Advance Auto Parts (NYSE:AAP) Shares Gap Down – Here’s Why

Advance Auto Parts, Inc. (NYSE:AAP) shares gapped down prior to trading on Wednesday . The stock had previously closed at $45.88, but opened at $43.50. Advance Auto Parts shares last traded at $40.01, with a volume of 1,142,726 shares traded.

Analysts Set New Price Targets

Several equities analysts recently weighed in on AAP shares. Wells Fargo & Company increased their price target on shares of Advance Auto Parts from $40.00 to $45.00 and gave the company an “equal weight” rating in a research report on Monday, January 6th. Truist Financial dropped their target price on Advance Auto Parts from $41.00 to $39.00 and set a “hold” rating for the company in a research report on Friday, November 15th. BMO Capital Markets started coverage on shares of Advance Auto Parts in a research report on Friday, December 13th. They set a “market perform” rating and a $45.00 price objective on the stock. Barclays dropped their price objective on shares of Advance Auto Parts from $66.00 to $54.00 and set an “equal weight” rating on the stock in a research note on Thursday, January 9th. Finally, Wedbush reaffirmed an “outperform” rating and set a $55.00 price objective on shares of Advance Auto Parts in a research report on Friday, November 15th. One equities research analyst has rated the stock with a sell rating, sixteen have given a hold rating and one has issued a buy rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $47.88.

Advance Auto Parts Stock Performance

The firm has a 50 day moving average price of $46.22 and a 200-day moving average price of $43.98. The stock has a market capitalization of $2.35 billion, a PE ratio of 54.02, a PEG ratio of 1.98 and a beta of 1.15. The company has a quick ratio of 0.62, a current ratio of 1.34 and a debt-to-equity ratio of 0.69.

Advance Auto Parts (NYSE:AAP) last released its earnings results on Wednesday, February 26th. The company reported ($1.18) EPS for the quarter, topping analysts’ consensus estimates of ($1.39) by $0.21. Advance Auto Parts had a net margin of 0.41% and a return on equity of 1.82%. Research analysts expect that Advance Auto Parts, Inc. will post -0.46 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, EVP Tammy M. Finley sold 1,276 shares of Advance Auto Parts stock in a transaction dated Thursday, December 5th. The stock was sold at an average price of $44.06, for a total value of $56,220.56. Following the completion of the transaction, the executive vice president now owns 24,266 shares in the company, valued at approximately $1,069,159.96. This trade represents a 5.00 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. 0.35% of the stock is owned by insiders.

Institutional Investors Weigh In On Advance Auto Parts

Several large investors have recently modified their holdings of the company. Eminence Capital LP acquired a new position in Advance Auto Parts during the fourth quarter worth $87,214,000. Price T Rowe Associates Inc. MD grew its stake in Advance Auto Parts by 34.3% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 6,685,541 shares of the company’s stock worth $316,160,000 after buying an additional 1,706,328 shares during the period. Pzena Investment Management LLC boosted its holdings in Advance Auto Parts by 140.3% in the 3rd quarter. Pzena Investment Management LLC now owns 2,908,658 shares of the company’s stock worth $113,409,000 after acquiring an additional 1,698,155 shares during the period. Cooper Creek Partners Management LLC acquired a new position in shares of Advance Auto Parts in the 4th quarter valued at approximately $75,055,000. Finally, Marshall Wace LLP lifted its stake in Advance Auto Parts by 2,585.1% during the fourth quarter. Marshall Wace LLP now owns 1,353,912 shares of the company’s stock worth $64,026,000 after purchasing an additional 1,303,488 shares during the last quarter. 88.75% of the stock is owned by institutional investors and hedge funds.

About Advance Auto Parts

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.