advance Auto Parts, Inc. will post 2.97 EPS for the current year.

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 issued a $0.25 dividend. The ex-dividend date of this dividend is Friday, October 9th. This represents a $1.00 annualized dividend and a yield of 2.3%. Advance Auto Parts’s payout ratio is 72.99%.

Trending Headlines about Advance Auto Parts

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

• Positive Sentiment: Adjusted earnings beat expectations. Advance Auto Parts reported second-quarter adjusted EPS of $1.03, above the $0.81 consensus estimate and up from $0.69 a year earlier. The company also raised its FY2026 adjusted EPS guidance to $2.60–$3.30, while maintaining its sales outlook. Advance Auto Parts Analysts Cut Their Forecasts After Q2 Results
• Positive Sentiment: Margins and balance-sheet metrics improved. A $26 million tariff refund helped support quarterly margins, while gross margin expanded to 46.2% from 43.5% a year earlier. Advance also reduced net leverage to 2.1x from 2.4x and repaid approximately $30 million of debt. Advance Auto Parts Rebounds After Tariff Refund Boosts Q2 Margins
• Neutral Sentiment: Analyst targets remain mixed. JPMorgan lowered its target to $55, Morgan Stanley and RBC each moved to $52, and Citigroup cut its target to $45; all maintained neutral or equivalent ratings. These targets imply upside from recent levels, but Goldman Sachs reduced its target to $40 and assigned a Sell rating. Benzinga analyst updates
• Neutral Sentiment: The dividend provides shareholder support. Advance Auto Parts declared a quarterly dividend of $0.25 per share, with payment scheduled for October 23 to shareholders of record on October 9. The dividend yield is approximately 2.4%.
• Negative Sentiment: Sales momentum remains the main concern. Second-quarter revenue of approximately $2.0 billion missed estimates near $2.04 billion, while comparable-store sales declined 0.5%. Weak demand from cost-conscious, lower-income do-it-yourself customers and a volatile spending environment raised concerns about the pace of sales acceleration and required reinvestment. Advance Auto Parts Posts Disappointing Q2 Comparable Sales
• Negative Sentiment: Broad target reductions underscore execution risk. Goldman Sachs’s Sell rating and Bank of America’s reiterated Sell/Underperform view highlight concerns over weak DIY demand and the company’s ability to execute its turnaround, even after the earnings beat. Bank of America Reiterates Sell Rating

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.