Advance Auto Parts (NYSE:AAP) Shares Gap Up – Here’s What Happened

Advance Auto Parts, Inc. (NYSE:AAP) gapped up prior to trading on Tuesday . The stock had previously closed at $39.47, but opened at $40.40. Advance Auto Parts shares last traded at $40.60, with a volume of 510,017 shares trading hands.

Analysts Set New Price Targets

AAP has been the subject of a number of analyst reports. Wells Fargo & Company dropped their price target on shares of Advance Auto Parts from $50.00 to $40.00 and set an “equal weight” rating for the company in a research report on Friday, September 13th. Roth Capital upgraded shares of Advance Auto Parts to a “hold” rating in a research report on Tuesday. Mizuho restated a “neutral” rating and set a $38.00 price objective (down from $45.00) on shares of Advance Auto Parts in a research report on Thursday, September 12th. Roth Mkm restated a “neutral” rating and set a $40.00 price objective on shares of Advance Auto Parts in a research report on Wednesday. Finally, Wedbush upgraded shares of Advance Auto Parts from a “neutral” rating to an “outperform” rating and set a $55.00 price objective for the company in a research report on Tuesday. One investment analyst has rated the stock with a sell rating, fifteen have assigned a hold rating and one has issued a buy rating to the company. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $55.36.

Advance Auto Parts Stock Down 2.2 %

The firm’s 50 day moving average price is $45.67 and its two-hundred day moving average price is $60.32. The company has a market cap of $2.30 billion, a P/E ratio of 55.94, 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) last released its quarterly earnings data on Thursday, August 22nd. The company reported $0.75 earnings per share for the quarter, missing the consensus estimate of $0.97 by ($0.22). Advance Auto Parts had a net margin of 0.01% and a return on equity of 0.05%. The company had revenue of $2.68 billion during the quarter, compared to the consensus estimate of $2.67 billion. During the same quarter in the prior year, the firm earned $1.43 EPS. The business’s revenue was down .1% compared to the same quarter last year. Equities research analysts anticipate that Advance Auto Parts, Inc. will post 2.19 EPS for the current fiscal year.

Advance Auto Parts Announces Dividend

The company also recently disclosed 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. This represents a $1.00 dividend on an annualized basis and a yield of 2.59%. The ex-dividend date of this dividend is Friday, October 11th. Advance Auto Parts’s dividend payout ratio is 144.93%.

Hedge Funds Weigh In On Advance Auto Parts

A number of hedge funds have recently bought and sold shares of AAP. BW Gestao de Investimentos Ltda. bought a new stake in Advance Auto Parts in the 2nd quarter valued at about $7,916,000. Renaissance Technologies LLC grew its holdings in shares of Advance Auto Parts by 26.9% during the second quarter. Renaissance Technologies LLC now owns 185,450 shares of the company’s stock worth $11,745,000 after purchasing an additional 39,300 shares in the last quarter. AQR Capital Management LLC grew its holdings in shares of Advance Auto Parts by 31.0% during the second quarter. AQR Capital Management LLC now owns 233,521 shares of the company’s stock worth $14,740,000 after purchasing an additional 55,226 shares in the last quarter. Private Advisor Group LLC purchased a new position in shares of Advance Auto Parts during the first quarter worth about $1,172,000. Finally, State Board of Administration of Florida Retirement System grew its holdings in shares of Advance Auto Parts by 24.4% during the first quarter. State Board of Administration of Florida Retirement System now owns 77,031 shares of the company’s stock worth $6,555,000 after purchasing an additional 15,093 shares in the last quarter. 88.75% of the stock is owned by hedge funds and other institutional investors.

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.