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10800.0
|
2023-03-01 00:00:00 UTC
|
Autozone Or Advance You’ve Got A Winner With Auto Parts
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AAP
|
https://www.nasdaq.com/articles/autozone-or-advance-youve-got-a-winner-with-auto-parts
|
nan
|
nan
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Advance Auto Parts (NYSE: AAP) and Autozone (NYSE: AZO) have been doing great business the last few years and growing in more ways than one. Today we have a bifurcation in the market that presents an opportunity for income and growth investors. While the growth-focused company has been growing and seen its shares trend steadily skyward, the capital-return-focused business has not. Advance Auto Parts shares are down 45%, while Autozone is setting new highs.
The reason is Advance has been working on a transformation that has it set up to reinvigorate its growth in the coming quarters. Based on the results from the growth company the outlook is bright. The takeaway is the growth company, Autozone, is still growing and the dividend company, Advance Auto Parts, is a high-yield value about to embark on a period of growth.
“Despite challenges throughout 2022, we made progress on our strategic initiatives, including the expansion of our footprint, further strengthening of our DieHard® brand and improved customer loyalty,” said Tom Greco, president and chief executive officer of Advanced Auto Parts. “However, we are not satisfied with our results in 2022 and are taking decisive actions to improve performance in 2023 … After several years of significant investments in complex transformation initiatives and the majority of the integration behind us, we’re now able to focus more time and resources on leveraging our differentiated asset base and improving execution to drive long-term shareholder value.”
Autozone Outgrows A Growing Competitor
Advance Auto Parts's results may have been less than the CEO desired, but they showed growth and outpaced the Marketbeat.com consensus estimates. The revenue was compounded by margin expansion that left the earnings up 39% with the aid of share repurchases and better than expected by $0.46. These are solid results but Autozone was better.
Autozone grew revenue by 9.5%, with strength in both the commercial and retail segments. Earnings grew about 10% YOY and beat by 13%, smaller margins than Advance, but the results are not directly comparable due to adjustments. Advance gave clear guidance that efforts to improve margin are underway but still came in below estimates regarding earnings. Autozone didn’t give any guidance, but it outperforms on the top line and produces ample cash flow to buy back shares.
Advance Auto Parts stands apart from its competitor because it pays dividends and has committed to distribution growth. The payout is near 4.25%, with shares trading near $147, which is a valuation of 10X earnings. In this light, Advance is a high yield and value relative to peers and the broad market. Autozone is trading at nearly double that valuation which suggests Advance could see a significant rebound in share prices should a rally take hold.
Analysts Drive A Wedge Between Advance And Autozone
The analysts' sentiment toward Advance has been slipping and weighing on the price action while driving the action in Autozone higher. The takeaway is that Advance analysts see more upside in that stock than Autozone’s, but Autozone analysts have been upping their targets all year. Advance analysts have not. When that changes, this stock should put in a firm bottom and begin to rebound.
The chart of Autozone is easy to read; it is in an uptrend. The chart of Advance shows a significant pullback that could keep price action from seeing new all-time highs for quite a while. The first hurdle is to put in a bottom. When that happens, we can start talking about upside targets.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (NYSE: AAP) and Autozone (NYSE: AZO) have been doing great business the last few years and growing in more ways than one. “Despite challenges throughout 2022, we made progress on our strategic initiatives, including the expansion of our footprint, further strengthening of our DieHard® brand and improved customer loyalty,” said Tom Greco, president and chief executive officer of Advanced Auto Parts. “However, we are not satisfied with our results in 2022 and are taking decisive actions to improve performance in 2023 … After several years of significant investments in complex transformation initiatives and the majority of the integration behind us, we’re now able to focus more time and resources on leveraging our differentiated asset base and improving execution to drive long-term shareholder value.” Autozone Outgrows A Growing Competitor Advance Auto Parts's results may have been less than the CEO desired, but they showed growth and outpaced the Marketbeat.com consensus estimates.
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Advance Auto Parts (NYSE: AAP) and Autozone (NYSE: AZO) have been doing great business the last few years and growing in more ways than one. The takeaway is the growth company, Autozone, is still growing and the dividend company, Advance Auto Parts, is a high-yield value about to embark on a period of growth. “However, we are not satisfied with our results in 2022 and are taking decisive actions to improve performance in 2023 … After several years of significant investments in complex transformation initiatives and the majority of the integration behind us, we’re now able to focus more time and resources on leveraging our differentiated asset base and improving execution to drive long-term shareholder value.” Autozone Outgrows A Growing Competitor Advance Auto Parts's results may have been less than the CEO desired, but they showed growth and outpaced the Marketbeat.com consensus estimates.
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Advance Auto Parts (NYSE: AAP) and Autozone (NYSE: AZO) have been doing great business the last few years and growing in more ways than one. The takeaway is the growth company, Autozone, is still growing and the dividend company, Advance Auto Parts, is a high-yield value about to embark on a period of growth. “However, we are not satisfied with our results in 2022 and are taking decisive actions to improve performance in 2023 … After several years of significant investments in complex transformation initiatives and the majority of the integration behind us, we’re now able to focus more time and resources on leveraging our differentiated asset base and improving execution to drive long-term shareholder value.” Autozone Outgrows A Growing Competitor Advance Auto Parts's results may have been less than the CEO desired, but they showed growth and outpaced the Marketbeat.com consensus estimates.
|
Advance Auto Parts (NYSE: AAP) and Autozone (NYSE: AZO) have been doing great business the last few years and growing in more ways than one. Advance Auto Parts shares are down 45%, while Autozone is setting new highs. “However, we are not satisfied with our results in 2022 and are taking decisive actions to improve performance in 2023 … After several years of significant investments in complex transformation initiatives and the majority of the integration behind us, we’re now able to focus more time and resources on leveraging our differentiated asset base and improving execution to drive long-term shareholder value.” Autozone Outgrows A Growing Competitor Advance Auto Parts's results may have been less than the CEO desired, but they showed growth and outpaced the Marketbeat.com consensus estimates.
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10801.0
|
2023-02-28 00:00:00 UTC
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Validea Guru Fundamental Report for AAP - 2/28/2023
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AAP
|
https://www.nasdaq.com/articles/validea-guru-fundamental-report-for-aap-2-28-2023
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nan
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nan
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Below is Validea's guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the 22 guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. The rating using this strategy is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ADVANCE AUTO PARTS, INC.
AAP Guru Analysis
AAP Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Below is Validea's guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the 22 guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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Below is Validea's guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the 22 guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time.
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Of the 22 guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP).
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Below is Validea's guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the 22 guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time.
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10802.0
|
2023-02-28 00:00:00 UTC
|
AutoZone (AZO) Maintains Its Beat Streak in Q2 Earnings
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AAP
|
https://www.nasdaq.com/articles/autozone-azo-maintains-its-beat-streak-in-q2-earnings
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nan
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nan
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AutoZone Inc. AZO reported earnings of $24.64 per share for second-quarter fiscal 2023, up 10.5% year over year. Earnings surpassed the Zacks Consensus Estimate of $21.33 per share. Net sales grew 9.5% to $3,690.9 million. The top line beat the Zacks Consensus Estimate of $3,539 million.
In the reported quarter, domestic commercial sales totaled $954.6 million, up from $843.8 million recorded in the year-ago period. Domestic same-store sales (sales at stores open at least for a year) rose 5.3%. Gross profit increased to $1,930 million from the prior-year quarter’s figure of $1,785 million. Operating profit slipped 6.9% year over year to $670 million.
AZO currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
AutoZone, Inc. Price, Consensus and EPS Surprise
AutoZone, Inc. price-consensus-eps-surprise-chart | AutoZone, Inc. Quote
Store Opening & Inventory
During the quarter ended Feb 11, AutoZone opened 30 new stores in the United States, one in Mexico and five in Brazil. It exited the quarter with 6,226 stores in the United States, 707 in Mexico and 81 in Brazil. The total store count was 7,014 as of Feb 11.
AutoZone’s inventory increased 13.9% year over year in the reported quarter, led by growth initiatives and inflation. At quarter-end, the inventory per location was negative $227,000 compared with negative $198,000 a year ago.
Financials and Share Repurchases
As of Feb 11, 2023, AutoZone had cash and cash equivalents of $301.3 million, up from $239.4 million on Feb 12, 2022. The total debt amounted to $7,042.3 million as of Feb 11, marking an increase from $5,840.8 million on Feb 12, 2022.
Under its share repurchase program, AutoZone repurchased 372,000 shares of its common stock for $906 million during the fiscal second quarter of 2023, at an average price of $2,434 per share. At quarter-end, it had nearly $1.8 billion remaining under its current share repurchase authorization.
Peer Releases
O’Reilly Automotive ORLY reported fourth-quarter 2022 results on Feb 8. Adjusted earnings per share of $8.37 surpassed the Zacks Consensus Estimate of $7.71. Higher-than-expected comps growth resulted in the outperformance. Comps grew 9% in the reported quarter and topped the Zacks Consensus Estimate of 4.07%. The bottom line increased 10% from $7.64 in the prior-year quarter.
The automotive parts retailer registered quarterly revenues of $3.64 billion, crossing the consensus mark of $3.51 billion. The top line was 11% higher than the prior-year figure of $3.29 million. During the quarter, O’Reilly opened 20 new stores in the United States and 14 in Mexico. The total store count was 5,971 as of Dec 31, 2022.
Advance Auto Parts AAP reported fourth-quarter 2022 results today. Adjusted earnings of $2.88 per share were up 39.1% from the year-ago quarter figure. The reported figure also topped the Zacks Consensus Estimate of $2.41 a share. Advance Auto generated net revenues of $2,473.7 million, which came ahead of the Zacks Consensus Estimate of $2,421.8 million and inched up 3.2% from the year-ago reported figure.
As of Dec 31, 2022, AAP operated 4,770 stores and 316 Worldpac branches in the United States, Canada, Puerto Rico and U.S. Virgin Islands. It also served 1,311 independently-owned Carquest-branded stores across these locations, in addition to Mexico and various Caribbean Islands.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.8% per year. So be sure to give these hand-picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
AutoZone, Inc. (AZO) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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As of Dec 31, 2022, AAP operated 4,770 stores and 316 Worldpac branches in the United States, Canada, Puerto Rico and U.S. Virgin Islands. Advance Auto Parts AAP reported fourth-quarter 2022 results today. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Advance Auto Parts AAP reported fourth-quarter 2022 results today. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here. As of Dec 31, 2022, AAP operated 4,770 stores and 316 Worldpac branches in the United States, Canada, Puerto Rico and U.S. Virgin Islands.
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Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts AAP reported fourth-quarter 2022 results today. As of Dec 31, 2022, AAP operated 4,770 stores and 316 Worldpac branches in the United States, Canada, Puerto Rico and U.S. Virgin Islands.
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Advance Auto Parts AAP reported fourth-quarter 2022 results today. As of Dec 31, 2022, AAP operated 4,770 stores and 316 Worldpac branches in the United States, Canada, Puerto Rico and U.S. Virgin Islands. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10803.0
|
2023-02-28 00:00:00 UTC
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S&P 500 Movers: UHS, XRAY
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AAP
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https://www.nasdaq.com/articles/sp-500-movers%3A-uhs-xray
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nan
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nan
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In early trading on Tuesday, shares of DENTSPLY SIRONA topped the list of the day's best performing components of the S&P 500 index, trading up 9.6%. Year to date, DENTSPLY SIRONA registers a 18.9% gain.
And the worst performing S&P 500 component thus far on the day is Universal Health Services, trading down 9.9%. Universal Health Services, is lower by about 6.8% looking at the year to date performance.
Two other components making moves today are Norwegian Cruise Line Holdings, trading down 9.6%, and Advance Auto Parts, trading up 4.8% on the day.
VIDEO: S&P 500 Movers: UHS, XRAY
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Year to date, DENTSPLY SIRONA registers a 18.9% gain. And the worst performing S&P 500 component thus far on the day is Universal Health Services, trading down 9.9%. Universal Health Services, is lower by about 6.8% looking at the year to date performance.
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Year to date, DENTSPLY SIRONA registers a 18.9% gain. And the worst performing S&P 500 component thus far on the day is Universal Health Services, trading down 9.9%. Universal Health Services, is lower by about 6.8% looking at the year to date performance.
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In early trading on Tuesday, shares of DENTSPLY SIRONA topped the list of the day's best performing components of the S&P 500 index, trading up 9.6%. And the worst performing S&P 500 component thus far on the day is Universal Health Services, trading down 9.9%. Two other components making moves today are Norwegian Cruise Line Holdings, trading down 9.6%, and Advance Auto Parts, trading up 4.8% on the day.
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Year to date, DENTSPLY SIRONA registers a 18.9% gain. And the worst performing S&P 500 component thus far on the day is Universal Health Services, trading down 9.9%. VIDEO: S&P 500 Movers: UHS, XRAY The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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10804.0
|
2023-02-28 00:00:00 UTC
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Advance Auto Parts Guides FY23 EPS Below Estimates - Update
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AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-guides-fy23-eps-below-estimates-update
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nan
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nan
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(RTTNews) - While reporting financial results for the fourth quarter on Tuesday, automotive aftermarket parts provider Advance Auto Parts Inc. (AAP) initiated earnings, net sales and comparable store sales growth guidance for the full year 2023.
For fiscal 2023, the company now projects earnings in a range of $10.20 to $11.20 per share on net sales between $11.40 billion and $11.60 billion, with comparable store sales increase in a range of 1 to 3 percent.
On average, analysts polled by Thomson Reuters expect the company to report earnings of $12.53 per share on sales of $11.33 billion for the year. Analysts' estimates typically exclude special items.
For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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(RTTNews) - While reporting financial results for the fourth quarter on Tuesday, automotive aftermarket parts provider Advance Auto Parts Inc. (AAP) initiated earnings, net sales and comparable store sales growth guidance for the full year 2023. For fiscal 2023, the company now projects earnings in a range of $10.20 to $11.20 per share on net sales between $11.40 billion and $11.60 billion, with comparable store sales increase in a range of 1 to 3 percent. On average, analysts polled by Thomson Reuters expect the company to report earnings of $12.53 per share on sales of $11.33 billion for the year.
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(RTTNews) - While reporting financial results for the fourth quarter on Tuesday, automotive aftermarket parts provider Advance Auto Parts Inc. (AAP) initiated earnings, net sales and comparable store sales growth guidance for the full year 2023. For fiscal 2023, the company now projects earnings in a range of $10.20 to $11.20 per share on net sales between $11.40 billion and $11.60 billion, with comparable store sales increase in a range of 1 to 3 percent. On average, analysts polled by Thomson Reuters expect the company to report earnings of $12.53 per share on sales of $11.33 billion for the year.
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(RTTNews) - While reporting financial results for the fourth quarter on Tuesday, automotive aftermarket parts provider Advance Auto Parts Inc. (AAP) initiated earnings, net sales and comparable store sales growth guidance for the full year 2023. For fiscal 2023, the company now projects earnings in a range of $10.20 to $11.20 per share on net sales between $11.40 billion and $11.60 billion, with comparable store sales increase in a range of 1 to 3 percent. For more earnings news, earnings calendar, and earnings for stocks, visit rttnews.com The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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(RTTNews) - While reporting financial results for the fourth quarter on Tuesday, automotive aftermarket parts provider Advance Auto Parts Inc. (AAP) initiated earnings, net sales and comparable store sales growth guidance for the full year 2023. For fiscal 2023, the company now projects earnings in a range of $10.20 to $11.20 per share on net sales between $11.40 billion and $11.60 billion, with comparable store sales increase in a range of 1 to 3 percent. On average, analysts polled by Thomson Reuters expect the company to report earnings of $12.53 per share on sales of $11.33 billion for the year.
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10805.0
|
2023-02-28 00:00:00 UTC
|
Advance Auto Parts Q4 22 Earnings Conference Call At 8:00 AM ET
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AAP
|
https://www.nasdaq.com/articles/advance-auto-parts-q4-22-earnings-conference-call-at-8%3A00-am-et
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nan
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nan
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(RTTNews) - Advance Auto Parts (AAP) will host a conference call at 8:00 AM ET on February 28, 2023, to discuss Q4 22 earnings results.
To access the live webcast, log on to https://ir.advanceautoparts.com/investors/overview/default.aspx
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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(RTTNews) - Advance Auto Parts (AAP) will host a conference call at 8:00 AM ET on February 28, 2023, to discuss Q4 22 earnings results. To access the live webcast, log on to https://ir.advanceautoparts.com/investors/overview/default.aspx The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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(RTTNews) - Advance Auto Parts (AAP) will host a conference call at 8:00 AM ET on February 28, 2023, to discuss Q4 22 earnings results. To access the live webcast, log on to https://ir.advanceautoparts.com/investors/overview/default.aspx The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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(RTTNews) - Advance Auto Parts (AAP) will host a conference call at 8:00 AM ET on February 28, 2023, to discuss Q4 22 earnings results. To access the live webcast, log on to https://ir.advanceautoparts.com/investors/overview/default.aspx The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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(RTTNews) - Advance Auto Parts (AAP) will host a conference call at 8:00 AM ET on February 28, 2023, to discuss Q4 22 earnings results. To access the live webcast, log on to https://ir.advanceautoparts.com/investors/overview/default.aspx The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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10806.0
|
2023-02-28 00:00:00 UTC
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Advance Auto Parts (AAP) Q4 Earnings and Revenues Top Estimates
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-q4-earnings-and-revenues-top-estimates
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nan
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nan
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Advance Auto Parts (AAP) came out with quarterly earnings of $2.88 per share, beating the Zacks Consensus Estimate of $2.41 per share. This compares to earnings of $2.07 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of 19.50%. A quarter ago, it was expected that this auto parts retailer would post earnings of $3.32 per share when it actually produced earnings of $2.84, delivering a surprise of -14.46%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Advance Auto Parts, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $2.47 billion for the quarter ended December 2022, surpassing the Zacks Consensus Estimate by 2.14%. This compares to year-ago revenues of $2.4 billion. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Advance Auto Parts shares have lost about 4.4% since the beginning of the year versus the S&P 500's gain of 3.7%.
What's Next for Advance Auto Parts?
While Advance Auto Parts has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Advance Auto Parts: unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #5 (Strong Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $3.37 on $3.41 billion in revenues for the coming quarter and $12.82 on $11.35 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Retail and Wholesale - Parts is currently in the bottom 9% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Hagerty, Inc. (HGTY), another stock in the same industry, has yet to report results for the quarter ended December 2022. The results are expected to be released on March 14.
This company is expected to post quarterly loss of $0.08 per share in its upcoming report, which represents a year-over-year change of +85.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Hagerty, Inc.'s revenues are expected to be $198.58 million, up 28.6% from the year-ago quarter.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.8% per year. So be sure to give these hand-picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
Hagerty, Inc. (HGTY) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) came out with quarterly earnings of $2.88 per share, beating the Zacks Consensus Estimate of $2.41 per share. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report Hagerty, Inc. (HGTY) : Free Stock Analysis Report To read this article on Zacks.com click here. While Advance Auto Parts has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report Hagerty, Inc. (HGTY) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts (AAP) came out with quarterly earnings of $2.88 per share, beating the Zacks Consensus Estimate of $2.41 per share. Advance Auto Parts, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $2.47 billion for the quarter ended December 2022, surpassing the Zacks Consensus Estimate by 2.14%.
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Advance Auto Parts (AAP) came out with quarterly earnings of $2.88 per share, beating the Zacks Consensus Estimate of $2.41 per share. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report Hagerty, Inc. (HGTY) : Free Stock Analysis Report To read this article on Zacks.com click here. A quarter ago, it was expected that this auto parts retailer would post earnings of $3.32 per share when it actually produced earnings of $2.84, delivering a surprise of -14.46%.
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Advance Auto Parts (AAP) came out with quarterly earnings of $2.88 per share, beating the Zacks Consensus Estimate of $2.41 per share. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report Hagerty, Inc. (HGTY) : Free Stock Analysis Report To read this article on Zacks.com click here. While Advance Auto Parts has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
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10807.0
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2023-02-27 00:00:00 UTC
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Pre-Market Earnings Report for February 28, 2023 : TGT, BMO, BNS, SRE, AZO, SJM, BLDR, BSY, BKI, AAP, NFE, JLL
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AAP
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https://www.nasdaq.com/articles/pre-market-earnings-report-for-february-28-2023-%3A-tgt-bmo-bns-sre-azo-sjm-bldr-bsy-bki-0
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nan
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The following companies are expected to report earnings prior to market open on 02/28/2023. Visit our Earnings Calendar for a full list of expected earnings releases.
Target Corporation (TGT)is reporting for the quarter ending January 31, 2023. The discount retail company's consensus earnings per share forecast from the 15 analysts that follow the stock is $1.39. This value represents a 56.43% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2023 Price to Earnings ratio for TGT is 30.25 vs. an industry ratio of 26.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Bank Of Montreal (BMO)is reporting for the quarter ending January 31, 2023. The bank (foreign) company's consensus earnings per share forecast from the 4 analysts that follow the stock is $2.33. This value represents a 24.10% decrease compared to the same quarter last year. BMO missed the consensus earnings per share in the 4th calendar quarter of 2022 by -0.44%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for BMO is 9.55 vs. an industry ratio of 8.30, implying that they will have a higher earnings growth than their competitors in the same industry.
Bank of Nova Scotia (BNS)is reporting for the quarter ending January 31, 2023. The bank (foreign) company's consensus earnings per share forecast from the 4 analysts that follow the stock is $1.52. This value represents a 10.59% decrease compared to the same quarter last year. In the past year BNS has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2023 Price to Earnings ratio for BNS is 8.55 vs. an industry ratio of 8.30, implying that they will have a higher earnings growth than their competitors in the same industry.
Sempra (SRE)is reporting for the quarter ending December 31, 2022. The gas distribution company's consensus earnings per share forecast from the 4 analysts that follow the stock is $2.06. This value represents a 4.63% decrease compared to the same quarter last year. In the past year SRE has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 10.06%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for SRE is 17.45 vs. an industry ratio of 12.00, implying that they will have a higher earnings growth than their competitors in the same industry.
AutoZone, Inc. (AZO)is reporting for the quarter ending February 28, 2023. The wholesale retail company's consensus earnings per share forecast from the 9 analysts that follow the stock is $21.33. This value represents a 4.35% decrease compared to the same quarter last year. In the past year AZO has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 9.15%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for AZO is 20.24 vs. an industry ratio of 7.50, implying that they will have a higher earnings growth than their competitors in the same industry.
J.M. Smucker Company (SJM)is reporting for the quarter ending January 31, 2023. The food company's consensus earnings per share forecast from the 7 analysts that follow the stock is $2.13. This value represents a 8.58% decrease compared to the same quarter last year. In the past year SJM has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 9.59%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for SJM is 17.16 vs. an industry ratio of 20.90.
Builders FirstSource, Inc. (BLDR)is reporting for the quarter ending December 31, 2022. The building company's consensus earnings per share forecast from the 7 analysts that follow the stock is $2.37. This value represents a 14.75% decrease compared to the same quarter last year. In the past year BLDR has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 47.31%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for BLDR is 4.49 vs. an industry ratio of 13.70.
Bentley Systems, Incorporated (BSY)is reporting for the quarter ending December 31, 2022. The internet software company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.14. This value represents a 22.22% decrease compared to the same quarter last year. In the past year BSY has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 7.69%. The "days to cover" for this stock exceeds 11 days. Zacks Investment Research reports that the 2022 Price to Earnings ratio for BSY is 60.75 vs. an industry ratio of -27.90, implying that they will have a higher earnings growth than their competitors in the same industry.
Black Knight, Inc. (BKI)is reporting for the quarter ending December 31, 2022. The business info service company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.49. This value represents a 19.67% decrease compared to the same quarter last year. The last two quarters BKI had negative earnings surprises; the latest report they missed by -20.97%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for BKI is 29.62 vs. an industry ratio of 19.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. The wholesale retail company's consensus earnings per share forecast from the 11 analysts that follow the stock is $2.41. This value represents a 16.43% increase compared to the same quarter last year. AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.05 vs. an industry ratio of 7.50, implying that they will have a higher earnings growth than their competitors in the same industry.
New Fortress Energy Inc. (NFE)is reporting for the quarter ending December 31, 2022. The oil company's consensus earnings per share forecast from the 4 analysts that follow the stock is $0.72. This value represents a 36.84% decrease compared to the same quarter last year. NFE missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -58.59%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for NFE is 13.83 vs. an industry ratio of 7.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Jones Lang LaSalle Incorporated (JLL)is reporting for the quarter ending December 31, 2022. The real estate company's consensus earnings per share forecast from the 3 analysts that follow the stock is $4.47. This value represents a 48.38% decrease compared to the same quarter last year. JLL missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -24.78%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for JLL is 10.70 vs. an industry ratio of 8.30, implying that they will have a higher earnings growth than their competitors in the same industry.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.05 vs. an industry ratio of 7.50, implying that they will have a higher earnings growth than their competitors in the same industry.
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Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.05 vs. an industry ratio of 7.50, implying that they will have a higher earnings growth than their competitors in the same industry.
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Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.05 vs. an industry ratio of 7.50, implying that they will have a higher earnings growth than their competitors in the same industry.
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AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.05 vs. an industry ratio of 7.50, implying that they will have a higher earnings growth than their competitors in the same industry.
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10808.0
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2023-02-27 00:00:00 UTC
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Pre-Market Earnings Report for February 28, 2023 : TGT, BMO, BNS, SRE, AZO, SJM, BLDR, BSY, BKI, AAP, NFE, JLL
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AAP
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https://www.nasdaq.com/articles/pre-market-earnings-report-for-february-28-2023-%3A-tgt-bmo-bns-sre-azo-sjm-bldr-bsy-bki-aap
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The following companies are expected to report earnings prior to market open on 02/28/2023. Visit our Earnings Calendar for a full list of expected earnings releases.
Target Corporation (TGT)is reporting for the quarter ending January 31, 2023. The discount retail company's consensus earnings per share forecast from the 15 analysts that follow the stock is $1.39. This value represents a 56.43% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2023 Price to Earnings ratio for TGT is 30.25 vs. an industry ratio of 26.60, implying that they will have a higher earnings growth than their competitors in the same industry.
Bank Of Montreal (BMO)is reporting for the quarter ending January 31, 2023. The bank (foreign) company's consensus earnings per share forecast from the 3 analysts that follow the stock is $2.29. This value represents a 25.41% decrease compared to the same quarter last year. BMO missed the consensus earnings per share in the 4th calendar quarter of 2022 by -0.44%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for BMO is 9.60 vs. an industry ratio of 8.50, implying that they will have a higher earnings growth than their competitors in the same industry.
Bank of Nova Scotia (BNS)is reporting for the quarter ending January 31, 2023. The bank (foreign) company's consensus earnings per share forecast from the 4 analysts that follow the stock is $1.52. This value represents a 10.59% decrease compared to the same quarter last year. In the past year BNS has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2023 Price to Earnings ratio for BNS is 8.58 vs. an industry ratio of 8.50, implying that they will have a higher earnings growth than their competitors in the same industry.
Sempra (SRE)is reporting for the quarter ending December 31, 2022. The gas distribution company's consensus earnings per share forecast from the 4 analysts that follow the stock is $2.06. This value represents a 4.63% decrease compared to the same quarter last year. In the past year SRE has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 10.06%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for SRE is 17.45 vs. an industry ratio of 12.20, implying that they will have a higher earnings growth than their competitors in the same industry.
AutoZone, Inc. (AZO)is reporting for the quarter ending February 28, 2023. The wholesale retail company's consensus earnings per share forecast from the 9 analysts that follow the stock is $21.33. This value represents a 4.35% decrease compared to the same quarter last year. In the past year AZO has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 9.15%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for AZO is 20.24 vs. an industry ratio of 7.20, implying that they will have a higher earnings growth than their competitors in the same industry.
J.M. Smucker Company (SJM)is reporting for the quarter ending January 31, 2023. The food company's consensus earnings per share forecast from the 7 analysts that follow the stock is $2.13. This value represents a 8.58% decrease compared to the same quarter last year. In the past year SJM has beat the expectations every quarter. The highest one was in the 4th calendar quarter where they beat the consensus by 9.59%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for SJM is 17.16 vs. an industry ratio of 20.50.
Builders FirstSource, Inc. (BLDR)is reporting for the quarter ending December 31, 2022. The building company's consensus earnings per share forecast from the 7 analysts that follow the stock is $2.37. This value represents a 14.75% decrease compared to the same quarter last year. In the past year BLDR has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 47.31%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for BLDR is 4.49 vs. an industry ratio of 13.20.
Bentley Systems, Incorporated (BSY)is reporting for the quarter ending December 31, 2022. The internet software company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.14. This value represents a 22.22% decrease compared to the same quarter last year. In the past year BSY has beat the expectations every quarter. The highest one was in the 3rd calendar quarter where they beat the consensus by 7.69%. The "days to cover" for this stock exceeds 11 days. Zacks Investment Research reports that the 2022 Price to Earnings ratio for BSY is 60.75 vs. an industry ratio of -37.30, implying that they will have a higher earnings growth than their competitors in the same industry.
Black Knight, Inc. (BKI)is reporting for the quarter ending December 31, 2022. The business info service company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.49. This value represents a 19.67% decrease compared to the same quarter last year. The last two quarters BKI had negative earnings surprises; the latest report they missed by -20.97%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for BKI is 29.62 vs. an industry ratio of 19.30, implying that they will have a higher earnings growth than their competitors in the same industry.
Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. The wholesale retail company's consensus earnings per share forecast from the 11 analysts that follow the stock is $2.43. This value represents a 17.39% increase compared to the same quarter last year. AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.03 vs. an industry ratio of 7.20, implying that they will have a higher earnings growth than their competitors in the same industry.
New Fortress Energy Inc. (NFE)is reporting for the quarter ending December 31, 2022. The oil company's consensus earnings per share forecast from the 3 analysts that follow the stock is $0.66. This value represents a 42.11% decrease compared to the same quarter last year. NFE missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -58.59%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for NFE is 14.03 vs. an industry ratio of 7.20, implying that they will have a higher earnings growth than their competitors in the same industry.
Jones Lang LaSalle Incorporated (JLL)is reporting for the quarter ending December 31, 2022. The real estate company's consensus earnings per share forecast from the 3 analysts that follow the stock is $4.47. This value represents a 48.38% decrease compared to the same quarter last year. JLL missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -24.78%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for JLL is 10.70 vs. an industry ratio of 8.10, implying that they will have a higher earnings growth than their competitors in the same industry.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.03 vs. an industry ratio of 7.20, implying that they will have a higher earnings growth than their competitors in the same industry.
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Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.03 vs. an industry ratio of 7.20, implying that they will have a higher earnings growth than their competitors in the same industry.
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Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.03 vs. an industry ratio of 7.20, implying that they will have a higher earnings growth than their competitors in the same industry.
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AAP missed the consensus earnings per share in the 3rd calendar quarter of 2022 by -14.46%. Advance Auto Parts Inc. (AAP)is reporting for the quarter ending December 31, 2022. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 11.03 vs. an industry ratio of 7.20, implying that they will have a higher earnings growth than their competitors in the same industry.
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10809.0
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2023-02-27 00:00:00 UTC
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Will Advance Auto's (AAP) Q4 Earnings Disappoint Investors?
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AAP
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https://www.nasdaq.com/articles/will-advance-autos-aap-q4-earnings-disappoint-investors
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Advance Auto Parts AAP is slated to release fourth-quarter 2022 results on Feb 28, before market opens. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings per share and revenues is pegged at $2.41 and $2.42 billion, respectively.
For the fourth quarter, the consensus estimate for AAP’s earnings per share has moved down by 2 cents in the past seven days. Its bottom-line estimates imply a rise of 16.43% from the year-ago reported number. The Zacks Consensus Estimate for its quarterly revenues suggests a year-over-year increase of 1.04%. Over the trailing four quarters, AAP surpassed earnings estimates on two occasions and met the same once and missed on the other, with the average negative surprise being 2.06%. This is depicted in the graph below:
Advance Auto Parts, Inc. Price and EPS Surprise
Advance Auto Parts, Inc. price-eps-surprise | Advance Auto Parts, Inc. Quote
Q3 Highlights
In third-quarter 2022, AAP’s adjusted earnings per share of $2.84 missed the consensus mark of $3.32. The bottom line declined 11.5% year over year. The company generated net revenues of $2,641.3 million, falling short of the Zacks Consensus Estimate of $2,652 million but edging up 0.8% from the year-ago reported figure. Comparable same-store declined 0.7%.
Factors to Shape Q4 Results
AAP is focused on opening new stores. Its revenues for the to-be-reported quarter are likely to have benefited from its expanded foothold. The Zacks Consensus Estimate for the total number of retail stores at the fourth quarter-end is pegged at 5,094, indicating a rise from the year-ago quarter’s store count of 4,972. However, weak comps growth might have clipped sales. The Zacks Consensus Estimate for 2022 comparable store sales suggests a decline of 1.10% versus growth of 8.2% in the corresponding quarter of 2021.
Further, intensive expansion is escalating the selling, general and administrative (SG&A) costs of Advance Auto Parts, which are limiting the firm’s margins. In the third quarter, adjusted SG&A expenses increased 5.4% year over year to $989.3 million. The trend is expected to have continued amid huge costs for store openings, partnerships and investments to strengthen the supply chain, straining the firm’s third-quarter profits.
Further, escalating costs of raw materials amid a shortage of components might have clipped margins. Inefficiencies in the distribution infrastructure, difficult labor environment and global logistics challenges are likely to have weighed on its fourth-quarter performance.
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for Advance Auto Parts for the quarter to be reported, as it does not have the right combination of the two key ingredients. A combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: AAP has an Earnings ESP of -5.25%. This is because the Most Accurate Estimate is 13 cents lower than the Zacks Consensus Estimate.
Zacks Rank: It currently carries a Zacks Rank of 4 (Sell).
You can see the complete list of today’s Zacks #1 Rank stocks here.
Peer Updates
AAP’s peers include AutoZone AZO and O’Reilly Automotive ORLY.
AutoZone will release fiscal second-quarter 2023 results on Feb 28. The company has an Earnings ESP of -1.13% and a Zacks Rank #3.
The Zacks Consensus Estimate for AutoZone’s to-be-reported quarter’s loss and revenues is pegged at $21.33 per share and $3.54 billion, respectively. AZO surpassed earnings estimates in the trailing four quarters with an average surprise of 13.1%.
O’Reilly reported fourth-quarter 2022 results on Feb 8. Adjusted earnings per share of $8.37 surpassed the Zacks Consensus Estimate of $7.71. Higher-than-expected comps growth resulted in the outperformance. Comps grew 9% in the reported quarter and topped the Zacks Consensus Estimate of 4.07%. The bottom line increased 10% from $7.64 in the prior-year quarter.
The automotive parts retailer registered quarterly revenues of $3.64 billion, crossing the consensus mark of $3.51 billion. The top line was 11% higher than the prior-year figure of $3.29 million. During the quarter, O’Reilly opened 20 new stores in the United States and 14 in Mexico. The total store count was 5,971 as of Dec 31, 2022.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
AutoZone, Inc. (AZO) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts AAP is slated to release fourth-quarter 2022 results on Feb 28, before market opens. For the fourth quarter, the consensus estimate for AAP’s earnings per share has moved down by 2 cents in the past seven days. Over the trailing four quarters, AAP surpassed earnings estimates on two occasions and met the same once and missed on the other, with the average negative surprise being 2.06%.
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This is depicted in the graph below: Advance Auto Parts, Inc. Price and EPS Surprise Advance Auto Parts, Inc. price-eps-surprise | Advance Auto Parts, Inc. Quote Q3 Highlights In third-quarter 2022, AAP’s adjusted earnings per share of $2.84 missed the consensus mark of $3.32. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts AAP is slated to release fourth-quarter 2022 results on Feb 28, before market opens.
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This is depicted in the graph below: Advance Auto Parts, Inc. Price and EPS Surprise Advance Auto Parts, Inc. price-eps-surprise | Advance Auto Parts, Inc. Quote Q3 Highlights In third-quarter 2022, AAP’s adjusted earnings per share of $2.84 missed the consensus mark of $3.32. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts AAP is slated to release fourth-quarter 2022 results on Feb 28, before market opens.
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Advance Auto Parts AAP is slated to release fourth-quarter 2022 results on Feb 28, before market opens. For the fourth quarter, the consensus estimate for AAP’s earnings per share has moved down by 2 cents in the past seven days. Over the trailing four quarters, AAP surpassed earnings estimates on two occasions and met the same once and missed on the other, with the average negative surprise being 2.06%.
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10810.0
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2023-02-26 00:00:00 UTC
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Validea's Top Ten Consumer Cyclical Stocks Based On Peter Lynch - 2/26/2023
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AAP
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https://www.nasdaq.com/articles/valideas-top-ten-consumer-cyclical-stocks-based-on-peter-lynch-2-26-2023
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The following are the top rated Consumer Cyclical stocks according to Validea's P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ETHAN ALLEN INTERIORS INC (ETD) is a small-cap value stock in the Furniture & Fixtures industry. The rating according to our strategy based on Peter Lynch is 93% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Ethan Allen Interiors Inc. is an interior design company, which operates as a manufacturer and retailer in the home furnishings marketplace. The Company provides complimentary interior design services to its clients and sells a range of home furnishing products through a retail network of design centers located throughout the United States and abroad, as well as online at ethanallen.com. The Company has two reportable segments: Wholesale and Retail. The Wholesale segment is principally involved in the development of the Ethan Allen brand and encompasses all aspects of design, manufacturing, sourcing, marketing, sale, and distribution of its range of home furnishings and accents. The Retail segment sells home furnishings and accents to clients through a network of Company-operated design centers. The Company operates approximately 139 retail design centers with 135 located in the United States and four in Canada.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: NEUTRAL
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ETHAN ALLEN INTERIORS INC
ETD Guru Analysis
ETD Fundamental Analysis
G-III APPAREL GROUP, LTD. (GIII) is a small-cap value stock in the Apparel/Accessories industry. The rating according to our strategy based on Peter Lynch is 93% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: G-III Apparel Group, Ltd. designs, sources, and markets a range of apparel, including outerwear, dresses, sportswear, swimwear, women's suits, and women's performance wear, as well as women's handbags, footwear, small leather goods, cold weather accessories and luggage. The Company's segments include wholesale operations and retail operations. The wholesale operations segment includes sales of products to retailers under-owned, licensed, and private label brands, as well as sales related to the Vilebrequin business. The retail operations segment consists of direct sales to consumers through its Company-operated stores and through digital channels. It consists of its DKNY and Karl Lagerfeld Paris stores, as well as the digital channels for DKNY, Donna Karan, Karl Lagerfeld Paris, G.H. Bass, Andrew Marc and Wilsons Leather. Its digital business consists of its own Web platforms at www.dkny.com, www.donnakaran.com, www.ghbass.com, www.vilebrequin.com, and www.andrewmarc.com.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
INVENTORY TO SALES: PASS
YIELD ADJUSTED P/E TO GROWTH (PEG) RATIO: PASS
EARNINGS PER SHARE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of G-III APPAREL GROUP, LTD.
GIII Guru Analysis
GIII Fundamental Analysis
HAVERTY FURNITURE COMPANIES, INC. (HVT) is a small-cap value stock in the Furniture & Fixtures industry. The rating according to our strategy based on Peter Lynch is 93% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Haverty Furniture Companies, Inc. is a specialty retailer of residential furniture and accessories. The Company offers products under various categories including living rooms, bedrooms, dining rooms, home offices, mattresses, decor, rugs and outdoor. Its mattress product lines include Tempur-Pedic, Serta, Sealy, and Stearns and Foster. Its customers include women in middle to upper-to-middle-income households. It operates approximately 122 stores in 16 states in the Southern and Midwest regions providing its customers with a range of merchandise in the middle to upper-middle price ranges. Its retail locations are operated using the Havertys name. It also has an online platform through which its customers can make purchases. It also offers financing through third-party finance companies as well as an internal revolving charge credit plan. Its stores are located in areas, including Florida, Texas, Georgia, North Carolina, Virginia, South Carolina, Alabama, Tennessee and Maryland.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of HAVERTY FURNITURE COMPANIES, INC.
HVT Guru Analysis
HVT Fundamental Analysis
LA-Z-BOY INCORPORATED (LZB) is a small-cap value stock in the Furniture & Fixtures industry. The rating according to our strategy based on Peter Lynch is 93% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: La-Z-Boy Incorporated is a producer of reclining chairs and the manufacturer/distributor of residential furniture in the United States. The Company's segments include the Wholesale segment, Retail segment, and Corporate and Other. The Wholesale segment consists of three brands: American Drew, Hammary, and Kincaid, which manufactures, and imports upholstered furniture, such as recliners and motion furniture, sofas, loveseats, chairs, sectionals, modulars, ottomans and sleeper sofas and imports casegoods (wood) furniture, such as occasional pieces, bedroom sets, dining room sets and entertainment centers. Its Retail segment consists of approximately 169 Company-owned La-Z-Boy Furniture Galleries stores. The Retail segment primarily sells upholstered furniture, in addition to some casegoods and other accessories, to the end consumer through these stores. Its Corporate and Other includes Joybird, an e-commerce retailer that manufactures upholstered furniture.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of LA-Z-BOY INCORPORATED
LZB Guru Analysis
LZB Fundamental Analysis
MALIBU BOATS INC (MBUU) is a small-cap value stock in the Recreational Products industry. The rating according to our strategy based on Peter Lynch is 93% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Malibu Boats, Inc. is a designer, manufacturer and marketer of a range of recreational powerboats including performance sport, sterndrive and outboard boats. The Company sells its boats under eight brands: Malibu, Axis, Pursuit, Maverick, Cobia, Pathfinder, Hewes and Cobalt. The Company operates through three segments: Malibu, Saltwater Fishing and Cobalt. The Company's Malibu segment includes manufacturing, distribution, marketing and sale of Malibu and Axis performance sports boats throughout the world. Its Saltwater Fishing segment is engaged in manufacturing, distribution, marketing and sale throughout the world of Pursuit boats and the Maverick Boat Group boats (Maverick, Cobia, Pathfinder and Hewes). Its Cobalt segment is engaged in manufacturing, distribution, marketing and sale of Cobalt boats throughout the world. The Company's product portfolio of brands is used for range of recreational boating activities including, among others, water sports such as water skiing.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of MALIBU BOATS INC
MBUU Guru Analysis
MBUU Fundamental Analysis
MASTERCRAFT BOAT HOLDINGS INC (MCFT) is a small-cap value stock in the Recreational Products industry. The rating according to our strategy based on Peter Lynch is 93% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: MasterCraft Boat Holdings, Inc. is a designer, manufacturer and marketer of recreational powerboats, which has a diversified portfolio of four brands, MasterCraft, Crest, NauticStar and Aviara. It has four segments. MasterCraft segment consists of its MasterCraft brand, which manufactures premium ski/wake boats. Crest segment consists of its Crest brand, which manufactures pontoon boats. NauticStar segment consists of its NauticStar brand, which manufactures saltwater fishing boats, deck boats and bay boats designed for a variety of uses, including recreational and competitive sport fishing in freshwater lakes or saltwater, and general recreational enjoyment. Aviara segment consists of its Aviara brand, which manufactures luxury day boats. Its subsidiaries include MasterCraft Boat Company, LLC, MasterCraft Services, LLC, MasterCraft Parts, Ltd., MasterCraft International Sales Administration, Inc., Aviara Boats, LLC (Aviara), Nautic Star, LLC, NS Transport, LLC and Crest Marine, LLC.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: NEUTRAL
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of MASTERCRAFT BOAT HOLDINGS INC
MCFT Guru Analysis
MCFT Fundamental Analysis
ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. The rating according to our strategy based on Peter Lynch is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Advance Auto Parts, Inc. is an automotive aftermarket parts provider in North America, serving both professional installers and do-it-yourself (DIY) customers. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks. It operates approximately 4,747 stores and 313 branches within the United States, Canada, Puerto Rico, and the United States Virgin Islands. The Company operates through four trade names: Advance Auto Parts, Autopart International, Carquest, and Worldpac. Its Advance Auto Parts focus on both professional and DIY customers. The stores carry a variety of products serving aftermarket auto part needs for both domestic and import vehicles. Its Autopart International operates in the North-eastern and Mid-Atlantic regions of the United States.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ADVANCE AUTO PARTS, INC.
AAP Guru Analysis
AAP Fundamental Analysis
CAPRI HOLDINGS LTD (CPRI) is a mid-cap value stock in the Apparel/Accessories industry. The rating according to our strategy based on Peter Lynch is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Capri Holdings Limited is a holding company. The Company owns brands that are designers, marketers, distributors and retailers of branded women's and men's accessories, footwear and ready-to-wear bearing the Versace, Jimmy Choo and Michael Kors tradenames and related trademarks and logos. It operates in three reportable segments: Versace, Jimmy Choo and Michael Kors. Versace segment is engaged in the sale of Versace products through retail stores (including concessions) and e-commerce sites, through wholesale doors (including multi-brand stores). Jimmy Choo segment is engaged in the sale of Jimmy Choo products through retail stores (including concessions) and e-commerce sites, through wholesale doors (including multi-brand stores). Michael Kors segment is engaged in the sale of Michael Kors products through retail stores (including concessions) and e-commerce sites, through wholesale doors. It sells its products through three channels of distribution: retail, wholesale and licensing.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
INVENTORY TO SALES: PASS
YIELD ADJUSTED P/E TO GROWTH (PEG) RATIO: PASS
EARNINGS PER SHARE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of CAPRI HOLDINGS LTD
CPRI Guru Analysis
CPRI Fundamental Analysis
GILDAN ACTIVEWEAR INC (USA) (GIL) is a mid-cap value stock in the Apparel/Accessories industry. The rating according to our strategy based on Peter Lynch is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Gildan Activewear Inc. is a Canada-based, vertically integrated manufacturer of everyday basic apparel, including activewear, underwear, and hosiery products. The Company's primary product categories include activewear tops and bottoms (activewear), socks (hosiery), underwear tops and bottoms (underwear) and intimates. Its activewear product lines include T-shirts, fleece tops and bottoms, and sports shirts. Its hosiery product lines include athletic, dress, casual and workwear socks, liner socks, socks for therapeutic purposes, sheer panty hose, tights, and leggings. Its underwear product lines include men's and boy's underwear (tops and bottoms) and ladies panties. The Company's intimates product lines include ladies shapewear, intimates, and accessories. The products it manufactures, and sells are marketed under Company brands, including Gildan, American Apparel, Comfort Colors, Gildan Hammer, Alstyle and GoldToe. It also sells socks under the Under Armour brand.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
INVENTORY TO SALES: PASS
YIELD ADJUSTED P/E TO GROWTH (PEG) RATIO: PASS
EARNINGS PER SHARE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of GILDAN ACTIVEWEAR INC (USA)
GIL Guru Analysis
GIL Fundamental Analysis
ACUSHNET HOLDINGS CORP (GOLF) is a mid-cap growth stock in the Recreational Products industry. The rating according to our strategy based on Peter Lynch is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Acushnet Holdings Corp. is engaged in the design, development, manufacture, and distribution of golf products. The Company's segments include Titleist golf balls, Titleist golf clubs, Titleist golf gear, and FootJoy golf wear. The Titleist golf balls segment is engaged in the design and manufacturing a golf ball. The Titleist golf clubs segment designs, assembles, and sells golf clubs (drivers, fairways, hybrids and irons) under the Titleist brand, wedges under the Vokey Design brand and putters under the Scotty Cameron brand. The Titleist golf gear segment includes golf bags, headwear, golf gloves, travel products, headcovers, and other golf accessories. The FootJoy golf wear segment includes golf shoes, gloves, and apparel. The Company's products include golf balls, golf clubs, wedges and putters, golf shoes, golf gloves, golf gear, and golf and ski outerwear and apparel. It designs, manufactures and markets a range of products under the Titleist, FootJoy, Club Glove and KJUS brands.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ACUSHNET HOLDINGS CORP
GOLF Guru Analysis
GOLF Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Detailed Analysis of MASTERCRAFT BOAT HOLDINGS INC MCFT Guru Analysis MCFT Fundamental Analysis ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis CAPRI HOLDINGS LTD (CPRI) is a mid-cap value stock in the Apparel/Accessories industry. The Wholesale segment is principally involved in the development of the Ethan Allen brand and encompasses all aspects of design, manufacturing, sourcing, marketing, sale, and distribution of its range of home furnishings and accents.
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Detailed Analysis of MASTERCRAFT BOAT HOLDINGS INC MCFT Guru Analysis MCFT Fundamental Analysis ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis CAPRI HOLDINGS LTD (CPRI) is a mid-cap value stock in the Apparel/Accessories industry. Detailed Analysis of GILDAN ACTIVEWEAR INC (USA) GIL Guru Analysis GIL Fundamental Analysis ACUSHNET HOLDINGS CORP (GOLF) is a mid-cap growth stock in the Recreational Products industry.
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Detailed Analysis of MASTERCRAFT BOAT HOLDINGS INC MCFT Guru Analysis MCFT Fundamental Analysis ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis CAPRI HOLDINGS LTD (CPRI) is a mid-cap value stock in the Apparel/Accessories industry. Detailed Analysis of MALIBU BOATS INC MBUU Guru Analysis MBUU Fundamental Analysis MASTERCRAFT BOAT HOLDINGS INC (MCFT) is a small-cap value stock in the Recreational Products industry.
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Detailed Analysis of MASTERCRAFT BOAT HOLDINGS INC MCFT Guru Analysis MCFT Fundamental Analysis ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis CAPRI HOLDINGS LTD (CPRI) is a mid-cap value stock in the Apparel/Accessories industry. The following are the top rated Consumer Cyclical stocks according to Validea's P/E/Growth Investor model based on the published strategy of Peter Lynch.
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10811.0
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2023-02-24 00:00:00 UTC
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Advance Auto Parts is Oversold
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-is-oversold-0
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nan
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The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. Advance Auto Parts Inc (Symbol: AAP) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Friday, shares of AAP entered into oversold territory, changing hands as low as $139.485 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30. In the case of Advance Auto Parts Inc, the RSI reading has hit 29.0 — by comparison, the universe of dividend stocks covered by Dividend Channel currently has an average RSI of 46.6. A falling stock price — all else being equal — creates a better opportunity for dividend investors to capture a higher yield. Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 4.23% based upon the recent $142.01 share price.
A bullish investor could look at AAP's 29.0 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. In general, dividends are not always predictable; but, looking at the history chart below can help in judging whether the most recent dividend is likely to continue.
Click here to find out what 9 other oversold dividend stocks you need to know about »
Also see:
TNET market cap history
Institutional Holders of EMIF
CNMD Next Dividend Date
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A bullish investor could look at AAP's 29.0 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Advance Auto Parts Inc (Symbol: AAP) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Friday, shares of AAP entered into oversold territory, changing hands as low as $139.485 per share.
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Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 4.23% based upon the recent $142.01 share price. Advance Auto Parts Inc (Symbol: AAP) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Friday, shares of AAP entered into oversold territory, changing hands as low as $139.485 per share.
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Advance Auto Parts Inc (Symbol: AAP) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Friday, shares of AAP entered into oversold territory, changing hands as low as $139.485 per share. Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 4.23% based upon the recent $142.01 share price.
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But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Friday, shares of AAP entered into oversold territory, changing hands as low as $139.485 per share. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. Advance Auto Parts Inc (Symbol: AAP) presently has an above average rank, in the top 50% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
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10812.0
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2023-02-23 00:00:00 UTC
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Advance Auto Parts Inc Shares Approach 52-Week Low - Market Mover
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-inc-shares-approach-52-week-low-market-mover-2
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nan
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nan
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Advance Auto Parts Inc (AAP) shares closed today at 0.2% above its 52 week low of $138.52, giving the company a market cap of $9B. The stock is currently up 2.0% year-to-date, down 29.0% over the past 12 months, and up 48.3% over the past five years. This week, the Dow Jones Industrial Average rose 0.0%, and the S&P 500 fell 0.2%.
Trading Activity
Trading volume this week was 45.6% higher than the 20-day average.
Beta, a measure of the stock’s volatility relative to the overall market stands at 0.8.
Technical Indicators
The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
MACD, a trend-following momentum indicator, indicates a downward trend.
The stock closed below its Bollinger band, indicating it may be oversold.
Market Comparative Performance
The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis
The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and lags it on a 5-year basis
The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and lags it on a 5 year basis
Per Group Comparative Performance
The company's stock price performance year-to-date lags the peer average by -75.6%
The company's stock price performance over the past 12 months lags the peer average by -307.2%
The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.8% lower than the average peer.
This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc (AAP) shares closed today at 0.2% above its 52 week low of $138.52, giving the company a market cap of $9B. This week, the Dow Jones Industrial Average rose 0.0%, and the S&P 500 fell 0.2%. Beta, a measure of the stock’s volatility relative to the overall market stands at 0.8.
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Advance Auto Parts Inc (AAP) shares closed today at 0.2% above its 52 week low of $138.52, giving the company a market cap of $9B. This week, the Dow Jones Industrial Average rose 0.0%, and the S&P 500 fell 0.2%. Technical Indicators The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
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Advance Auto Parts Inc (AAP) shares closed today at 0.2% above its 52 week low of $138.52, giving the company a market cap of $9B. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and lags it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by -75.6% The company's stock price performance over the past 12 months lags the peer average by -307.2% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.8% lower than the average peer. This story was produced by the Kwhen Automated News Generator.
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Advance Auto Parts Inc (AAP) shares closed today at 0.2% above its 52 week low of $138.52, giving the company a market cap of $9B. This week, the Dow Jones Industrial Average rose 0.0%, and the S&P 500 fell 0.2%. Technical Indicators The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
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10813.0
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2023-02-23 00:00:00 UTC
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Noteworthy Thursday Option Activity: SBUX, PWR, AAP
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AAP
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https://www.nasdaq.com/articles/noteworthy-thursday-option-activity%3A-sbux-pwr-aap
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nan
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nan
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Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Starbucks Corp. (Symbol: SBUX), where a total volume of 32,269 contracts has been traded thus far today, a contract volume which is representative of approximately 3.2 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 49.3% of SBUX's average daily trading volume over the past month, of 6.6 million shares. Particularly high volume was seen for the $105 strike put option expiring April 21, 2023, with 3,872 contracts trading so far today, representing approximately 387,200 underlying shares of SBUX. Below is a chart showing SBUX's trailing twelve month trading history, with the $105 strike highlighted in orange:
Quanta Services, Inc. (Symbol: PWR) saw options trading volume of 4,080 contracts, representing approximately 408,000 underlying shares or approximately 48.2% of PWR's average daily trading volume over the past month, of 846,575 shares. Particularly high volume was seen for the $165 strike call option expiring March 17, 2023, with 1,666 contracts trading so far today, representing approximately 166,600 underlying shares of PWR. Below is a chart showing PWR's trailing twelve month trading history, with the $165 strike highlighted in orange:
And Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 5,026 contracts, representing approximately 502,600 underlying shares or approximately 46.9% of AAP's average daily trading volume over the past month, of 1.1 million shares. Particularly high volume was seen for the $140 strike put option expiring March 03, 2023, with 755 contracts trading so far today, representing approximately 75,500 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $140 strike highlighted in orange:
For the various different available expirations for SBUX options, PWR options, or AAP options, visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
Also see:
Consumer Goods Dividend Stock List
TFX Dividend History
UTHR Options Chain
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Particularly high volume was seen for the $140 strike put option expiring March 03, 2023, with 755 contracts trading so far today, representing approximately 75,500 underlying shares of AAP. Below is a chart showing PWR's trailing twelve month trading history, with the $165 strike highlighted in orange: And Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 5,026 contracts, representing approximately 502,600 underlying shares or approximately 46.9% of AAP's average daily trading volume over the past month, of 1.1 million shares. Below is a chart showing AAP's trailing twelve month trading history, with the $140 strike highlighted in orange: For the various different available expirations for SBUX options, PWR options, or AAP options, visit StockOptionsChannel.com.
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Below is a chart showing PWR's trailing twelve month trading history, with the $165 strike highlighted in orange: And Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 5,026 contracts, representing approximately 502,600 underlying shares or approximately 46.9% of AAP's average daily trading volume over the past month, of 1.1 million shares. Particularly high volume was seen for the $140 strike put option expiring March 03, 2023, with 755 contracts trading so far today, representing approximately 75,500 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $140 strike highlighted in orange: For the various different available expirations for SBUX options, PWR options, or AAP options, visit StockOptionsChannel.com.
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Below is a chart showing PWR's trailing twelve month trading history, with the $165 strike highlighted in orange: And Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 5,026 contracts, representing approximately 502,600 underlying shares or approximately 46.9% of AAP's average daily trading volume over the past month, of 1.1 million shares. Particularly high volume was seen for the $140 strike put option expiring March 03, 2023, with 755 contracts trading so far today, representing approximately 75,500 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $140 strike highlighted in orange: For the various different available expirations for SBUX options, PWR options, or AAP options, visit StockOptionsChannel.com.
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Below is a chart showing PWR's trailing twelve month trading history, with the $165 strike highlighted in orange: And Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 5,026 contracts, representing approximately 502,600 underlying shares or approximately 46.9% of AAP's average daily trading volume over the past month, of 1.1 million shares. Particularly high volume was seen for the $140 strike put option expiring March 03, 2023, with 755 contracts trading so far today, representing approximately 75,500 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $140 strike highlighted in orange: For the various different available expirations for SBUX options, PWR options, or AAP options, visit StockOptionsChannel.com.
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10814.0
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2023-02-22 00:00:00 UTC
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Advance Auto Parts (AAP) Dips More Than Broader Markets: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-dips-more-than-broader-markets%3A-what-you-should-know
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nan
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nan
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Advance Auto Parts (AAP) closed the most recent trading day at $143.62, moving -0.4% from the previous trading session. This change lagged the S&P 500's 0.16% loss on the day. Meanwhile, the Dow lost 0.26%, and the Nasdaq, a tech-heavy index, added 1.58%.
Heading into today, shares of the auto parts retailer had lost 2.09% over the past month, lagging the Retail-Wholesale sector's loss of 2.03% and the S&P 500's gain of 0.84% in that time.
Investors will be hoping for strength from Advance Auto Parts as it approaches its next earnings release, which is expected to be February 28, 2023. On that day, Advance Auto Parts is projected to report earnings of $2.43 per share, which would represent year-over-year growth of 17.39%. Meanwhile, our latest consensus estimate is calling for revenue of $2.42 billion, up 0.92% from the prior-year quarter.
Any recent changes to analyst estimates for Advance Auto Parts should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 1.93% lower. Advance Auto Parts is currently a Zacks Rank #4 (Sell).
Digging into valuation, Advance Auto Parts currently has a Forward P/E ratio of 11.07. Its industry sports an average Forward P/E of 22.03, so we one might conclude that Advance Auto Parts is trading at a discount comparatively.
Investors should also note that AAP has a PEG ratio of 0.97 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. AAP's industry had an average PEG ratio of 1.82 as of yesterday's close.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 231, which puts it in the bottom 9% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AAP in the coming trading sessions, be sure to utilize Zacks.com.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2021. Previous recommendations have soared +143.0%, +175.9%, +498.3% and +673.0%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) closed the most recent trading day at $143.62, moving -0.4% from the previous trading session. Investors should also note that AAP has a PEG ratio of 0.97 right now. AAP's industry had an average PEG ratio of 1.82 as of yesterday's close.
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Advance Auto Parts (AAP) closed the most recent trading day at $143.62, moving -0.4% from the previous trading session. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Investors should also note that AAP has a PEG ratio of 0.97 right now.
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Advance Auto Parts (AAP) closed the most recent trading day at $143.62, moving -0.4% from the previous trading session. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Investors should also note that AAP has a PEG ratio of 0.97 right now.
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Advance Auto Parts (AAP) closed the most recent trading day at $143.62, moving -0.4% from the previous trading session. Investors should also note that AAP has a PEG ratio of 0.97 right now. AAP's industry had an average PEG ratio of 1.82 as of yesterday's close.
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10815.0
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2023-02-21 00:00:00 UTC
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First Week of April 21st Options Trading For Advance Auto Parts
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AAP
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https://www.nasdaq.com/articles/first-week-of-april-21st-options-trading-for-advance-auto-parts
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nan
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nan
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Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the April 21st expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new April 21st contracts and identified one put and one call contract of particular interest.
The put contract at the $140.00 strike price has a current bid of $5.90. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $140.00, but will also collect the premium, putting the cost basis of the shares at $134.10 (before broker commissions). To an investor already interested in purchasing shares of AAP, that could represent an attractive alternative to paying $146.23/share today.
Because the $140.00 strike represents an approximate 4% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 63%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 4.21% return on the cash commitment, or 26.09% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Advance Auto Parts Inc, and highlighting in green where the $140.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $150.00 strike price has a current bid of $5.90. If an investor was to purchase shares of AAP stock at the current price level of $146.23/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $150.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 6.61% if the stock gets called away at the April 21st expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red:
Considering the fact that the $150.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 55%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 4.03% boost of extra return to the investor, or 24.98% annualized, which we refer to as the YieldBoost.
The implied volatility in the put contract example is 42%, while the implied volatility in the call contract example is 38%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 250 trading day closing values as well as today's price of $146.23) to be 37%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Top YieldBoost Calls of the S&P 500 »
Also see:
Preferred Stock Ex-Dividend Calendar
PVH Dividend Growth Rate
SCHF Options Chain
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the April 21st expiration.
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Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the April 21st expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new April 21st contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the April 21st expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new April 21st contracts and identified one put and one call contract of particular interest.
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At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new April 21st contracts and identified one put and one call contract of particular interest. Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 3% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the April 21st expiration.
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10816.0
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2023-02-17 00:00:00 UTC
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O'Reilly Automotive In Buy Range After Topping Q4 Views
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AAP
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https://www.nasdaq.com/articles/oreilly-automotive-in-buy-range-after-topping-q4-views
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nan
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nan
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O’Reilly Automotive Inc. (NASDAQ: ORLY) is in buy range after clearing a base with a buy point north of $856.57. Investors hit the accelerator on February 9 following the company’s better-than-expected fourth-quarter report.
The company cited strength in both the consumer DIY segment, as well as in the professional segment but noted some headwinds facing the DIY business.
Earnings came in at $8.37 per share, up 10% from the year-earlier quarter. Revenue was $3.644 billion, a year-over-year increase of 11%.
Analysts’ consensus rating is “moderate buy,” according to MarketBeat data. The price target is $859.60, right around where the stock is currently trading.
Remember: A price target is a consensus of analysts’ views relative to a stock’s valuation. It’s not a recommendation to buy, sell or hold.
In O’Reilly’s case, analysts who recently reiterated or boosted targets or initiated coverage typically see the price rising in the next 12 to 18 months.
Professional Segment Leading The Way
In the earnings call, chief operating officer Brad Beckham said, “We saw strength in both our DIY and professional businesses, with professional again leading the way with double-digit comparable store sales growth on robust increases in both ticket counts and average ticket size.”
Beckham added that the company expects both its DIY and professional businesses to be positive contributors to comparable store sales growth this year, with the professional segment again expected to outperform.
To some degree, companies like O’Reilly and its industry peers, including AutoZone Inc. (NYSE: AZO), Advance Auto Parts Inc. (NYSE: AAP) and Genuine Parts Co. (NYSE: GPC) have some recession-resistant qualities. Whether or not a recession hits, businesses and consumers still need properly running vehicles, which requires spending.
For 2023, O’Reilly expects to open between 180 and 190 new stores, net of others that may be closed. It expects total revenue in range from $15.2 billion to $15.5 billion, with diluted earnings per share in a range from $35.75 to $36.25.
According to FactSet, Wall Street’s consensus estimate is still a little higher, coming in at $36.87. That estimate was recently revised lower. According to MarketBeat earnings data for O’Reilly, the company topped earnings and sales views in the past two quarters.
Looking ahead to the full year, Beckham added that the company believes the strength of the professional business will continue to accelerate growth.
Cautious Optimism About DIY Segment
“We also see significant opportunity to grow our DIY business but are more cautious in how we view our ability to increase ticket counts on a year-over-year basis,” he said. “Our DIY ticket counts in 2022 were pressured compared to 2021, as we were still calendaring the impact of government stimulus and faced headwinds from gas price shocks and inflation.”
Beckham said the company believes it’s passed the artificial spikes in demand due to stimulus checks and higher vehicle prices, which drove more customers to repair existing cars and trucks.
Throughout February, the market will get more information about the overall roadworthiness of auto parts retailers.
Genuine Parts reports earnings on February 23 and Advance Auto Parts and AutoZone on February 27.
MarketBeat analyst data show the following ratings on stocks in the auto parts industry:
O’Reilly: Moderate buy
Genuine Parts: Hold
Advance Auto Parts: Hold
AutoZone: Moderate buy
O’Reilly cleared a double-bottom base, which you can see on its chart, using a candlestick or bar view. O’Reilly, an S&P 500 component, outperformed its index in the sessions following its fourth quarter. As of February 16, it was trading less than 1% above its buy point, meaning it remained in a viable buy range and hadn’t risen so far that investors risked a shakeout if they chased the stock.
It, along with AutoZone, has posted the best price and earnings performance among auto parts retailers.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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To some degree, companies like O’Reilly and its industry peers, including AutoZone Inc. (NYSE: AZO), Advance Auto Parts Inc. (NYSE: AAP) and Genuine Parts Co. (NYSE: GPC) have some recession-resistant qualities. Whether or not a recession hits, businesses and consumers still need properly running vehicles, which requires spending. Looking ahead to the full year, Beckham added that the company believes the strength of the professional business will continue to accelerate growth.
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To some degree, companies like O’Reilly and its industry peers, including AutoZone Inc. (NYSE: AZO), Advance Auto Parts Inc. (NYSE: AAP) and Genuine Parts Co. (NYSE: GPC) have some recession-resistant qualities. Professional Segment Leading The Way In the earnings call, chief operating officer Brad Beckham said, “We saw strength in both our DIY and professional businesses, with professional again leading the way with double-digit comparable store sales growth on robust increases in both ticket counts and average ticket size.” Beckham added that the company expects both its DIY and professional businesses to be positive contributors to comparable store sales growth this year, with the professional segment again expected to outperform. Genuine Parts reports earnings on February 23 and Advance Auto Parts and AutoZone on February 27.
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To some degree, companies like O’Reilly and its industry peers, including AutoZone Inc. (NYSE: AZO), Advance Auto Parts Inc. (NYSE: AAP) and Genuine Parts Co. (NYSE: GPC) have some recession-resistant qualities. Professional Segment Leading The Way In the earnings call, chief operating officer Brad Beckham said, “We saw strength in both our DIY and professional businesses, with professional again leading the way with double-digit comparable store sales growth on robust increases in both ticket counts and average ticket size.” Beckham added that the company expects both its DIY and professional businesses to be positive contributors to comparable store sales growth this year, with the professional segment again expected to outperform. MarketBeat analyst data show the following ratings on stocks in the auto parts industry: O’Reilly: Moderate buy Genuine Parts: Hold Advance Auto Parts: Hold AutoZone: Moderate buy O’Reilly cleared a double-bottom base, which you can see on its chart, using a candlestick or bar view.
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To some degree, companies like O’Reilly and its industry peers, including AutoZone Inc. (NYSE: AZO), Advance Auto Parts Inc. (NYSE: AAP) and Genuine Parts Co. (NYSE: GPC) have some recession-resistant qualities. The company cited strength in both the consumer DIY segment, as well as in the professional segment but noted some headwinds facing the DIY business. Professional Segment Leading The Way In the earnings call, chief operating officer Brad Beckham said, “We saw strength in both our DIY and professional businesses, with professional again leading the way with double-digit comparable store sales growth on robust increases in both ticket counts and average ticket size.” Beckham added that the company expects both its DIY and professional businesses to be positive contributors to comparable store sales growth this year, with the professional segment again expected to outperform.
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10817.0
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2023-02-13 00:00:00 UTC
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Advance Auto Parts (AAP) Gains But Lags Market: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-gains-but-lags-market%3A-what-you-should-know-3
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nan
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nan
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Advance Auto Parts (AAP) closed at $152.19 in the latest trading session, marking a +0.26% move from the prior day. The stock lagged the S&P 500's daily gain of 1.15%. Elsewhere, the Dow gained 1.11%, while the tech-heavy Nasdaq added 11.35%.
Heading into today, shares of the auto parts retailer had gained 0.51% over the past month, lagging the Retail-Wholesale sector's gain of 1.99% and the S&P 500's gain of 4.49% in that time.
Wall Street will be looking for positivity from Advance Auto Parts as it approaches its next earnings report date. This is expected to be February 28, 2023. In that report, analysts expect Advance Auto Parts to post earnings of $2.43 per share. This would mark year-over-year growth of 17.39%. Meanwhile, our latest consensus estimate is calling for revenue of $2.43 billion, up 1.34% from the prior-year quarter.
Investors might also notice recent changes to analyst estimates for Advance Auto Parts. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 2.93% lower. Advance Auto Parts is currently a Zacks Rank #5 (Strong Sell).
Digging into valuation, Advance Auto Parts currently has a Forward P/E ratio of 11.54. Its industry sports an average Forward P/E of 21.35, so we one might conclude that Advance Auto Parts is trading at a discount comparatively.
We can also see that AAP currently has a PEG ratio of 1.01. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Automotive - Retail and Wholesale - Parts stocks are, on average, holding a PEG ratio of 1.76 based on yesterday's closing prices.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 242, putting it in the bottom 4% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) closed at $152.19 in the latest trading session, marking a +0.26% move from the prior day. We can also see that AAP currently has a PEG ratio of 1.01. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts (AAP) closed at $152.19 in the latest trading session, marking a +0.26% move from the prior day. We can also see that AAP currently has a PEG ratio of 1.01.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts (AAP) closed at $152.19 in the latest trading session, marking a +0.26% move from the prior day. We can also see that AAP currently has a PEG ratio of 1.01.
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Advance Auto Parts (AAP) closed at $152.19 in the latest trading session, marking a +0.26% move from the prior day. We can also see that AAP currently has a PEG ratio of 1.01. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10818.0
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2023-02-13 00:00:00 UTC
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Validea Daily Guru Fundamental Report for AAP - 2/13/2023
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AAP
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https://www.nasdaq.com/articles/validea-daily-guru-fundamental-report-for-aap-2-13-2023
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nan
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. The rating using this strategy is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Advance Auto Parts, Inc. is an automotive aftermarket parts provider in North America, serving both professional installers and do-it-yourself (DIY) customers. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks. It operates approximately 4,747 stores and 313 branches within the United States, Canada, Puerto Rico, and the United States Virgin Islands. The Company operates through four trade names: Advance Auto Parts, Autopart International, Carquest, and Worldpac. Its Advance Auto Parts focus on both professional and DIY customers. The stores carry a variety of products serving aftermarket auto part needs for both domestic and import vehicles. Its Autopart International operates in the North-eastern and Mid-Atlantic regions of the United States.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ADVANCE AUTO PARTS, INC.
AAP Guru Analysis
AAP Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP).
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Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time.
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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10819.0
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2023-02-13 00:00:00 UTC
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Analysts Anticipate VO Will Reach $243
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AAP
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https://www.nasdaq.com/articles/analysts-anticipate-vo-will-reach-%24243
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nan
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nan
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Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the Vanguard Mid-Cap ETF (Symbol: VO), we found that the implied analyst target price for the ETF based upon its underlying holdings is $242.69 per unit.
With VO trading at a recent price near $219.69 per unit, that means that analysts see 10.47% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of VO's underlying holdings with notable upside to their analyst target prices are Liberty Media Corp (Symbol: LSXMK), Centene Corp (Symbol: CNC), and Advance Auto Parts Inc (Symbol: AAP). Although LSXMK has traded at a recent price of $34.92/share, the average analyst target is 67.05% higher at $58.33/share. Similarly, CNC has 33.44% upside from the recent share price of $72.74 if the average analyst target price of $97.07/share is reached, and analysts on average are expecting AAP to reach a target price of $172.75/share, which is 13.80% above the recent price of $151.80. Below is a twelve month price history chart comparing the stock performance of LSXMK, CNC, and AAP:
Below is a summary table of the current analyst target prices discussed above:
NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET
Vanguard Mid-Cap ETF VO $219.69 $242.69 10.47%
Liberty Media Corp LSXMK $34.92 $58.33 67.05%
Centene Corp CNC $72.74 $97.07 33.44%
Advance Auto Parts Inc AAP $151.80 $172.75 13.80%
Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.
10 ETFs With Most Upside To Analyst Targets »
Also see:
Moderna Average Annual Return
STML YTD Return
CSTL Average Annual Return
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Vanguard Mid-Cap ETF VO $219.69 $242.69 10.47% Liberty Media Corp LSXMK $34.92 $58.33 67.05% Centene Corp CNC $72.74 $97.07 33.44% Advance Auto Parts Inc AAP $151.80 $172.75 13.80% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of VO's underlying holdings with notable upside to their analyst target prices are Liberty Media Corp (Symbol: LSXMK), Centene Corp (Symbol: CNC), and Advance Auto Parts Inc (Symbol: AAP). Similarly, CNC has 33.44% upside from the recent share price of $72.74 if the average analyst target price of $97.07/share is reached, and analysts on average are expecting AAP to reach a target price of $172.75/share, which is 13.80% above the recent price of $151.80.
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Three of VO's underlying holdings with notable upside to their analyst target prices are Liberty Media Corp (Symbol: LSXMK), Centene Corp (Symbol: CNC), and Advance Auto Parts Inc (Symbol: AAP). Similarly, CNC has 33.44% upside from the recent share price of $72.74 if the average analyst target price of $97.07/share is reached, and analysts on average are expecting AAP to reach a target price of $172.75/share, which is 13.80% above the recent price of $151.80. Vanguard Mid-Cap ETF VO $219.69 $242.69 10.47% Liberty Media Corp LSXMK $34.92 $58.33 67.05% Centene Corp CNC $72.74 $97.07 33.44% Advance Auto Parts Inc AAP $151.80 $172.75 13.80% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now?
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Similarly, CNC has 33.44% upside from the recent share price of $72.74 if the average analyst target price of $97.07/share is reached, and analysts on average are expecting AAP to reach a target price of $172.75/share, which is 13.80% above the recent price of $151.80. Three of VO's underlying holdings with notable upside to their analyst target prices are Liberty Media Corp (Symbol: LSXMK), Centene Corp (Symbol: CNC), and Advance Auto Parts Inc (Symbol: AAP). Below is a twelve month price history chart comparing the stock performance of LSXMK, CNC, and AAP: Below is a summary table of the current analyst target prices discussed above:
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Vanguard Mid-Cap ETF VO $219.69 $242.69 10.47% Liberty Media Corp LSXMK $34.92 $58.33 67.05% Centene Corp CNC $72.74 $97.07 33.44% Advance Auto Parts Inc AAP $151.80 $172.75 13.80% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of VO's underlying holdings with notable upside to their analyst target prices are Liberty Media Corp (Symbol: LSXMK), Centene Corp (Symbol: CNC), and Advance Auto Parts Inc (Symbol: AAP). Similarly, CNC has 33.44% upside from the recent share price of $72.74 if the average analyst target price of $97.07/share is reached, and analysts on average are expecting AAP to reach a target price of $172.75/share, which is 13.80% above the recent price of $151.80.
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10820.0
|
2023-02-09 00:00:00 UTC
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AAP March 31st Options Begin Trading
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AAP
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https://www.nasdaq.com/articles/aap-march-31st-options-begin-trading
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nan
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nan
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Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 31st expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new March 31st contracts and identified one put and one call contract of particular interest.
The put contract at the $150.00 strike price has a current bid of $8.00. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $150.00, but will also collect the premium, putting the cost basis of the shares at $142.00 (before broker commissions). To an investor already interested in purchasing shares of AAP, that could represent an attractive alternative to paying $151.14/share today.
Because the $150.00 strike represents an approximate 1% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 5.33% return on the cash commitment, or 38.97% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Advance Auto Parts Inc, and highlighting in green where the $150.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $152.50 strike price has a current bid of $7.60. If an investor was to purchase shares of AAP stock at the current price level of $151.14/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $152.50. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 5.93% if the stock gets called away at the March 31st expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red:
Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 5.03% boost of extra return to the investor, or 36.74% annualized, which we refer to as the YieldBoost.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 251 trading day closing values as well as today's price of $151.14) to be 38%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Top YieldBoost Calls of the S&P 500 »
Also see:
ALNA market cap history
Institutional Holders of Fortinet
TRCH Videos
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red: Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 31st expiration.
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Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red: Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 31st expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new March 31st contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red: Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 31st expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new March 31st contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red: Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 31st expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new March 31st contracts and identified one put and one call contract of particular interest.
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10821.0
|
2023-02-08 00:00:00 UTC
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O'Reilly Automotive (ORLY) Tops Q4 Earnings and Revenue Estimates
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AAP
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https://www.nasdaq.com/articles/oreilly-automotive-orly-tops-q4-earnings-and-revenue-estimates-0
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nan
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nan
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O'Reilly Automotive (ORLY) came out with quarterly earnings of $8.37 per share, beating the Zacks Consensus Estimate of $7.71 per share. This compares to earnings of $7.64 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of 8.56%. A quarter ago, it was expected that this auto parts retailer would post earnings of $8.46 per share when it actually produced earnings of $9.17, delivering a surprise of 8.39%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
O'Reilly Automotive, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $3.64 billion for the quarter ended December 2022, surpassing the Zacks Consensus Estimate by 3.64%. This compares to year-ago revenues of $3.29 billion. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
O'Reilly Automotive shares have lost about 5.1% since the beginning of the year versus the S&P 500's gain of 8.5%.
What's Next for O'Reilly Automotive?
While O'Reilly Automotive has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for O'Reilly Automotive: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $8.30 on $3.5 billion in revenues for the coming quarter and $36.53 on $15.04 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Retail and Wholesale - Parts is currently in the bottom 4% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, Advance Auto Parts (AAP), is yet to report results for the quarter ended December 2022.
This auto parts retailer is expected to post quarterly earnings of $2.43 per share in its upcoming report, which represents a year-over-year change of +17.4%. The consensus EPS estimate for the quarter has been revised 1.3% lower over the last 30 days to the current level.
Advance Auto Parts' revenues are expected to be $2.43 billion, up 1.3% from the year-ago quarter.
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O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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One other stock from the same industry, Advance Auto Parts (AAP), is yet to report results for the quarter ended December 2022. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions.
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Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. One other stock from the same industry, Advance Auto Parts (AAP), is yet to report results for the quarter ended December 2022. O'Reilly Automotive, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $3.64 billion for the quarter ended December 2022, surpassing the Zacks Consensus Estimate by 3.64%.
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Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. One other stock from the same industry, Advance Auto Parts (AAP), is yet to report results for the quarter ended December 2022. O'Reilly Automotive (ORLY) came out with quarterly earnings of $8.37 per share, beating the Zacks Consensus Estimate of $7.71 per share.
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One other stock from the same industry, Advance Auto Parts (AAP), is yet to report results for the quarter ended December 2022. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. O'Reilly Automotive (ORLY) came out with quarterly earnings of $8.37 per share, beating the Zacks Consensus Estimate of $7.71 per share.
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10822.0
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2023-02-08 00:00:00 UTC
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Barclays Initiates Coverage of Advance Auto Parts (AAP) with Underweight Recommendation
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AAP
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https://www.nasdaq.com/articles/barclays-initiates-coverage-of-advance-auto-parts-aap-with-underweight-recommendation
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nan
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nan
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On February 8, 2023, Barclays initiated coverage of Advance Auto Parts with a Underweight recommendation.
Analyst Price Forecast Suggests 11.67% Upside
As of February 8, 2023, the average one-year price target for Advance Auto Parts is $169.15. The forecasts range from a low of $121.20 to a high of $220.50. The average price target represents an increase of 11.67% from its latest reported closing price of $151.47.
The projected annual revenue for Advance Auto Parts is $11,502MM, an increase of 3.83%. The projected annual EPS is $13.56, an increase of 73.82%.
Advance Auto Parts Declares $1.50 Dividend
Advance Auto Parts said on November 7, 2022 that its board of directors declared a regular quarterly dividend of $1.50 per share ($6.00 annualized). Shareholders of record as of December 15, 2022 received the payment on January 3, 2023. Previously, the company paid $1.50 per share.
At the current share price of $151.47 / share, the stock's dividend yield is 3.96%. Looking back five years and taking a sample every week, the average dividend yield has been 1.12%, the lowest has been 0.13%, and the highest has been 4.26%. The standard deviation of yields is 1.20 (n=237).
The current dividend yield is 2.36 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.74. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 24.00%, demonstrating that it has increased its dividend over time.
What are large shareholders doing?
Jpmorgan Chase & holds 3,247,267 shares representing 5.52% ownership of the company. In it's prior filing, the firm reported owning 2,636,189 shares, representing an increase of 18.82%. The firm increased its portfolio allocation in AAP by 14.69% over the last quarter.
Clearbridge Investments holds 3,043,636 shares representing 5.18% ownership of the company. In it's prior filing, the firm reported owning 3,183,593 shares, representing a decrease of 4.60%. The firm decreased its portfolio allocation in AAP by 6.57% over the last quarter.
Barrow Hanley Mewhinney & Strauss holds 2,980,111 shares representing 5.07% ownership of the company. In it's prior filing, the firm reported owning 3,102,110 shares, representing a decrease of 4.09%. The firm decreased its portfolio allocation in AAP by 5.76% over the last quarter.
HLIEX - JPMorgan Equity Income Fund Class I holds 2,284,313 shares representing 3.89% ownership of the company. In it's prior filing, the firm reported owning 1,869,799 shares, representing an increase of 18.15%. The firm increased its portfolio allocation in AAP by 15.87% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 1,790,428 shares representing 3.05% ownership of the company. In it's prior filing, the firm reported owning 1,783,836 shares, representing an increase of 0.37%. The firm decreased its portfolio allocation in AAP by 5.50% over the last quarter.
Fund Sentiment
There are 1321 funds or institutions reporting positions in Advance Auto Parts. This is a decrease of 51 owner(s) or 3.72%.
Average portfolio weight of all funds dedicated to US:AAP is 0.2277%, a decrease of 7.5813%. Total shares owned by institutions decreased in the last three months by 3.43% to 68,969K shares.
Advance Auto Parts Background Information
(This description is provided by the company.)
Advance Auto Parts, Inc., is a leading automotive aftermarket parts provider that serves both professional installer and do-it-yourself customers. As of October 3, 2020, Advance operated 4,811 stores and 168 Worldpac branches in the United States, Canada, Puerto Rico and the U.S. Virgin Islands. The Company also serves 1,269 independently owned Carquest branded stores across these locations in addition to Mexico, the Bahamas, Turks and Caicos and British Virgin Islands.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The firm increased its portfolio allocation in AAP by 14.69% over the last quarter. The firm decreased its portfolio allocation in AAP by 6.57% over the last quarter. The firm decreased its portfolio allocation in AAP by 5.76% over the last quarter.
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The firm increased its portfolio allocation in AAP by 14.69% over the last quarter. The firm decreased its portfolio allocation in AAP by 6.57% over the last quarter. The firm decreased its portfolio allocation in AAP by 5.76% over the last quarter.
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The firm increased its portfolio allocation in AAP by 14.69% over the last quarter. The firm decreased its portfolio allocation in AAP by 6.57% over the last quarter. The firm decreased its portfolio allocation in AAP by 5.76% over the last quarter.
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The firm increased its portfolio allocation in AAP by 14.69% over the last quarter. The firm decreased its portfolio allocation in AAP by 6.57% over the last quarter. The firm decreased its portfolio allocation in AAP by 5.76% over the last quarter.
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10823.0
|
2023-02-08 00:00:00 UTC
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Notable Wednesday Option Activity: BLKB, AAP, NEWR
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AAP
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https://www.nasdaq.com/articles/notable-wednesday-option-activity%3A-blkb-aap-newr
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nan
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nan
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Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in Blackbaud, Inc. (Symbol: BLKB), where a total volume of 805 contracts has been traded thus far today, a contract volume which is representative of approximately 80,500 underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 45.8% of BLKB's average daily trading volume over the past month, of 175,865 shares. Particularly high volume was seen for the $60 strike call option expiring March 17, 2023, with 300 contracts trading so far today, representing approximately 30,000 underlying shares of BLKB. Below is a chart showing BLKB's trailing twelve month trading history, with the $60 strike highlighted in orange:
Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 4,035 contracts, representing approximately 403,500 underlying shares or approximately 45.2% of AAP's average daily trading volume over the past month, of 891,780 shares. Particularly high volume was seen for the $170 strike call option expiring June 16, 2023, with 660 contracts trading so far today, representing approximately 66,000 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $170 strike highlighted in orange:
And New Relic Inc (Symbol: NEWR) options are showing a volume of 2,022 contracts thus far today. That number of contracts represents approximately 202,200 underlying shares, working out to a sizeable 44.9% of NEWR's average daily trading volume over the past month, of 450,490 shares. Especially high volume was seen for the $85 strike call option expiring February 17, 2023, with 584 contracts trading so far today, representing approximately 58,400 underlying shares of NEWR. Below is a chart showing NEWR's trailing twelve month trading history, with the $85 strike highlighted in orange:
For the various different available expirations for BLKB options, AAP options, or NEWR options, visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
Also see:
Top Stocks Held By Andreas Halvorsen
Church and Dwight MACD
MNST Insider Buying
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Particularly high volume was seen for the $170 strike call option expiring June 16, 2023, with 660 contracts trading so far today, representing approximately 66,000 underlying shares of AAP. Below is a chart showing BLKB's trailing twelve month trading history, with the $60 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 4,035 contracts, representing approximately 403,500 underlying shares or approximately 45.2% of AAP's average daily trading volume over the past month, of 891,780 shares. Below is a chart showing AAP's trailing twelve month trading history, with the $170 strike highlighted in orange: And New Relic Inc (Symbol: NEWR) options are showing a volume of 2,022 contracts thus far today.
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Below is a chart showing BLKB's trailing twelve month trading history, with the $60 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 4,035 contracts, representing approximately 403,500 underlying shares or approximately 45.2% of AAP's average daily trading volume over the past month, of 891,780 shares. Below is a chart showing AAP's trailing twelve month trading history, with the $170 strike highlighted in orange: And New Relic Inc (Symbol: NEWR) options are showing a volume of 2,022 contracts thus far today. Particularly high volume was seen for the $170 strike call option expiring June 16, 2023, with 660 contracts trading so far today, representing approximately 66,000 underlying shares of AAP.
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Below is a chart showing BLKB's trailing twelve month trading history, with the $60 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 4,035 contracts, representing approximately 403,500 underlying shares or approximately 45.2% of AAP's average daily trading volume over the past month, of 891,780 shares. Particularly high volume was seen for the $170 strike call option expiring June 16, 2023, with 660 contracts trading so far today, representing approximately 66,000 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $170 strike highlighted in orange: And New Relic Inc (Symbol: NEWR) options are showing a volume of 2,022 contracts thus far today.
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Below is a chart showing BLKB's trailing twelve month trading history, with the $60 strike highlighted in orange: Advance Auto Parts Inc (Symbol: AAP) saw options trading volume of 4,035 contracts, representing approximately 403,500 underlying shares or approximately 45.2% of AAP's average daily trading volume over the past month, of 891,780 shares. Below is a chart showing NEWR's trailing twelve month trading history, with the $85 strike highlighted in orange: For the various different available expirations for BLKB options, AAP options, or NEWR options, visit StockOptionsChannel.com. Particularly high volume was seen for the $170 strike call option expiring June 16, 2023, with 660 contracts trading so far today, representing approximately 66,000 underlying shares of AAP.
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10824.0
|
2023-02-07 00:00:00 UTC
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Validea Daily Guru Fundamental Report for AAP - 2/7/2023
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AAP
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https://www.nasdaq.com/articles/validea-daily-guru-fundamental-report-for-aap-2-7-2023
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nan
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nan
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. The rating using this strategy is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Advance Auto Parts, Inc. is an automotive aftermarket parts provider in North America, serving both professional installers and do-it-yourself (DIY) customers. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks. It operates approximately 4,747 stores and 313 branches within the United States, Canada, Puerto Rico, and the United States Virgin Islands. The Company operates through four trade names: Advance Auto Parts, Autopart International, Carquest, and Worldpac. Its Advance Auto Parts focus on both professional and DIY customers. The stores carry a variety of products serving aftermarket auto part needs for both domestic and import vehicles. Its Autopart International operates in the North-eastern and Mid-Atlantic regions of the United States.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ADVANCE AUTO PARTS, INC.
AAP Guru Analysis
AAP Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP).
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Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time.
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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10825.0
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2023-02-06 00:00:00 UTC
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Advance Auto Parts (AAP) to Report Q4 Results: Wall Street Expects Earnings Growth
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-to-report-q4-results%3A-wall-street-expects-earnings-growth
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nan
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nan
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Advance Auto Parts (AAP) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2022. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.
The earnings report might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower.
While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on theearnings call it's worth handicapping the probability of a positive EPS surprise.
Zacks Consensus Estimate
This auto parts retailer is expected to post quarterly earnings of $2.43 per share in its upcoming report, which represents a year-over-year change of +17.4%.
Revenues are expected to be $2.43 billion, up 1.3% from the year-ago quarter.
Estimate Revisions Trend
The consensus EPS estimate for the quarter has been revised 1.25% lower over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period.
Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change.
Earnings Whisper
Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. Our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction) -- has this insight at its core.
The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.
Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only.
A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP.
Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell).
How Have the Numbers Shaped Up for Advance Auto Parts?
For Advance Auto Parts, the Most Accurate Estimate is lower than the Zacks Consensus Estimate, suggesting that analysts have recently become bearish on the company's earnings prospects. This has resulted in an Earnings ESP of -2.31%.
On the other hand, the stock currently carries a Zacks Rank of #5.
So, this combination makes it difficult to conclusively predict that Advance Auto Parts will beat the consensus EPS estimate.
Does Earnings Surprise History Hold Any Clue?
While calculating estimates for a company's future earnings, analysts often consider to what extent it has been able to match past consensus estimates. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number.
For the last reported quarter, it was expected that Advance Auto Parts would post earnings of $3.32 per share when it actually produced earnings of $2.84, delivering a surprise of -14.46%.
Over the last four quarters, the company has beaten consensus EPS estimates two times.
Bottom Line
An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss.
That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.
Advance Auto Parts doesn't appear a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release.
An Industry Player's Expected Results
Among the stocks in the Zacks Automotive - Retail and Wholesale - Parts industry, O'Reilly Automotive (ORLY) is soon expected to post earnings of $7.71 per share for the quarter ended December 2022. This estimate indicates a year-over-year change of +0.9%. This quarter's revenue is expected to be $3.52 billion, up 6.8% from the year-ago quarter.
The consensus EPS estimate for O'Reilly Automotive has been revised 0.3% lower over the last 30 days to the current level. However, a higher Most Accurate Estimate has resulted in an Earnings ESP of 1.38%.
This Earnings ESP, combined with its Zacks Rank #3 (Hold), suggests that O'Reilly Automotive will most likely beat the consensus EPS estimate. Over the last four quarters, the company surpassed consensus EPS estimates two times.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2022. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report To read this article on Zacks.com click here. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.
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Advance Auto Parts (AAP) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2022. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report To read this article on Zacks.com click here. An Industry Player's Expected Results Among the stocks in the Zacks Automotive - Retail and Wholesale - Parts industry, O'Reilly Automotive (ORLY) is soon expected to post earnings of $7.71 per share for the quarter ended December 2022.
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Advance Auto Parts (AAP) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2022. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report To read this article on Zacks.com click here. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate.
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Advance Auto Parts (AAP) is expected to deliver a year-over-year increase in earnings on higher revenues when it reports results for the quarter ended December 2022. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Consensus Estimate This auto parts retailer is expected to post quarterly earnings of $2.43 per share in its upcoming report, which represents a year-over-year change of +17.4%.
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10826.0
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2023-02-02 00:00:00 UTC
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Validea Daily Guru Fundamental Report for AAP - 2/2/2023
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AAP
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https://www.nasdaq.com/articles/validea-daily-guru-fundamental-report-for-aap-2-2-2023
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nan
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nan
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. The rating using this strategy is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Advance Auto Parts, Inc. is an automotive aftermarket parts provider in North America, serving both professional installers and do-it-yourself (DIY) customers. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks. It operates approximately 4,747 stores and 313 branches within the United States, Canada, Puerto Rico, and the United States Virgin Islands. The Company operates through four trade names: Advance Auto Parts, Autopart International, Carquest, and Worldpac. Its Advance Auto Parts focus on both professional and DIY customers. The stores carry a variety of products serving aftermarket auto part needs for both domestic and import vehicles. Its Autopart International operates in the North-eastern and Mid-Atlantic regions of the United States.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ADVANCE AUTO PARTS, INC.
AAP Guru Analysis
AAP Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP).
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Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time.
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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10827.0
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2023-02-01 00:00:00 UTC
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BlackRock Cuts Stake in Advance Auto Parts (AAP)
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AAP
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https://www.nasdaq.com/articles/blackrock-cuts-stake-in-advance-auto-parts-aap
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nan
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nan
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Fintel reports that BlackRock has filed a 13G/A form with the SEC disclosing ownership of 4.12MM shares of Advance Auto Parts, Inc. (AAP). This represents 7.0% of the company.
In their previous filing dated February 3, 2022 they reported 4.59MM shares and 7.40% of the company, a decrease in shares of 10.21% and a decrease in total ownership of 0.40% (calculated as current - previous percent ownership).
Analyst Price Forecast Suggests 11.08% Upside
As of February 1, 2023, the average one-year price target for Advance Auto Parts is $169.15. The forecasts range from a low of $121.20 to a high of $220.50. The average price target represents an increase of 11.08% from its latest reported closing price of $152.28.
The projected annual revenue for Advance Auto Parts is $11,502MM, an increase of 3.83%. The projected annual EPS is $13.56, an increase of 73.82%.
Fund Sentiment
There are 1321 funds or institutions reporting positions in Advance Auto Parts. This is a decrease of 48 owner(s) or 3.51%.
Average portfolio weight of all funds dedicated to US:AAP is 0.2321%, a decrease of 5.8802%. Total shares owned by institutions decreased in the last three months by 2.82% to 69,257K shares.
What are large shareholders doing?
Jpmorgan Chase & holds 3,247,267 shares representing 5.52% ownership of the company. In it's prior filing, the firm reported owning 2,636,189 shares, representing an increase of 18.82%. The firm increased its portfolio allocation in AAP by 14.69% over the last quarter.
Clearbridge Investments holds 3,043,636 shares representing 5.18% ownership of the company. In it's prior filing, the firm reported owning 3,183,593 shares, representing a decrease of 4.60%. The firm decreased its portfolio allocation in AAP by 6.57% over the last quarter.
Barrow Hanley Mewhinney & Strauss holds 2,980,111 shares representing 5.07% ownership of the company. In it's prior filing, the firm reported owning 3,102,110 shares, representing a decrease of 4.09%. The firm decreased its portfolio allocation in AAP by 5.76% over the last quarter.
HLIEX - JPMorgan Equity Income Fund Class I holds 2,284,313 shares representing 3.89% ownership of the company. In it's prior filing, the firm reported owning 1,869,799 shares, representing an increase of 18.15%. The firm increased its portfolio allocation in AAP by 15.87% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 1,790,428 shares representing 3.05% ownership of the company. In it's prior filing, the firm reported owning 1,783,836 shares, representing an increase of 0.37%. The firm decreased its portfolio allocation in AAP by 5.50% over the last quarter.
Advance Auto Parts Declares $1.50 Dividend
Advance Auto Parts said on November 7, 2022 that its board of directors declared a regular quarterly dividend of $1.50 per share ($6.00 annualized). Shareholders of record as of December 15, 2022 received the payment on January 3, 2023. Previously, the company paid $1.50 per share.
At the current share price of $152.28 / share, the stock's dividend yield is 3.94%. Looking back five years and taking a sample every week, the average dividend yield has been 1.10%, the lowest has been 0.13%, and the highest has been 4.26%. The standard deviation of yields is 1.19 (n=237).
The current dividend yield is 2.39 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.74. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 24.00%, demonstrating that it has increased its dividend over time.
Advance Auto Parts Background Information
(This description is provided by the company.)
Advance Auto Parts, Inc., is a leading automotive aftermarket parts provider that serves both professional installer and do-it-yourself customers. As of October 3, 2020, Advance operated 4,811 stores and 168 Worldpac branches in the United States, Canada, Puerto Rico and the U.S. Virgin Islands. The Company also serves 1,269 independently owned Carquest branded stores across these locations in addition to Mexico, the Bahamas, Turks and Caicos and British Virgin Islands.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Fintel reports that BlackRock has filed a 13G/A form with the SEC disclosing ownership of 4.12MM shares of Advance Auto Parts, Inc. (AAP). Average portfolio weight of all funds dedicated to US:AAP is 0.2321%, a decrease of 5.8802%. The firm increased its portfolio allocation in AAP by 14.69% over the last quarter.
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Fintel reports that BlackRock has filed a 13G/A form with the SEC disclosing ownership of 4.12MM shares of Advance Auto Parts, Inc. (AAP). Average portfolio weight of all funds dedicated to US:AAP is 0.2321%, a decrease of 5.8802%. The firm increased its portfolio allocation in AAP by 14.69% over the last quarter.
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Fintel reports that BlackRock has filed a 13G/A form with the SEC disclosing ownership of 4.12MM shares of Advance Auto Parts, Inc. (AAP). Average portfolio weight of all funds dedicated to US:AAP is 0.2321%, a decrease of 5.8802%. The firm increased its portfolio allocation in AAP by 14.69% over the last quarter.
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Fintel reports that BlackRock has filed a 13G/A form with the SEC disclosing ownership of 4.12MM shares of Advance Auto Parts, Inc. (AAP). Average portfolio weight of all funds dedicated to US:AAP is 0.2321%, a decrease of 5.8802%. The firm increased its portfolio allocation in AAP by 14.69% over the last quarter.
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10828.0
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2023-01-30 00:00:00 UTC
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Advance Auto Parts (AAP) Gains As Market Dips: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-gains-as-market-dips%3A-what-you-should-know-2
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nan
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nan
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In the latest trading session, Advance Auto Parts (AAP) closed at $149.88, marking a +1.65% move from the previous day. This change outpaced the S&P 500's 1.3% loss on the day. Meanwhile, the Dow lost 0.77%, and the Nasdaq, a tech-heavy index, lost 5.51%.
Coming into today, shares of the auto parts retailer had gained 0.28% in the past month. In that same time, the Retail-Wholesale sector gained 11.37%, while the S&P 500 gained 6.41%.
Investors will be hoping for strength from Advance Auto Parts as it approaches its next earnings release. The company is expected to report EPS of $2.43, up 17.39% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $2.43 billion, up 1.34% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Advance Auto Parts. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.49% lower within the past month. Advance Auto Parts is currently a Zacks Rank #5 (Strong Sell).
Digging into valuation, Advance Auto Parts currently has a Forward P/E ratio of 11.16. For comparison, its industry has an average Forward P/E of 20.05, which means Advance Auto Parts is trading at a discount to the group.
Also, we should mention that AAP has a PEG ratio of 0.98. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Automotive - Retail and Wholesale - Parts stocks are, on average, holding a PEG ratio of 1.66 based on yesterday's closing prices.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 232, which puts it in the bottom 8% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In the latest trading session, Advance Auto Parts (AAP) closed at $149.88, marking a +1.65% move from the previous day. Also, we should mention that AAP has a PEG ratio of 0.98. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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In the latest trading session, Advance Auto Parts (AAP) closed at $149.88, marking a +1.65% move from the previous day. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Also, we should mention that AAP has a PEG ratio of 0.98.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, Advance Auto Parts (AAP) closed at $149.88, marking a +1.65% move from the previous day. Also, we should mention that AAP has a PEG ratio of 0.98.
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In the latest trading session, Advance Auto Parts (AAP) closed at $149.88, marking a +1.65% move from the previous day. Also, we should mention that AAP has a PEG ratio of 0.98. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10829.0
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2023-01-26 00:00:00 UTC
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Validea Daily Guru Fundamental Report for AAP - 1/26/2023
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AAP
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https://www.nasdaq.com/articles/validea-daily-guru-fundamental-report-for-aap-1-26-2023
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nan
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. This strategy looks for stocks trading at a reasonable price relative to earnings growth that also possess strong balance sheets.
ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. The rating using this strategy is 91% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Advance Auto Parts, Inc. is an automotive aftermarket parts provider in North America, serving both professional installers and do-it-yourself (DIY) customers. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks. It operates approximately 4,747 stores and 313 branches within the United States, Canada, Puerto Rico, and the United States Virgin Islands. The Company operates through four trade names: Advance Auto Parts, Autopart International, Carquest, and Worldpac. Its Advance Auto Parts focus on both professional and DIY customers. The stores carry a variety of products serving aftermarket auto part needs for both domestic and import vehicles. Its Autopart International operates in the North-eastern and Mid-Atlantic regions of the United States.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
P/E/GROWTH RATIO: PASS
SALES AND P/E RATIO: PASS
INVENTORY TO SALES: PASS
EPS GROWTH RATE: PASS
TOTAL DEBT/EQUITY RATIO: PASS
FREE CASH FLOW: NEUTRAL
NET CASH POSITION: NEUTRAL
Detailed Analysis of ADVANCE AUTO PARTS, INC.
AAP Guru Analysis
AAP Fundamental Analysis
Peter Lynch Portfolio
Top Peter Lynch Stocks
About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Lynch's common sense approach and quick wit made him one of the most quoted investors on Wall Street. ("Go for a business that any idiot can run -- because sooner or later, any idiot probably is going to run it," is one of his many pearls of wisdom.) Lynch's bestseller One Up on Wall Street is something of a "stocks for the everyman/everywoman", breaking his approach down into easy-to-understand concepts.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time. Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP).
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Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. AAP Guru Analysis AAP Fundamental Analysis Peter Lynch Portfolio Top Peter Lynch Stocks About Peter Lynch: Perhaps the greatest mutual fund manager of all-time, Lynch guided Fidelity Investment's Magellan Fund to a 29.2 percent average annual return from 1977 until his retirement in 1990, almost doubling the S&P 500's 15.8 percent yearly return over that time.
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Below is Validea's daily guru fundamental report for ADVANCE AUTO PARTS, INC. (AAP). Of the twelve guru strategies we follow, AAP rates highest using our P/E/Growth Investor model based on the published strategy of Peter Lynch. ADVANCE AUTO PARTS, INC. (AAP) is a mid-cap growth stock in the Auto & Truck Parts industry.
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10830.0
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2023-01-23 00:00:00 UTC
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Advance Auto Parts (AAP) Gains But Lags Market: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-gains-but-lags-market%3A-what-you-should-know-2
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In the latest trading session, Advance Auto Parts (AAP) closed at $148.62, marking a +0.77% move from the previous day. This move lagged the S&P 500's daily gain of 1.19%. Elsewhere, the Dow gained 0.76%, while the tech-heavy Nasdaq added 0.29%.
Coming into today, shares of the auto parts retailer had gained 2.94% in the past month. In that same time, the Retail-Wholesale sector gained 8.04%, while the S&P 500 gained 4.06%.
Advance Auto Parts will be looking to display strength as it nears its next earnings release. On that day, Advance Auto Parts is projected to report earnings of $2.43 per share, which would represent year-over-year growth of 17.39%. Our most recent consensus estimate is calling for quarterly revenue of $2.43 billion, up 1.34% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Advance Auto Parts. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 1.99% lower. Advance Auto Parts is currently sporting a Zacks Rank of #5 (Strong Sell).
Valuation is also important, so investors should note that Advance Auto Parts has a Forward P/E ratio of 11.11 right now. This represents a discount compared to its industry's average Forward P/E of 20.18.
We can also see that AAP currently has a PEG ratio of 0.89. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Automotive - Retail and Wholesale - Parts stocks are, on average, holding a PEG ratio of 1.67 based on yesterday's closing prices.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 235, putting it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock And 4 Runners Up
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In the latest trading session, Advance Auto Parts (AAP) closed at $148.62, marking a +0.77% move from the previous day. We can also see that AAP currently has a PEG ratio of 0.89. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, Advance Auto Parts (AAP) closed at $148.62, marking a +0.77% move from the previous day. We can also see that AAP currently has a PEG ratio of 0.89.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, Advance Auto Parts (AAP) closed at $148.62, marking a +0.77% move from the previous day. We can also see that AAP currently has a PEG ratio of 0.89.
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In the latest trading session, Advance Auto Parts (AAP) closed at $148.62, marking a +0.77% move from the previous day. We can also see that AAP currently has a PEG ratio of 0.89. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10831.0
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2023-01-19 00:00:00 UTC
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Interesting AAP Put And Call Options For September 15th
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AAP
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https://www.nasdaq.com/articles/interesting-aap-put-and-call-options-for-september-15th
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Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the September 15th expiration. One of the key inputs that goes into the price an option buyer is willing to pay, is the time value, so with 239 days until expiration the newly trading contracts represent a possible opportunity for sellers of puts or calls to achieve a higher premium than would be available for the contracts with a closer expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new September 15th contracts and identified one put and one call contract of particular interest.
The put contract at the $140.00 strike price has a current bid of $12.60. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $140.00, but will also collect the premium, putting the cost basis of the shares at $127.40 (before broker commissions). To an investor already interested in purchasing shares of AAP, that could represent an attractive alternative to paying $144.18/share today.
Because the $140.00 strike represents an approximate 3% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 9.00% return on the cash commitment, or 13.75% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Advance Auto Parts Inc, and highlighting in green where the $140.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $145.00 strike price has a current bid of $14.60. If an investor was to purchase shares of AAP stock at the current price level of $144.18/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $145.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 10.69% if the stock gets called away at the September 15th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $145.00 strike highlighted in red:
Considering the fact that the $145.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 10.13% boost of extra return to the investor, or 15.47% annualized, which we refer to as the YieldBoost.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 251 trading day closing values as well as today's price of $144.18) to be 38%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Top YieldBoost Calls of the S&P 500 »
Also see:
CCAP Dividend History
OPY Options Chain
ANDX market cap history
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $145.00 strike highlighted in red: Considering the fact that the $145.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the September 15th expiration.
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Below is a chart showing AAP's trailing twelve month trading history, with the $145.00 strike highlighted in red: Considering the fact that the $145.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the September 15th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new September 15th contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $145.00 strike highlighted in red: Considering the fact that the $145.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the September 15th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new September 15th contracts and identified one put and one call contract of particular interest.
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At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new September 15th contracts and identified one put and one call contract of particular interest. Below is a chart showing AAP's trailing twelve month trading history, with the $145.00 strike highlighted in red: Considering the fact that the $145.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the September 15th expiration.
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10832.0
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2023-01-19 00:00:00 UTC
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Conagra Brands and Advance Auto Parts have been highlighted as Zacks Bull and Bear of the Day
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https://www.nasdaq.com/articles/conagra-brands-and-advance-auto-parts-have-been-highlighted-as-zacks-bull-and-bear-of-the
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For Immediate Release
Chicago, IL – January 19, 2023 – Zacks Equity Research shares Conagra Brands CAG as the Bull of the Day and Advance Auto Parts AAP as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Casey's General Stores, Inc. CASY, Arhaus, Inc. ARHS and Capri Holdings Ltd. CPRI.
Here is a synopsis of all five stocks:
Bull of the Day:
With the calendar flipped to a new year and some investors looking for new portfolio adds, it's beneficial to remember the importance of targeting sectors witnessing positive earnings estimate revisions.
That's precisely what the Zacks Consumer Staples sector has seen, currently ranked #3 out of all 16 Zacks sectors.
And as we're all highly aware, 50% of a stock's price movement can be attributed to the group it's in, further stating the importance of targeting areas that analysts have recently become bullish on.
One company residing in the sector, Conagra Brands, has seen its earnings outlook drift higher across all timeframes over the last several months.
Conagra Brands is one of North America's leading branded food companies, offering premium edible products with a refined focus on innovation.
Let's take a closer look at the company.
Share Performance
CAG shares have been visibly strong over the last year, up a double-digit 12% and widely outperforming the S&P 500's performance.
And over the last three months, Conagra shares have continued on their market-beating trajectory, up 11% compared to the S&P500's nearly 8% gain.
The relatively strong share performance indicates that buyers have been in control, something we can't say for many stocks over the last year.
Valuation
The company's valuation multiples aren't stretched; CAG shares trade at a 15X forward earnings multiple, just a tick above the 14.3X five-year median and below its Zacks sector average.
Conagra's forward price-to-sales currently works out to be 1.6X, again marginally above the five-year median but below its Zacks sector average.
Dividends
Who doesn't enjoy getting paid?
Fortunately for those seeking income, CAG has that covered; the company's annual dividend yield stands tall at 3.3%, well above that of its Zacks sector average.
Impressively, the company has grown its payout by more than 12% over the last five years.
Quarterly Performance
For the cherry on top, CAG has had little issues exceeding quarterly estimates, surpassing the Zacks Consensus EPS Estimate in four consecutive quarters.
In its latest release, the company reported EPS more than 20% above expectations and penciled in a 1.4% revenue surprise.
Bottom Line
Investors can implement a stellar strategy to find expected winners by taking advantage of the Zacks Rank – one of the most powerful market tools that provides a massive edge.
Additionally, the top 5% of all stocks receive the highly coveted Zacks Rank #1 (Strong Buy). These stocks should outperform the market more than any other rank.
Conagra would be an excellent stock for investors to keep on their watchlists, as displayed by its Zack Rank #1 (Strong Buy).
Bear of the Day:
The Zacks Retail and Wholesale sector has modestly underperformed relative to the S&P 500 over the last year, down roughly 15%.
One company residing in the sector, Advance Auto Parts, has seen its earnings outlook shift negative over the last several months, pushing the stock into a Zacks Rank #5 (Strong Sell).
Advance Auto Parts primarily sells replacement parts (excluding tires), accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks.
Let's take a deeper dive into how the company shapes up.
Share Performance
Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%.
And over the last three months, sellers have remained in control, with shares down 13% and again lagging behind the general market.
Quarterly Results
Advance Auto has struggled to find consistency within its quarterly results, falling short of the Zacks Consensus EPS Estimate in back-to-back quarters. Top-line results have also left some to be desired, with AAP missing revenue expectations in three consecutive quarters.
Just in its latest release, the company fell short of earnings expectations by roughly 15% and reported sales marginally below estimates.
Growth Outlook
Despite its earnings outlook coming under pressure, AAP still carries a respectable growth profile, with earnings forecasted to climb 5% in its current fiscal year (FY22) and a further 5.4% in FY23.
The projected earnings growth comes on top of forecasted Y/Y revenue upticks of 1% in FY22 and 2.6% in FY23.
Bottom Line
Inconsistent quarterly results and negative earnings estimate revisions from analysts paint a challenging picture for the company in the near term.
Advance Auto Parts is a Zacks Rank #5 (Strong Sell), indicating that analysts have lowered their bottom-line outlook across the last several months.
For those seeking strong stocks, a great idea would be to focus on stocks carrying a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy) – these stocks sport a notably stronger earnings outlook paired with the potential to deliver explosive gains in the near term.
Additional content:
3 Stocks to Buy on Surging e-Commerce Sales
The holiday season began just at a time when inflation started showing signs of easing. As prices cooled, more people shopped freely, giving holiday sales the much-required boost. E-commerce once again played a key role in driving sales.
According to the latest data released by Adobe Analytics, e-commerce sales hit a record high this holiday season. E-commerce has been playing a key role in driving retail sales for quite some time now and is poised to play a major role in the future too. Given this scenario, stocks with a strong online presence, Casey's General Stores, Inc., Arhaus, Inc. and Capri Holdings Ltd. are expected to benefit in the near term.
E-Commerce Holiday Sales Grow
According to data from Adobe Analytics, consumers spent a staggering $211.7 billion on online purchases between Nov 1 and Dec 31, up 3.5% on a year-over-year basis. This is also a new record for e-commerce sales.
Cyber week, which comprises the five days between Thanksgiving and Cyber Monday, recorded $35.3 billion in online sales, up 4% year over year. Although these five days generated maximum online sales, consumers made purchases almost throughout the holiday period, with e-commerce sales surpassing $3 billion daily for 38 days, the same as in 2021. In 2020, online sales had crossed $3 billion daily for 25 days.
Demand for toys was high this holiday season, which saw sales surging 206% from the pre-season levels in October 2022. Video game sales soared 115%, while clothing and accessories sales jumped 94%.
Sales of watches were up 108%, baby toys grew 101%, while gift cards and cosmetics increased by 98% and 90%, respectively. Smart home items also climbed 67%, among the other subcategories.
One of the major reasons behind the robust sales was the impressive deals during this holiday season compared to 2021. There were huge discounts on toys, electronics, computers, apparel, appliances and televisions.
Given that rising prices have been a concern, many retailers came up with lucrative offers like buy-now-pay-later schemes. Orders rose 4% in this category. Also, of total online sales, mobiles accounted for 47%. Christmas day set a new record, with 61% of total online sales coming from mobiles, up from 58% in 2021.
Easing Inflation to Boost Sales
The reports came as data showed that inflation eased in November and December. This has been lifting consumer confidence and sentiment as they believe inflation has peaked and is finally slowing down, which has encouraged them to spend more freely.
The consumer price index (CPI) in December dropped to 6.5% from 7.1% in November 2022 on a year-over-year basis, according to data released last week by the Labor Department.
This has been the smallest rise in more than a year. Inflation decreased 0.1% month over month in December after increasing 0.1% in November.
Core CPI, which does not include volatile energy and food costs, increased by 5.7% in December, after jumping 6% in November. On a month-over-month, core CPI climbed by 0.3% in December after rising by 0.2% in November.
After four consecutive interest rate hikes of 75 basis points, the Fed finally slowed its pace of interest rate hikes with an increase of 50 basis points in December. A smaller increase in interest rates indicates that inflation has finally begun to slow down.
Since the beginning of the pandemic, e-commerce has been significantly boosting retail sales. People were forced to shop online during the pandemic in order to maintain social distancing. Since then, the trend has persisted as more people have come to appreciate the convenience and comfort of online shopping.
Our Choices
Given this scenario, it would be wise to invest in these four stocks with a strong online presence. Each of the stocks carries a Zacks Rank #1 (Strong Buy) or 2 (Buy). You can see the complete list of today's Zacks #1 Rank stocks here.
Casey's General Stores, Inc. operates convenience stores under the Casey's and Casey's General Store names in 16 Midwestern states, mainly Iowa, Missouri and Illinois. CASY also operates two stores under the name "Tobacco City," primarily selling tobacco and nicotine products, one liquor store, and one grocery store.
Casey's General Stores' expected earnings growth rate for the current year is 18.4%. The Zacks Consensus Estimate for current-year earnings has improved 7.5% over the past 60 days. CASY currently has a Zacks Rank #2.
Arhaus, Inc. is a lifestyle brand and omni-channel retailer of premium home furnishings. ARHS offers an assortment of heirloom quality products. Arhaus Inc. is based in Boston Heights, OH.
Arhaus Inc.'s expected earnings growth rate for the current year is 24.6%. The Zacks Consensus Estimate for current-year earnings has improved 2.4% over the past 60 days. ARHS presently sports a Zacks Rank #1.
Capri Holdings Limited provides women's and men's accessories, footwear and ready-to-wear, as well as wearable technology, watches, jewelry, eyewear and a full line of fragrance products. CPRI operates in the global personal luxury goods industry, which has been severely impacted by the outbreak of coronavirus.
Capri Holdings Limited'sexpected earnings growth rate for the current year is 10.6%. The Zacks Consensus Estimate for current-year earnings has improved 0.3% over the past 60 days. CPRI presently carries a Zacks Rank #2.
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Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performancefor information about the performance numbers displayed in this press release.
7 Best Stocks for the Next 30 Days
Just released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."
Since 1988, the full list has beaten the market more than 2X over with an average gain of +24.8% per year. So be sure to give these hand-picked 7 your immediate attention.
See them now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Conagra Brands (CAG) : Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report
Capri Holdings Limited (CPRI) : Free Stock Analysis Report
Arhaus, Inc. (ARHS) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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For Immediate Release Chicago, IL – January 19, 2023 – Zacks Equity Research shares Conagra Brands CAG as the Bull of the Day and Advance Auto Parts AAP as the Bear of the Day. Share Performance Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%. Top-line results have also left some to be desired, with AAP missing revenue expectations in three consecutive quarters.
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For Immediate Release Chicago, IL – January 19, 2023 – Zacks Equity Research shares Conagra Brands CAG as the Bull of the Day and Advance Auto Parts AAP as the Bear of the Day. Click to get this free report Conagra Brands (CAG) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report Capri Holdings Limited (CPRI) : Free Stock Analysis Report Arhaus, Inc. (ARHS) : Free Stock Analysis Report To read this article on Zacks.com click here. Share Performance Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%.
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Click to get this free report Conagra Brands (CAG) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report Capri Holdings Limited (CPRI) : Free Stock Analysis Report Arhaus, Inc. (ARHS) : Free Stock Analysis Report To read this article on Zacks.com click here. For Immediate Release Chicago, IL – January 19, 2023 – Zacks Equity Research shares Conagra Brands CAG as the Bull of the Day and Advance Auto Parts AAP as the Bear of the Day. Share Performance Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%.
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For Immediate Release Chicago, IL – January 19, 2023 – Zacks Equity Research shares Conagra Brands CAG as the Bull of the Day and Advance Auto Parts AAP as the Bear of the Day. Share Performance Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%. Top-line results have also left some to be desired, with AAP missing revenue expectations in three consecutive quarters.
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10833.0
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2023-01-19 00:00:00 UTC
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Bear of the Day: Advance Auto Parts Inc. (AAP)
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AAP
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https://www.nasdaq.com/articles/bear-of-the-day%3A-advance-auto-parts-inc.-aap
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nan
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nan
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The Zacks Retail and Wholesale sector has modestly underperformed relative to the S&P 500 over the last year, down roughly 15%.
One company residing in the sector, Advance Auto Parts AAP, has seen its earnings outlook shift negative over the last several months, pushing the stock into a Zacks Rank #5 (Strong Sell).
Image Source: Zacks Investment Research
Advance Auto Parts primarily sells replacement parts (excluding tires), accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks.
Let’s take a deeper dive into how the company shapes up.
Share Performance
Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%.
Image Source: Zacks Investment Research
And over the last three months, sellers have remained in control, with shares down 13% and again lagging behind the general market.
Image Source: Zacks Investment Research
Quarterly Results
Advance Auto has struggled to find consistency within its quarterly results, falling short of the Zacks Consensus EPS Estimate in back-to-back quarters. Top-line results have also left some to be desired, with AAP missing revenue expectations in three consecutive quarters.
Just in its latest release, the company fell short of earnings expectations by roughly 15% and reported sales marginally below estimates.
Image Source: Zacks Investment Research
Growth Outlook
Despite its earnings outlook coming under pressure, AAP still carries a respectable growth profile, with earnings forecasted to climb 5% in its current fiscal year (FY22) and a further 5.4% in FY23.
The projected earnings growth comes on top of forecasted Y/Y revenue upticks of 1% in FY22 and 2.6% in FY23.
Image Source: Zacks Investment Research
Bottom Line
Inconsistent quarterly results and negative earnings estimate revisions from analysts paint a challenging picture for the company in the near term.
Advance Auto Parts AAP is a Zacks Rank #5 (Strong Sell), indicating that analysts have lowered their bottom-line outlook across the last several months.
For those seeking strong stocks, a great idea would be to focus on stocks carrying a Zacks Rank #1 (Strong Buy) or a Zacks Rank #2 (Buy) – these stocks sport a notably stronger earnings outlook paired with the potential to deliver explosive gains in the near term.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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One company residing in the sector, Advance Auto Parts AAP, has seen its earnings outlook shift negative over the last several months, pushing the stock into a Zacks Rank #5 (Strong Sell). Advance Auto Parts AAP is a Zacks Rank #5 (Strong Sell), indicating that analysts have lowered their bottom-line outlook across the last several months. Share Performance Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%.
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One company residing in the sector, Advance Auto Parts AAP, has seen its earnings outlook shift negative over the last several months, pushing the stock into a Zacks Rank #5 (Strong Sell). Share Performance Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%. Top-line results have also left some to be desired, with AAP missing revenue expectations in three consecutive quarters.
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Image Source: Zacks Investment Research Growth Outlook Despite its earnings outlook coming under pressure, AAP still carries a respectable growth profile, with earnings forecasted to climb 5% in its current fiscal year (FY22) and a further 5.4% in FY23. One company residing in the sector, Advance Auto Parts AAP, has seen its earnings outlook shift negative over the last several months, pushing the stock into a Zacks Rank #5 (Strong Sell). Share Performance Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%.
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One company residing in the sector, Advance Auto Parts AAP, has seen its earnings outlook shift negative over the last several months, pushing the stock into a Zacks Rank #5 (Strong Sell). Advance Auto Parts AAP is a Zacks Rank #5 (Strong Sell), indicating that analysts have lowered their bottom-line outlook across the last several months. Share Performance Over the last year, AAP shares have widely lagged behind the S&P 500, down more than 30%.
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10834.0
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2023-01-17 00:00:00 UTC
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New Strong Sell Stocks for January 17th
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AAP
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https://www.nasdaq.com/articles/new-strong-sell-stocks-for-january-17th-0
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nan
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nan
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Here are three stocks added to the Zacks Rank #5 (Strong Sell) List today:
ABM Industries Incorporated ABM engages in the provision of integrated facility, infrastructure, and mobility solutions. The Zacks Consensus Estimate for its current year earnings has been revised 5.9% downward over the last 60 days.
Advance Auto Parts, Inc. AAP provides automotive replacement parts, accessories, batteries, and maintenance items. The Zacks Consensus Estimate for its current year earnings has been revised 3.1% downward over the last 60 days.
Papa John's International, Inc. PZZA is a pizza restaurant franchise. The Zacks Consensus Estimate for its current year earnings has been revised 2.4% downward over the last 60 days.
View the entire Zacks Rank #5 List.
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>>Yes, I Want to Help Protect My Portfolio During the Recession
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
ABM Industries Incorporated (ABM) : Free Stock Analysis Report
Papa John's International, Inc. (PZZA) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts, Inc. AAP provides automotive replacement parts, accessories, batteries, and maintenance items. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report ABM Industries Incorporated (ABM) : Free Stock Analysis Report Papa John's International, Inc. (PZZA) : Free Stock Analysis Report To read this article on Zacks.com click here. The Zacks Consensus Estimate for its current year earnings has been revised 5.9% downward over the last 60 days.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report ABM Industries Incorporated (ABM) : Free Stock Analysis Report Papa John's International, Inc. (PZZA) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. AAP provides automotive replacement parts, accessories, batteries, and maintenance items. Here are three stocks added to the Zacks Rank #5 (Strong Sell) List today: ABM Industries Incorporated ABM engages in the provision of integrated facility, infrastructure, and mobility solutions.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report ABM Industries Incorporated (ABM) : Free Stock Analysis Report Papa John's International, Inc. (PZZA) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. AAP provides automotive replacement parts, accessories, batteries, and maintenance items. Here are three stocks added to the Zacks Rank #5 (Strong Sell) List today: ABM Industries Incorporated ABM engages in the provision of integrated facility, infrastructure, and mobility solutions.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report ABM Industries Incorporated (ABM) : Free Stock Analysis Report Papa John's International, Inc. (PZZA) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts, Inc. AAP provides automotive replacement parts, accessories, batteries, and maintenance items. This Little-Known Semiconductor Stock Could Be Your Portfolio’s Hedge Against Inflation Everyone uses semiconductors.
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10835.0
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2023-01-12 00:00:00 UTC
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Advance Auto Parts (AAP) Stock Sinks As Market Gains: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-stock-sinks-as-market-gains%3A-what-you-should-know-0
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nan
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nan
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In the latest trading session, Advance Auto Parts (AAP) closed at $152.19, marking a -0.71% move from the previous day. This change lagged the S&P 500's 0.34% gain on the day. Meanwhile, the Dow gained 0.64%, and the Nasdaq, a tech-heavy index, added 8.98%.
Prior to today's trading, shares of the auto parts retailer had gained 6.85% over the past month. This has outpaced the Retail-Wholesale sector's gain of 4.11% and the S&P 500's gain of 1% in that time.
Wall Street will be looking for positivity from Advance Auto Parts as it approaches its next earnings report date. The company is expected to report EPS of $2.44, up 17.87% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $2.42 billion, up 1.15% from the prior-year quarter.
It is also important to note the recent changes to analyst estimates for Advance Auto Parts. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 1.21% lower within the past month. Advance Auto Parts is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Advance Auto Parts is holding a Forward P/E ratio of 11.31. For comparison, its industry has an average Forward P/E of 21.05, which means Advance Auto Parts is trading at a discount to the group.
Also, we should mention that AAP has a PEG ratio of 0.9. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Retail and Wholesale - Parts was holding an average PEG ratio of 1.74 at yesterday's closing price.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 236, putting it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In the latest trading session, Advance Auto Parts (AAP) closed at $152.19, marking a -0.71% move from the previous day. Also, we should mention that AAP has a PEG ratio of 0.9. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, Advance Auto Parts (AAP) closed at $152.19, marking a -0.71% move from the previous day. Also, we should mention that AAP has a PEG ratio of 0.9.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, Advance Auto Parts (AAP) closed at $152.19, marking a -0.71% move from the previous day. Also, we should mention that AAP has a PEG ratio of 0.9.
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In the latest trading session, Advance Auto Parts (AAP) closed at $152.19, marking a -0.71% move from the previous day. Also, we should mention that AAP has a PEG ratio of 0.9. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10836.0
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2023-01-12 00:00:00 UTC
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March 3rd Options Now Available For Advance Auto Parts (AAP)
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AAP
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https://www.nasdaq.com/articles/march-3rd-options-now-available-for-advance-auto-parts-aap
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nan
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nan
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Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 3rd expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new March 3rd contracts and identified one put and one call contract of particular interest.
The put contract at the $150.00 strike price has a current bid of $6.80. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $150.00, but will also collect the premium, putting the cost basis of the shares at $143.20 (before broker commissions). To an investor already interested in purchasing shares of AAP, that could represent an attractive alternative to paying $151.43/share today.
Because the $150.00 strike represents an approximate 1% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 4.53% return on the cash commitment, or 33.09% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Advance Auto Parts Inc, and highlighting in green where the $150.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $152.50 strike price has a current bid of $7.50. If an investor was to purchase shares of AAP stock at the current price level of $151.43/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $152.50. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 5.66% if the stock gets called away at the March 3rd expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red:
Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 4.95% boost of extra return to the investor, or 36.16% annualized, which we refer to as the YieldBoost.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 251 trading day closing values as well as today's price of $151.43) to be 38%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Top YieldBoost Calls of the S&P 500 »
Also see:
Earnings Calendar
POOL Price Target
IYR Average Annual Return
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red: Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 3rd expiration.
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Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red: Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 3rd expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new March 3rd contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red: Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 3rd expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new March 3rd contracts and identified one put and one call contract of particular interest.
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At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new March 3rd contracts and identified one put and one call contract of particular interest. Below is a chart showing AAP's trailing twelve month trading history, with the $152.50 strike highlighted in red: Considering the fact that the $152.50 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available today, for the March 3rd expiration.
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10837.0
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2023-01-12 00:00:00 UTC
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Either Analysts Got The Components Wrong or S&P 500 Headed 13% Higher
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AAP
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https://www.nasdaq.com/articles/either-analysts-got-the-components-wrong-or-sp-500-headed-13-higher
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nan
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nan
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The financial media loves to get predictions from experts about where they think the S&P 500 index is headed. Some experts look at technical analysis patterns, others look at valuation metrics, others apply a broad macro view of the economy. In this article, we present another forecasting approach that investors may find interesting. The S&P 500 is really a collection of five hundred individual stocks, each with specified weighting applied towards the total. For each of those individual stocks, all of the major brokerage houses out there ask their best analysts to thoroughly study the company and then come up with a 12-month price target. Taking all of the different price targets from all of the major analysts, we can then compute an average target for that stock. In a sense this average target represents a "wisdom of crowds" effort, because so many individual minds contributed to the ultimate number, as opposed to what just one particular expert believes.
But we can take it a step further, comparing the current stock price against that average analyst target, to calculate how much upside exists if the average target price is reached, and we can do that same exercise for each and every component. Here at ETF Channel, we have done this exercise for all of the individual components of the SPDR S&P 500 ETF Trust ETF (Symbol: SPY), and then weighted the results together to determine the implied average analyst target for the ETF itself. For the SPDR S&P 500 ETF Trust ETF, we found that the implied analyst target price for the ETF based upon its underlying holdings is $445.78 per unit.
With SPY trading at a recent price near $395.50 per unit, that means that analysts see 12.71% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of SPY's underlying holdings with notable upside to their analyst target prices are Teleflex Incorporated (Symbol: TFX), Advance Auto Parts Inc (Symbol: AAP), and Prologis Inc (Symbol: PLD). Although TFX has traded at a recent price of $239.77/share, the average analyst target is 14.72% higher at $275.07/share. Similarly, AAP has 14.01% upside from the recent share price of $153.28 if the average analyst target price of $174.75/share is reached, and analysts on average are expecting PLD to reach a target price of $137.00/share, which is 13.27% above the recent price of $120.95. Below is a twelve month price history chart comparing the stock performance of TFX, AAP, and PLD:
Below is a summary table of the current analyst target prices discussed above:
NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET
SPDR S&P 500 ETF Trust ETF SPY $395.50 $445.78 12.71%
Teleflex Incorporated TFX $239.77 $275.07 14.72%
Advance Auto Parts Inc AAP $153.28 $174.75 14.01%
Prologis Inc PLD $120.95 $137.00 13.27%
Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.
10 ETFs With Most Upside To Analyst Targets »
Also see:
Institutional Holders of CVBF
Institutional Holders of VFVA
RFAP Videos
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Three of SPY's underlying holdings with notable upside to their analyst target prices are Teleflex Incorporated (Symbol: TFX), Advance Auto Parts Inc (Symbol: AAP), and Prologis Inc (Symbol: PLD). Similarly, AAP has 14.01% upside from the recent share price of $153.28 if the average analyst target price of $174.75/share is reached, and analysts on average are expecting PLD to reach a target price of $137.00/share, which is 13.27% above the recent price of $120.95. Below is a twelve month price history chart comparing the stock performance of TFX, AAP, and PLD: Below is a summary table of the current analyst target prices discussed above:
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Three of SPY's underlying holdings with notable upside to their analyst target prices are Teleflex Incorporated (Symbol: TFX), Advance Auto Parts Inc (Symbol: AAP), and Prologis Inc (Symbol: PLD). Similarly, AAP has 14.01% upside from the recent share price of $153.28 if the average analyst target price of $174.75/share is reached, and analysts on average are expecting PLD to reach a target price of $137.00/share, which is 13.27% above the recent price of $120.95. SPDR S&P 500 ETF Trust ETF SPY $395.50 $445.78 12.71% Teleflex Incorporated TFX $239.77 $275.07 14.72% Advance Auto Parts Inc AAP $153.28 $174.75 14.01% Prologis Inc PLD $120.95 $137.00 13.27% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now?
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Similarly, AAP has 14.01% upside from the recent share price of $153.28 if the average analyst target price of $174.75/share is reached, and analysts on average are expecting PLD to reach a target price of $137.00/share, which is 13.27% above the recent price of $120.95. Three of SPY's underlying holdings with notable upside to their analyst target prices are Teleflex Incorporated (Symbol: TFX), Advance Auto Parts Inc (Symbol: AAP), and Prologis Inc (Symbol: PLD). Below is a twelve month price history chart comparing the stock performance of TFX, AAP, and PLD: Below is a summary table of the current analyst target prices discussed above:
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Similarly, AAP has 14.01% upside from the recent share price of $153.28 if the average analyst target price of $174.75/share is reached, and analysts on average are expecting PLD to reach a target price of $137.00/share, which is 13.27% above the recent price of $120.95. Three of SPY's underlying holdings with notable upside to their analyst target prices are Teleflex Incorporated (Symbol: TFX), Advance Auto Parts Inc (Symbol: AAP), and Prologis Inc (Symbol: PLD). Below is a twelve month price history chart comparing the stock performance of TFX, AAP, and PLD: Below is a summary table of the current analyst target prices discussed above:
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10838.0
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2023-01-04 00:00:00 UTC
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Advance Auto Parts (AAP) Gains But Lags Market: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-gains-but-lags-market%3A-what-you-should-know-0
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nan
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nan
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Advance Auto Parts (AAP) closed at $151.89 in the latest trading session, marking a +0.23% move from the prior day. This move lagged the S&P 500's daily gain of 0.75%. Meanwhile, the Dow gained 0.4%, and the Nasdaq, a tech-heavy index, added 10.36%.
Prior to today's trading, shares of the auto parts retailer had gained 4.13% over the past month. This has outpaced the Retail-Wholesale sector's loss of 6.09% and the S&P 500's loss of 5.98% in that time.
Wall Street will be looking for positivity from Advance Auto Parts as it approaches its next earnings report date. On that day, Advance Auto Parts is projected to report earnings of $2.44 per share, which would represent year-over-year growth of 17.87%. Our most recent consensus estimate is calling for quarterly revenue of $2.42 billion, up 1.15% from the year-ago period.
Any recent changes to analyst estimates for Advance Auto Parts should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 1.21% lower. Advance Auto Parts is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Advance Auto Parts is currently trading at a Forward P/E ratio of 11.19. This valuation marks a discount compared to its industry's average Forward P/E of 19.75.
It is also worth noting that AAP currently has a PEG ratio of 0.89. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. AAP's industry had an average PEG ratio of 1.75 as of yesterday's close.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 218, putting it in the bottom 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) closed at $151.89 in the latest trading session, marking a +0.23% move from the prior day. It is also worth noting that AAP currently has a PEG ratio of 0.89. AAP's industry had an average PEG ratio of 1.75 as of yesterday's close.
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Advance Auto Parts (AAP) closed at $151.89 in the latest trading session, marking a +0.23% move from the prior day. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. It is also worth noting that AAP currently has a PEG ratio of 0.89.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts (AAP) closed at $151.89 in the latest trading session, marking a +0.23% move from the prior day. It is also worth noting that AAP currently has a PEG ratio of 0.89.
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Advance Auto Parts (AAP) closed at $151.89 in the latest trading session, marking a +0.23% move from the prior day. It is also worth noting that AAP currently has a PEG ratio of 0.89. AAP's industry had an average PEG ratio of 1.75 as of yesterday's close.
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10839.0
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2023-01-04 00:00:00 UTC
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4 Cheap Dividend Stocks to Buy Now
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AAP
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https://www.nasdaq.com/articles/4-cheap-dividend-stocks-to-buy-now
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nan
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nan
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The stock market has thrown out a number of stocks with great cash flows and dividends in 2022, and investors who scoop them up can now generate cash flow for years to come. In the video below, Travis Hoium and Jon Quast discuss their favorites for this year.
*Stock prices used were end-of-day prices of Dec. 20, 2022. The video was published on Jan. 4, 2023.
10 stocks we like better than Verizon Communications
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*Stock Advisor returns as of December 1, 2022
Jon Quast has positions in Tractor Supply. Travis Hoium has positions in Apple and Verizon Communications. The Motley Fool has positions in and recommends Apple. The Motley Fool recommends Tractor Supply and Verizon Communications and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market. * They just revealed what they believe are the ten best stocks for investors to buy right now... and Verizon Communications wasn't one of them! If you choose to subscribe through their link they will earn some extra money that supports their channel.
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In the video below, Travis Hoium and Jon Quast discuss their favorites for this year. Travis Hoium has positions in Apple and Verizon Communications. The Motley Fool recommends Tractor Supply and Verizon Communications and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple.
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The stock market has thrown out a number of stocks with great cash flows and dividends in 2022, and investors who scoop them up can now generate cash flow for years to come. See the 10 stocks *Stock Advisor returns as of December 1, 2022 Jon Quast has positions in Tractor Supply. The Motley Fool recommends Tractor Supply and Verizon Communications and recommends the following options: long March 2023 $120 calls on Apple and short March 2023 $130 calls on Apple.
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See the 10 stocks *Stock Advisor returns as of December 1, 2022 Jon Quast has positions in Tractor Supply. Travis Hoium has positions in Apple and Verizon Communications. The Motley Fool has positions in and recommends Apple.
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10840.0
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2023-01-03 00:00:00 UTC
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First Week of AAP February 17th Options Trading
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AAP
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https://www.nasdaq.com/articles/first-week-of-aap-february-17th-options-trading
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nan
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nan
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Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the February 17th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 17th contracts and identified one put and one call contract of particular interest.
The put contract at the $145.00 strike price has a current bid of $5.10. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $145.00, but will also collect the premium, putting the cost basis of the shares at $139.90 (before broker commissions). To an investor already interested in purchasing shares of AAP, that could represent an attractive alternative to paying $148.67/share today.
Because the $145.00 strike represents an approximate 2% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 59%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 3.52% return on the cash commitment, or 28.53% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Advance Auto Parts Inc, and highlighting in green where the $145.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $150.00 strike price has a current bid of $6.80. If an investor was to purchase shares of AAP stock at the current price level of $148.67/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $150.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 5.47% if the stock gets called away at the February 17th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red:
Considering the fact that the $150.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 51%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 4.57% boost of extra return to the investor, or 37.10% annualized, which we refer to as the YieldBoost.
The implied volatility in the put contract example is 39%, while the implied volatility in the call contract example is 40%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 251 trading day closing values as well as today's price of $148.67) to be 38%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Top YieldBoost Calls of the S&P 500 »
Also see:
Kinder Morgan market cap history
Arthur J. Gallagher Stock Split History
Funds Holding CMDT
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the February 17th expiration.
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Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the February 17th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 17th contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the February 17th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 17th contracts and identified one put and one call contract of particular interest.
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At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 17th contracts and identified one put and one call contract of particular interest. Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading this week, for the February 17th expiration.
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10841.0
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2023-01-02 00:00:00 UTC
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Why These 7 Consumer Stocks Could Soar in 2023
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AAP
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https://www.nasdaq.com/articles/why-these-7-consumer-stocks-could-soar-in-2023
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nan
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nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
This article will highlight seven consumer stocks to buy in 2023, and here’s why. While energy and bank stocks are strong choices, the investor should not count out the consumer. Inflation and rising interest rates were supposed to crush consumers in 2022, but that didn’t happen, at least not to the extent investors expected.
However, that may be changing. In the last quarter there’s been a definite shift in way several companies are viewing their earnings outlooks. It’s possible that companies are racing to lower the bar so they can surprise to the upside. Nevertheless, the effect of interest rates is just beginning to be felt in the economy, and that means consumers may be wearing down. So, if their forecasts are correct, it’s going to be a challenging year.
That being said, consumers will still buy, but those purchases are likely to be more selective. Therefore, when considering consumer stocks to buy, this may not be a time to look for perfection. It is, however, a time to have conviction in companies that provide products and services that will be in demand, no matter what is happening in the economy.
Here are seven consumer stocks to buy that will help you ride out the volatility in 2023.
AAP Advance Auto Parts $129.93
KO Coca-Cola $63.61
PEP Pepsi $180.66
GIS General Mills $83.85
PG Procter & Gamble $151.56
CWH Camping World $22.32
MDLZ Mondelez International $66.65
Advance Auto Parts (AAP)
Source: James R. Martin / Shutterstock
Used car prices are coming down, and that may good for those consumers who have nursed their current ride through the pandemic and record-high inflation. It may also be more bullish for a company like Advance Auto Parts (NYSE:AAP) than you may think.
Automobiles have a long shelf life. The way I see it, the biggest threat to auto parts dealers is electric vehicles which have fewer moving parts. At the same time, cars are long-term investments.
So, every used car with an internal combustion engine that’s bought in the next year is potentially one less electric vehicle in the short term. That may not be the case in ten years, but it looks like the case today.
AAP stock is down approximately 39% in 2022. The company is having difficulty meeting year-over-year revenue and earnings comparisons. And with the company’s profit margin being lower than the sector average it implies that the company continues to struggle with passing along higher costs.
However, the company has taken steps to speed up its inventory turnover. That would expand margins and boost earnings, both of which should result in share price growth. Plus, it will secure a dividend that currently has a yield of 4.10% and pays out $6 per share on an annual basis.
Coca-Cola (KO)
Source: Fotazdymak / Shutterstock.com
Next on my list of consumer stocks to buy is Coca-Cola (NYSE:KO). The logic here could be summarized as ‘if it’s not broken, why fix it’. Coca-Cola is a well-known Warren Buffet stock; so one of the first places to look is the company’s dividend. The company is part of the exclusive dividend kings club, having increased its dividend in each of the last 60 years.
I won’t pretend that Coke is an inexpensive stock. It has a P/E ratio well above the sector average. However, it continues to justify that premium valuation. Despite the challenges of the last two years, Coke continues to grow earnings, and more of the same is expected in 2023. One reason for that is a profit margin of over 20% that highlights the pricing power of the company’s products.
Detractors may point out that KO stock has not been a particularly strong performer. I’m not here to disagree. But in 2023, investors should still be thinking about keeping it in the fairway. And if you drive the ball like me, you’re looking for stocks that are more forgiving.
PepsiCo (PEP)
Source: FotograFFF / Shutterstock
Normally I wouldn’t put both Coca-Cola and PepsiCo (NASDAQ:PEP) on a list like this. But when it comes to consumer stocks to buy in 2023, you can’t go wrong with either one.
I think Coca-Cola might deliver slightly stronger earnings growth. However, PepsiCo has a broader portfolio that includes both beverages and snack foods. And while the company’s offering does include Doritos (a staple in my house), some of the other offerings, such as those in its Quaker Foods division, are on the healthier side.
Putting that aside, this is a low beta stock with strong fundamentals. Its profit margin is slightly above the sector average. The company’s P/E ratio is a bit on the high side, but it seems to be backed up by projections for strong growth in the next five years.
And while Coca-Cola is a legendary dividend king, Pepsi has also entered that exclusive club. The company has now increased its dividend in 50 consecutive years and has a dividend yield of 2.55% as of this writing.
General Mills (GIS)
Source: JHVEPhoto / Shutterstock.com
General Mills (NYSE:GIS) makes this list of consumer stocks to buy, despite the GIS stock price currently being above analysts’ forecasts. GIS stock shot higher after its earnings report on December 20, 2022, but it’s since given up most of those gains as analysts are concerned about declining revenue in its pet food segment.
However, in that earnings report, General Mills scored a slight beat on both the top and bottom lines. And, it raised its earnings outlook for 2023. That’s got to be worth something, right?
Maybe it will; it’s too early to tell. However, as I wrote about Coca-Cola, this is a time when investors need to look for reliability. That’s what you get with GIS stock. If the company does continue to post earnings growth, it may breakout to a new record high. And if that happens, then the company’s dividend, which currently has a 2.58% yield, will look even better.
Procter & Gamble (PG)
Source: Jonathan Weiss / Shutterstock.com
Stock charts can tell you what’s happening with a stock. It’s up to you to figure out why. Procter & Gamble (NYSE:PG) stock is down over 7% in 2022. But, it’s ticked up in the last month. The company last reported earnings in October. So, why are investors diving into PG stock?
In the past, capitulation has meant that investors bailed out of stocks altogether. In 2022, that may very well mean that investors are giving up on sensational growth and fleeing to the security of reliable dividend payers. With a track record of increasing dividends for 66 consecutive years, Procter & Gamble certainly fits that description.
Earnings aren’t supposed to grow that much in 2023. But at a time when many companies are predicting declining earnings, that gain should be celebrated. And the company has a P/E ratio that’s in-line with the sector average. The company also has one of the sector’s, and the market’s, best profit margins.
Camping World (CWH)
Source: IgorGolovniov / Shutterstock.com
Camping World (NYSE:CWH) may seem like a wild card among consumers stocks to buy. The bears will say that RV sales peaked in 2021. Therefore, higher interest rates and recession fears will slow sales of discretionary purchases like camping equipment.
But while the company’s forward sales may be normalizing, major RV manufacturers are still filling their pandemic backlog. And once consumers have a recreational vehicle, it just makes sense to use it. Plus, while camping equipment is an expense, once the equipment is purchased, it can last for years, making camping an economical alternative for many consumers.
To be fair, I don’t expect Camping World to continue growing its dividend at the 34% clip it has for the last three years. But at a P/E ratio of just 4x earnings, Camping World looks like a small-cap steal while it’s trading near its 52-week low.
Mondelez International (MDLZ)
Source: Shutterstock
Last on my list of consumer stocks to buy is Mondelez International (NASDAQ:MDLZ). I’ve had MDLZ stock on my watchlist for most of 2022, and 2023 may be the year I pull the trigger.
The company has a broad portfolio that includes snack foods, such as Oreos and chocolate candy. The company’s products remain in demand as is seen in rising year-over-year revenue and earnings.
That means the company has pricing power. That’s one reason MDLZ stock is slightly higher in 2022, despite being down close to 20% as recently as September 2022. In 2023, like 2022, companies will be rewarded for having pricing power. Mondelez is also growing in emerging markets.
And Mondelez hasn’t just been growing its business; it’s been growing its dividend. Over the last three years, the company has posted an average of over 11% growth in its dividend. It currently has increased its dividend in each of the last 10 years and has an attractive yield of 2.31%.
On the date of publication, Chris Markoch did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
Chris Markoch is a freelance financial copywriter who has been covering the market for over five years. He has been writing for InvestorPlace since 2019.
The post Why These 7 Consumer Stocks Could Soar in 2023 appeared first on InvestorPlace.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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AAP Advance Auto Parts $129.93 KO Coca-Cola $63.61 PEP Pepsi $180.66 GIS General Mills $83.85 PG Procter & Gamble $151.56 CWH Camping World $22.32 MDLZ Mondelez International $66.65 Advance Auto Parts (AAP) Source: James R. Martin / Shutterstock Used car prices are coming down, and that may good for those consumers who have nursed their current ride through the pandemic and record-high inflation. It may also be more bullish for a company like Advance Auto Parts (NYSE:AAP) than you may think. AAP stock is down approximately 39% in 2022.
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AAP Advance Auto Parts $129.93 KO Coca-Cola $63.61 PEP Pepsi $180.66 GIS General Mills $83.85 PG Procter & Gamble $151.56 CWH Camping World $22.32 MDLZ Mondelez International $66.65 Advance Auto Parts (AAP) Source: James R. Martin / Shutterstock Used car prices are coming down, and that may good for those consumers who have nursed their current ride through the pandemic and record-high inflation. It may also be more bullish for a company like Advance Auto Parts (NYSE:AAP) than you may think. AAP stock is down approximately 39% in 2022.
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AAP Advance Auto Parts $129.93 KO Coca-Cola $63.61 PEP Pepsi $180.66 GIS General Mills $83.85 PG Procter & Gamble $151.56 CWH Camping World $22.32 MDLZ Mondelez International $66.65 Advance Auto Parts (AAP) Source: James R. Martin / Shutterstock Used car prices are coming down, and that may good for those consumers who have nursed their current ride through the pandemic and record-high inflation. It may also be more bullish for a company like Advance Auto Parts (NYSE:AAP) than you may think. AAP stock is down approximately 39% in 2022.
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AAP Advance Auto Parts $129.93 KO Coca-Cola $63.61 PEP Pepsi $180.66 GIS General Mills $83.85 PG Procter & Gamble $151.56 CWH Camping World $22.32 MDLZ Mondelez International $66.65 Advance Auto Parts (AAP) Source: James R. Martin / Shutterstock Used car prices are coming down, and that may good for those consumers who have nursed their current ride through the pandemic and record-high inflation. It may also be more bullish for a company like Advance Auto Parts (NYSE:AAP) than you may think. AAP stock is down approximately 39% in 2022.
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10842.0
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2022-12-29 00:00:00 UTC
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Advance Auto Parts (AAP) Gains But Lags Market: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-gains-but-lags-market%3A-what-you-should-know
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nan
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nan
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In the latest trading session, Advance Auto Parts (AAP) closed at $146.31, marking a +0.7% move from the previous day. This change lagged the S&P 500's 1.75% gain on the day. Elsewhere, the Dow gained 1.05%, while the tech-heavy Nasdaq added 7.84%.
Prior to today's trading, shares of the auto parts retailer had lost 3.77% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 5.68% and the S&P 500's loss of 4.4% in that time.
Investors will be hoping for strength from Advance Auto Parts as it approaches its next earnings release. The company is expected to report EPS of $2.44, up 17.87% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.42 billion, up 1.15% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $12.60 per share and revenue of $11.11 billion. These totals would mark changes of +4.83% and +0.98%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Advance Auto Parts. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.14% lower. Advance Auto Parts is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Advance Auto Parts has a Forward P/E ratio of 11.53 right now. For comparison, its industry has an average Forward P/E of 19.27, which means Advance Auto Parts is trading at a discount to the group.
We can also see that AAP currently has a PEG ratio of 0.92. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Automotive - Retail and Wholesale - Parts stocks are, on average, holding a PEG ratio of 1.87 based on yesterday's closing prices.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 227, putting it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In the latest trading session, Advance Auto Parts (AAP) closed at $146.31, marking a +0.7% move from the previous day. We can also see that AAP currently has a PEG ratio of 0.92. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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In the latest trading session, Advance Auto Parts (AAP) closed at $146.31, marking a +0.7% move from the previous day. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. We can also see that AAP currently has a PEG ratio of 0.92.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. In the latest trading session, Advance Auto Parts (AAP) closed at $146.31, marking a +0.7% move from the previous day. We can also see that AAP currently has a PEG ratio of 0.92.
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In the latest trading session, Advance Auto Parts (AAP) closed at $146.31, marking a +0.7% move from the previous day. We can also see that AAP currently has a PEG ratio of 0.92. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10843.0
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2022-12-29 00:00:00 UTC
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AAP February 2023 Options Begin Trading
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AAP
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https://www.nasdaq.com/articles/aap-february-2023-options-begin-trading-0
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nan
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nan
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Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 2023 contracts and identified one put and one call contract of particular interest.
The put contract at the $145.00 strike price has a current bid of $4.40. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $145.00, but will also collect the premium, putting the cost basis of the shares at $140.60 (before broker commissions). To an investor already interested in purchasing shares of AAP, that could represent an attractive alternative to paying $146.44/share today.
Because the $145.00 strike represents an approximate 1% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 3.03% return on the cash commitment, or 25.76% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Advance Auto Parts Inc, and highlighting in green where the $145.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $150.00 strike price has a current bid of $2.90. If an investor was to purchase shares of AAP stock at the current price level of $146.44/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $150.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 4.41% if the stock gets called away at the February 2023 expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red:
Considering the fact that the $150.00 strike represents an approximate 2% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 1.98% boost of extra return to the investor, or 16.81% annualized, which we refer to as the YieldBoost.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 252 trading day closing values as well as today's price of $146.44) to be 38%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Top YieldBoost Calls of the S&P 500 »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 2% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration.
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Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 2% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 2023 contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 2% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 2023 contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $150.00 strike highlighted in red: Considering the fact that the $150.00 strike represents an approximate 2% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 2023 contracts and identified one put and one call contract of particular interest.
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10844.0
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2022-12-27 00:00:00 UTC
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Advance Auto Parts (AAP) Gains As Market Dips: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-gains-as-market-dips%3A-what-you-should-know-1
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nan
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nan
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Advance Auto Parts (AAP) closed at $145.02 in the latest trading session, marking a +1.21% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.41%. At the same time, the Dow added 0.11%, and the tech-heavy Nasdaq lost 6.67%.
Coming into today, shares of the auto parts retailer had lost 4.87% in the past month. In that same time, the Retail-Wholesale sector lost 4.26%, while the S&P 500 lost 4.4%.
Wall Street will be looking for positivity from Advance Auto Parts as it approaches its next earnings report date. In that report, analysts expect Advance Auto Parts to post earnings of $2.44 per share. This would mark year-over-year growth of 17.87%. Our most recent consensus estimate is calling for quarterly revenue of $2.42 billion, up 1.15% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.60 per share and revenue of $11.11 billion, which would represent changes of +4.83% and +0.98%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Advance Auto Parts. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.14% lower within the past month. Advance Auto Parts is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Advance Auto Parts is currently trading at a Forward P/E ratio of 11.37. For comparison, its industry has an average Forward P/E of 18.36, which means Advance Auto Parts is trading at a discount to the group.
We can also see that AAP currently has a PEG ratio of 0.91. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Retail and Wholesale - Parts industry currently had an average PEG ratio of 1.85 as of yesterday's close.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 177, which puts it in the bottom 30% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
7 Best Stocks for the Next 30 Days
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Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) closed at $145.02 in the latest trading session, marking a +1.21% move from the prior day. We can also see that AAP currently has a PEG ratio of 0.91. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Advance Auto Parts (AAP) closed at $145.02 in the latest trading session, marking a +1.21% move from the prior day. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. We can also see that AAP currently has a PEG ratio of 0.91.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Advance Auto Parts (AAP) closed at $145.02 in the latest trading session, marking a +1.21% move from the prior day. We can also see that AAP currently has a PEG ratio of 0.91.
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Advance Auto Parts (AAP) closed at $145.02 in the latest trading session, marking a +1.21% move from the prior day. We can also see that AAP currently has a PEG ratio of 0.91. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10845.0
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2022-12-23 00:00:00 UTC
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Advance Auto Parts, Inc. (AAP) Is a Trending Stock: Facts to Know Before Betting on It
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-inc.-aap-is-a-trending-stock%3A-facts-to-know-before-betting-on-it
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nan
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nan
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Shares of this auto parts retailer have returned -5.6% over the past month versus the Zacks S&P 500 composite's -4.3% change. The Zacks Automotive - Retail and Wholesale - Parts industry, to which Advance Auto Parts belongs, has lost 5.1% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings Estimates
Rather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Advance Auto Parts is expected to post earnings of $2.44 per share, indicating a change of +17.9% from the year-ago quarter. The Zacks Consensus Estimate has changed +0% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $12.60 points to a change of +4.8% from the prior year. Over the last 30 days, this estimate has changed -0.2%.
For the next fiscal year, the consensus earnings estimate of $13.55 indicates a change of +7.5% from what Advance Auto Parts is expected to report a year ago. Over the past month, the estimate has changed -4%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Advance Auto Parts.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue Growth
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Advance Auto Parts, the consensus sales estimate of $2.42 billion for the current quarter points to a year-over-year change of +1.2%. The $11.11 billion and $11.38 billion estimates for the current and next fiscal years indicate changes of +1% and +2.4%, respectively.
Last Reported Results and Surprise History
Advance Auto Parts reported revenues of $2.64 billion in the last reported quarter, representing a year-over-year change of +0.8%. EPS of $2.84 for the same period compares with $3.21 a year ago.
Compared to the Zacks Consensus Estimate of $2.66 billion, the reported revenues represent a surprise of -0.55%. The EPS surprise was -14.46%.
Over the last four quarters, Advance Auto Parts surpassed consensus EPS estimates two times. The company topped consensus revenue estimates just once over this period.
Valuation
Without considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S) and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an An is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Advance Auto Parts is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Conclusion
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Advance Auto Parts. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. For the next fiscal year, the consensus earnings estimate of $13.55 indicates a change of +7.5% from what Advance Auto Parts is expected to report a year ago.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. For the next fiscal year, the consensus earnings estimate of $13.55 indicates a change of +7.5% from what Advance Auto Parts is expected to report a year ago.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. And if earnings estimates go up for a company, the fair value for its stock goes up.
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10846.0
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2022-12-23 00:00:00 UTC
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CarMax (KMX) Q3 Earnings Miss on Lower-Than-Expected Sales
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AAP
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https://www.nasdaq.com/articles/carmax-kmx-q3-earnings-miss-on-lower-than-expected-sales
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nan
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nan
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CarMax Inc. KMX reported third-quarter fiscal 2023 (ended Nov 30, 2022) net earnings per share of 24 cents, lagging the Zacks Consensus Estimate of 58 cents amid lower-than-anticipated revenues across all segments. The bottom line also fell from $1.53 per share recorded in the year-ago period. The auto retailer registered revenues of $6,506 million for the November-end quarter, which fell short of the Zacks Consensus Estimate of $7,128 million. The top line also contracted 23.7% year over year.
Segmental Performance
CarMax’s used-vehicle net sales totaled $5,204.6 million for the reported quarter, down 19.1% year over year, owing to a decline in units sold. The metric also missed the consensus mark of $5,963 million. While the units sold in this segment tailed off 20.8% year over year to 180,050 vehicles, the average selling price of used vehicles inched up 1.9% from the year-ago quarter to $28,530. Comparable store used-vehicle units declined 22.4%, while revenues fell 21% from the prior-year level. Used-vehicle gross profit per unit (GPU) came in at $2,237, slightly higher than the prior-year quarter’s $2,235, topping the consensus mark of $1,984.
For the fiscal third quarter, wholesale vehicle revenues tanked 40.1% from the year-ago level to $1,152.2 million. The reported figure was below the Zacks Consensus Estimate of $1,690 million. Units sold declined 36.7% to 118,757 units, while ASP dipped 6% to $9,294. Wholesale vehicle GPU came in at $966, down from the year-ago period’s $1,131 but topping the consensus mark of $953 million.
Other sales and revenues contracted 12.2% year over year to $149 million for the fiscal third quarter and missed the consensus mark of $173 million. CarMax Auto Finance witnessed an 8.3% year-over-year decline in income to $152.2 million in the November-end quarter.
Other Tidbits
Selling, general and administrative expenses were up 2.7% from the prior-year quarter to $591.7 million. The firm had cash/cash equivalents and long-term debt of $688.6 million and $1,937.1 million, respectively, as of Nov 30, 2022. CarMax now envisions fiscal 2023 capex to be around $450 million, lower than $500 million estimated earlier.
During the fiscal third quarter, CarMax bought back 30,000 shares of common stock for $2.6 million under the share repurchase program. As of Nov 30, 2022, it had $2.45 billion remaining under the share repurchase authorization.
The company opened one new store in Oceanside, CA during the fiscal third quarter. KMX —carrying a Zacks Rank #3 (Hold) — currently operates more than 230 used car stores. In fiscal 2023 and 2024, CarMax targets to open 10 and 5 stores, respectively.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Peer Releases
CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO.
Advance Auto released third-quarter 2022 results on Nov 15. The company’s adjusted earnings of $2.84 per share were down 11.5% from the year-ago quarter’s figure and missed the Zacks Consensus Estimate of $3.32 per share. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure. Advance Auto estimates 2022 net sales in the band of $11-$11.2 billion. The company targets an FCF of a minimum of $300 million. Adjusted EPS is forecast between $12.60 and $12.80. The auto parts retailer now intends to buy back a maximum of $600 million worth of shares in 2022. It aims to open 125-150 new stores this year.
O’Reilly posted third-quarter 2022 results on Oct 26. Adjusted earnings of $9.17 per share surpassed the Zacks Consensus Estimate of $8.46. The bottom line increased 13.6% from $8.07 per share in the prior-year quarter. ORLY registered quarterly revenues of $3,799.6 million, crossing the Zacks Consensus Estimate of $3,713 million. The top line was 9% higher than the prior-year figure of $3,479.5 million. The company expects 2022 revenues in the range of $14.1-$14.3 billion. Earnings per share are expected in the range of $32.35-$32.85. Free cash flow is projected in the band of $1.8-$2.1 billion.
AutoZonereported first-quarter fiscal 2023 results on Dec 6. It posted earnings of $27.45 per share, up 6.8% from the prior-year figure of $25.69. The bottom line surpassed the Zacks Consensus Estimate of $25.15 per share on higher-than-expected comps growth. The net sales also grew 8.6% to $3,985.1 million. The top line beat the Zacks Consensus Estimate of $3,836 million.During the quarter ended Nov 19, AutoZone opened 28 new stores in the United States, three in Mexico and four in Brazil. It exited the quarter with 6,196 stores in the United States, 706 in Mexico and 76 in Brazil. The total store count was 6,978 as of Nov 19.At quarter-end, it had nearly $2.7 billion remaining under its current share repurchase authorization.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
AutoZone, Inc. (AZO) : Free Stock Analysis Report
CarMax, Inc. (KMX) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Peer Releases CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report CarMax, Inc. (KMX) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Peer Releases CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report CarMax, Inc. (KMX) : Free Stock Analysis Report To read this article on Zacks.com click here. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure.
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Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report CarMax, Inc. (KMX) : Free Stock Analysis Report To read this article on Zacks.com click here. Peer Releases CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure.
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Peer Releases CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report CarMax, Inc. (KMX) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10847.0
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2022-12-22 00:00:00 UTC
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Advance Auto Parts Enters Oversold Territory
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-enters-oversold-territory-1
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nan
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nan
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The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $138.52 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30. In the case of Advance Auto Parts Inc, the RSI reading has hit 28.9 — by comparison, the universe of dividend stocks covered by Dividend Channel currently has an average RSI of 45.0. A falling stock price — all else being equal — creates a better opportunity for dividend investors to capture a higher yield. Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 4.22% based upon the recent $142.29 share price.
A bullish investor could look at AAP's 28.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. In general, dividends are not always predictable; but, looking at the history chart below can help in judging whether the most recent dividend is likely to continue.
Click here to find out what 9 other oversold dividend stocks you need to know about »
Also see:
Financial Dividend Stock List
WBAL YTD Return
Top 10 Hedge Funds Holding Edwards Lifesciences
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A bullish investor could look at AAP's 28.9 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $138.52 per share.
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Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 4.22% based upon the recent $142.29 share price. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $138.52 per share.
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Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $138.52 per share. Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 4.22% based upon the recent $142.29 share price.
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Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $138.52 per share.
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10848.0
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2022-12-22 00:00:00 UTC
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AAP February 2023 Options Begin Trading
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AAP
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https://www.nasdaq.com/articles/aap-february-2023-options-begin-trading
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nan
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nan
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Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 2023 contracts and identified one put and one call contract of particular interest.
The put contract at the $135.00 strike price has a current bid of $3.10. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $135.00, but will also collect the premium, putting the cost basis of the shares at $131.90 (before broker commissions). To an investor already interested in purchasing shares of AAP, that could represent an attractive alternative to paying $139.10/share today.
Because the $135.00 strike represents an approximate 3% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 2.30% return on the cash commitment, or 19.49% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Advance Auto Parts Inc, and highlighting in green where the $135.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $140.00 strike price has a current bid of $5.10. If an investor was to purchase shares of AAP stock at the current price level of $139.10/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $140.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 4.31% if the stock gets called away at the February 2023 expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $140.00 strike highlighted in red:
Considering the fact that the $140.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 99%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 3.67% boost of extra return to the investor, or 31.12% annualized, which we refer to as the YieldBoost.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 252 trading day closing values as well as today's price of $139.10) to be 38%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Top YieldBoost Calls of the S&P 500 »
Also see:
Funds Holding BGIO
Live Nation Entertainment Average Annual Return
Howmet Aerospace market cap history
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $140.00 strike highlighted in red: Considering the fact that the $140.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration.
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Below is a chart showing AAP's trailing twelve month trading history, with the $140.00 strike highlighted in red: Considering the fact that the $140.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 2023 contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $140.00 strike highlighted in red: Considering the fact that the $140.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 2023 contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $140.00 strike highlighted in red: Considering the fact that the $140.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options begin trading today, for the February 2023 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new February 2023 contracts and identified one put and one call contract of particular interest.
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10849.0
|
2022-12-20 00:00:00 UTC
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Advance Auto Parts (AAP) Stock Sinks As Market Gains: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-stock-sinks-as-market-gains%3A-what-you-should-know
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nan
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nan
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Advance Auto Parts (AAP) closed the most recent trading day at $139.38, moving -1.08% from the previous trading session. This move lagged the S&P 500's daily gain of 0.1%. Meanwhile, the Dow gained 0.28%, and the Nasdaq, a tech-heavy index, lost 0.09%.
Prior to today's trading, shares of the auto parts retailer had lost 4.95% over the past month. This has lagged the Retail-Wholesale sector's loss of 3.96% and the S&P 500's loss of 3.6% in that time.
Advance Auto Parts will be looking to display strength as it nears its next earnings release. On that day, Advance Auto Parts is projected to report earnings of $2.44 per share, which would represent year-over-year growth of 17.87%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.42 billion, up 1.15% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $12.60 per share and revenue of $11.11 billion, which would represent changes of +4.83% and +0.98%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Advance Auto Parts. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.16% lower within the past month. Advance Auto Parts is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Advance Auto Parts has a Forward P/E ratio of 11.18 right now. This valuation marks a discount compared to its industry's average Forward P/E of 16.94.
Also, we should mention that AAP has a PEG ratio of 0.89. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Retail and Wholesale - Parts was holding an average PEG ratio of 1.81 at yesterday's closing price.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 90, putting it in the top 36% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
Zacks Top 10 Stocks for 2023
In addition to the investment ideas discussed above, would you like to know about our 10 top picks for the entirety of 2023? From inception in 2012 through November, the Zacks Top 10 Stocks portfolio has tripled the market, gaining an impressive +884.5% versus the S&P 500’s +287.4%.
Now our Director of Research is combing through 4,000 companies covered by the Zacks Rank to handpick the best 10 tickers to buy and hold. Don’t miss your chance to get in on these stocks when they’re released on January 3.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) closed the most recent trading day at $139.38, moving -1.08% from the previous trading session. Also, we should mention that AAP has a PEG ratio of 0.89. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Advance Auto Parts (AAP) closed the most recent trading day at $139.38, moving -1.08% from the previous trading session. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Also, we should mention that AAP has a PEG ratio of 0.89.
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Advance Auto Parts (AAP) closed the most recent trading day at $139.38, moving -1.08% from the previous trading session. Also, we should mention that AAP has a PEG ratio of 0.89. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Advance Auto Parts (AAP) closed the most recent trading day at $139.38, moving -1.08% from the previous trading session. Also, we should mention that AAP has a PEG ratio of 0.89. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10850.0
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2022-12-19 00:00:00 UTC
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Advance Auto Parts Inc Shares Approach 52-Week Low - Market Mover
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-inc-shares-approach-52-week-low-market-mover-1
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nan
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nan
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Advance Auto Parts Inc (AAP) shares closed today at 0.4% above its 52 week low of $138.79, giving the company a market cap of $8B. The stock is currently down 39.1% year-to-date, down 37.3% over the past 12 months, and up 50.4% over the past five years. This week, the Dow Jones Industrial Average fell 3.7%, and the S&P 500 fell 4.3%.
Trading Activity
Trading volume this week was 22.3% lower than the 20-day average.
Beta, a measure of the stock’s volatility relative to the overall market stands at 0.8.
Technical Indicators
The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
MACD, a trend-following momentum indicator, indicates an upward trend.
The stock closed below its Bollinger band, indicating it may be oversold.
Market Comparative Performance
The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis
The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis
The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis
Per Group Comparative Performance
The company's stock price performance year-to-date lags the peer average by 350.8%
The company's stock price performance over the past 12 months lags the peer average by 587.8%
The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.7% lower than the average peer.
This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc (AAP) shares closed today at 0.4% above its 52 week low of $138.79, giving the company a market cap of $8B. Beta, a measure of the stock’s volatility relative to the overall market stands at 0.8. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 350.8% The company's stock price performance over the past 12 months lags the peer average by 587.8% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.7% lower than the average peer.
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Advance Auto Parts Inc (AAP) shares closed today at 0.4% above its 52 week low of $138.79, giving the company a market cap of $8B. This week, the Dow Jones Industrial Average fell 3.7%, and the S&P 500 fell 4.3%. Trading Activity Trading volume this week was 22.3% lower than the 20-day average.
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Advance Auto Parts Inc (AAP) shares closed today at 0.4% above its 52 week low of $138.79, giving the company a market cap of $8B. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 350.8% The company's stock price performance over the past 12 months lags the peer average by 587.8% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.7% lower than the average peer. This story was produced by the Kwhen Automated News Generator.
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Advance Auto Parts Inc (AAP) shares closed today at 0.4% above its 52 week low of $138.79, giving the company a market cap of $8B. This week, the Dow Jones Industrial Average fell 3.7%, and the S&P 500 fell 4.3%. Technical Indicators The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
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10851.0
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2022-12-18 00:00:00 UTC
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Advance Auto Parts Inc Shares Near 52-Week Low - Market Mover
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-inc-shares-near-52-week-low-market-mover-0
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nan
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nan
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $138.79, giving the company a market cap of $8B. The stock is currently down 39.5% year-to-date, down 37.6% over the past 12 months, and up 45.3% over the past five years. This week, the Dow Jones Industrial Average fell 1.7%, and the S&P 500 fell 2.1%.
Trading Activity
Trading volume this week was 34.3% higher than the 20-day average.
Beta, a measure of the stock’s volatility relative to the overall market stands at 0.8.
Technical Indicators
The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
MACD, a trend-following momentum indicator, indicates an upward trend.
The stock closed below its Bollinger band, indicating it may be oversold.
Market Comparative Performance
The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis
The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and lags it on a 5-year basis
The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis
Per Group Comparative Performance
The company's stock price performance year-to-date lags the peer average by 370.6%
The company's stock price performance over the past 12 months lags the peer average by 621.9%
The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -94.2% lower than the average peer.
This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $138.79, giving the company a market cap of $8B. Beta, a measure of the stock’s volatility relative to the overall market stands at 0.8. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 370.6% The company's stock price performance over the past 12 months lags the peer average by 621.9% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -94.2% lower than the average peer.
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $138.79, giving the company a market cap of $8B. This week, the Dow Jones Industrial Average fell 1.7%, and the S&P 500 fell 2.1%. Technical Indicators The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $138.79, giving the company a market cap of $8B. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 370.6% The company's stock price performance over the past 12 months lags the peer average by 621.9% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -94.2% lower than the average peer. This story was produced by the Kwhen Automated News Generator.
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $138.79, giving the company a market cap of $8B. This week, the Dow Jones Industrial Average fell 1.7%, and the S&P 500 fell 2.1%. Technical Indicators The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
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10852.0
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2022-12-14 00:00:00 UTC
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Advance Auto Parts Inc Shares Approach 52-Week Low - Market Mover
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-inc-shares-approach-52-week-low-market-mover-0
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nan
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nan
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Advance Auto Parts Inc (AAP) shares closed today at 1.0% above its 52 week low of $141.88, giving the company a market cap of $8B. The stock is currently down 38.7% year-to-date, down 37.3% over the past 12 months, and up 50.8% over the past five years. This week, the Dow Jones Industrial Average rose 1.1%, and the S&P 500 rose 1.6%.
Trading Activity
Trading volume this week was 11.3% lower than the 20-day average.
Beta, a measure of the stock’s volatility relative to the overall market stands at 0.9.
Technical Indicators
The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
MACD, a trend-following momentum indicator, indicates an upward trend.
The stock closed below its Bollinger band, indicating it may be oversold.
Market Comparative Performance
The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis
The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and lags it on a 5-year basis
The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis
Per Group Comparative Performance
The company's stock price performance year-to-date lags the peer average by 352.4%
The company's stock price performance over the past 12 months lags the peer average by 764.5%
The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.4% lower than the average peer.
This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc (AAP) shares closed today at 1.0% above its 52 week low of $141.88, giving the company a market cap of $8B. Beta, a measure of the stock’s volatility relative to the overall market stands at 0.9. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 352.4% The company's stock price performance over the past 12 months lags the peer average by 764.5% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.4% lower than the average peer.
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Advance Auto Parts Inc (AAP) shares closed today at 1.0% above its 52 week low of $141.88, giving the company a market cap of $8B. This week, the Dow Jones Industrial Average rose 1.1%, and the S&P 500 rose 1.6%. Trading Activity Trading volume this week was 11.3% lower than the 20-day average.
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Advance Auto Parts Inc (AAP) shares closed today at 1.0% above its 52 week low of $141.88, giving the company a market cap of $8B. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and lags it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 352.4% The company's stock price performance over the past 12 months lags the peer average by 764.5% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.4% lower than the average peer. This story was produced by the Kwhen Automated News Generator.
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Advance Auto Parts Inc (AAP) shares closed today at 1.0% above its 52 week low of $141.88, giving the company a market cap of $8B. This week, the Dow Jones Industrial Average rose 1.1%, and the S&P 500 rose 1.6%. Technical Indicators The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
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10853.0
|
2022-12-13 00:00:00 UTC
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Ex-Dividend Reminder: Steven Madden, Dole and Advance Auto Parts
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AAP
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https://www.nasdaq.com/articles/ex-dividend-reminder%3A-steven-madden-dole-and-advance-auto-parts
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nan
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nan
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Looking at the universe of stocks we cover at Dividend Channel, on 12/15/22, Steven Madden Ltd. (Symbol: SHOO), Dole plc (Symbol: DOLE), and Advance Auto Parts Inc (Symbol: AAP) will all trade ex-dividend for their respective upcoming dividends. Steven Madden Ltd. will pay its quarterly dividend of $0.21 on 12/30/22, Dole plc will pay its quarterly dividend of $0.08 on 1/6/23, and Advance Auto Parts Inc will pay its quarterly dividend of $1.50 on 1/3/23. As a percentage of SHOO's recent stock price of $34.22, this dividend works out to approximately 0.61%, so look for shares of Steven Madden Ltd. to trade 0.61% lower — all else being equal — when SHOO shares open for trading on 12/15/22. Similarly, investors should look for DOLE to open 0.75% lower in price and for AAP to open 1.01% lower, all else being equal.
Below are dividend history charts for SHOO, DOLE, and AAP, showing historical dividends prior to the most recent ones declared.
Steven Madden Ltd. (Symbol: SHOO):
Dole plc (Symbol: DOLE):
Advance Auto Parts Inc (Symbol: AAP):
In general, dividends are not always predictable, following the ups and downs of company profits over time. Therefore, a good first due diligence step in forming an expectation of annual yield going forward, is looking at the history above, for a sense of stability over time. This can help in judging whether the most recent dividends from these companies are likely to continue. If they do continue, the current estimated yields on annualized basis would be 2.45% for Steven Madden Ltd., 3.01% for Dole plc, and 4.06% for Advance Auto Parts Inc.
Free Report: Top 8%+ Dividends (paid monthly)
In Tuesday trading, Steven Madden Ltd. shares are currently up about 3.1%, Dole plc shares are up about 2.8%, and Advance Auto Parts Inc shares are up about 1.4% on the day.
Click here to learn which 25 S.A.F.E. dividend stocks should be on your radar screen »
Also see:
Dividend Stock Screener
Funds Holding NSCS
Institutional Holders of HTGX
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Looking at the universe of stocks we cover at Dividend Channel, on 12/15/22, Steven Madden Ltd. (Symbol: SHOO), Dole plc (Symbol: DOLE), and Advance Auto Parts Inc (Symbol: AAP) will all trade ex-dividend for their respective upcoming dividends. Similarly, investors should look for DOLE to open 0.75% lower in price and for AAP to open 1.01% lower, all else being equal. Below are dividend history charts for SHOO, DOLE, and AAP, showing historical dividends prior to the most recent ones declared.
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Looking at the universe of stocks we cover at Dividend Channel, on 12/15/22, Steven Madden Ltd. (Symbol: SHOO), Dole plc (Symbol: DOLE), and Advance Auto Parts Inc (Symbol: AAP) will all trade ex-dividend for their respective upcoming dividends. Steven Madden Ltd. (Symbol: SHOO): Dole plc (Symbol: DOLE): Advance Auto Parts Inc (Symbol: AAP): In general, dividends are not always predictable, following the ups and downs of company profits over time. Similarly, investors should look for DOLE to open 0.75% lower in price and for AAP to open 1.01% lower, all else being equal.
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Looking at the universe of stocks we cover at Dividend Channel, on 12/15/22, Steven Madden Ltd. (Symbol: SHOO), Dole plc (Symbol: DOLE), and Advance Auto Parts Inc (Symbol: AAP) will all trade ex-dividend for their respective upcoming dividends. Similarly, investors should look for DOLE to open 0.75% lower in price and for AAP to open 1.01% lower, all else being equal. Below are dividend history charts for SHOO, DOLE, and AAP, showing historical dividends prior to the most recent ones declared.
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Steven Madden Ltd. (Symbol: SHOO): Dole plc (Symbol: DOLE): Advance Auto Parts Inc (Symbol: AAP): In general, dividends are not always predictable, following the ups and downs of company profits over time. Looking at the universe of stocks we cover at Dividend Channel, on 12/15/22, Steven Madden Ltd. (Symbol: SHOO), Dole plc (Symbol: DOLE), and Advance Auto Parts Inc (Symbol: AAP) will all trade ex-dividend for their respective upcoming dividends. Similarly, investors should look for DOLE to open 0.75% lower in price and for AAP to open 1.01% lower, all else being equal.
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10854.0
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2022-12-12 00:00:00 UTC
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Investors Heavily Search Advance Auto Parts, Inc. (AAP): Here is What You Need to Know
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AAP
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https://www.nasdaq.com/articles/investors-heavily-search-advance-auto-parts-inc.-aap%3A-here-is-what-you-need-to-know
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nan
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nan
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Advance Auto Parts (AAP) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.
Shares of this auto parts retailer have returned -21.7% over the past month versus the Zacks S&P 500 composite's +5.1% change. The Zacks Automotive - Retail and Wholesale - Parts industry, to which Advance Auto Parts belongs, has lost 1.5% over this period. Now the key question is: Where could the stock be headed in the near term?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Earnings Estimate Revisions
Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Advance Auto Parts is expected to post earnings of $2.44 per share, indicating a change of +17.9% from the year-ago quarter. The Zacks Consensus Estimate has changed +2.6% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $12.68 points to a change of +5.5% from the prior year. Over the last 30 days, this estimate has changed -2.9%.
For the next fiscal year, the consensus earnings estimate of $13.72 indicates a change of +8.2% from what Advance Auto Parts is expected to report a year ago. Over the past month, the estimate has changed -5.9%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Advance Auto Parts.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth Forecast
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Advance Auto Parts, the consensus sales estimate of $2.43 billion for the current quarter points to a year-over-year change of +1.3%. The $11.11 billion and $11.4 billion estimates for the current and next fiscal years indicate changes of +1% and +2.6%, respectively.
Last Reported Results and Surprise History
Advance Auto Parts reported revenues of $2.64 billion in the last reported quarter, representing a year-over-year change of +0.8%. EPS of $2.84 for the same period compares with $3.21 a year ago.
Compared to the Zacks Consensus Estimate of $2.66 billion, the reported revenues represent a surprise of -0.55%. The EPS surprise was -14.46%.
Over the last four quarters, Advance Auto Parts surpassed consensus EPS estimates two times. The company topped consensus revenue estimates just once over this period.
Valuation
Without considering a stock's valuation, no investment decision can be efficient. In predicting a stock's future price performance, it's crucial to determine whether its current price correctly reflects the intrinsic value of the underlying business and the company's growth prospects.
Comparing the current value of a company's valuation multiples, such as its price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF), to its own historical values helps ascertain whether its stock is fairly valued, overvalued, or undervalued, whereas comparing the company relative to its peers on these parameters gives a good sense of how reasonable its stock price is.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an An is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Advance Auto Parts is graded A on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Conclusion
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Advance Auto Parts. However, its Zacks Rank #3 does suggest that it may perform in line with the broader market in the near term.
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Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) is one of the stocks most watched by Zacks.com visitors lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
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Advance Auto Parts (AAP) is one of the stocks most watched by Zacks.com visitors lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. For the next fiscal year, the consensus earnings estimate of $13.72 indicates a change of +8.2% from what Advance Auto Parts is expected to report a year ago.
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Advance Auto Parts (AAP) is one of the stocks most watched by Zacks.com visitors lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. For the next fiscal year, the consensus earnings estimate of $13.72 indicates a change of +8.2% from what Advance Auto Parts is expected to report a year ago.
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Advance Auto Parts (AAP) is one of the stocks most watched by Zacks.com visitors lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #3 (Hold) for Advance Auto Parts.
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10855.0
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2022-12-12 00:00:00 UTC
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Surprising Analyst 12-Month Target For DIVB
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AAP
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https://www.nasdaq.com/articles/surprising-analyst-12-month-target-for-divb-0
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nan
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nan
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Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, we have compared the trading price of each holding against the average analyst 12-month forward target price, and computed the weighted average implied analyst target price for the ETF itself. For the iShares Core Dividend ETF (Symbol: DIVB), we found that the implied analyst target price for the ETF based upon its underlying holdings is $43.32 per unit.
With DIVB trading at a recent price near $38.15 per unit, that means that analysts see 13.56% upside for this ETF looking through to the average analyst targets of the underlying holdings. Three of DIVB's underlying holdings with notable upside to their analyst target prices are Advance Auto Parts Inc (Symbol: AAP), Nexstar Media Group Inc (Symbol: NXST), and Costco Wholesale Corp (Symbol: COST). Although AAP has traded at a recent price of $145.90/share, the average analyst target is 23.33% higher at $179.94/share. Similarly, NXST has 19.49% upside from the recent share price of $181.97 if the average analyst target price of $217.43/share is reached, and analysts on average are expecting COST to reach a target price of $565.86/share, which is 17.15% above the recent price of $483.02. Below is a twelve month price history chart comparing the stock performance of AAP, NXST, and COST:
Below is a summary table of the current analyst target prices discussed above:
NAME SYMBOL RECENT PRICE AVG. ANALYST 12-MO. TARGET % UPSIDE TO TARGET
iShares Core Dividend ETF DIVB $38.15 $43.32 13.56%
Advance Auto Parts Inc AAP $145.90 $179.94 23.33%
Nexstar Media Group Inc NXST $181.97 $217.43 19.49%
Costco Wholesale Corp COST $483.02 $565.86 17.15%
Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Do the analysts have a valid justification for their targets, or are they behind the curve on recent company and industry developments? A high price target relative to a stock's trading price can reflect optimism about the future, but can also be a precursor to target price downgrades if the targets were a relic of the past. These are questions that require further investor research.
10 ETFs With Most Upside To Analyst Targets »
Also see:
Earnings History
LHX YTD Return
Funds Holding AUSE
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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iShares Core Dividend ETF DIVB $38.15 $43.32 13.56% Advance Auto Parts Inc AAP $145.90 $179.94 23.33% Nexstar Media Group Inc NXST $181.97 $217.43 19.49% Costco Wholesale Corp COST $483.02 $565.86 17.15% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of DIVB's underlying holdings with notable upside to their analyst target prices are Advance Auto Parts Inc (Symbol: AAP), Nexstar Media Group Inc (Symbol: NXST), and Costco Wholesale Corp (Symbol: COST). Although AAP has traded at a recent price of $145.90/share, the average analyst target is 23.33% higher at $179.94/share.
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Three of DIVB's underlying holdings with notable upside to their analyst target prices are Advance Auto Parts Inc (Symbol: AAP), Nexstar Media Group Inc (Symbol: NXST), and Costco Wholesale Corp (Symbol: COST). iShares Core Dividend ETF DIVB $38.15 $43.32 13.56% Advance Auto Parts Inc AAP $145.90 $179.94 23.33% Nexstar Media Group Inc NXST $181.97 $217.43 19.49% Costco Wholesale Corp COST $483.02 $565.86 17.15% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Although AAP has traded at a recent price of $145.90/share, the average analyst target is 23.33% higher at $179.94/share.
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Three of DIVB's underlying holdings with notable upside to their analyst target prices are Advance Auto Parts Inc (Symbol: AAP), Nexstar Media Group Inc (Symbol: NXST), and Costco Wholesale Corp (Symbol: COST). Although AAP has traded at a recent price of $145.90/share, the average analyst target is 23.33% higher at $179.94/share. Below is a twelve month price history chart comparing the stock performance of AAP, NXST, and COST: Below is a summary table of the current analyst target prices discussed above:
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iShares Core Dividend ETF DIVB $38.15 $43.32 13.56% Advance Auto Parts Inc AAP $145.90 $179.94 23.33% Nexstar Media Group Inc NXST $181.97 $217.43 19.49% Costco Wholesale Corp COST $483.02 $565.86 17.15% Are analysts justified in these targets, or overly optimistic about where these stocks will be trading 12 months from now? Three of DIVB's underlying holdings with notable upside to their analyst target prices are Advance Auto Parts Inc (Symbol: AAP), Nexstar Media Group Inc (Symbol: NXST), and Costco Wholesale Corp (Symbol: COST). Although AAP has traded at a recent price of $145.90/share, the average analyst target is 23.33% higher at $179.94/share.
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10856.0
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2022-12-08 00:00:00 UTC
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Advance Auto Parts Inc Shares Near 52-Week Low - Market Mover
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-inc-shares-near-52-week-low-market-mover
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nan
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nan
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $143.72, giving the company a market cap of $8B. The stock is currently down 37.4% year-to-date, down 35.5% over the past 12 months, and up 53.9% over the past five years. This week, the Dow Jones Industrial Average fell 1.7%, and the S&P 500 fell 2.7%.
Trading Activity
Trading volume this week was 48.0% lower than the 20-day average.
Beta, a measure of the stock’s volatility relative to the overall market stands at 0.9.
Technical Indicators
The Relative Strength Index (RSI) on the stock was between 30 and 70.
MACD, a trend-following momentum indicator, indicates a downward trend.
The stock closed below its Bollinger band, indicating it may be oversold.
Market Comparative Performance
The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis
The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis
The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis
Per Group Comparative Performance
The company's stock price performance year-to-date lags the peer average by 600.5%
The company's stock price performance over the past 12 months lags the peer average by 881.2%
The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.3% lower than the average peer.
This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $143.72, giving the company a market cap of $8B. Technical Indicators The Relative Strength Index (RSI) on the stock was between 30 and 70. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 600.5% The company's stock price performance over the past 12 months lags the peer average by 881.2% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.3% lower than the average peer.
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $143.72, giving the company a market cap of $8B. This week, the Dow Jones Industrial Average fell 1.7%, and the S&P 500 fell 2.7%. Trading Activity Trading volume this week was 48.0% lower than the 20-day average.
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $143.72, giving the company a market cap of $8B. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and lags it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 600.5% The company's stock price performance over the past 12 months lags the peer average by 881.2% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -93.3% lower than the average peer. This story was produced by the Kwhen Automated News Generator.
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Advance Auto Parts Inc (AAP) shares closed today at 1.5% above its 52 week low of $143.72, giving the company a market cap of $8B. This week, the Dow Jones Industrial Average fell 1.7%, and the S&P 500 fell 2.7%. Technical Indicators The Relative Strength Index (RSI) on the stock was between 30 and 70.
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10857.0
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2022-12-08 00:00:00 UTC
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Is the Options Market Predicting a Spike in Advance Auto Parts (AAP) Stock?
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AAP
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https://www.nasdaq.com/articles/is-the-options-market-predicting-a-spike-in-advance-auto-parts-aap-stock
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nan
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nan
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Investors in Advance Auto Parts AAP need to pay close attention to the stock based on moves in the options market lately. That is because the Jan 20, 2023 $95.00 Call had some of the highest implied volatility of all equity options today.
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
Clearly, options traders are pricing in a big move for Advance Auto Parts shares, but what is the fundamental picture for the company? Currently, Advance Auto Parts is a Zacks Rank #3 (Hold) in the Automotive - Retail and Wholesale - Parts industry that ranks in the Bottom 34% of our Zacks Industry Rank. Over the last 30 days, six analysts have increased their earnings estimates for the current quarter, while two have dropped their estimates. The net effect has taken our Zacks Consensus Estimate for the current quarter from an earnings of $2.38 per share to $2.44 in that period.
Given the way analysts feel about Advance Auto Parts right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
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Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Investors in Advance Auto Parts AAP need to pay close attention to the stock based on moves in the options market lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners.
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Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Investors in Advance Auto Parts AAP need to pay close attention to the stock based on moves in the options market lately. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Investors in Advance Auto Parts AAP need to pay close attention to the stock based on moves in the options market lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Investors in Advance Auto Parts AAP need to pay close attention to the stock based on moves in the options market lately. Click to get this free report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report To read this article on Zacks.com click here. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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10858.0
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2022-12-07 00:00:00 UTC
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AutoZone (AZO) Q1 Earnings Beat on Better-Than-Expected Comps
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AAP
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https://www.nasdaq.com/articles/autozone-azo-q1-earnings-beat-on-better-than-expected-comps-0
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nan
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nan
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AutoZone Inc. AZO reported earnings of $27.45 per share for first-quarter fiscal 2023, up 6.8% from the prior-year figure of $25.69. The bottom line surpassed the Zacks Consensus Estimate of $25.15 per share on higher-than-expected comps growth. The net sales also grew 8.6% to $3,985.1 million. The top line beat the Zacks Consensus Estimate of $3,836 million.
In the reported quarter, the domestic commercial sales totaled $1,034.4 million, up from $899.9 million recorded in the year-ago period. The domestic same-store sales (sales at stores open at least for a year) rose 5.6%, ahead of the Zacks Consensus Estimate of 3.37%. The gross profit increased to $1,994.6 million from the prior-year quarter’s figure of $1,925.2 million. The operating profit slipped 4.2% year over year to $723 million.
Store Opening & Inventory
During the quarter ended Nov 19, AutoZone opened 28 new stores in the United States, three in Mexico and four in Brazil. It exited the quarter with 6,196 stores in the United States, 706 in Mexico and 76 in Brazil. The total store count was 6,978 as of Nov 19.
AutoZone’s inventory increased 17.6% year over year in the reported quarter, led by growth initiatives and inflation. At quarter-end, the inventory per location was negative $249,000 compared with negative $207,000 a year ago.
Financials and Share Repurchases
As of Nov 19, AutoZone had cash and cash equivalents of $269.8 million, plunging from $961.1 million on Nov 20, 2021. The total debt amounted to $6,328.3 million as of Nov 19, marking an increase from $5,271.3 million on Nov 20, 2021.
Under its share repurchase program, AutoZone repurchased 392,000 shares of its common stock for $900 billion during the fiscal first quarter of 2023, at an average price of $2,295 per share. At quarter-end, it had nearly $2.7 billion remaining under its current share repurchase authorization.
AZO carries a Zacks Rank #3 (Hold), currently. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Peer Releases
AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY.
Advance Auto released third-quarter 2022 results on Nov 15. The company’s adjusted earnings of $2.84 per share were down 11.5% from the year-ago quarter’s figure and missed the Zacks Consensus Estimate of $3.32 per share. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure. Advance Auto estimates 2022 net sales in the band of $11-$11.2 billion. The company targets an FCF of a minimum of $300 million. Adjusted EPS is forecast between $12.60 and $12.80. The auto parts retailer now intends to buy back a maximum of $600 million worth of shares in 2022. It aims to open 125-150 new stores this year.
O’Reilly posted third-quarter 2022 results on Oct 26. Adjusted earnings of $9.17 per share surpassed the Zacks Consensus Estimate of $8.46. The bottom line increased 13.6% from $8.07 per share in the prior-year quarter. ORLY registered quarterly revenues of $3,799.6 million, crossing the Zacks Consensus Estimate of $3,713 million. The top line was 9% higher than the prior-year’s figure of $3,479.5 million. The company expects 2022 revenues in the range of $14.1-$14.3 billion. Earnings per share are expected in the range of $32.35-$32.85. Free cash flow is projected in the band of $1.8-$2.1 billion.
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It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report
AutoZone, Inc. (AZO) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Peer Releases AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here.
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Peer Releases AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure.
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AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here. Peer Releases AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY.
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Peer Releases AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY. AAP’s revenues of $2,641.3 million fell short of the Zacks Consensus Estimate of $2,652 million and inched down 0.8% from the year-ago reported figure. Click to get this free report O'Reilly Automotive, Inc. (ORLY) : Free Stock Analysis Report Advance Auto Parts, Inc. (AAP) : Free Stock Analysis Report AutoZone, Inc. (AZO) : Free Stock Analysis Report To read this article on Zacks.com click here.
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10859.0
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2022-11-17 00:00:00 UTC
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Why Shares in Advance Auto Parts Slumped This Week
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AAP
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https://www.nasdaq.com/articles/why-shares-in-advance-auto-parts-slumped-this-week
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nan
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nan
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What happened
Auto parts retailer Advance Auto Parts (NYSE: AAP) shares declined nearly 18% in the week through Thursday afternoon. There are no prizes for guessing why: A disappointing set of third-quarter earnings released on Tuesday sent the stock crashing as investors ran for the exits.
The company's comparable same-store sales declined by 0.7% in the quarter ending on Oct. 8. It's a figure notably below what its peers reported in their most comparable quarters. For example, O'Reilly Automotive reported a 7.6% increase in its comparable-store sales in its quarter ending Sept. 30, and AutoZone's domestic same-store sales increased 6.2% in its quarter ended Aug. 27.
So what
To be fair, part of the reason Advance Auto Parts' sales lagged behind its peers comes down to a conscious decision to increase sales of owned-brand products. They tend to carry lower prices (which reduces sales figures) but generate higher margins for the company.
Still, on the earnings release, CEO Tom Greco said this strategy reduced comp sales by approximately 90 basis points.
If you add back those basis points, comparable same-store sales would have come to an increase of 0.2% -- still significantly below that reported by its peers.
Now what
Unfortunately, it's far from clear that Advance Auto Parts is on track to generate operational metrics in line with its peers -- certainly not in terms of sales growth. As such, the case for the stock being a value play in the sector is unconvincing.
10 stocks we like better than Advance Auto Parts
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and Advance Auto Parts wasn't one of them! That's right -- they think these 10 stocks are even better buys.
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*Stock Advisor returns as of November 7, 2022
Lee Samaha has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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What happened Auto parts retailer Advance Auto Parts (NYSE: AAP) shares declined nearly 18% in the week through Thursday afternoon. There are no prizes for guessing why: A disappointing set of third-quarter earnings released on Tuesday sent the stock crashing as investors ran for the exits. Still, on the earnings release, CEO Tom Greco said this strategy reduced comp sales by approximately 90 basis points.
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What happened Auto parts retailer Advance Auto Parts (NYSE: AAP) shares declined nearly 18% in the week through Thursday afternoon. The company's comparable same-store sales declined by 0.7% in the quarter ending on Oct. 8. For example, O'Reilly Automotive reported a 7.6% increase in its comparable-store sales in its quarter ending Sept. 30, and AutoZone's domestic same-store sales increased 6.2% in its quarter ended Aug. 27.
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What happened Auto parts retailer Advance Auto Parts (NYSE: AAP) shares declined nearly 18% in the week through Thursday afternoon. So what To be fair, part of the reason Advance Auto Parts' sales lagged behind its peers comes down to a conscious decision to increase sales of owned-brand products. 10 stocks we like better than Advance Auto Parts When our award-winning analyst team has a stock tip, it can pay to listen.
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What happened Auto parts retailer Advance Auto Parts (NYSE: AAP) shares declined nearly 18% in the week through Thursday afternoon. The company's comparable same-store sales declined by 0.7% in the quarter ending on Oct. 8. So what To be fair, part of the reason Advance Auto Parts' sales lagged behind its peers comes down to a conscious decision to increase sales of owned-brand products.
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10860.0
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2022-11-17 00:00:00 UTC
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Advance Auto Parts is Oversold
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-is-oversold
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nan
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nan
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The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. Advance Auto Parts Inc (Symbol: AAP) presently has a stellar rank, in the top 10% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $148.05 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30. In the case of Advance Auto Parts Inc, the RSI reading has hit 28.5 — by comparison, the universe of dividend stocks covered by Dividend Channel currently has an average RSI of 53.9. A falling stock price — all else being equal — creates a better opportunity for dividend investors to capture a higher yield. Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 3.84% based upon the recent $156.24 share price.
A bullish investor could look at AAP's 28.5 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. In general, dividends are not always predictable; but, looking at the history chart below can help in judging whether the most recent dividend is likely to continue.
Click here to find out what 9 other oversold dividend stocks you need to know about »
Also see:
SI YTD Return
ICON Price Target
Funds Holding SFIX
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A bullish investor could look at AAP's 28.5 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Advance Auto Parts Inc (Symbol: AAP) presently has a stellar rank, in the top 10% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $148.05 per share.
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Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 3.84% based upon the recent $156.24 share price. Advance Auto Parts Inc (Symbol: AAP) presently has a stellar rank, in the top 10% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $148.05 per share.
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Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. Advance Auto Parts Inc (Symbol: AAP) presently has a stellar rank, in the top 10% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $148.05 per share.
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But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $148.05 per share. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. Advance Auto Parts Inc (Symbol: AAP) presently has a stellar rank, in the top 10% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
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10861.0
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2022-11-17 00:00:00 UTC
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2 Value Stocks You Can Buy Right Now With Less Than $100
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AAP
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https://www.nasdaq.com/articles/2-value-stocks-you-can-buy-right-now-with-less-than-%24100-0
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nan
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nan
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Since you came here looking for value stocks, I'll try not to waste your time with merely borderline value investing opportunities. To the contrary, I believe online marketplace eBay (NASDAQ: EBAY) and furniture company Lovesac (NASDAQ: LOVE) are downright cheap right now, and the numbers back this up.
I also considered furniture store RH, automotive retailer Advance Auto Parts, and OLED technology company Universal Display Corporation for this article. However, while I do believe those offer good value as well, eBay and Lovesac both trade under $100 per share, whereas the others don't.
Here's why eBay and Lovesac are good value buys with those Benjamins.
1. eBay: $46.60 per share
eBay isn't a one-stop online shop for everything, and it likely never will be. But it's still a very relevant platform, excelling in a number of key categories. Management calls them "focus" categories. For perspective regarding its relevance, eBay has over $76 billion in trailing-12-month gross merchandise volume (GMV) -- the sales value of the products sold on the platform.
eBay's management intends to maintain its relevance by doubling down on what its buyers want. For example, eBay is quite the car-parts retailer, and lately it's been elevating its presence in this market by sponsoring related events and shows. It also acquired a company called myFitment to improve listings on the eBay platform, ensuring vehicle-parts information is uploaded correctly.
Another example of an eBay focus category is collectibles. This category includes trading cards. And trading card sales volume has more than doubled for eBay since 2019. The company is improving its offerings with the launch of eBay Vault -- a service for high-value collectibles that makes it easier to store, authenticate, and trade these items. It's also recently acquired trading-card marketplace TCGplayer.
I believe eBay will remain a solid player within its core categories for the foreseeable future. And by facilitating these transactions for third parties, the company enjoys high profit margins -- its gross margin is almost 73% year to date.
A quick note on value stocks -- a cheap valuation is often indicative of market pessimism. In eBay's case, its active buyers fell 11% year over year in the third quarter of 2022 to 135 million, and GMV also fell 11% to $17.7 billion. This leads some to believe eBay's business is dying. But as already pointed out, it remains strong in core categories, and I expect that to continue.
eBay has earned about $2.5 billion in income from operations over the past 12 months -- its market capitalization is only 10 times larger than this, which is inexpensive.
Management is repurchasing shares and quickly scaling up its dividend, as the chart below shows -- two priorities going forward that can drive market-beating shareholder returns. Therefore, it doesn't need to grow revenue to return more capital to shareholders, it just needs to hold its ground. And I believe that will be a likely outcome for eBay.
EBAY Dividend data by YCharts
2. Lovesac: $27.69 per share
As already mentioned, value stocks typically bake in pessimism. That's the case with Lovesac stock, and for good reason. The company sells high-quality but high-priced beanbag chairs and sectional couches. And this business doesn't provide the company with recurring revenue.
To be fair, eBay's revenue isn't recurring either. But its users are far more likely to make multiple purchases in a year than Lovesac's customers. After all, you can only buy so many couches for your home.
To its credit, Lovesac's revenue growth is incredible. In fiscal 2022 (ended on Jan. 30), its revenue jumped 55% from fiscal 2021. And through the first two quarters of fiscal 2023, the company has generated $278 million in net sales, up 50% from the comparable period of fiscal 2022. The growth is impressive -- but therein lies the risk.
Investors question whether Lovesac's sensational growth is sustainable. Management appears to question it too. In its most recent conference call, management said that "We are not providing formal guidance" because it sees a wide "range of potential outcomes." It's hard to predict how sales for premium-priced furniture will fare during a slowing economy with high inflation.
Lovesac stock has already jumped 38% from its recent low, but it's still dirt cheap. The company has earned $44.4 million in trailing-12-month net income and has a market cap of $419 million. This means its price-to-earnings (P/E) ratio is less than 10.
For comparison, the P/E average for the S&P 500 is currently about 20 -- Lovesac's valuation is, therefore, roughly half that of the market's average.
LOVE PE Ratio data by YCharts
The good news for Lovesac is that it estimates it's only achieved 2% market share, at most. Therefore, it could double sales and still have a small piece of the market, which makes the possibility look achievable.
Moreover, management has roughly doubled its available inventory over the past year in anticipation of future demand. But Lovesac's merchandise doesn't change much year to year. Therefore, even if sales slow in the near term, it can patiently hold merchandise and sell later at full price when demand rebounds.
For these reasons, I see Lovesac as a low-risk opportunity even if sales weaken in coming quarters.
Of these two stocks, eBay is the one I'd buy today. Investing -- even value investing -- is still about thinking long-term. I have nothing against Lovesac and would even consider buying it at some point. But I'm far less confident at this moment about Lovesac's staying power.
By contrast, since it's been around for over 20 years, I strongly believe eBay has done enough to stay alive at least throughout this decade, generating robust cash flow and rewarding shareholders along the way.
10 stocks we like better than eBay
When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.*
They just revealed what they believe are the ten best stocks for investors to buy right now... and eBay wasn't one of them! That's right -- they think these 10 stocks are even better buys.
See the 10 stocks
*Stock Advisor returns as of November 7, 2022
Jon Quast has no position in any of the stocks mentioned. The Motley Fool recommends RH, The Lovesac Company, Universal Display, and eBay and recommends the following options: short October 2022 $50 calls on eBay. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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I also considered furniture store RH, automotive retailer Advance Auto Parts, and OLED technology company Universal Display Corporation for this article. The company is improving its offerings with the launch of eBay Vault -- a service for high-value collectibles that makes it easier to store, authenticate, and trade these items. Management is repurchasing shares and quickly scaling up its dividend, as the chart below shows -- two priorities going forward that can drive market-beating shareholder returns.
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To the contrary, I believe online marketplace eBay (NASDAQ: EBAY) and furniture company Lovesac (NASDAQ: LOVE) are downright cheap right now, and the numbers back this up. In eBay's case, its active buyers fell 11% year over year in the third quarter of 2022 to 135 million, and GMV also fell 11% to $17.7 billion. The Motley Fool recommends RH, The Lovesac Company, Universal Display, and eBay and recommends the following options: short October 2022 $50 calls on eBay.
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To the contrary, I believe online marketplace eBay (NASDAQ: EBAY) and furniture company Lovesac (NASDAQ: LOVE) are downright cheap right now, and the numbers back this up. 1. eBay: $46.60 per share eBay isn't a one-stop online shop for everything, and it likely never will be. The Motley Fool recommends RH, The Lovesac Company, Universal Display, and eBay and recommends the following options: short October 2022 $50 calls on eBay.
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Management calls them "focus" categories. But Lovesac's merchandise doesn't change much year to year. That's right -- they think these 10 stocks are even better buys.
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10862.0
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2022-11-16 00:00:00 UTC
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Advance Auto Parts Inc Shares Fall 1.4% Below Previous 52-Week Low - Market Mover
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-inc-shares-fall-1.4-below-previous-52-week-low-market-mover
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nan
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nan
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Advance Auto Parts Inc (AAP) shares closed 1.4% lower than its previous 52 week low, giving the company a market cap of $9B. The stock is currently down 33.2% year-to-date, down 31.8% over the past 12 months, and up 81.9% over the past five years. This week, the Dow Jones Industrial Average rose 3.3%, and the S&P 500 rose 5.7%.
Trading Activity
Trading volume this week was 413.2% higher than the 20-day average.
Beta, a measure of the stock’s volatility relative to the overall market stands at 0.9.
Technical Indicators
The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
MACD, a trend-following momentum indicator, indicates a downward trend.
The stock closed below its Bollinger band, indicating it may be oversold.
Market Comparative Performance
The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and beats it on a 5-year basis
The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis
The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis
Per Group Comparative Performance
The company's stock price performance year-to-date lags the peer average by 300.5%
The company's stock price performance over the past 12 months lags the peer average by 353.3%
The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -92.2% lower than the average peer.
This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc (AAP) shares closed 1.4% lower than its previous 52 week low, giving the company a market cap of $9B. Beta, a measure of the stock’s volatility relative to the overall market stands at 0.9. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and beats it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 300.5% The company's stock price performance over the past 12 months lags the peer average by 353.3% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -92.2% lower than the average peer.
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Advance Auto Parts Inc (AAP) shares closed 1.4% lower than its previous 52 week low, giving the company a market cap of $9B. This week, the Dow Jones Industrial Average rose 3.3%, and the S&P 500 rose 5.7%. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and beats it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 300.5% The company's stock price performance over the past 12 months lags the peer average by 353.3% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -92.2% lower than the average peer.
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Advance Auto Parts Inc (AAP) shares closed 1.4% lower than its previous 52 week low, giving the company a market cap of $9B. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and beats it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 300.5% The company's stock price performance over the past 12 months lags the peer average by 353.3% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -92.2% lower than the average peer. This story was produced by the Kwhen Automated News Generator.
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Advance Auto Parts Inc (AAP) shares closed 1.4% lower than its previous 52 week low, giving the company a market cap of $9B. This week, the Dow Jones Industrial Average rose 3.3%, and the S&P 500 rose 5.7%. Technical Indicators The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
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10863.0
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2022-11-16 00:00:00 UTC
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7 Meme Stocks That Are Actually Worth Betting On
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AAP
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https://www.nasdaq.com/articles/7-meme-stocks-that-are-actually-worth-betting-on
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nan
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nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
In 2021, meme stocks or investments that generated intense grassroots interest (typically via public internet forms) were all the rage. In 2022? Not so much. Throughout this year, shifting market and macroeconomic forces exposed many if not most memes as pure speculation. Usually, this translates to hot garbage. However, some high-risk wagers earned respect.
Whether it’s out of a directed and deliberate thesis or stemming from purely coincidental factors, the below meme stocks align with sensible fundamental and/or financial catalysts. Here, it’s helpful for all investors to avoid the genetic fallacy; that is, invalidating arguments or information solely based on their source of origin. Yes, I get it. Some proponents of meme stocks appear criminally unhinged. Unfortunately, whenever the topic of money is involved, emotions run high. Nevertheless, it’s no time to throw the baby out with the bath water.
So, if you’re ready to put some speculation funds to work, here are some meme stocks to consider.
TSM Taiwan Semiconductor $79.45
NVDA Nvidia $159.10
PYPL PayPal $87.04
AAP Advance Auto Parts $156.24
GM General Motors $38.47
CIA Citizens $3.40
EGO Eldorado Gold $6.91
Taiwan Semiconductor (TSM)
Source: Shutterstock
Billed as the most valuable semiconductor company and the world’s largest dedicated independent semiconductor foundry, Taiwan Semiconductor (NYSE:TSM) plays a major role in the global technology ecosystem. However, the coronavirus pandemic and the associated supply chain disruptions against the semiconductor industry devastated TSM. Shares slipped more than 37% on a year-to-date basis.
As well, tensions between China and Taiwan cloud the narrative for TSM, especially in light of Russia’s invasion of Ukraine. However, my guess is that because of the devastation to Russia’s economy, the Chinese won’t be brazen about Taiwan. Sure, they’ll engage in saber-rattling to get the west’s attention but it’d be more of a face-saving measure.
Moreover, Warren Buffett via Berkshire Hathaway (NYSE:BRK-B) just bet big on TSM, sending shares up 10.5% on Tuesday. I’ve been talking recently about Taiwan Semiconductor as the underlying company offers so much value for what you pay. Therefore, it’s easily one of the meme stocks to gamble on.
Nvidia (NVDA)
Source: Michael Vi / Shutterstock.com
One of the top producers of graphics processing units, Nvidia (NASDAQ:NVDA) enjoyed a meteoric rise throughout roughly the first two years of the new normal. When Covid-19 completely disrupted societal paradigms, entertainment trends shifted homeward, which bolstered gaming-related GPUs. Then, in 2021, you had the meteoric rise of cryptocurrencies. This too bolstered NVDA, making it one of the top meme stocks at the time.
Obviously, circumstances changed this year. With the Federal Reserve tightening the money supply through interest rate hikes, growth-driven enterprises took a sharp hit. Since the start of this year, NVDA dropped nearly 45% of its equity value. At the same time, in the trailing five days, shares gained almost 18%. And in the trailing month, they’re up a whopping 40%.
Honestly, I believe that Nvidia needs a little time. Yes, the loss of crypto-related revenue hurts badly. At the same time, though, the company offers relevancies in machine learning and other automation protocols. Also, Nvidia features excellent revenue and profitability metrics that rank among the industry’s upper echelons. Thus, it’s one of the smarter meme stocks to speculate on.
PayPal (PYPL)
Source: Michael Vi / Shutterstock.com
A popular financial technology (fintech) brand, PayPal (NASDAQ:PYPL) specializes in digital payment processing services along with business management applications. Whether as a consumer or an owner of a small business, PayPal brings plenty of relevancies to the table. However, a sharp rise in the competition didn’t really help PYPL’s cause.
Not only that, the monetary pivot from a dovish strategy at the Fed to a hawkish one doesn’t support entrepreneurial incentives. With borrowing costs rising, fewer people are willing to take risks. Unfortunately, PayPal really took a beating based on these macro headwinds. Since the beginning of this year, PYPL dropped nearly 54% of its equity value.
However, true to form as one of the meme stocks to consider, PYPL did pop up more than 12% in the trailing five days. While some of this enthusiasm may be traced to technical factors, they can also be tied to the fundamentals. With the gig economy projected to increase in scope significantly, PayPal could benefit from a rising tide.
Advance Auto Parts (AAP)
Source: Shutterstock
An automotive aftermarket parts provider, Advanced Auto Parts (NYSE:AAP) confirms that not all meme stocks represent wild speculative wagers. Frankly, AAP is rather boring. Don’t get me wrong – it’s a vital component of our economy due to its ties to mobility. However, you didn’t really find too many folks clamoring over this trade before the memes took over.
Still, despite its boring nature, AAP struggled throughout the year so far. Since the January opener, AAP dropped over 22% in equity value. Still, this idea (like other meme stocks) might just require some patience. In the trailing five days, shares gained 1.4%. Over the trailing month, they’re up over 8%.
In my opinion, AAP comes down to the fundamentals. According to the Wall Street Journal, the average age of vehicles on U.S. roadways hit a record 12.2 years. For many consumers, they’re apparently intent on holding onto their rides until the wheels fall off. Therefore, from a cynical perspective, AAP’s relevance makes it one of the meme stocks to consider.
General Motors (GM)
Source: Katherine Welles / Shutterstock.com
Admittedly, it’s an odd transition to move from Advance Auto Parts to automaker General Motors (NYSE:GM) given the aforementioned narrative. However, the other reality about maintaining a vehicle is that with the complexities involved in modern cars, constant repairs can make the entire process economically unfeasible. At some point, because cars on U.S. roadways are so old, they’re going to need full replacements.
Here, General Motors provides arguably the best balance, offering compelling combustion-based and electric-powered vehicles. For the latter, GM has begun to introduce electrified versions of popular marquee brands like the Hummer. That’s almost certainly going to appeal to well-off consumers that are looking for Tesla (NASDAQ:TSLA) alternatives.
On the other end of the scale, GM never abandoned its loyal fanbase of gearheads. With the introduction of the mid-engined eighth-generation Corvette, General Motors became exciting again. Honestly, I don’t see any other automaker matching the enthusiasm that GM places into its modern lineup. Therefore, it’s one of the meme stocks to put on your radar.
Citizens (CIA)
Source: Shutterstock
One of the lesser-known meme stocks, Citizens (NYSE:CIA) represents an insurance holding company. Unfortunately, it’s not one of the most stable, at least as far as market performance is concerned. Since the beginning of the year, CIA dropped 36% of its equity value. That’s not exactly what you want to see from what should be an extremely sedate market offering.
At the same time, CIA has been on an absolute tear recently. During the trailing five days, shares gained a meteoric 56.6%, blowing past many other meme stocks. To be fair, against the trailing month, the gains aren’t that impressive at less than 7% up. Nevertheless, with the grassroots enthusiasm, CIA could be a big deal on the forums. Certainly, its time-of-writing price tag of $3.46 will draw in gamblers. However, it’s not all speculation. Financially, Citizens features a stable balance sheet. Most notably, it has zero debt. What’s more, the company’s return on equity of 16.7% reflects a high-quality business.
Eldorado Gold (EGO)
Source: aerogondo2 / Shutterstock.com
Under normal circumstances involving higher interest rates, Eldorado Gold (NYSE:EGO) probably won’t make a case for a bullish investment. As a gold-mining firm, rising borrowing costs impose severe challenges for commodities. That’s because rising rates are deflationary in nature (i.e. tightening money supply). Nevertheless, EGO pings in as one of the more popular meme stocks.
Why would that be when the Fed appears committed to tackling inflation, not facilitating it? The bullish argument might center on the underlying fear trade of gold. Essentially, precious metals represent assets commanding universally recognized intrinsic value. With so many volatile events going around in the world, exposure to gold-related investments might not be such a bad idea. Another factor bolstering EGO’s inclusion as one of the mem stocks to consider is the financials. Against a longer-term backdrop, Eldorado enjoys a decent revenue growth rate. As well, its operating margin ranks among the top half of the industry. Finally, shares trade at 0.41 times book value, which is extremely undervalued relative to the mining industry.
On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare.
The post 7 Meme Stocks That Are Actually Worth Betting On appeared first on InvestorPlace.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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TSM Taiwan Semiconductor $79.45 NVDA Nvidia $159.10 PYPL PayPal $87.04 AAP Advance Auto Parts $156.24 GM General Motors $38.47 CIA Citizens $3.40 EGO Eldorado Gold $6.91 Taiwan Semiconductor (TSM) Source: Shutterstock Billed as the most valuable semiconductor company and the world’s largest dedicated independent semiconductor foundry, Taiwan Semiconductor (NYSE:TSM) plays a major role in the global technology ecosystem. Advance Auto Parts (AAP) Source: Shutterstock An automotive aftermarket parts provider, Advanced Auto Parts (NYSE:AAP) confirms that not all meme stocks represent wild speculative wagers. Frankly, AAP is rather boring.
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TSM Taiwan Semiconductor $79.45 NVDA Nvidia $159.10 PYPL PayPal $87.04 AAP Advance Auto Parts $156.24 GM General Motors $38.47 CIA Citizens $3.40 EGO Eldorado Gold $6.91 Taiwan Semiconductor (TSM) Source: Shutterstock Billed as the most valuable semiconductor company and the world’s largest dedicated independent semiconductor foundry, Taiwan Semiconductor (NYSE:TSM) plays a major role in the global technology ecosystem. Advance Auto Parts (AAP) Source: Shutterstock An automotive aftermarket parts provider, Advanced Auto Parts (NYSE:AAP) confirms that not all meme stocks represent wild speculative wagers. Frankly, AAP is rather boring.
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TSM Taiwan Semiconductor $79.45 NVDA Nvidia $159.10 PYPL PayPal $87.04 AAP Advance Auto Parts $156.24 GM General Motors $38.47 CIA Citizens $3.40 EGO Eldorado Gold $6.91 Taiwan Semiconductor (TSM) Source: Shutterstock Billed as the most valuable semiconductor company and the world’s largest dedicated independent semiconductor foundry, Taiwan Semiconductor (NYSE:TSM) plays a major role in the global technology ecosystem. Advance Auto Parts (AAP) Source: Shutterstock An automotive aftermarket parts provider, Advanced Auto Parts (NYSE:AAP) confirms that not all meme stocks represent wild speculative wagers. Frankly, AAP is rather boring.
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TSM Taiwan Semiconductor $79.45 NVDA Nvidia $159.10 PYPL PayPal $87.04 AAP Advance Auto Parts $156.24 GM General Motors $38.47 CIA Citizens $3.40 EGO Eldorado Gold $6.91 Taiwan Semiconductor (TSM) Source: Shutterstock Billed as the most valuable semiconductor company and the world’s largest dedicated independent semiconductor foundry, Taiwan Semiconductor (NYSE:TSM) plays a major role in the global technology ecosystem. Advance Auto Parts (AAP) Source: Shutterstock An automotive aftermarket parts provider, Advanced Auto Parts (NYSE:AAP) confirms that not all meme stocks represent wild speculative wagers. Frankly, AAP is rather boring.
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10864.0
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2022-11-16 00:00:00 UTC
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Consumer Sector Update for 11/16/2022: CCL,CUK,AAP,TGT,SRAD
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AAP
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https://www.nasdaq.com/articles/consumer-sector-update-for-11-16-2022%3A-cclcukaaptgtsrad
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nan
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nan
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Consumer stocks were ending broadly mixed on Wednesday, with the SPDR Consumer Staples Select Sector ETF (XLP) climbing 0.5% and the SPDR Consumer Discretionary Select Sector ETF (XLY) sinking 1.7%.
New data Wednesday showed US retail sales increased 1.3% during October, up from a flat reading the previous month after being flat the previous month. Excluding gasoline and auto sales, retail spending rose 0.9%, the Census Department said.
In company news, Carnival (CCL, CUK) dropped nearly 14% after the cruise ship chain overnight priced a $1 billion private offering of 5.75% convertible senior notes maturing in December 2027. The notes have an initial conversion price of $13.39 a share, or 20% above Tuesday's closing price.
Advance Auto Parts (AAP) tumbled more than 15% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. Excluding one-time items, it earned $2.84 per share, down from its $3.21 per share during the same quarter in 2021, while net sales grew 0.8% year-over-year to $2.64 billion. Analysts, on average, had been expecting $3.34 per share and $2.65 billion, respectively.
Target (TGT) fell over 13% after reporting a 49% drop in adjusted Q3 net income from year-ago levels, trailing analyst forecasts for the three months ended Oct. 29, and warned consumer behavior is "increasingly impacted by inflation, rising interest rates, and economic uncertainty." The retail chain also is guiding same-store sales for the current quarter slipping in the low single-percentage digits compared with the consensus view expecting 3.1% year-over-year growth.
Sportradar Group (SRAD) surged nearly 16% after the sports-betting data and streaming platform company reported Q3 net income of 12.8 million euros ($13.3 million) on 178.8 million euros in revenue, topping the Capital IQ consensus call expecting a 6.7 million euro profit on 170.7 million euros in revenue for the three months ended Sept. 30. It also raised its FY22 revenue forecast above analyst projections.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) tumbled more than 15% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. In company news, Carnival (CCL, CUK) dropped nearly 14% after the cruise ship chain overnight priced a $1 billion private offering of 5.75% convertible senior notes maturing in December 2027. Target (TGT) fell over 13% after reporting a 49% drop in adjusted Q3 net income from year-ago levels, trailing analyst forecasts for the three months ended Oct. 29, and warned consumer behavior is "increasingly impacted by inflation, rising interest rates, and economic uncertainty."
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Advance Auto Parts (AAP) tumbled more than 15% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. Consumer stocks were ending broadly mixed on Wednesday, with the SPDR Consumer Staples Select Sector ETF (XLP) climbing 0.5% and the SPDR Consumer Discretionary Select Sector ETF (XLY) sinking 1.7%. The retail chain also is guiding same-store sales for the current quarter slipping in the low single-percentage digits compared with the consensus view expecting 3.1% year-over-year growth.
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Advance Auto Parts (AAP) tumbled more than 15% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. Excluding one-time items, it earned $2.84 per share, down from its $3.21 per share during the same quarter in 2021, while net sales grew 0.8% year-over-year to $2.64 billion. Target (TGT) fell over 13% after reporting a 49% drop in adjusted Q3 net income from year-ago levels, trailing analyst forecasts for the three months ended Oct. 29, and warned consumer behavior is "increasingly impacted by inflation, rising interest rates, and economic uncertainty."
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Advance Auto Parts (AAP) tumbled more than 15% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. The notes have an initial conversion price of $13.39 a share, or 20% above Tuesday's closing price. Excluding one-time items, it earned $2.84 per share, down from its $3.21 per share during the same quarter in 2021, while net sales grew 0.8% year-over-year to $2.64 billion.
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10865.0
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2022-11-16 00:00:00 UTC
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Consumer Sector Update for 11/16/2022: AAP,TGT,SRAD
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AAP
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https://www.nasdaq.com/articles/consumer-sector-update-for-11-16-2022%3A-aaptgtsrad
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nan
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nan
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Consumer stocks were broadly mixed on Wednesday, with the SPDR Consumer Staples Select Sector ETF (XLP) climbing 0.5% and the SPDR Consumer Discretionary Select Sector ETF (XLY) sinking 1.0%.
New data Wednesday showed US retail sales increased 1.3% during October, up from a flat reading the previous month after being flat the previous month. Excluding gasoline and auto sales, retail spending rose 0.9%, the Census Department said.
In company news, Advance Auto Parts (AAP) tumbled more than 16% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. Excluding one-time items, it earned $2.84 per share, down from its $3.21 per share during the same quarter in 2021, while net sales grew 0.8% year-over-year to $2.64 billion. Analysts, on average, had been expecting $3.34 per share and $2.65 billion, respectively.
Target (TGT) fell over 12% after reporting a 49% drop in adjusted Q3 net income from year-ago levels, trailing analyst forecasts for the three months ended Oct. 29, and warned consumer behavior is "increasingly impacted by inflation, rising interest rates and economic uncertainty." The retail chain also is guiding same-store sales for the current quarter slipping in the low single-percentage digits compared with the consensus view expecting 3.1% year-over-year growth.
Sportradar Group (SRAD) surged more than 16% after the sports-betting data and streaming platform company reported Q3 net income of 12.8 million euros ($13.3 million) on 178.8 million euros in revenue, topping the Capital IQ consensus call expecting a 6.7 million euro profit on 170.7 million euros in revenue for the three months ended Sept. 30. It also raised its FY22 revenue forecast above analyst projections.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In company news, Advance Auto Parts (AAP) tumbled more than 16% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. Target (TGT) fell over 12% after reporting a 49% drop in adjusted Q3 net income from year-ago levels, trailing analyst forecasts for the three months ended Oct. 29, and warned consumer behavior is "increasingly impacted by inflation, rising interest rates and economic uncertainty." The retail chain also is guiding same-store sales for the current quarter slipping in the low single-percentage digits compared with the consensus view expecting 3.1% year-over-year growth.
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In company news, Advance Auto Parts (AAP) tumbled more than 16% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. Consumer stocks were broadly mixed on Wednesday, with the SPDR Consumer Staples Select Sector ETF (XLP) climbing 0.5% and the SPDR Consumer Discretionary Select Sector ETF (XLY) sinking 1.0%. The retail chain also is guiding same-store sales for the current quarter slipping in the low single-percentage digits compared with the consensus view expecting 3.1% year-over-year growth.
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In company news, Advance Auto Parts (AAP) tumbled more than 16% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. Target (TGT) fell over 12% after reporting a 49% drop in adjusted Q3 net income from year-ago levels, trailing analyst forecasts for the three months ended Oct. 29, and warned consumer behavior is "increasingly impacted by inflation, rising interest rates and economic uncertainty." Sportradar Group (SRAD) surged more than 16% after the sports-betting data and streaming platform company reported Q3 net income of 12.8 million euros ($13.3 million) on 178.8 million euros in revenue, topping the Capital IQ consensus call expecting a 6.7 million euro profit on 170.7 million euros in revenue for the three months ended Sept. 30.
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In company news, Advance Auto Parts (AAP) tumbled more than 16% after the retailer overnight missed Wall Street expectations with its Q3 results and it also lowered its forecast for non-GAAP FY22 earnings below analyst estimates. Consumer stocks were broadly mixed on Wednesday, with the SPDR Consumer Staples Select Sector ETF (XLP) climbing 0.5% and the SPDR Consumer Discretionary Select Sector ETF (XLY) sinking 1.0%. New data Wednesday showed US retail sales increased 1.3% during October, up from a flat reading the previous month after being flat the previous month.
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10866.0
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2022-11-16 00:00:00 UTC
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2 Surprising Movers in the Stock Market Today
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AAP
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https://www.nasdaq.com/articles/2-surprising-movers-in-the-stock-market-today
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nan
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nan
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Trading on Wall Street got off to a quiet start on Wednesday, with investors generally taking a pause after extremely high volatility levels over the past several weeks. Most major market indexes eased lower, giving back small portions of their recent gains.
However, even with earnings season winding down, a few noteworthy companies delivered some surprises to their shareholders. The news from Advance Auto Parts (NYSE: AAP) wasn't good, with weak results for the third quarter and an earnings guidance cut for the full year. When it came to eye-care specialist Alcon (NYSE: ALC), however, shareholders generally liked what they saw. Read on to learn more about what both companies had to say on Wednesday.
Breaking down
Shares of Advance Auto Parts were down by 15% early Wednesday. Investors reacted negatively to the auto parts retailer's latest financial report, which showed unexpected weakness and suggested a tougher road ahead for the company.
The numbers weren't exciting. Advance Auto Parts' revenue growth slowed to 0.8% year over year, with sales clocking in at $2.6 billion. Comparable-store sales actually declined, falling 0.7%, and adjusted earnings of $2.84 per share fell well short of what most investors had anticipated and were down 11.5% from year-ago levels.
Management made several observations that caught investors' eyes. First, the auto parts retailer blamed some of the pressure on sales on increased purchases of its store-brand products, which sell at lower prices than the national brands it carries. In addition, the company maintained its 2022 sales guidance, projecting $11 billion to $11.2 billion in total revenue and comparable-store sales coming in flat to down 1%.
However, the company did cut its full-year earnings per share guidance range by $0.15 to $0.45. Its new projection is for adjusted earnings of $12.60 per share to $12.80 per share. It appears many shareholders were focused on that guidance cut and the quarter's sluggish results Wednesday morning.
Investors, it seems, are coming to realize that even some of the companies that have appeared resilient during this year's bear market are still vulnerable to changing economic conditions.
Seeing more clearly
Meanwhile, shares of Alcon picked up more than 8%. The specialist in ocular surgical supplies and vision care products announced solid performance figures for the third quarter, affirming the upbeat sentiments that investors have had about the state of the healthcare sector throughout most of 2022.
Alcon overcame tough macroeconomic conditions to post reasonably good Q3 results. Sales climbed by about 2% year over year to $2.12 billion, with particular strength in surgical equipment, implantable products, and consumables. Top-line growth would have been much higher had it not been for the strong U.S. dollar, which cost Alcon about 7 percentage points of year-over-year revenue gains. Indeed, foreign currency headwinds were strong enough to turn what would have been modest single-digit percentage sales gains for Alcon's contact lens and ocular health products into small declines from year-ago levels.
The hit on Alcon's bottom line from currency exchange impacts was even stronger. Its core earnings of $0.50 per share were down 7% in U.S. dollar terms, but would have been up 14% if measured on a constant-currency basis.
Investors weren't disturbed by management's modest reductions in full-year guidance, which included a $100 million cut in sales projections to a new range of $8.5 billion to $8.7 billion. That was largely because the company also said its constant-currency metrics would likely come in at the top end of its previous guidance ranges. With signs that the dollar's unusual strength is waning and Alcon's pending acquisition of Aerie Pharmaceuticals, shareholders hope that this healthcare company's fundamental strengths will shine through in the fourth quarter and beyond.
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Dan Caplinger has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The news from Advance Auto Parts (NYSE: AAP) wasn't good, with weak results for the third quarter and an earnings guidance cut for the full year. Investors reacted negatively to the auto parts retailer's latest financial report, which showed unexpected weakness and suggested a tougher road ahead for the company. The specialist in ocular surgical supplies and vision care products announced solid performance figures for the third quarter, affirming the upbeat sentiments that investors have had about the state of the healthcare sector throughout most of 2022.
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The news from Advance Auto Parts (NYSE: AAP) wasn't good, with weak results for the third quarter and an earnings guidance cut for the full year. In addition, the company maintained its 2022 sales guidance, projecting $11 billion to $11.2 billion in total revenue and comparable-store sales coming in flat to down 1%. Indeed, foreign currency headwinds were strong enough to turn what would have been modest single-digit percentage sales gains for Alcon's contact lens and ocular health products into small declines from year-ago levels.
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The news from Advance Auto Parts (NYSE: AAP) wasn't good, with weak results for the third quarter and an earnings guidance cut for the full year. In addition, the company maintained its 2022 sales guidance, projecting $11 billion to $11.2 billion in total revenue and comparable-store sales coming in flat to down 1%. Investors weren't disturbed by management's modest reductions in full-year guidance, which included a $100 million cut in sales projections to a new range of $8.5 billion to $8.7 billion.
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The news from Advance Auto Parts (NYSE: AAP) wasn't good, with weak results for the third quarter and an earnings guidance cut for the full year. However, the company did cut its full-year earnings per share guidance range by $0.15 to $0.45. Sales climbed by about 2% year over year to $2.12 billion, with particular strength in surgical equipment, implantable products, and consumables.
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10867.0
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2022-11-16 00:00:00 UTC
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S&P 500 Movers: TGT, DFS
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AAP
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https://www.nasdaq.com/articles/sp-500-movers%3A-tgt-dfs
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nan
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nan
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In early trading on Wednesday, shares of Discover Financial Services topped the list of the day's best performing components of the S&P 500 index, trading up 4.7%. Year to date, Discover Financial Services has lost about 6.1% of its value.
And the worst performing S&P 500 component thus far on the day is Target, trading down 15.1%. Target is lower by about 34.3% looking at the year to date performance.
Two other components making moves today are Advance Auto Parts, trading down 15.1%, and Lowe's Companies, trading up 4.0% on the day.
VIDEO: S&P 500 Movers: TGT, DFS
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In early trading on Wednesday, shares of Discover Financial Services topped the list of the day's best performing components of the S&P 500 index, trading up 4.7%. Year to date, Discover Financial Services has lost about 6.1% of its value. And the worst performing S&P 500 component thus far on the day is Target, trading down 15.1%.
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In early trading on Wednesday, shares of Discover Financial Services topped the list of the day's best performing components of the S&P 500 index, trading up 4.7%. Year to date, Discover Financial Services has lost about 6.1% of its value. And the worst performing S&P 500 component thus far on the day is Target, trading down 15.1%.
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In early trading on Wednesday, shares of Discover Financial Services topped the list of the day's best performing components of the S&P 500 index, trading up 4.7%. Two other components making moves today are Advance Auto Parts, trading down 15.1%, and Lowe's Companies, trading up 4.0% on the day. VIDEO: S&P 500 Movers: TGT, DFS The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Year to date, Discover Financial Services has lost about 6.1% of its value. And the worst performing S&P 500 component thus far on the day is Target, trading down 15.1%. VIDEO: S&P 500 Movers: TGT, DFS The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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10868.0
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2022-11-16 00:00:00 UTC
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US STOCKS-Wall St set to open lower on grim sales outlook from Target
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AAP
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https://www.nasdaq.com/articles/us-stocks-wall-st-set-to-open-lower-on-grim-sales-outlook-from-target
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nan
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nan
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By Amruta Khandekar and Ankika Biswas
Nov 16 (Reuters) - U.S. stock indexes were set to open lower on Wednesday after top retailer Target's dour holiday forecast stoked fears of inflation hurting a crucial business season for retailers.
Target Corp TGT.N fell 15.6% in premarket trading, and dragged along with it shares of other big U.S. retailers such as Walmart Inc WMT.N, Macy's Inc M.N and Costco Wholesale Corp COST.O. They were down between 0.9% and 1.8%.
"Overall, it's showing that there's some weakness in the economy with the consumer. We are a consumption-based economy, so you never want to see that," said Thomas Hayes, managing member at Great Hill Capital LLC in New York.
Despite the sales warning from Target, latest data on U.S. retail sales suggested that consumer spending remained stable and could help to underpin the economy in the fourth quarter.
The data showed retail sales rose 1.3% last month after remaining flat in September. Economists polled by Reuters had forecast sales accelerating 1%.
"When you see a beat like this, it suggests that the Fed might interpret it as they need to do more as far as rate hikes, perhaps going a bit higher than what we had originally penciled in," said Brian Jacobsen, senior investment strategist at Allspring Global Investments.
The data and earnings reports come on the heels of upbeat quarterly results from Walmart Inc WMT.N on Tuesday that had added to market optimism driven by a softer-than-expected producer prices report.
All the three main indexes ended higher in the previous session on hopes that the improved inflation outlook would allow the U.S. Federal Reserve to take a less aggressive approach on interest rate hikes, overshadowing geopolitical worries.
At 8:58 a.m. ET, Dow e-minis 1YMcv1 were down 57 points, or 0.17%, S&P 500 e-minis EScv1 were down 14.25 points, or 0.36%, and Nasdaq 100 e-minis NQcv1 were down 71 points, or 0.6%.
Home improvement retailer Lowe's Companies Inc LOW.N jumped 1.8% after increasing its annual profit forecast on steady demand.
Auto parts retailer Advance Auto Parts Inc AAP.Nslumped 15.6% after lowering its earnings-per-share forecast.
(Reporting by Bansari Mayur Kamdar, Ankika Biswas and Amruta Khandekar in Bengaluru; Editing by Shounak Dasgupta and Arun Koyyur)
((BansariMayur.Kamdar@thomsonreuters.com; Twitter: @BansariKamdar))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Auto parts retailer Advance Auto Parts Inc AAP.Nslumped 15.6% after lowering its earnings-per-share forecast. We are a consumption-based economy, so you never want to see that," said Thomas Hayes, managing member at Great Hill Capital LLC in New York. All the three main indexes ended higher in the previous session on hopes that the improved inflation outlook would allow the U.S. Federal Reserve to take a less aggressive approach on interest rate hikes, overshadowing geopolitical worries.
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Auto parts retailer Advance Auto Parts Inc AAP.Nslumped 15.6% after lowering its earnings-per-share forecast. By Amruta Khandekar and Ankika Biswas Nov 16 (Reuters) - U.S. stock indexes were set to open lower on Wednesday after top retailer Target's dour holiday forecast stoked fears of inflation hurting a crucial business season for retailers. Despite the sales warning from Target, latest data on U.S. retail sales suggested that consumer spending remained stable and could help to underpin the economy in the fourth quarter.
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Auto parts retailer Advance Auto Parts Inc AAP.Nslumped 15.6% after lowering its earnings-per-share forecast. By Amruta Khandekar and Ankika Biswas Nov 16 (Reuters) - U.S. stock indexes were set to open lower on Wednesday after top retailer Target's dour holiday forecast stoked fears of inflation hurting a crucial business season for retailers. Despite the sales warning from Target, latest data on U.S. retail sales suggested that consumer spending remained stable and could help to underpin the economy in the fourth quarter.
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Auto parts retailer Advance Auto Parts Inc AAP.Nslumped 15.6% after lowering its earnings-per-share forecast. By Amruta Khandekar and Ankika Biswas Nov 16 (Reuters) - U.S. stock indexes were set to open lower on Wednesday after top retailer Target's dour holiday forecast stoked fears of inflation hurting a crucial business season for retailers. Target Corp TGT.N fell 15.6% in premarket trading, and dragged along with it shares of other big U.S. retailers such as Walmart Inc WMT.N, Macy's Inc M.N and Costco Wholesale Corp COST.O.
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10869.0
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2022-11-16 00:00:00 UTC
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Advance Auto (AAP) Q3 Earnings Miss, FCF & Profit View Cut
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AAP
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https://www.nasdaq.com/articles/advance-auto-aap-q3-earnings-miss-fcf-profit-view-cut
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nan
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nan
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Advance Auto Parts, Inc. AAP reported adjusted earnings of $2.84 per share for third-quarter 2022 (ended Oct 8, 2022), down 11.5% from the year-ago quarter figure. The reported figure also missed the Zacks Consensus Estimate of $3.32 a share. Advance Auto generated net revenues of $2,641.3 million, falling short of the Zacks Consensus Estimate of $2,652 million and inching down 0.8% from the year-ago reported figure.
Comparable same-store declined 0.7%. Adjusted operating income was down 5.8% year over year to $258 million. Adjusted SG&A expenses totaled $989.3 million for third-quarter 2022, up 5.4% year over year.
Advance Auto Parts currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Financial Position
Advance Auto had cash and cash equivalents of $191.2 million as of Oct 8, 2022 compared with $601.4 million on Jan 1, 2022. Total long-term debt was $1,187.9 million as of Oct 8, 2022, up from $1,034.3 million on Jan 1, 2022. Year to date, net cash provided by operating activities and FCF totaled $483.1 million $149.5 million, respectively.
Dividend & Share Repurchase
AAP’s board declared a cash dividend of $1.50 a share, which would be paid out on Jan 3, 2023 to all common shareholders of record as of Dec 16, 2022.
During the quarter under discussion, AAP repurchased around 0.4 million shares for $75 million at an average price of $168.93 per share. At the end of third-quarter 2022, AAP had $ 1 billion remaining under its share repurchase program.
Store Update
As of Oct 8, 2022, AAP operated 4,747 stores and 313 Worldpac branches in the United States, Canada, Puerto Rico, and U.S. Virgin Islands. It also served 1,335 independently-owned Carquest-branded stores across these locations, in addition to Mexico and various Caribbean Islands.
2022 Guidance
Advance Auto estimates 2022 net sales in the band of $11-$11.2 billion. Comparable store sales are now envisioned to decline up to 1% as against the prior forecast of 1-3% growth. Adjusted operating income margin is envisioned in the range of 9.8-10%. Advance Auto expects 2022 capex to be a minimum of $350 million. The company now targets an FCF of a minimum of $300 million, down from $700 million estimated earlier. Adjusted EPS is now forecast between $12.60 and $12.80, down from the previously guided range of $12.75-$13.25. The auto parts retailer now intends to buy back a maximum of $600 million worth of shares in 2022. It aims to open 125-150 new stores this year.
How Did Peer ORLY Fare in Q3?
Advance Auto’s close peer O’Reilly Automotive ORLY reported second-quarter 2022 adjusted earnings per share of $9.17, beating the Zacks Consensus Estimate of $8.46. Higher-than-expected comps growth resulted in the outperformance. Comps grew 7.6% in the reported quarter and topped the Zacks Consensus Estimate of 4.79%. The bottom line increased 13.6% from $8.07 in the prior-year quarter. The automotive parts retailer registered quarterly revenues of $3,799.6 million, crossing the consensus mark of $3,713 million. The top line was 9% higher than the prior-year figure of $3,479.5 million.
For 2022, ORLY’s estimates have been revised. Total revenues are now expected within the range of $14.1-$14.3 billion compared with the prior guidance of $14-$14.3 billion. Earnings per share are pegged within $32.35-$32.85, up from $31.25-$31.75 estimated earlier. The forecast for comparable store sales growth has been brought up to the range of 4.5-5.5% from the previous band of 3-5%. Free cash flow projection has also been increased to the band of $1.8-$2.1 billion from the prior range of $1.3-$1.6 billion.
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O'Reilly Automotive, Inc. (ORLY): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts, Inc. AAP reported adjusted earnings of $2.84 per share for third-quarter 2022 (ended Oct 8, 2022), down 11.5% from the year-ago quarter figure. Dividend & Share Repurchase AAP’s board declared a cash dividend of $1.50 a share, which would be paid out on Jan 3, 2023 to all common shareholders of record as of Dec 16, 2022. During the quarter under discussion, AAP repurchased around 0.4 million shares for $75 million at an average price of $168.93 per share.
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Advance Auto Parts, Inc. AAP reported adjusted earnings of $2.84 per share for third-quarter 2022 (ended Oct 8, 2022), down 11.5% from the year-ago quarter figure. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Dividend & Share Repurchase AAP’s board declared a cash dividend of $1.50 a share, which would be paid out on Jan 3, 2023 to all common shareholders of record as of Dec 16, 2022.
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Advance Auto Parts, Inc. AAP reported adjusted earnings of $2.84 per share for third-quarter 2022 (ended Oct 8, 2022), down 11.5% from the year-ago quarter figure. Dividend & Share Repurchase AAP’s board declared a cash dividend of $1.50 a share, which would be paid out on Jan 3, 2023 to all common shareholders of record as of Dec 16, 2022. During the quarter under discussion, AAP repurchased around 0.4 million shares for $75 million at an average price of $168.93 per share.
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Advance Auto Parts, Inc. AAP reported adjusted earnings of $2.84 per share for third-quarter 2022 (ended Oct 8, 2022), down 11.5% from the year-ago quarter figure. Dividend & Share Repurchase AAP’s board declared a cash dividend of $1.50 a share, which would be paid out on Jan 3, 2023 to all common shareholders of record as of Dec 16, 2022. During the quarter under discussion, AAP repurchased around 0.4 million shares for $75 million at an average price of $168.93 per share.
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10870.0
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2022-11-16 00:00:00 UTC
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US STOCKS-Futures flat after grim Target forecast, retail sales data awaited
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AAP
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https://www.nasdaq.com/articles/us-stocks-futures-flat-after-grim-target-forecast-retail-sales-data-awaited
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By Bansari Mayur Kamdar and Ankika Biswas
Nov 16 (Reuters) - U.S. stock index futures were flat on Wednesday after retailer Target gave a downbeat holiday-quarter forecast, while investors also assessed the latest developments following reports on Tuesday of a missile landing in Polish territory near Ukraine.
Target Corp TGT.N forecast a surprise drop in holiday-quarter sales due to surging inflation, sending its shares down 13.8% in premarket trading.
The dour outlook knocked down shares of other big U.S. retailers such as Walmart Inc WMT.N, Macy's Inc M.N and Costco Wholesale Corp COST.O between 1% and 4%.
"Overall, it's showing that there's some weakness in the economy with the consumer. We are a consumption-based economy, so you never want to see that," said Thomas Hayes, managing member at Great Hill Capital LLC in New York.
Bucking the trend, home improvement retailer Lowe's Companies Inc LOW.N jumped 2.4% after increasing its annual profit forecast on steady demand.
"It's a mixed picture, but at the same time, you get the idea that things are in the process of slowing. It will lower expectations for other retailers," said Hugh Johnson, chief economist of Hugh Johnson Economics in Albany, New York.
The earnings reports come on the heels of upbeat quarterly results from Walmart Inc WMT.N on Tuesday that had added to market optimism driven by a softer-than-expected producer prices report.
All the three main indexes ended higher on Tuesday on hopes that the improved inflation outlook would allow the U.S. Federal Reserve to take a less aggressive approach on interest rate hikes, though geopolitical worries kept investors on edge.
A missile that hit Poland was probably a stray fired by Ukraine's air defenses and not a Russian strike, Poland and NATO said on Wednesday, easing global concern that the conflict in Ukraine could spill across the border.
Key retail sales figures due at 8:30 a.m. ET will be parsed for further clues on the impact to consumers' purchasing power from soaring prices. The data is expected to show retail sales increased 1% in October after remaining flat in September.
At 7:34 a.m. ET, Dow e-minis 1YMcv1 were up 8 points, or 0.02%, S&P 500 e-minis EScv1 were up 1.25 points, or 0.03%, and Nasdaq 100 e-minis NQcv1 were down 0.75 points, or 0.01%.
Among other stocks, Peloton Interactive Inc PTON.O gained 0.5% as the exercise equipment maker is set to start selling its exercise bike and other fitness accessories on e-commerce giant Amazon.com Inc's AMZN.O UK store.
Auto parts retailer Advance Auto Parts Inc AAP.N fell 14.4% after lowering its earnings-per-share forecast.
(Reporting by Bansari Mayur Kamdar, Ankika Biswas and Amruta Khandekar in Bengaluru; Editing by Shounak Dasgupta)
((BansariMayur.Kamdar@thomsonreuters.com; Twitter: @BansariKamdar))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Auto parts retailer Advance Auto Parts Inc AAP.N fell 14.4% after lowering its earnings-per-share forecast. By Bansari Mayur Kamdar and Ankika Biswas Nov 16 (Reuters) - U.S. stock index futures were flat on Wednesday after retailer Target gave a downbeat holiday-quarter forecast, while investors also assessed the latest developments following reports on Tuesday of a missile landing in Polish territory near Ukraine. Bucking the trend, home improvement retailer Lowe's Companies Inc LOW.N jumped 2.4% after increasing its annual profit forecast on steady demand.
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Auto parts retailer Advance Auto Parts Inc AAP.N fell 14.4% after lowering its earnings-per-share forecast. By Bansari Mayur Kamdar and Ankika Biswas Nov 16 (Reuters) - U.S. stock index futures were flat on Wednesday after retailer Target gave a downbeat holiday-quarter forecast, while investors also assessed the latest developments following reports on Tuesday of a missile landing in Polish territory near Ukraine. The data is expected to show retail sales increased 1% in October after remaining flat in September.
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Auto parts retailer Advance Auto Parts Inc AAP.N fell 14.4% after lowering its earnings-per-share forecast. By Bansari Mayur Kamdar and Ankika Biswas Nov 16 (Reuters) - U.S. stock index futures were flat on Wednesday after retailer Target gave a downbeat holiday-quarter forecast, while investors also assessed the latest developments following reports on Tuesday of a missile landing in Polish territory near Ukraine. It will lower expectations for other retailers," said Hugh Johnson, chief economist of Hugh Johnson Economics in Albany, New York.
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Auto parts retailer Advance Auto Parts Inc AAP.N fell 14.4% after lowering its earnings-per-share forecast. By Bansari Mayur Kamdar and Ankika Biswas Nov 16 (Reuters) - U.S. stock index futures were flat on Wednesday after retailer Target gave a downbeat holiday-quarter forecast, while investors also assessed the latest developments following reports on Tuesday of a missile landing in Polish territory near Ukraine. Target Corp TGT.N forecast a surprise drop in holiday-quarter sales due to surging inflation, sending its shares down 13.8% in premarket trading.
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10871.0
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2022-11-16 00:00:00 UTC
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Pre-market Movers: WVE, TTCF, AAP, CCL, CUK…
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AAP
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https://www.nasdaq.com/articles/pre-market-movers%3A-wve-ttcf-aap-ccl-cuk...
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(RTTNews) - The following are some of the stocks making big moves in Wednesday's pre-market trading (as of 06.50 A.M. ET).
In the Green
Wave Life Sciences Ltd. (WVE) is up over 15% at $3.67 AGBA Acquisition Limited (AGBA) is up over 9% at $5.48 Cementos Pacasmayo S.A.A. (CPAC) is up over 6% at $5.75 FS Credit Opportunities Corp. (FSCO) is up over 6% at $4.58
In the Red
Tattooed Chef, Inc. (TTCF) is down over 15% at $2.82 Advance Auto Parts, Inc. (AAP) is down over 14% at $157.00 Carnival Corporation & plc (CCL) is down over 13% at $9.70 Carnival Corporation & plc (CUK) is down over 12% at $8.77 Lulu's Fashion Lounge Holdings, Inc. (LVLU) is down over 12% at $5.50 ShiftPixy, Inc. (PIXY) is down over 9% at $18.50 Ferroglobe PLC (GSM) is down over 9% at $5.44 Acrivon Therapeutics, Inc. Common Stock (ACRV) is down over 7% at $15.35 NovaBay Pharmaceuticals, Inc. (NBY) is down over 7% at $2.78 Ginkgo Bioworks Holdings, Inc. (DNA) is down over 7% at $2.48 Bakkt Holdings, Inc. (BKKT) is down over 6% at $2.03
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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(CPAC) is up over 6% at $5.75 FS Credit Opportunities Corp. (FSCO) is up over 6% at $4.58 In the Red Tattooed Chef, Inc. (TTCF) is down over 15% at $2.82 Advance Auto Parts, Inc. (AAP) is down over 14% at $157.00 Carnival Corporation & plc (CCL) is down over 13% at $9.70 Carnival Corporation & plc (CUK) is down over 12% at $8.77 Lulu's Fashion Lounge Holdings, Inc. (LVLU) is down over 12% at $5.50 ShiftPixy, Inc. (PIXY) is down over 9% at $18.50 Ferroglobe PLC (GSM) is down over 9% at $5.44 Acrivon Therapeutics, Inc. Common Stock (ACRV) is down over 7% at $15.35 NovaBay Pharmaceuticals, Inc. (NBY) is down over 7% at $2.78 Ginkgo Bioworks Holdings, Inc. (DNA) is down over 7% at $2.48 Bakkt Holdings, Inc. (BKKT) is down over 6% at $2.03 The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. (RTTNews) - The following are some of the stocks making big moves in Wednesday's pre-market trading (as of 06.50 A.M. In the Green Wave Life Sciences Ltd. (WVE) is up over 15% at $3.67 AGBA Acquisition Limited (AGBA) is up over 9% at $5.48 Cementos Pacasmayo S.A.A.
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(CPAC) is up over 6% at $5.75 FS Credit Opportunities Corp. (FSCO) is up over 6% at $4.58 In the Red Tattooed Chef, Inc. (TTCF) is down over 15% at $2.82 Advance Auto Parts, Inc. (AAP) is down over 14% at $157.00 Carnival Corporation & plc (CCL) is down over 13% at $9.70 Carnival Corporation & plc (CUK) is down over 12% at $8.77 Lulu's Fashion Lounge Holdings, Inc. (LVLU) is down over 12% at $5.50 ShiftPixy, Inc. (PIXY) is down over 9% at $18.50 Ferroglobe PLC (GSM) is down over 9% at $5.44 Acrivon Therapeutics, Inc. Common Stock (ACRV) is down over 7% at $15.35 NovaBay Pharmaceuticals, Inc. (NBY) is down over 7% at $2.78 Ginkgo Bioworks Holdings, Inc. (DNA) is down over 7% at $2.48 Bakkt Holdings, Inc. (BKKT) is down over 6% at $2.03 The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. (RTTNews) - The following are some of the stocks making big moves in Wednesday's pre-market trading (as of 06.50 A.M. In the Green Wave Life Sciences Ltd. (WVE) is up over 15% at $3.67 AGBA Acquisition Limited (AGBA) is up over 9% at $5.48 Cementos Pacasmayo S.A.A.
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(CPAC) is up over 6% at $5.75 FS Credit Opportunities Corp. (FSCO) is up over 6% at $4.58 In the Red Tattooed Chef, Inc. (TTCF) is down over 15% at $2.82 Advance Auto Parts, Inc. (AAP) is down over 14% at $157.00 Carnival Corporation & plc (CCL) is down over 13% at $9.70 Carnival Corporation & plc (CUK) is down over 12% at $8.77 Lulu's Fashion Lounge Holdings, Inc. (LVLU) is down over 12% at $5.50 ShiftPixy, Inc. (PIXY) is down over 9% at $18.50 Ferroglobe PLC (GSM) is down over 9% at $5.44 Acrivon Therapeutics, Inc. Common Stock (ACRV) is down over 7% at $15.35 NovaBay Pharmaceuticals, Inc. (NBY) is down over 7% at $2.78 Ginkgo Bioworks Holdings, Inc. (DNA) is down over 7% at $2.48 Bakkt Holdings, Inc. (BKKT) is down over 6% at $2.03 The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. (RTTNews) - The following are some of the stocks making big moves in Wednesday's pre-market trading (as of 06.50 A.M. In the Green Wave Life Sciences Ltd. (WVE) is up over 15% at $3.67 AGBA Acquisition Limited (AGBA) is up over 9% at $5.48 Cementos Pacasmayo S.A.A.
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(CPAC) is up over 6% at $5.75 FS Credit Opportunities Corp. (FSCO) is up over 6% at $4.58 In the Red Tattooed Chef, Inc. (TTCF) is down over 15% at $2.82 Advance Auto Parts, Inc. (AAP) is down over 14% at $157.00 Carnival Corporation & plc (CCL) is down over 13% at $9.70 Carnival Corporation & plc (CUK) is down over 12% at $8.77 Lulu's Fashion Lounge Holdings, Inc. (LVLU) is down over 12% at $5.50 ShiftPixy, Inc. (PIXY) is down over 9% at $18.50 Ferroglobe PLC (GSM) is down over 9% at $5.44 Acrivon Therapeutics, Inc. Common Stock (ACRV) is down over 7% at $15.35 NovaBay Pharmaceuticals, Inc. (NBY) is down over 7% at $2.78 Ginkgo Bioworks Holdings, Inc. (DNA) is down over 7% at $2.48 Bakkt Holdings, Inc. (BKKT) is down over 6% at $2.03 The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. (RTTNews) - The following are some of the stocks making big moves in Wednesday's pre-market trading (as of 06.50 A.M. In the Green Wave Life Sciences Ltd. (WVE) is up over 15% at $3.67 AGBA Acquisition Limited (AGBA) is up over 9% at $5.48 Cementos Pacasmayo S.A.A.
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10872.0
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2022-11-15 00:00:00 UTC
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Advance Auto Parts (AAP) Misses Q3 Earnings and Revenue Estimates
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-misses-q3-earnings-and-revenue-estimates
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Advance Auto Parts (AAP) came out with quarterly earnings of $2.84 per share, missing the Zacks Consensus Estimate of $3.32 per share. This compares to earnings of $3.21 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of -14.46%. A quarter ago, it was expected that this auto parts retailer would post earnings of $3.74 per share when it actually produced earnings of $3.74, delivering no surprise.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
Advance Auto Parts, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $2.64 billion for the quarter ended September 2022, missing the Zacks Consensus Estimate by 0.55%. This compares to year-ago revenues of $2.62 billion. The company has topped consensus revenue estimates just once over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
Advance Auto Parts shares have lost about 23.4% since the beginning of the year versus the S&P 500's decline of -17%.
What's Next for Advance Auto Parts?
While Advance Auto Parts has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for Advance Auto Parts: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $2.38 on $2.43 billion in revenues for the coming quarter and $12.98 on $11.12 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Retail and Wholesale - Parts is currently in the bottom 32% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
One other stock from the same industry, AutoZone (AZO), is yet to report results for the quarter ended November 2022.
This auto parts retailer is expected to post quarterly earnings of $24.82 per share in its upcoming report, which represents a year-over-year change of -3.4%. The consensus EPS estimate for the quarter has been revised 1.6% lower over the last 30 days to the current level.
AutoZone's revenues are expected to be $3.82 billion, up 4.2% from the year-ago quarter.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AutoZone, Inc. (AZO): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) came out with quarterly earnings of $2.84 per share, missing the Zacks Consensus Estimate of $3.32 per share. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts (AAP) came out with quarterly earnings of $2.84 per share, missing the Zacks Consensus Estimate of $3.32 per share. Advance Auto Parts, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $2.64 billion for the quarter ended September 2022, missing the Zacks Consensus Estimate by 0.55%.
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Advance Auto Parts (AAP) came out with quarterly earnings of $2.84 per share, missing the Zacks Consensus Estimate of $3.32 per share. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $2.64 billion for the quarter ended September 2022, missing the Zacks Consensus Estimate by 0.55%.
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Advance Auto Parts (AAP) came out with quarterly earnings of $2.84 per share, missing the Zacks Consensus Estimate of $3.32 per share. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $2.64 billion for the quarter ended September 2022, missing the Zacks Consensus Estimate by 0.55%.
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10873.0
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2022-11-15 00:00:00 UTC
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After-Hours Earnings Report for November 15, 2022 : AAP, RNW, GSM, NVGS, VREX, SMWB, IBEX, LVLU, ATRO, AREC, QUIK, ATTO
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AAP
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https://www.nasdaq.com/articles/after-hours-earnings-report-for-november-15-2022-%3A-aap-rnw-gsm-nvgs-vrex-smwb-ibex-lvlu
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The following companies are expected to report earnings after hours on 11/15/2022. Visit our Earnings Calendar for a full list of expected earnings releases.
Advance Auto Parts Inc. (AAP)is reporting for the quarter ending September 30, 2022. The wholesale retail company's consensus earnings per share forecast from the 10 analysts that follow the stock is $3.31. This value represents a 3.12% increase compared to the same quarter last year. In the past year AAP has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 14.16 vs. an industry ratio of 7.70, implying that they will have a higher earnings growth than their competitors in the same industry.
ReNew Energy Global plc (RNW)is reporting for the quarter ending September 30, 2022. The alternative energy company's consensus earnings per share forecast from the 1 analyst that follows the stock is $0.07. This value represents a 16.67% increase compared to the same quarter last year. The last two quarters RNW had negative earnings surprises; the latest report they missed by -100%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for RNW is -71.11 vs. an industry ratio of 10.40.
Ferroglobe PLC (GSM)is reporting for the quarter ending September 30, 2022. The mining company's consensus earnings per share forecast from the 2 analysts that follow the stock is $0.68. This value represents a 288.89% increase compared to the same quarter last year. GSM missed the consensus earnings per share in the 4th calendar quarter of 2021 by -25.81%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for GSM is 2.08 vs. an industry ratio of -22.40, implying that they will have a higher earnings growth than their competitors in the same industry.
Navigator Holdings Ltd. (NVGS)is reporting for the quarter ending September 30, 2022. The shipping company's consensus earnings per share forecast from the 2 analysts that follow the stock is $0.16. This value represents a 60.00% increase compared to the same quarter last year. Zacks Investment Research reports that the 2022 Price to Earnings ratio for NVGS is 16.16 vs. an industry ratio of 7.40, implying that they will have a higher earnings growth than their competitors in the same industry.
Varex Imaging Corporation (VREX)is reporting for the quarter ending September 30, 2022. The medical products company's consensus earnings per share forecast from the 2 analysts that follow the stock is $0.21. This value represents a 53.33% decrease compared to the same quarter last year. The "days to cover" for this stock exceeds 18 days. Zacks Investment Research reports that the 2022 Price to Earnings ratio for VREX is 35.58 vs. an industry ratio of 7.30, implying that they will have a higher earnings growth than their competitors in the same industry.
Similarweb Ltd. (SMWB)is reporting for the quarter ending September 30, 2022. The internet content company's consensus earnings per share forecast from the 3 analysts that follow the stock is $-0.33. This value represents a 43.48% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2022 Price to Earnings ratio for SMWB is -4.82 vs. an industry ratio of 10.30.
IBEX Limited (IBEX)is reporting for the quarter ending September 30, 2022. The business services company's consensus earnings per share forecast from the 2 analysts that follow the stock is $0.21. This value represents a 600.00% increase compared to the same quarter last year. IBEX missed the consensus earnings per share in the 3rd calendar quarter of 2021 by -86.96%. Zacks Investment Research reports that the 2023 Price to Earnings ratio for IBEX is 18.29 vs. an industry ratio of 20.70.
Lulu's Fashion Lounge Holdings, Inc. (LVLU)is reporting for the quarter ending September 30, 2022. The retail (shoe) company's consensus earnings per share forecast from the 6 analysts that follow the stock is $0.09. This value represents a 30.77% decrease compared to the same quarter last year. LVLU missed the consensus earnings per share in the 2nd calendar quarter of 2022 by -11.76%. The "days to cover" for this stock exceeds 14 days. Zacks Investment Research reports that the 2022 Price to Earnings ratio for LVLU is 16.26 vs. an industry ratio of 41.50.
Astronics Corporation (ATRO)is reporting for the quarter ending September 30, 2022. The aerospace and defense company's consensus earnings per share forecast from the 1 analyst that follows the stock is $-0.40. This value represents a 73.91% decrease compared to the same quarter last year. Zacks Investment Research reports that the 2022 Price to Earnings ratio for ATRO is -7.67 vs. an industry ratio of 39.60.
American Resources Corporation (AREC)is reporting for the quarter ending September 30, 2022. The mining company's consensus earnings per share forecast from the 1 analyst that follows the stock is $-0.03. This value represents a 80.00% increase compared to the same quarter last year. In the past year AREC and beat the expectations the other quarter. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AREC is -34.60 vs. an industry ratio of -22.40.
QuickLogic Corporation (QUIK)is reporting for the quarter ending September 30, 2022. The electric company company's consensus earnings per share forecast from the 1 analyst that follows the stock is $-0.14. This value represents a 27.27% decrease compared to the same quarter last year. In the past year QUIK has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2022 Price to Earnings ratio for QUIK is -22.96 vs. an industry ratio of 2.30.
Atento S.A. (ATTO)is reporting for the quarter ending September 30, 2022. The outsourcing company's consensus earnings per share forecast from the 1 analyst that follows the stock is $-0.10. This value represents a 171.43% decrease compared to the same quarter last year. ATTO missed the consensus earnings per share in the 3rd calendar quarter of 2021 by -56.25%. Zacks Investment Research reports that the 2022 Price to Earnings ratio for ATTO is -4.49 vs. an industry ratio of 16.20.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc. (AAP)is reporting for the quarter ending September 30, 2022. In the past year AAP has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 14.16 vs. an industry ratio of 7.70, implying that they will have a higher earnings growth than their competitors in the same industry.
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Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 14.16 vs. an industry ratio of 7.70, implying that they will have a higher earnings growth than their competitors in the same industry. Advance Auto Parts Inc. (AAP)is reporting for the quarter ending September 30, 2022. In the past year AAP has met analyst expectations once and beat the expectations the other three quarters.
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Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 14.16 vs. an industry ratio of 7.70, implying that they will have a higher earnings growth than their competitors in the same industry. Advance Auto Parts Inc. (AAP)is reporting for the quarter ending September 30, 2022. In the past year AAP has met analyst expectations once and beat the expectations the other three quarters.
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Advance Auto Parts Inc. (AAP)is reporting for the quarter ending September 30, 2022. In the past year AAP has met analyst expectations once and beat the expectations the other three quarters. Zacks Investment Research reports that the 2022 Price to Earnings ratio for AAP is 14.16 vs. an industry ratio of 7.70, implying that they will have a higher earnings growth than their competitors in the same industry.
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10874.0
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2022-11-15 00:00:00 UTC
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Notable Tuesday Option Activity: AAP, EPAM, PARA
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AAP
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https://www.nasdaq.com/articles/notable-tuesday-option-activity%3A-aap-epam-para
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nan
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nan
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Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Advance Auto Parts Inc (Symbol: AAP), where a total volume of 4,526 contracts has been traded thus far today, a contract volume which is representative of approximately 452,600 underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 58.3% of AAP's average daily trading volume over the past month, of 776,260 shares. Especially high volume was seen for the $185 strike put option expiring November 18, 2022, with 844 contracts trading so far today, representing approximately 84,400 underlying shares of AAP. Below is a chart showing AAP's trailing twelve month trading history, with the $185 strike highlighted in orange:
Epam Systems, Inc. (Symbol: EPAM) options are showing a volume of 2,232 contracts thus far today. That number of contracts represents approximately 223,200 underlying shares, working out to a sizeable 54% of EPAM's average daily trading volume over the past month, of 413,220 shares. Particularly high volume was seen for the $370 strike call option expiring November 18, 2022, with 2,064 contracts trading so far today, representing approximately 206,400 underlying shares of EPAM. Below is a chart showing EPAM's trailing twelve month trading history, with the $370 strike highlighted in orange:
And Paramount Global (Symbol: PARA) options are showing a volume of 75,894 contracts thus far today. That number of contracts represents approximately 7.6 million underlying shares, working out to a sizeable 53.7% of PARA's average daily trading volume over the past month, of 14.1 million shares. Especially high volume was seen for the $20 strike call option expiring November 18, 2022, with 6,633 contracts trading so far today, representing approximately 663,300 underlying shares of PARA. Below is a chart showing PARA's trailing twelve month trading history, with the $20 strike highlighted in orange:
For the various different available expirations for AAP options, EPAM options, or PARA options, visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Especially high volume was seen for the $185 strike put option expiring November 18, 2022, with 844 contracts trading so far today, representing approximately 84,400 underlying shares of AAP. Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Advance Auto Parts Inc (Symbol: AAP), where a total volume of 4,526 contracts has been traded thus far today, a contract volume which is representative of approximately 452,600 underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 58.3% of AAP's average daily trading volume over the past month, of 776,260 shares.
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Below is a chart showing AAP's trailing twelve month trading history, with the $185 strike highlighted in orange: Epam Systems, Inc. (Symbol: EPAM) options are showing a volume of 2,232 contracts thus far today. Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Advance Auto Parts Inc (Symbol: AAP), where a total volume of 4,526 contracts has been traded thus far today, a contract volume which is representative of approximately 452,600 underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 58.3% of AAP's average daily trading volume over the past month, of 776,260 shares.
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Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Advance Auto Parts Inc (Symbol: AAP), where a total volume of 4,526 contracts has been traded thus far today, a contract volume which is representative of approximately 452,600 underlying shares (given that every 1 contract represents 100 underlying shares). Below is a chart showing AAP's trailing twelve month trading history, with the $185 strike highlighted in orange: Epam Systems, Inc. (Symbol: EPAM) options are showing a volume of 2,232 contracts thus far today. That number works out to 58.3% of AAP's average daily trading volume over the past month, of 776,260 shares.
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Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in Advance Auto Parts Inc (Symbol: AAP), where a total volume of 4,526 contracts has been traded thus far today, a contract volume which is representative of approximately 452,600 underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 58.3% of AAP's average daily trading volume over the past month, of 776,260 shares. Especially high volume was seen for the $185 strike put option expiring November 18, 2022, with 844 contracts trading so far today, representing approximately 84,400 underlying shares of AAP.
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10875.0
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2022-11-14 00:00:00 UTC
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What's in the Offing for Advance Auto Parts (AAP) in Q3?
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AAP
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https://www.nasdaq.com/articles/whats-in-the-offing-for-advance-auto-parts-aap-in-q3
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nan
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nan
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Advance Auto Parts AAP is slated to release third-quarter 2022 results on Nov 15, after the market closes. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings per share and revenues is pegged at $3.31 and $2.65 billion, respectively.
For the third quarter, the consensus estimate for AAP’s earnings per share has moved down by 2 cents in the past 60 days. Its bottom-line estimates imply a rise of 3.12% from the year-ago reported number. The Zacks Consensus Estimate for its quarterly revenues suggests a year-over-year increase of 1.19%. Over the trailing four quarters, AAP surpassed earnings estimates on three occasions and met the same once, with the average surprise being 5.42%. This is depicted in the graph below:
Advance Auto Parts, Inc. Price and EPS Surprise
Advance Auto Parts, Inc. price-eps-surprise | Advance Auto Parts, Inc. Quote
Q2 Highlights
In second-quarter 2022, AAP’s adjusted earnings per share of $3.74 were in line with the consensus metric. The bottom line increased 10% year over year from $3.40 a share. The company generated net revenues of $2,665.4 million, falling short of the Zacks Consensus Estimate of $2,748 million but edging up 0.6% from the year-ago reported figure. Comparable same-store declined 0.60%.
Earnings Whispers
Our proven model does not conclusively predict an earnings beat for Advance Auto Parts for the quarter to be reported, as it does not have the right combination of the two key ingredients. A combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Earnings ESP: AAP has an Earnings ESP of 0.00%. This is because the Most Accurate Estimate equals the Zacks Consensus Estimate.
Zacks Rank: It currently carries a Zacks Rank of 3.
You can see the complete list of today’s Zacks #1 Rank stocks here.
Factors at Play
AAP’s e-commerce initiatives have garnered steam. A ramp-up of its online portal, MyAdvance and enhancements to its DIY omni-channel platform have increased traffic and resulted in higher conversion rates. These are likely to have aided the firm’s revenues in the third quarter.
The demand for aftermarket parts is on the rise, spurred by higher demand for environmentally sustainable vehicles. As the electric vehicle fleet grows, owners are more driven to add modernized features to existing cars, which is an important contributor to Advance Auto Parts’ aftermarket products. Moreover, the easing of Covid-related restrictions has seen a surge in vehicle miles traveled. This calls for a rise in the demand for repair parts and services. These, along with robust e-commerce activities, are likely to have acted as tailwinds for the automotive retailer in the third quarter.
AAP is also focused on opening new stores. Its results for the to-be-reported quarter are likely to have reflected the benefits of its expanded foothold. The Zacks Consensus Estimate for the total number of retail stores at the third quarter-end is pegged at 5,072, indicating a rise from the year-ago quarter’s store count of 4,727.
However, on the flip side, intensive expansion has led Advance Auto Parts to bear the brunt of high selling, general and administrative (SG&A) costs, which are limiting the firm’s margins. In the second quarter, adjusted SG&A expenses increased to $984 million from $944.3 million in the year-ago period. The trend is expected to have continued amid huge costs for store openings, partnerships and investments to strengthen the supply chain, straining the firm’s third-quarter profits.
Escalating costs of raw materials amid a shortage of components might have clipped margins. Inefficiencies in the distribution infrastructure, difficult labor environment and global logistics challenges are likely to have weighed on its third-quarter performance.
Discouragingly, the firm has brought down its 2022 guidance. It estimates 2022 net sales in the band of $11-$11.2 billion, down from the previously guided range of $11.2-$11.5 billion. Comparable store sales are now envisioned to decline up to 1% against the prior forecast of 1-3% growth. Adjusted operating income margin is expected in the range of 9.8-10%, down from the prior estimate of 10-10.2%. Adjusted EPS is now forecast between $12.75 and $13.25, down from the previously guided range of $13.30-$13.85. This dims the outlook for AAP’s upcoming results.
Other Earnings Releases From Auto Space
While an earnings beat is uncertain for Advance Auto Parts, here are a few stocks, which have delivered an earnings beat in the third quarter:
Standard Motor Products SMP released third-quarter 2022 results on Oct 28. It reported adjusted earnings of $1.05 per share, beating the Zacks Consensus Estimate of 95 cents but the bottom line declined 20% from the prior-year quarter’s $1.32 a share. Total revenues rose 3% year over year to $381.4 million, almost on par with the Zacks Consensus Estimate of $381 million. SMP surpassed earnings estimates in three of the four trailing quarters and missed once, with the average surprise being 9.33%.
Allison Transmission Holdings ALSN released third-quarter 2022 results on Oct 26. It posted third-quarter earnings of $1.45 a share, which topped the Zacks Consensus Estimate of $1.31. The bottom line increased 63% on a year-over-year basis from 89 cents a share. Quarterly revenues of $710 million grew 25% from the year-ago period and crossed the consensus mark of $691 million. ALSN surpassed earnings estimates in three of the trailing four quarters and missed once, with the average surprise being a negative 10.27%.
O’Reilly Automotive ORLY released third-quarter 2022 results on Oct 03. Its adjusted earnings per share of $9.17 beat the Zacks Consensus Estimate of $8.46. The bottom line increased 13.6% from $8.07 in the prior-year quarter. The automotive parts retailer registered quarterly revenues of $3,799.6 million, crossing the consensus mark of $3,713 million. The top line was 9% higher than the prior-year figure of $3,479.5 million. ORLY surpassed earnings estimates in two of the four trailing quarters and missed twice, with the average surprise being 7.5%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
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O'Reilly Automotive, Inc. (ORLY): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
Standard Motor Products, Inc. (SMP): Free Stock Analysis Report
Allison Transmission Holdings, Inc. (ALSN): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts AAP is slated to release third-quarter 2022 results on Nov 15, after the market closes. For the third quarter, the consensus estimate for AAP’s earnings per share has moved down by 2 cents in the past 60 days. Over the trailing four quarters, AAP surpassed earnings estimates on three occasions and met the same once, with the average surprise being 5.42%.
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This is depicted in the graph below: Advance Auto Parts, Inc. Price and EPS Surprise Advance Auto Parts, Inc. price-eps-surprise | Advance Auto Parts, Inc. Quote Q2 Highlights In second-quarter 2022, AAP’s adjusted earnings per share of $3.74 were in line with the consensus metric. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts AAP is slated to release third-quarter 2022 results on Nov 15, after the market closes.
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This is depicted in the graph below: Advance Auto Parts, Inc. Price and EPS Surprise Advance Auto Parts, Inc. price-eps-surprise | Advance Auto Parts, Inc. Quote Q2 Highlights In second-quarter 2022, AAP’s adjusted earnings per share of $3.74 were in line with the consensus metric. Advance Auto Parts AAP is slated to release third-quarter 2022 results on Nov 15, after the market closes. For the third quarter, the consensus estimate for AAP’s earnings per share has moved down by 2 cents in the past 60 days.
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Advance Auto Parts AAP is slated to release third-quarter 2022 results on Nov 15, after the market closes. For the third quarter, the consensus estimate for AAP’s earnings per share has moved down by 2 cents in the past 60 days. Over the trailing four quarters, AAP surpassed earnings estimates on three occasions and met the same once, with the average surprise being 5.42%.
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10876.0
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2022-11-10 00:00:00 UTC
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Advance Auto Parts Q3 Preview: What's in Store?
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-q3-preview%3A-whats-in-store
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nan
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nan
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The Zacks Retail and Wholesale sector has sailed through rough waters in 2022 facing high inflation, down more than 30% and lagging behind the S&P 500 by a fair margin.
A widely-recognized name in the realm, Advance Auto Parts AAP, is on deck to unveil quarterly earnings on November 15th, after the market close.
Advance Auto Parts primarily sells replacement parts (excluding tires), accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks.
Currently, the automotive giant carries a Zacks Rank #3 (Hold) paired with an overall VGM Score of an A.
How does everything else stack up heading into the print? Let’s take a closer look.
Share Performance & Valuation
AAP shares have struggled to find their footing in 2022, down roughly 25% but outperforming the Zacks Retail and Wholesale sector modestly.
Image Source: Zacks Investment Research
Over the last three months, the story has remained the same; AAP shares have outperformed the Zacks Retail and Wholesale sector, down roughly 10%.
Image Source: Zacks Investment Research
Currently, shares trade at a 13.5X forward P/E ratio, nicely beneath its 18.8X five-year median and reflecting a solid 41% discount relative to its Zacks sector.
Further, Advance Auto Parts sports a Style Score of an A for Value.
Image Source: Zacks Investment Research
Quarterly Estimates
A singular analyst has lowered their earnings outlook for the quarter to be reported over the last several months, with the Zacks Consensus EPS Estimate of $3.31 suggesting a Y/Y uptick in earnings of more than 3%.
Image Source: Zacks Investment Research
The company’s top-line appears to be in solid standing as well; the Zacks Consensus Sales Estimate of $2.7 billion indicates an improvement of a marginal 1.2% Y/Y.
Quarterly Performance
AAP has primarily exceeded earnings estimates, surpassing the Zacks Consensus EPS Estimate in seven of its last ten quarters. In its latest print, the company reported earnings in-line with expectations.
As of late, sales results have left some to be desired, with the company falling short of revenue estimates in back-to-back quarters. Below is a chart illustrating the company’s revenue on a quarterly basis.
Image Source: Zacks Investment Research
Putting Everything Together
AAP shares are in the red year-to-date but have outperformed the Zacks Retail and Wholesale sector across several timeframes.
Shares aren’t expensive, with the company’s forward earnings multiple well below the five-year median and Zacks sector average.
A singular analyst has lowered their earnings outlook over the last several months, with estimates indicating a Y/Y uptick in both revenue and earnings.
The company posted earnings in-line with expectations in its latest print and has fallen short of sales estimates in back-to-back quarters.
Heading into the release, Advance Auto Parts AAP carries a Zacks Rank #3 (Hold) paired with an overall VGM Score of an A.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Heading into the release, Advance Auto Parts AAP carries a Zacks Rank #3 (Hold) paired with an overall VGM Score of an A. A widely-recognized name in the realm, Advance Auto Parts AAP, is on deck to unveil quarterly earnings on November 15th, after the market close. Share Performance & Valuation AAP shares have struggled to find their footing in 2022, down roughly 25% but outperforming the Zacks Retail and Wholesale sector modestly.
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Quarterly Performance AAP has primarily exceeded earnings estimates, surpassing the Zacks Consensus EPS Estimate in seven of its last ten quarters. Heading into the release, Advance Auto Parts AAP carries a Zacks Rank #3 (Hold) paired with an overall VGM Score of an A. A widely-recognized name in the realm, Advance Auto Parts AAP, is on deck to unveil quarterly earnings on November 15th, after the market close.
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Image Source: Zacks Investment Research Over the last three months, the story has remained the same; AAP shares have outperformed the Zacks Retail and Wholesale sector, down roughly 10%. Image Source: Zacks Investment Research Putting Everything Together AAP shares are in the red year-to-date but have outperformed the Zacks Retail and Wholesale sector across several timeframes. A widely-recognized name in the realm, Advance Auto Parts AAP, is on deck to unveil quarterly earnings on November 15th, after the market close.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report A widely-recognized name in the realm, Advance Auto Parts AAP, is on deck to unveil quarterly earnings on November 15th, after the market close. Share Performance & Valuation AAP shares have struggled to find their footing in 2022, down roughly 25% but outperforming the Zacks Retail and Wholesale sector modestly.
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10877.0
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2022-10-26 00:00:00 UTC
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O'Reilly Automotive (ORLY) Surpasses Q3 Earnings and Revenue Estimates
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AAP
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https://www.nasdaq.com/articles/oreilly-automotive-orly-surpasses-q3-earnings-and-revenue-estimates
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nan
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nan
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O'Reilly Automotive (ORLY) came out with quarterly earnings of $9.17 per share, beating the Zacks Consensus Estimate of $8.46 per share. This compares to earnings of $8.07 per share a year ago. These figures are adjusted for non-recurring items.
This quarterly report represents an earnings surprise of 8.39%. A quarter ago, it was expected that this auto parts retailer would post earnings of $8.98 per share when it actually produced earnings of $8.78, delivering a surprise of -2.23%.
Over the last four quarters, the company has surpassed consensus EPS estimates two times.
O'Reilly Automotive, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $3.8 billion for the quarter ended September 2022, surpassing the Zacks Consensus Estimate by 2.35%. This compares to year-ago revenues of $3.48 billion. The company has topped consensus revenue estimates three times over the last four quarters.
The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.
O'Reilly Automotive shares have added about 9.8% since the beginning of the year versus the S&P 500's decline of -19%.
What's Next for O'Reilly Automotive?
While O'Reilly Automotive has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?
There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.
Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.
Ahead of this earnings release, the estimate revisions trend for O'Reilly Automotive: mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. The current consensus EPS estimate is $7.24 on $3.45 billion in revenues for the coming quarter and $31.66 on $14.13 billion in revenues for the current fiscal year.
Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Automotive - Retail and Wholesale - Parts is currently in the bottom 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.
Advance Auto Parts (AAP), another stock in the same industry, has yet to report results for the quarter ended September 2022. The results are expected to be released on November 15.
This auto parts retailer is expected to post quarterly earnings of $3.31 per share in its upcoming report, which represents a year-over-year change of +3.1%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.
Advance Auto Parts' revenues are expected to be $2.65 billion, up 1.2% from the year-ago quarter.
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Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
O'Reilly Automotive, Inc. (ORLY): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP), another stock in the same industry, has yet to report results for the quarter ended September 2022. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts (AAP), another stock in the same industry, has yet to report results for the quarter ended September 2022. O'Reilly Automotive, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $3.8 billion for the quarter ended September 2022, surpassing the Zacks Consensus Estimate by 2.35%.
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Advance Auto Parts (AAP), another stock in the same industry, has yet to report results for the quarter ended September 2022. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report O'Reilly Automotive (ORLY) came out with quarterly earnings of $9.17 per share, beating the Zacks Consensus Estimate of $8.46 per share.
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Advance Auto Parts (AAP), another stock in the same industry, has yet to report results for the quarter ended September 2022. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report O'Reilly Automotive, which belongs to the Zacks Automotive - Retail and Wholesale - Parts industry, posted revenues of $3.8 billion for the quarter ended September 2022, surpassing the Zacks Consensus Estimate by 2.35%.
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10878.0
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2022-10-25 00:00:00 UTC
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Validea James P. O'Shaughnessy Strategy Daily Upgrade Report - 10/25/2022
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AAP
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https://www.nasdaq.com/articles/validea-james-p.-oshaughnessy-strategy-daily-upgrade-report-10-25-2022
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nan
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nan
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The following are today's upgrades for Validea's Growth/Value Investor model based on the published strategy of James P. O'Shaughnessy. This two strategy approach offers a large-cap value model and a growth approach that looks for persistent earnings growth and strong relative strength.
ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. The rating according to our strategy based on James P. O'Shaughnessy changed from 75% to 100% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Advance Auto Parts, Inc. is an automotive aftermarket parts provider in North America, serving both professional installers and do-it-yourself (DIY) customers. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks. It operates approximately 4,687 stores and 311 branches within the United States, Canada, Puerto Rico, and the United States Virgin Islands. It operates through four segments: Advance Auto Parts, Carquest Canada, Independents, and Worldpac. The Company's Advance Auto Parts focus on both professional and DIY customers. The stores carry a variety of products serving aftermarket auto part needs for both domestic and import vehicles. Its Autopart International (AI) operates in the North-eastern and Mid-Atlantic regions of the United States.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
MARKET CAP: PASS
EARNINGS PER SHARE PERSISTENCE: PASS
PRICE/SALES RATIO: PASS
RELATIVE STRENGTH: PASS
Detailed Analysis of ADVANCE AUTO PARTS, INC.
Full Guru Analysis for AAP
Full Factor Report for AAP
More details on Validea's James P. O'Shaughnessy strategy
About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. O'Shaughnessy back-tested 44 years ofstock market datafrom the comprehensive Standard & Poor's Compustat database to find out which quantitative strategies have worked over the years and which haven't. To the surprise of many, he concluded that price/earnings ratios aren't the best indicator of a stock's value, and that small-company stocks, contrary to popular wisdom, don't as a group have an edge on large-company stocks. Today O'Shaughnessy is the Chief Investment Officer of O'Shaughnessy Asset Management.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. Full Guru Analysis for AAP Full Factor Report for AAP More details on Validea's James P. O'Shaughnessy strategy About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks.
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ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. Full Guru Analysis for AAP Full Factor Report for AAP More details on Validea's James P. O'Shaughnessy strategy About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. This two strategy approach offers a large-cap value model and a growth approach that looks for persistent earnings growth and strong relative strength.
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ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. Full Guru Analysis for AAP Full Factor Report for AAP More details on Validea's James P. O'Shaughnessy strategy About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. Company Description: Advance Auto Parts, Inc. is an automotive aftermarket parts provider in North America, serving both professional installers and do-it-yourself (DIY) customers.
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ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. Full Guru Analysis for AAP Full Factor Report for AAP More details on Validea's James P. O'Shaughnessy strategy About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. The following are today's upgrades for Validea's Growth/Value Investor model based on the published strategy of James P. O'Shaughnessy.
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10879.0
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2022-10-17 00:00:00 UTC
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Investors Could Be Concerned With Advance Auto Parts' (NYSE:AAP) Returns On Capital
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AAP
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https://www.nasdaq.com/articles/investors-could-be-concerned-with-advance-auto-parts-nyse%3Aaap-returns-on-capital
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nan
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There are a few key trends to look for if we want to identify the next multi-bagger. Typically, we'll want to notice a trend of growing return on capital employed (ROCE) and alongside that, an expanding base of capital employed. If you see this, it typically means it's a company with a great business model and plenty of profitable reinvestment opportunities. Although, when we looked at Advance Auto Parts (NYSE:AAP), it didn't seem to tick all of these boxes.
Understanding Return On Capital Employed (ROCE)
If you haven't worked with ROCE before, it measures the 'return' (pre-tax profit) a company generates from capital employed in its business. Analysts use this formula to calculate it for Advance Auto Parts:
Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)
0.12 = US$786m ÷ (US$12b - US$5.3b) (Based on the trailing twelve months to July 2022).
Thus, Advance Auto Parts has an ROCE of 12%. In absolute terms, that's a pretty standard return but compared to the Specialty Retail industry average it falls behind.
NYSE:AAP Return on Capital Employed October 17th 2022
Above you can see how the current ROCE for Advance Auto Parts compares to its prior returns on capital, but there's only so much you can tell from the past. If you'd like to see what analysts are forecasting going forward, you should check out our free report for Advance Auto Parts.
So How Is Advance Auto Parts' ROCE Trending?
On the surface, the trend of ROCE at Advance Auto Parts doesn't inspire confidence. Around five years ago the returns on capital were 15%, but since then they've fallen to 12%. However it looks like Advance Auto Parts might be reinvesting for long term growth because while capital employed has increased, the company's sales haven't changed much in the last 12 months. It's worth keeping an eye on the company's earnings from here on to see if these investments do end up contributing to the bottom line.
On a side note, Advance Auto Parts' current liabilities are still rather high at 44% of total assets. This can bring about some risks because the company is basically operating with a rather large reliance on its suppliers or other sorts of short-term creditors. While it's not necessarily a bad thing, it can be beneficial if this ratio is lower.
What We Can Learn From Advance Auto Parts' ROCE
To conclude, we've found that Advance Auto Parts is reinvesting in the business, but returns have been falling. Yet to long term shareholders the stock has gifted them an incredible 105% return in the last five years, so the market appears to be rosy about its future. Ultimately, if the underlying trends persist, we wouldn't hold our breath on it being a multi-bagger going forward.
One more thing to note, we've identified 1 warning sign with Advance Auto Parts and understanding it should be part of your investment process.
For those who like to invest in solid companies, check out this free list of companies with solid balance sheets and high returns on equity.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Although, when we looked at Advance Auto Parts (NYSE:AAP), it didn't seem to tick all of these boxes. NYSE:AAP Return on Capital Employed October 17th 2022 Above you can see how the current ROCE for Advance Auto Parts compares to its prior returns on capital, but there's only so much you can tell from the past. Analysts use this formula to calculate it for Advance Auto Parts: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.12 = US$786m ÷ (US$12b - US$5.3b) (Based on the trailing twelve months to July 2022).
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Although, when we looked at Advance Auto Parts (NYSE:AAP), it didn't seem to tick all of these boxes. NYSE:AAP Return on Capital Employed October 17th 2022 Above you can see how the current ROCE for Advance Auto Parts compares to its prior returns on capital, but there's only so much you can tell from the past. Analysts use this formula to calculate it for Advance Auto Parts: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.12 = US$786m ÷ (US$12b - US$5.3b) (Based on the trailing twelve months to July 2022).
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NYSE:AAP Return on Capital Employed October 17th 2022 Above you can see how the current ROCE for Advance Auto Parts compares to its prior returns on capital, but there's only so much you can tell from the past. Although, when we looked at Advance Auto Parts (NYSE:AAP), it didn't seem to tick all of these boxes. Understanding Return On Capital Employed (ROCE) If you haven't worked with ROCE before, it measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
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NYSE:AAP Return on Capital Employed October 17th 2022 Above you can see how the current ROCE for Advance Auto Parts compares to its prior returns on capital, but there's only so much you can tell from the past. Although, when we looked at Advance Auto Parts (NYSE:AAP), it didn't seem to tick all of these boxes. So How Is Advance Auto Parts' ROCE Trending?
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10880.0
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2022-10-12 00:00:00 UTC
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Validea James P. O'Shaughnessy Strategy Daily Upgrade Report - 10/12/2022
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AAP
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https://www.nasdaq.com/articles/validea-james-p.-oshaughnessy-strategy-daily-upgrade-report-10-12-2022
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nan
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nan
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The following are today's upgrades for Validea's Growth/Value Investor model based on the published strategy of James P. O'Shaughnessy. This two strategy approach offers a large-cap value model and a growth approach that looks for persistent earnings growth and strong relative strength.
DAVITA INC (DVA) is a mid-cap value stock in the Healthcare Facilities industry. The rating according to our strategy based on James P. O'Shaughnessy changed from 75% to 100% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: DaVita Inc. is a healthcare provider. The Company provides kidney care services in the United States. The Company's operations are comprised of its U.S. dialysis and related lab services business (U.S. dialysis business), its U.S. ancillary services and strategic initiatives, its international operations (ancillary services), and corporate administrative support. The U.S. dialysis business treats patients with chronic kidney failure, and end-stage kidney disease (ESKD). The Company provides dialysis and administrative services and related laboratory services. Its services include outpatient hemodialysis services, hospital inpatient hemodialysis services, and home-based dialysis services. The ancillary services consist of integrated kidney care services, physician services supporting integrated kidney care and kidney care initiatives outside of dialysis, clinical research programs, and transplant software business as well as international operations.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
MARKET CAP: PASS
EARNINGS PER SHARE PERSISTENCE: PASS
PRICE/SALES RATIO: PASS
RELATIVE STRENGTH: PASS
Detailed Analysis of DAVITA INC
Full Guru Analysis for DVA
Full Factor Report for DVA
ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. The rating according to our strategy based on James P. O'Shaughnessy changed from 75% to 100% based on the firm’s underlying fundamentals and the stock’s valuation. A score of 80% or above typically indicates that the strategy has some interest in the stock and a score above 90% typically indicates strong interest.
Company Description: Advance Auto Parts, Inc. is an automotive aftermarket parts provider in North America, serving both professional installers and do-it-yourself (DIY) customers. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks. It operates approximately 4,687 stores and 311 branches within the United States, Canada, Puerto Rico, and the United States Virgin Islands. It operates through four segments: Advance Auto Parts, Carquest Canada, Independents, and Worldpac. The Company's Advance Auto Parts focus on both professional and DIY customers. The stores carry a variety of products serving aftermarket auto part needs for both domestic and import vehicles. Its Autopart International (AI) operates in the North-eastern and Mid-Atlantic regions of the United States.
The following table summarizes whether the stock meets each of this strategy's tests. Not all criteria in the below table receive equal weighting or are independent, but the table provides a brief overview of the strong and weak points of the security in the context of the strategy's criteria.
MARKET CAP: PASS
EARNINGS PER SHARE PERSISTENCE: PASS
PRICE/SALES RATIO: PASS
RELATIVE STRENGTH: PASS
Detailed Analysis of ADVANCE AUTO PARTS, INC.
Full Guru Analysis for AAP
Full Factor Report for AAP
More details on Validea's James P. O'Shaughnessy strategy
About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. O'Shaughnessy back-tested 44 years ofstock market datafrom the comprehensive Standard & Poor's Compustat database to find out which quantitative strategies have worked over the years and which haven't. To the surprise of many, he concluded that price/earnings ratios aren't the best indicator of a stock's value, and that small-company stocks, contrary to popular wisdom, don't as a group have an edge on large-company stocks. Today O'Shaughnessy is the Chief Investment Officer of O'Shaughnessy Asset Management.
About Validea: Validea is aninvestment researchservice that follows the published strategies of investment legends. Validea offers both stock analysis and model portfolios based on gurus who have outperformed the market over the long-term, including Warren Buffett, Benjamin Graham, Peter Lynch and Martin Zweig. For more information about Validea, click here
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Detailed Analysis of DAVITA INC Full Guru Analysis for DVA Full Factor Report for DVA ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. Full Guru Analysis for AAP Full Factor Report for AAP More details on Validea's James P. O'Shaughnessy strategy About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. Its stores and branches offer a selection of brand names, original equipment manufacturers (OEM), and brand-owned automotive replacement parts, accessories, batteries and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy-duty trucks.
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Detailed Analysis of DAVITA INC Full Guru Analysis for DVA Full Factor Report for DVA ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. Full Guru Analysis for AAP Full Factor Report for AAP More details on Validea's James P. O'Shaughnessy strategy About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. The ancillary services consist of integrated kidney care services, physician services supporting integrated kidney care and kidney care initiatives outside of dialysis, clinical research programs, and transplant software business as well as international operations.
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Detailed Analysis of DAVITA INC Full Guru Analysis for DVA Full Factor Report for DVA ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. Full Guru Analysis for AAP Full Factor Report for AAP More details on Validea's James P. O'Shaughnessy strategy About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. The ancillary services consist of integrated kidney care services, physician services supporting integrated kidney care and kidney care initiatives outside of dialysis, clinical research programs, and transplant software business as well as international operations.
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Detailed Analysis of DAVITA INC Full Guru Analysis for DVA Full Factor Report for DVA ADVANCE AUTO PARTS, INC. (AAP) is a large-cap growth stock in the Auto & Truck Parts industry. Detailed Analysis of ADVANCE AUTO PARTS, INC. Full Guru Analysis for AAP Full Factor Report for AAP More details on Validea's James P. O'Shaughnessy strategy About James P. O'Shaughnessy: Research guru and money manager James O'Shaughnessy forced many professional and amateur investors alike to rethink their investment beliefs when he published his 1996 bestseller, What Works on Wall Street. The following are today's upgrades for Validea's Growth/Value Investor model based on the published strategy of James P. O'Shaughnessy.
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10881.0
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2022-10-07 00:00:00 UTC
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Are Options Traders Betting on a Big Move in Advance Auto (AAP) Stock?
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AAP
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https://www.nasdaq.com/articles/are-options-traders-betting-on-a-big-move-in-advance-auto-aap-stock
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nan
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. That is because the Jan 20, 2023 $115.00 Call had some of the highest implied volatility of all equity options today.
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
Clearly, options traders are pricing in a big move for Advance Auto shares, but what is the fundamental picture for the company? Currently, Advance Auto is a Zacks Rank #4 (Sell) in the Automotive - Retail and Wholesale - Parts industry that ranks in the Bottom 26% of our Zacks Industry Rank. Over the last 30 days, no analysts have increased their earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from $3.33 per share to $3.31 in that period.
Given the way analysts feel about Advance Auto right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
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Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
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10882.0
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2022-10-05 00:00:00 UTC
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Advance Auto Parts (AAP) Stock Moves -0.11%: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-stock-moves-0.11%3A-what-you-should-know
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nan
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nan
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Advance Auto Parts (AAP) closed at $167.64 in the latest trading session, marking a -0.11% move from the prior day. This change was narrower than the S&P 500's 0.2% loss on the day. Meanwhile, the Dow lost 0.14%, and the Nasdaq, a tech-heavy index, lost 0.12%.
Coming into today, shares of the auto parts retailer had lost 3.18% in the past month. In that same time, the Retail-Wholesale sector lost 3.44%, while the S&P 500 lost 3.29%.
Advance Auto Parts will be looking to display strength as it nears its next earnings release. On that day, Advance Auto Parts is projected to report earnings of $3.31 per share, which would represent year-over-year growth of 3.12%. Meanwhile, our latest consensus estimate is calling for revenue of $2.65 billion, up 1.19% from the prior-year quarter.
AAP's full-year Zacks Consensus Estimates are calling for earnings of $13.01 per share and revenue of $11.12 billion. These results would represent year-over-year changes of +8.24% and +1.09%, respectively.
Investors might also notice recent changes to analyst estimates for Advance Auto Parts. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Advance Auto Parts is holding a Zacks Rank of #4 (Sell) right now.
Looking at its valuation, Advance Auto Parts is holding a Forward P/E ratio of 12.9. This valuation marks a discount compared to its industry's average Forward P/E of 16.3.
Also, we should mention that AAP has a PEG ratio of 1.03. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Automotive - Retail and Wholesale - Parts industry currently had an average PEG ratio of 1.63 as of yesterday's close.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 190, putting it in the bottom 25% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) closed at $167.64 in the latest trading session, marking a -0.11% move from the prior day. AAP's full-year Zacks Consensus Estimates are calling for earnings of $13.01 per share and revenue of $11.12 billion. Also, we should mention that AAP has a PEG ratio of 1.03.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts (AAP) closed at $167.64 in the latest trading session, marking a -0.11% move from the prior day. AAP's full-year Zacks Consensus Estimates are calling for earnings of $13.01 per share and revenue of $11.12 billion.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts (AAP) closed at $167.64 in the latest trading session, marking a -0.11% move from the prior day. AAP's full-year Zacks Consensus Estimates are calling for earnings of $13.01 per share and revenue of $11.12 billion.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts (AAP) closed at $167.64 in the latest trading session, marking a -0.11% move from the prior day. AAP's full-year Zacks Consensus Estimates are calling for earnings of $13.01 per share and revenue of $11.12 billion.
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10883.0
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2022-10-05 00:00:00 UTC
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Here is What to Know Beyond Why Advance Auto Parts, Inc. (AAP) is a Trending Stock
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AAP
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https://www.nasdaq.com/articles/here-is-what-to-know-beyond-why-advance-auto-parts-inc.-aap-is-a-trending-stock
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nan
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nan
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this auto parts retailer have returned -3.2%, compared to the Zacks S&P 500 composite's -3.3% change. During this period, the Zacks Automotive - Retail and Wholesale - Parts industry, which Advance Auto Parts falls in, has lost 1.5%. The key question now is: What could be the stock's future direction?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Revisions to Earnings Estimates
Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account. When earnings estimates for a company go up, the fair value for its stock goes up as well. And when a stock's fair value is higher than its current market price, investors tend to buy the stock, resulting in its price moving upward. Because of this, empirical studies indicate a strong correlation between trends in earnings estimate revisions and short-term stock price movements.
For the current quarter, Advance Auto Parts is expected to post earnings of $3.31 per share, indicating a change of +3.1% from the year-ago quarter. The Zacks Consensus Estimate remained unchanged over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $13.01 points to a change of +8.2% from the prior year. Over the last 30 days, this estimate has remained unchanged.
For the next fiscal year, the consensus earnings estimate of $14.74 indicates a change of +13.4% from what Advance Auto Parts is expected to report a year ago. Over the past month, the estimate has changed -0.1%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Advance Auto Parts is rated Zacks Rank #4 (Sell).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth Forecast
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
For Advance Auto Parts, the consensus sales estimate for the current quarter of $2.65 billion indicates a year-over-year change of +1.2%. For the current and next fiscal years, $11.12 billion and $11.57 billion estimates indicate +1.1% and +4.1% changes, respectively.
Last Reported Results and Surprise History
Advance Auto Parts reported revenues of $2.67 billion in the last reported quarter, representing a year-over-year change of +0.6%. EPS of $3.74 for the same period compares with $3.40 a year ago.
Compared to the Zacks Consensus Estimate of $2.75 billion, the reported revenues represent a surprise of -2.99%. The EPS surprise was 0%.
Over the last four quarters, Advance Auto Parts surpassed consensus EPS estimates three times. The company topped consensus revenue estimates two times over this period.
Valuation
No investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S) and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
As part of the Zacks Style Scores system, the Zacks Value Style Score (which evaluates both traditional and unconventional valuation metrics) organizes stocks into five groups ranging from A to F (A is better than B; B is better than C; and so on), making it helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Advance Auto Parts is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom Line
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Advance Auto Parts. However, its Zacks Rank #4 does suggest that it may underperform the broader market in the near term.
Just Released: Free Report Reveals Little-Known Strategies to Help Profit from the $30 Trillion Metaverse Boom
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Our analysis is essentially based on how sell-side analysts covering the stock are revising their earnings estimates to take the latest business trends into account.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report For the next fiscal year, the consensus earnings estimate of $14.74 indicates a change of +13.4% from what Advance Auto Parts is expected to report a year ago.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Advance Auto Parts is rated Zacks Rank #4 (Sell).
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. When earnings estimates for a company go up, the fair value for its stock goes up as well.
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10884.0
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2022-10-04 00:00:00 UTC
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CarMax (KMX) Q2 Earnings Miss Estimates, Decline 54% Y/Y
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AAP
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https://www.nasdaq.com/articles/carmax-kmx-q2-earnings-miss-estimates-decline-54-y-y
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nan
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nan
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CarMax Inc. KMX reported second-quarter fiscal 2023 (ended Aug 31, 2022) net earnings per share of 79 cents, lagging the Zacks Consensus Estimate of $1.40 amid lower-than-anticipated revenues across all segments. The bottom line also fell from $1.72 per share recorded in the year-ago period. Our estimate for earnings per share was $1.43.
The auto retailer registered revenues of $8,145 million for the August-end quarter, which fell short of the Zacks Consensus Estimate of $8,749 million. The top line, however, recorded a 2% year-over-year increase. Our estimate for the top line was $8759.6 million.
Segmental Performance
CarMax’s used-vehicle net sales totaled $6,284.1 million for the reported quarter, up 2.9% year over year, owing to an increase in average retail selling prices. The metric, however, missed the consensus mark of $6,433 million. Our estimate for used vehicle revenues was $6,293.8 million. While the units sold in this segment inched down 6.4% year over year to 216,939 vehicles, the average selling price of used vehicles rose 9.6% from the year-ago quarter to $28,657. Comparable store used-vehicle units declined 8.3%, while revenues inched up 0.4% from the prior-year level. Used-vehicle gross profit per unit (GPU) came in at $2,282, up from the prior-year quarter’s $2,185, topping the consensus mark of $1,986.
For the fiscal second quarter, wholesale vehicle revenues tailed off 0.7% from the year-ago level to $1,690.3 million. The reported figure was below the Zacks Consensus Estimate of $2,046 million. Our estimate for wholesale vehicle revenues was $2,275.7 million. Units sold and average selling price declined 15.1% to 159,677 units, while ASP rose 17% to $10,179. Wholesale vehicle GPU came in at $881, down from the year-ago period’s $1,005.
Other sales and revenues contracted 6.6% year over year to $170.4 million for the fiscal second quarter and missed the consensus mark of $183 million. Our estimate for other sales and revenues was $190.1 million. CarMax Auto Finance witnessed an 8.6% year-over-year decline in income to $182.9 million for the May-end quarter.
Other Tidbits
Selling, general and administrative expenses flared up 16% from the prior-year quarter to $666 million. The firm had cash/cash equivalents and long-term debt of $56.7 million and $2,511.5 million, respectively, as of Aug 31, 2022.
During the fiscal second quarter, CarMax bought back 1.7 million shares of common stock for $163 million under the share repurchase program. As of Aug 31, 2022, it had $2.45 billion remaining under the share repurchase authorization.
The company opened three new stores during the fiscal second quarter. KMX currently operates more than 230 used car stores. In fiscal 2023, CarMax targets to open 10 stores.
Peer Releases
CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO.
Advance Auto reported second-quarter 2022 (ended Jul 16, 2022) results on Aug 23. It posted adjusted earnings of $3.74 per share, up 10% from the year-ago quarter figure. The reported figure was in line with the Zacks Consensus Estimate. The company generated net revenues of $2,665.4 million, falling short of the Zacks Consensus Estimate of $2,748 million but edging up 0.6% from the year-ago reported figure.
Discouragingly, Advance Auto trimmed its 2022 guidance. It estimates full-year net sales in the band of $11-$11.2 billion, down from the previously guided range of $11.2-$11.5 billion. Comparable store sales are now envisioned to decline up to 1% as against the prior forecast of 1-3% growth. Adjusted operating income margin is envisioned in the range of 9.8-10%, down from the prior estimate of 10-10.2%. Adjusted EPS is now forecast between $12.75 and $13.25, down from the previously guided range of $13.30-$13.85. The auto parts retailer now intends to buy back stocks worth $500-$600 million in 2022. It aims to open 125-150 new stores this year.
O’Reilly released second-quarter 2022 results on Jul 27. It posted adjusted earnings per share of $8.78, missing the Zacks Consensus Estimate of $8.98. The bottom line, however, increased 5.4% from $8.33 recorded in the prior-year quarter. O’Reilly registered quarterly revenues of $3,670.7 million, missing the consensus mark of $3,696 million. The top line, however, was nearly 6% higher than the prior-year figure of $3,465.6 million.
During the quarter, ORLY opened 62 new stores in the United States. It did not open any new stores in Mexico. The total store count was 5,900 as of Jun 30, 2022. The company had cash and cash equivalents of $253.9 million at the end of the second quarter, falling from $631.6 million in the year-ago quarter. Its long-term debt was $4,669.8 million, higher than the year-ago level of $3,825.2 million.
AutoZone posted fourth-quarter fiscal 2022 results on Sep 19. It came out with earnings of $40.51 per share, up 13.4% from the prior-year figure of $35.72. The bottom line surpassed the Zacks Consensus Estimate of $38.38 a share. The net sales also grew 8.9% to $5,348.3 million. The top line beat the Zacks Consensus Estimate of $5,143 million.
During the fiscal year that ended Aug 27, 2022, AutoZone opened 118 new stores and closed one in the United States, opened 39 stores in Mexico and 20 stores in Brazil. The total store count was 6,943 as of Aug 27, 2022. AZO had cash and cash equivalents of $264.4 million as of Aug 27, 2022, down from $1,171.3 million on Aug 28, 2021. The total debt amounted to $6,122.1 million as of Aug 27, 2022, marking an increase from $5,269.8 million on Aug 28, 2021.
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O'Reilly Automotive, Inc. (ORLY): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AutoZone, Inc. (AZO): Free Stock Analysis Report
CarMax, Inc. (KMX): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Peer Releases CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report CarMax Inc. KMX reported second-quarter fiscal 2023 (ended Aug 31, 2022) net earnings per share of 79 cents, lagging the Zacks Consensus Estimate of $1.40 amid lower-than-anticipated revenues across all segments.
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Peer Releases CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report CarMax Inc. KMX reported second-quarter fiscal 2023 (ended Aug 31, 2022) net earnings per share of 79 cents, lagging the Zacks Consensus Estimate of $1.40 amid lower-than-anticipated revenues across all segments.
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Peer Releases CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report The auto retailer registered revenues of $8,145 million for the August-end quarter, which fell short of the Zacks Consensus Estimate of $8,749 million.
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Peer Releases CarMax’s key peers include Advance Auto Parts AAP, O’Reilly Automotive ORLY and AutoZone AZO. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report CarMax Inc. KMX reported second-quarter fiscal 2023 (ended Aug 31, 2022) net earnings per share of 79 cents, lagging the Zacks Consensus Estimate of $1.40 amid lower-than-anticipated revenues across all segments.
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10885.0
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2022-09-29 00:00:00 UTC
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Advance Auto Parts Becomes Oversold
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-becomes-oversold-0
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nan
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The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $158.81 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30. In the case of Advance Auto Parts Inc, the RSI reading has hit 29.5 — by comparison, the universe of dividend stocks covered by Dividend Channel currently has an average RSI of 31.8. A falling stock price — all else being equal — creates a better opportunity for dividend investors to capture a higher yield. Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 3.67% based upon the recent $163.32 share price.
A bullish investor could look at AAP's 29.5 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. In general, dividends are not always predictable; but, looking at the history chart below can help in judging whether the most recent dividend is likely to continue.
Click here to find out what 9 other oversold dividend stocks you need to know about »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A bullish investor could look at AAP's 29.5 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $158.81 per share.
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Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 3.67% based upon the recent $163.32 share price. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $158.81 per share.
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Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $158.81 per share.
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But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Thursday, shares of AAP entered into oversold territory, changing hands as low as $158.81 per share. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
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10886.0
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2022-09-27 00:00:00 UTC
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Advance Auto Parts (AAP) Gains As Market Dips: What You Should Know
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-gains-as-market-dips%3A-what-you-should-know
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nan
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nan
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Advance Auto Parts (AAP) closed at $159.31 in the latest trading session, marking a +1.03% move from the prior day. This move outpaced the S&P 500's daily loss of 0.21%. Elsewhere, the Dow lost 0.43%, while the tech-heavy Nasdaq added 0.03%.
Prior to today's trading, shares of the auto parts retailer had lost 7.54% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 9.13% and the S&P 500's loss of 9.7% in that time.
Investors will be hoping for strength from Advance Auto Parts as it approaches its next earnings release. On that day, Advance Auto Parts is projected to report earnings of $3.31 per share, which would represent year-over-year growth of 3.12%. Meanwhile, our latest consensus estimate is calling for revenue of $2.65 billion, up 1.19% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $13.01 per share and revenue of $11.12 billion, which would represent changes of +8.24% and +1.09%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Advance Auto Parts. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.16% higher. Advance Auto Parts is currently sporting a Zacks Rank of #4 (Sell).
In terms of valuation, Advance Auto Parts is currently trading at a Forward P/E ratio of 12.12. Its industry sports an average Forward P/E of 15.5, so we one might conclude that Advance Auto Parts is trading at a discount comparatively.
Investors should also note that AAP has a PEG ratio of 0.97 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Automotive - Retail and Wholesale - Parts industry currently had an average PEG ratio of 1.55 as of yesterday's close.
The Automotive - Retail and Wholesale - Parts industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 219, which puts it in the bottom 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AAP in the coming trading sessions, be sure to utilize Zacks.com.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) closed at $159.31 in the latest trading session, marking a +1.03% move from the prior day. Investors should also note that AAP has a PEG ratio of 0.97 right now. To follow AAP in the coming trading sessions, be sure to utilize Zacks.com.
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Advance Auto Parts (AAP) closed at $159.31 in the latest trading session, marking a +1.03% move from the prior day. Investors should also note that AAP has a PEG ratio of 0.97 right now. To follow AAP in the coming trading sessions, be sure to utilize Zacks.com.
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Advance Auto Parts (AAP) closed at $159.31 in the latest trading session, marking a +1.03% move from the prior day. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Investors should also note that AAP has a PEG ratio of 0.97 right now.
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Advance Auto Parts (AAP) closed at $159.31 in the latest trading session, marking a +1.03% move from the prior day. Investors should also note that AAP has a PEG ratio of 0.97 right now. To follow AAP in the coming trading sessions, be sure to utilize Zacks.com.
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10887.0
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2022-09-27 00:00:00 UTC
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This Auto Parts Leader Just Beat Sales Expectations: Is It Time to Buy?
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AAP
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https://www.nasdaq.com/articles/this-auto-parts-leader-just-beat-sales-expectations%3A-is-it-time-to-buy
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nan
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nan
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AutoZone (NYSE: AZO), the largest auto parts chain in the U.S., has outperformed the S&P 500 for over 15 years and continues to report impressive results. The company just posted fiscal Q4 earnings and crushed revenue estimates by $100 million, growing sales more than 11% year over year.
So is it time to add AutoZone to your portfolio? Let's take a closer look at this auto parts stock.
The right part at the right time
Founded over 43 years ago, AutoZone revolutionized the auto parts industry with its vision of "clean, well-organized auto parts stores and excellent customer service." Although competitors including Advance Auto Parts and O'Reilly Automotive have entered the market, AutoZone stands alone at the top.
The company operates 6,000+ stores across 50 states and 700+ stores in Mexico, in addition to locations in Puerto Rico and Brazil. Like Amazon's, AutoZone's success hinges on its excellent customer service, ample selection, and, most importantly -- product availability.
In a retail environment with seemingly endless niche parts and pieces, a major challenge for AutoZone has been ensuring that parts are in stock when customers need them. To meet this challenge, AutoZone has developed a truly unique inventory management approach. The company's inventory model consists of AutoZone stores, hubs, and mega hubs -- stores that carry over 100,000 unique products -- all to make sure the right part is in the right place when a customer needs it.
For over 20 years, AutoZone has fine-tuned its distribution network, designating stores with expanded inventories as hubs. Each hub serves as a local distribution center and can deliver to other stores in its network as early as the same day. This ability to quickly adjust inventory levels has helped drive "tremendous momentum" for AutoZone, according to CFO Jamere Jackson.
A foggy road ahead
AutoZone faces retail wide headwinds including staffing and supply chain challenges amid rising freight and raw materials costs. These factors make forecasting particularly difficult, especially when combined with inflation and rising interest rates. With so much uncertainty in the marketplace, the company struggles to provide a realistic outlook.
As AutoZone CEO Bill Rhodes explained during the company's Q4earnings call "While we continue to be encouraged with the current sales environment, it remains difficult for us to forecast near-to-midterm sales."
However, he did go on to say that stronger-than-expected June and July sales boosted the company's confidence for the near term. AutoZone also expects to see robust commercial sales momentum carry into fiscal Q1 of 2023.
Longer-term, the imminent mass adoption of the electric automobile could pose a threat to AutoZone's viability. As more people transition to EVs, which require less DIY maintenance and have fewer moving parts than traditional vehicles, AutoZone will inevitably have to adapt to the changing market. For now the company is healthy, but a pivot or two may be required for AutoZone to remain relevant in a market set for a major upheaval.
Record sales per store
Closing out fiscal 2022, AutoZone reported notable same-store sales growth of 6.2% year over year, outpacing last year's Q4 growth of 4.3%. The company also broke its previous record for average weekly sales per store by 18%, reporting a new record of $17,000 per store. Total revenue rose 8.9% vs. last year to $5.3. billion for the quarter.
In terms of commercial sales, the company posted its sixth straight quarter of greater-than-20% growth and a fourth-quarter record of more than $1.4 billion in sales. In another record, AutoZone's domestic commercial sales accounted for 30% of all domestic auto parts sales -- the previous record stood at 26%.
Earnings per share grew 13% in the fourth quarter to $40.51, more than 5% over analysts' estimates. For the year, AutoZone's earnings grew to $117.19 per share, an annual increase of more than 23%.
While the company is hesitant to provide guidance, the trajectory for AutoZone certainly looks promising. New investors might want to start building a position, and existing AutoZone shareholders should consider buying dips like the one that occurred in May. If current sales trends continue into 2023, watch for this aftermarket auto parts retailer to keep outperforming the S&P 500. While the electric car revolution won't happen overnight, AutoZone should be prepared to adapt as the market dictates.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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AutoZone (NYSE: AZO), the largest auto parts chain in the U.S., has outperformed the S&P 500 for over 15 years and continues to report impressive results. A foggy road ahead AutoZone faces retail wide headwinds including staffing and supply chain challenges amid rising freight and raw materials costs. As more people transition to EVs, which require less DIY maintenance and have fewer moving parts than traditional vehicles, AutoZone will inevitably have to adapt to the changing market.
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The right part at the right time Founded over 43 years ago, AutoZone revolutionized the auto parts industry with its vision of "clean, well-organized auto parts stores and excellent customer service." The company's inventory model consists of AutoZone stores, hubs, and mega hubs -- stores that carry over 100,000 unique products -- all to make sure the right part is in the right place when a customer needs it. Record sales per store Closing out fiscal 2022, AutoZone reported notable same-store sales growth of 6.2% year over year, outpacing last year's Q4 growth of 4.3%.
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The right part at the right time Founded over 43 years ago, AutoZone revolutionized the auto parts industry with its vision of "clean, well-organized auto parts stores and excellent customer service." The company's inventory model consists of AutoZone stores, hubs, and mega hubs -- stores that carry over 100,000 unique products -- all to make sure the right part is in the right place when a customer needs it. Record sales per store Closing out fiscal 2022, AutoZone reported notable same-store sales growth of 6.2% year over year, outpacing last year's Q4 growth of 4.3%.
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The right part at the right time Founded over 43 years ago, AutoZone revolutionized the auto parts industry with its vision of "clean, well-organized auto parts stores and excellent customer service." The company's inventory model consists of AutoZone stores, hubs, and mega hubs -- stores that carry over 100,000 unique products -- all to make sure the right part is in the right place when a customer needs it. Record sales per store Closing out fiscal 2022, AutoZone reported notable same-store sales growth of 6.2% year over year, outpacing last year's Q4 growth of 4.3%.
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10888.0
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2022-09-22 00:00:00 UTC
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Advance Auto Parts Inc Shares Approach 52-Week Low - Market Mover
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-inc-shares-approach-52-week-low-market-mover
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nan
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nan
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Advance Auto Parts Inc (AAP) shares closed today at 1.7% above its 52 week low of $157.79, giving the company a market cap of $9B. The stock is currently down 31.4% year-to-date, down 22.8% over the past 12 months, and up 76.9% over the past five years. This week, the Dow Jones Industrial Average fell 4.0%, and the S&P 500 fell 4.6%.
Trading Activity
Trading volume this week was 0.2% lower than the 20-day average.
Beta, a measure of the stock’s volatility relative to the overall market stands at 0.9.
Technical Indicators
The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
MACD, a trend-following momentum indicator, indicates a downward trend.
The stock closed below its Bollinger band, indicating it may be oversold.
The stock closed at 2.6% lower than its 5-day moving average, 6.2% lower than its 20-day moving average, and 12.8% lower than its 90-day moving average.
Market Comparative Performance
The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and beats it on a 5-year basis
The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis
The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis
Per Group Comparative Performance
The company's stock price performance year-to-date lags the peer average by 60.6%
The company's stock price performance over the past 12 months lags the peer average by 80.7%
The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -19226.1% higher than the average peer.
This story was produced by the Kwhen Automated News Generator. For more articles like this, please visit us at finance.kwhen.com. Write to editors@kwhen.com. © 2020 Kwhen Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts Inc (AAP) shares closed today at 1.7% above its 52 week low of $157.79, giving the company a market cap of $9B. Beta, a measure of the stock’s volatility relative to the overall market stands at 0.9. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and beats it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 60.6% The company's stock price performance over the past 12 months lags the peer average by 80.7% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -19226.1% higher than the average peer.
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Advance Auto Parts Inc (AAP) shares closed today at 1.7% above its 52 week low of $157.79, giving the company a market cap of $9B. This week, the Dow Jones Industrial Average fell 4.0%, and the S&P 500 fell 4.6%. The stock closed at 2.6% lower than its 5-day moving average, 6.2% lower than its 20-day moving average, and 12.8% lower than its 90-day moving average.
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Advance Auto Parts Inc (AAP) shares closed today at 1.7% above its 52 week low of $157.79, giving the company a market cap of $9B. The stock closed at 2.6% lower than its 5-day moving average, 6.2% lower than its 20-day moving average, and 12.8% lower than its 90-day moving average. Market Comparative Performance The company's share price is the same as the S&P 500 Index , lags it on a 1-year basis, and beats it on a 5-year basis The company's share price is the same as the Dow Jones Industrial Average , lags it on a 1-year basis, and beats it on a 5-year basis The company share price is the same as the performance of its peers in the Consumer Discretionary industry sector , lags it on a 1-year basis, and beats it on a 5 year basis Per Group Comparative Performance The company's stock price performance year-to-date lags the peer average by 60.6% The company's stock price performance over the past 12 months lags the peer average by 80.7% The company's price-to-earnings ratio, which relates a company's share price to its earnings per share, is -19226.1% higher than the average peer.
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Advance Auto Parts Inc (AAP) shares closed today at 1.7% above its 52 week low of $157.79, giving the company a market cap of $9B. Trading Activity Trading volume this week was 0.2% lower than the 20-day average. Technical Indicators The Relative Strength Index (RSI) on the stock was under 30, indicating it may be underbought.
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10889.0
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2022-09-22 00:00:00 UTC
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Advance Auto Parts (AAP) Down 8% Since Last Earnings Report: Can It Rebound?
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-aap-down-8-since-last-earnings-report%3A-can-it-rebound
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nan
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nan
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A month has gone by since the last earnings report for Advance Auto Parts (AAP). Shares have lost about 8% in that time frame, outperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is Advance Auto Parts due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
Advance Auto Q2 Earnings in Line With Estimates
Advance Auto reported adjusted earnings of $3.74 per share for second-quarter 2022 (ended Jul 16, 2022), up 10% from the year-ago quarter figure. The reported figure was in line with the Zacks Consensus Estimate. Our estimate for second-quarter 2022 EPS was $3.79. Advance Auto generated net revenues of $2,665.4 million, falling short of the Zacks Consensus Estimate of $2,748 million but edging up 0.6% from the year-ago reported figure. Our estimate for the top line was $2,762.3 million.
Comparable same-store declined 0.60%. Adjusted operating income was up 3.6% year over year to $312.8 million despite a rise in SG&A costs. Adjusted SG&A expenses totaled $984 million for second-quarter 2022, up from $944.3 million in the year-ago period.
Financial Position
Advance Auto had cash and cash equivalents of $240.5 million as of Jul 16, 2022 compared with $601.4 million on Jan 1, 2022. Total long-term debt was $1,187.5 million as of Jul 16, 2022, up from $1,034.3 million on Jan 1, 2022. During the reported quarter, net cash provided by operating activities totaled $308.5 million, down from $776.2 million recorded in the second quarter of 2021. AAP recorded an FCF of $97.3 million in the quarter under review, down from $646.6 million in the comparable year-ago period.
Dividend & Share Repurchase
AAP’s board declared a cash dividend of $1.50 a share, which would be payable on Sep 30, 2022 to all common shareholders of record as of Sep 16, 2022.
During the quarter under discussion, AAP repurchased around 1 million shares for $200 million at an average price of $199.02 per share. At the end of second-quarter 2022, AAP had $1.1 billion remaining under the share-repurchase program.
Store Update
As of Jul 16, 2022, AAP operated 4,724 stores and 312 Worldpac branches in the United States, Canada, Puerto Rico, and U.S. Virgin Islands. It also served 1,329 independently-owned Carquest-branded stores across these locations, in addition to Mexico and various Caribbean Islands.
2022 Guidance Trimmed
Advance Auto estimates 2022 net sales in the band of $11-$11.2 billion, down from the previous guided range of $11.2-$11.5 billion. Comparable store sales are now envisioned to decline up to 1% as against the prior forecast of 1-3% growth. Adjusted operating income margin is envisioned in the range of 9.8-10%, down from the prior estimate of 10-10.2%. Advance Auto expects capex in the $300-$350 million range, implying no change from the prior outlook. The company now targets FCF of a minimum of $700 million, down from $775 million estimated earlier. Adjusted EPS is now forecast between $12.75 and $13.25, down from the previously guided range of $13.30-$13.85. The auto parts retailer now intends to buy back stocks worth $500-$600 million in 2022. It aims to open 125-150 new stores this year.
How Have Estimates Been Moving Since Then?
It turns out, estimates revision have trended downward during the past month.
The consensus estimate has shifted -9.8% due to these changes.
VGM Scores
At this time, Advance Auto Parts has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. However, the stock was allocated a grade of B on the value side, putting it in the top 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. It's no surprise Advance Auto Parts has a Zacks Rank #4 (Sell). We expect a below average return from the stock in the next few months.
Just Released: Free Report Reveals Little-Known Strategies to Help Profit from the $30 Trillion Metaverse Boom
It's undeniable. The metaverse is gaining steam every day. Just follow the money. Google. Microsoft. Adobe. Nike. Facebook even rebranded itself as Meta because Mark Zuckerberg believes the metaverse is the next iteration of the internet. The inevitable result? Many investors will get rich as the metaverse evolves. What do they know that you don't? They’re aware of the companies best poised to grow as the metaverse does. And in a new FREE report, Zacks is revealing those stocks to you. This week, you can download, The Metaverse - What is it? And How to Profit with These 5 Pioneering Stocks. It reveals specific stocks set to skyrocket as this emerging technology develops and expands. Don't miss your chance to access it for free with no obligation.
>>Show me how I could profit from the metaverse!
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A month has gone by since the last earnings report for Advance Auto Parts (AAP). AAP recorded an FCF of $97.3 million in the quarter under review, down from $646.6 million in the comparable year-ago period. Dividend & Share Repurchase AAP’s board declared a cash dividend of $1.50 a share, which would be payable on Sep 30, 2022 to all common shareholders of record as of Sep 16, 2022.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report A month has gone by since the last earnings report for Advance Auto Parts (AAP). AAP recorded an FCF of $97.3 million in the quarter under review, down from $646.6 million in the comparable year-ago period.
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A month has gone by since the last earnings report for Advance Auto Parts (AAP). AAP recorded an FCF of $97.3 million in the quarter under review, down from $646.6 million in the comparable year-ago period. Dividend & Share Repurchase AAP’s board declared a cash dividend of $1.50 a share, which would be payable on Sep 30, 2022 to all common shareholders of record as of Sep 16, 2022.
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A month has gone by since the last earnings report for Advance Auto Parts (AAP). AAP recorded an FCF of $97.3 million in the quarter under review, down from $646.6 million in the comparable year-ago period. Dividend & Share Repurchase AAP’s board declared a cash dividend of $1.50 a share, which would be payable on Sep 30, 2022 to all common shareholders of record as of Sep 16, 2022.
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10890.0
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2022-09-22 00:00:00 UTC
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Is Trending Stock Advance Auto Parts, Inc. (AAP) a Buy Now?
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AAP
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https://www.nasdaq.com/articles/is-trending-stock-advance-auto-parts-inc.-aap-a-buy-now
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nan
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nan
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. So, you might want to look at some of the facts that could shape the stock's performance in the near term.
Over the past month, shares of this auto parts retailer have returned -8%, compared to the Zacks S&P 500 composite's -10.2% change. During this period, the Zacks Automotive - Retail and Wholesale - Parts industry, which Advance Auto Parts falls in, has lost 10.2%. The key question now is: What could be the stock's future direction?
Although media reports or rumors about a significant change in a company's business prospects usually cause its stock to trend and lead to an immediate price change, there are always certain fundamental factors that ultimately drive the buy-and-hold decision.
Revisions to Earnings Estimates
Here at Zacks, we prioritize appraising the change in the projection of a company's future earnings over anything else. That's because we believe the present value of its future stream of earnings is what determines the fair value for its stock.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Advance Auto Parts is expected to post earnings of $3.33 per share, indicating a change of +3.7% from the year-ago quarter. The Zacks Consensus Estimate has changed -9.8% over the last 30 days.
For the current fiscal year, the consensus earnings estimate of $13.01 points to a change of +8.2% from the prior year. Over the last 30 days, this estimate has changed -4.9%.
For the next fiscal year, the consensus earnings estimate of $14.75 indicates a change of +13.4% from what Advance Auto Parts is expected to report a year ago. Over the past month, the estimate has changed -4.2%.
Having a strong externally audited track record, our proprietary stock rating tool, the Zacks Rank, offers a more conclusive picture of a stock's price direction in the near term, since it effectively harnesses the power of earnings estimate revisions. Due to the size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, Advance Auto Parts is rated Zacks Rank #4 (Sell).
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Revenue Growth Forecast
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Advance Auto Parts, the consensus sales estimate of $2.65 billion for the current quarter points to a year-over-year change of +1.2%. The $11.12 billion and $11.57 billion estimates for the current and next fiscal years indicate changes of +1.1% and +4.1%, respectively.
Last Reported Results and Surprise History
Advance Auto Parts reported revenues of $2.67 billion in the last reported quarter, representing a year-over-year change of +0.6%. EPS of $3.74 for the same period compares with $3.40 a year ago.
Compared to the Zacks Consensus Estimate of $2.75 billion, the reported revenues represent a surprise of -2.99%. The EPS surprise was 0%.
Over the last four quarters, Advance Auto Parts surpassed consensus EPS estimates three times. The company topped consensus revenue estimates two times over this period.
Valuation
No investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S) and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an An is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Advance Auto Parts is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Conclusion
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Advance Auto Parts. However, its Zacks Rank #4 does suggest that it may underperform the broader market in the near term.
Just Released: Free Report Reveals Little-Known Strategies to Help Profit from the $30 Trillion Metaverse Boom
It's undeniable. The metaverse is gaining steam every day. Just follow the money. Google. Microsoft. Adobe. Nike. Facebook even rebranded itself as Meta because Mark Zuckerberg believes the metaverse is the next iteration of the internet. The inevitable result? Many investors will get rich as the metaverse evolves. What do they know that you don't? They’re aware of the companies best poised to grow as the metaverse does. And in a new FREE report, Zacks is revealing those stocks to you. This week, you can download, The Metaverse - What is it? And How to Profit with These 5 Pioneering Stocks. It reveals specific stocks set to skyrocket as this emerging technology develops and expands. Don't miss your chance to access it for free with no obligation.
>>Show me how I could profit from the metaverse!
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report For the next fiscal year, the consensus earnings estimate of $14.75 indicates a change of +13.4% from what Advance Auto Parts is expected to report a year ago.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report For the next fiscal year, the consensus earnings estimate of $14.75 indicates a change of +13.4% from what Advance Auto Parts is expected to report a year ago.
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Advance Auto Parts (AAP) has been one of the most searched-for stocks on Zacks.com lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report And if earnings estimates go up for a company, the fair value for its stock goes up.
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10891.0
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2022-09-20 00:00:00 UTC
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At US$168, Is It Time To Put Advance Auto Parts, Inc. (NYSE:AAP) On Your Watch List?
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AAP
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https://www.nasdaq.com/articles/at-us%24168-is-it-time-to-put-advance-auto-parts-inc.-nyse%3Aaap-on-your-watch-list
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nan
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nan
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Let's talk about the popular Advance Auto Parts, Inc. (NYSE:AAP). The company's shares saw significant share price movement during recent months on the NYSE, rising to highs of US$210 and falling to the lows of US$165. Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price. A question to answer is whether Advance Auto Parts' current trading price of US$168 reflective of the actual value of the large-cap? Or is it currently undervalued, providing us with the opportunity to buy? Let’s take a look at Advance Auto Parts’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change.
What Is Advance Auto Parts Worth?
Advance Auto Parts is currently expensive based on my price multiple model, where I look at the company's price-to-earnings ratio in comparison to the industry average. In this instance, I’ve used the price-to-earnings (PE) ratio given that there is not enough information to reliably forecast the stock’s cash flows. I find that Advance Auto Parts’s ratio of 18.71x is above its peer average of 6.67x, which suggests the stock is trading at a higher price compared to the Specialty Retail industry. But, is there another opportunity to buy low in the future? Given that Advance Auto Parts’s share is fairly volatile (i.e. its price movements are magnified relative to the rest of the market) this could mean the price can sink lower, giving us another chance to buy in the future. This is based on its high beta, which is a good indicator for share price volatility.
Can we expect growth from Advance Auto Parts?
NYSE:AAP Earnings and Revenue Growth September 20th 2022
Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Buying a great company with a robust outlook at a cheap price is always a good investment, so let’s also take a look at the company's future expectations. Advance Auto Parts' earnings over the next few years are expected to increase by 69%, indicating a highly optimistic future ahead. This should lead to more robust cash flows, feeding into a higher share value.
What This Means For You
Are you a shareholder? AAP’s optimistic future growth appears to have been factored into the current share price, with shares trading above industry price multiples. At this current price, shareholders may be asking a different question – should I sell? If you believe AAP should trade below its current price, selling high and buying it back up again when its price falls towards the industry PE ratio can be profitable. But before you make this decision, take a look at whether its fundamentals have changed.
Are you a potential investor? If you’ve been keeping an eye on AAP for a while, now may not be the best time to enter into the stock. The price has surpassed its industry peers, which means it is likely that there is no more upside from mispricing. However, the positive outlook is encouraging for AAP, which means it’s worth diving deeper into other factors in order to take advantage of the next price drop.
Keep in mind, when it comes to analysing a stock it's worth noting the risks involved. While conducting our analysis, we found that Advance Auto Parts has 1 warning sign and it would be unwise to ignore it.
If you are no longer interested in Advance Auto Parts, you can use our free platform to see our list of over 50 other stocks with a high growth potential.
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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However, the positive outlook is encouraging for AAP, which means it’s worth diving deeper into other factors in order to take advantage of the next price drop. Let's talk about the popular Advance Auto Parts, Inc. (NYSE:AAP). NYSE:AAP Earnings and Revenue Growth September 20th 2022 Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares.
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AAP’s optimistic future growth appears to have been factored into the current share price, with shares trading above industry price multiples. Let's talk about the popular Advance Auto Parts, Inc. (NYSE:AAP). NYSE:AAP Earnings and Revenue Growth September 20th 2022 Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares.
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AAP’s optimistic future growth appears to have been factored into the current share price, with shares trading above industry price multiples. Let's talk about the popular Advance Auto Parts, Inc. (NYSE:AAP). NYSE:AAP Earnings and Revenue Growth September 20th 2022 Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares.
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AAP’s optimistic future growth appears to have been factored into the current share price, with shares trading above industry price multiples. Let's talk about the popular Advance Auto Parts, Inc. (NYSE:AAP). NYSE:AAP Earnings and Revenue Growth September 20th 2022 Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares.
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10892.0
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2022-09-16 00:00:00 UTC
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Here's What to Expect From AutoZone's (AZO) Q4 Earnings
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AAP
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https://www.nasdaq.com/articles/heres-what-to-expect-from-autozones-azo-q4-earnings
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nan
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nan
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AutoZone AZO is slated to release fourth-quarter fiscal 2022 results on Sep 19, before the closing bell. The Zacks Consensus Estimate for the quarter’s earnings and revenues is pegged at $38.31 per share and $5.14 billion, respectively.
The Zacks Consensus Estimate for fiscal fourth-quarter earnings per share has moved 7 cents south in the past 30 days. The bottom-line projection indicates a year-over-year increase of 7.25%. The Zacks Consensus Estimate for quarterly revenues implies a 4.54% rise from the prior-year level.
The automotive parts retailer posted better-than-anticipated results in the last reported quarter. Over the trailing four quarters, the company surpassed earnings estimates on all occasions, with the average being 20%. This is depicted in the graph below:
AutoZone, Inc. Price and EPS Surprise
AutoZone, Inc. price-eps-surprise | AutoZone, Inc. Quote
What Does Our Model Say?
Our proven model does not predict an earnings beat for AutoZone this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. This is not the case here.
Earnings ESP: AutoZone has an Earnings ESP of -2.73%. This is because the Most Accurate Estimate is pegged at $37.26 per share, which is $1.05 lower than the Zacks Consensus Estimate. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: AutoZone carries a Zacks Rank of 3 currently. You can see the complete list of today’s Zacks #1 Rank stocks here.
Factors at Play
AutoZone’s wide-ranging product portfolio, serving both retail DIY (‘Do-It-Yourself) and commercial DIFM (‘Do-It-For-Me) businesses, is likely to have boosted comparable sales growth during the to-be-reported quarter. The company’s digitalization efforts to enhance customers’ shopping experience are also likely to have boosted top-line growth. Ship-to-home next day, buy online and curbside pick-up options are expected to have supported AutoZone’s sales. AZO’s initiatives to enhance in-store systems and website traffic are likely to have impacted the quarterly performance. The Zacks Consensus Estimates for fiscal fourth-quarter’s comps growth is 3.01%, indicating an increase from 2.6% recorded in the prior quarter.
On the flip side, the company’s store expansion initiatives are anticipated to have negatively impacted AZO’s bottom line in the fiscal fourth quarter. While doubling down on expansion with the opening of new distribution centers, mega hubs and stores may have boosted AutoZone’s prospects, it may have strained near-term financials and operating margins. Further, AutoZone’s technology investments to improve the electronic catalog might have limited cash inflows in the to-be-reported quarter.
Peer Releases
AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY.
Advance Auto reported second-quarter 2022 (ended Jul 16, 2022) results on Aug 23. It posted adjusted earnings of $3.74 per share, up 10% from the year-ago quarter figure. The reported figure was in line with the Zacks Consensus Estimate. The company generated net revenues of $2,665.4 million, falling short of the Zacks Consensus Estimate of $2,748 million but edging up 0.6% from the year-ago reported figure.
Discouragingly, Advance Auto trimmed its 2022 guidance. It estimates full-year net sales in the band of $11-$11.2 billion, down from the previous guided range of $11.2-$11.5 billion. Comparable store sales are now envisioned to decline up to 1% as against the prior forecast of 1-3% growth. Adjusted operating income margin is envisioned in the range of 9.8-10%, down from the prior estimate of 10-10.2%. Adjusted EPS is now forecast between $12.75 and $13.25, down from the previously guided range of $13.30-$13.85. The auto parts retailer now intends to buy back stocks worth $500-$600 million in 2022. It aims to open 125-150 new stores this year.
O’Reilly reported second-quarter 2022 results on Jul 27. It posted adjusted earnings per share of $8.78, missing the Zacks Consensus Estimate of $8.98. The bottom line, however, increased 5.4% from $8.33 recorded in the prior-year quarter. O’Reilly registered quarterly revenues of $3,670.7 million, missing the consensus mark of $3,696 million. The top line, however, was nearly 6% higher than the prior-year figure of $3,465.6 million.
During the quarter, ORLY opened 62 new stores in the United States. It did not open any new stores in Mexico. The total store count was 5,900 as of Jun 30, 2022. The company had cash and cash equivalents of $253.9 million at the end of the second quarter, falling from $631.6 million in the year-ago quarter. Its long-term debt was $4,669.8 million, higher than the year-ago level of $3,825.2 million.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
O'Reilly Automotive, Inc. (ORLY): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
AutoZone, Inc. (AZO): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Peer Releases AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Factors at Play AutoZone’s wide-ranging product portfolio, serving both retail DIY (‘Do-It-Yourself) and commercial DIFM (‘Do-It-For-Me) businesses, is likely to have boosted comparable sales growth during the to-be-reported quarter.
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Peer Releases AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Advance Auto reported second-quarter 2022 (ended Jul 16, 2022) results on Aug 23.
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Peer Releases AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report The Zacks Consensus Estimate for the quarter’s earnings and revenues is pegged at $38.31 per share and $5.14 billion, respectively.
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Peer Releases AutoZone’s close peers include Advance Auto Parts, Inc. AAP and O’Reilly Automotive ORLY. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report It posted adjusted earnings of $3.74 per share, up 10% from the year-ago quarter figure.
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10893.0
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2022-09-16 00:00:00 UTC
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Interesting AAP Put And Call Options For November 18th
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AAP
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https://www.nasdaq.com/articles/interesting-aap-put-and-call-options-for-november-18th
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nan
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nan
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Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available this week, for the November 18th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new November 18th contracts and identified one put and one call contract of particular interest.
The put contract at the $160.00 strike price has a current bid of $6.50. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $160.00, but will also collect the premium, putting the cost basis of the shares at $153.50 (before broker commissions). To an investor already interested in purchasing shares of AAP, that could represent an attractive alternative to paying $167.64/share today.
Because the $160.00 strike represents an approximate 5% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 66%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 4.06% return on the cash commitment, or 23.52% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for Advance Auto Parts Inc, and highlighting in green where the $160.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $170.00 strike price has a current bid of $9.30. If an investor was to purchase shares of AAP stock at the current price level of $167.64/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $170.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 6.96% if the stock gets called away at the November 18th expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $170.00 strike highlighted in red:
Considering the fact that the $170.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 51%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 5.55% boost of extra return to the investor, or 32.12% annualized, which we refer to as the YieldBoost.
The implied volatility in the put contract example is 43%, while the implied volatility in the call contract example is 39%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 252 trading day closing values as well as today's price of $167.64) to be 34%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Top YieldBoost Calls of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Of course, a lot of upside could potentially be left on the table if AAP shares really soar, which is why looking at the trailing twelve month trading history for Advance Auto Parts Inc, as well as studying the business fundamentals becomes important. Below is a chart showing AAP's trailing twelve month trading history, with the $170.00 strike highlighted in red: Considering the fact that the $170.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available this week, for the November 18th expiration.
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Below is a chart showing AAP's trailing twelve month trading history, with the $170.00 strike highlighted in red: Considering the fact that the $170.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available this week, for the November 18th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new November 18th contracts and identified one put and one call contract of particular interest.
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Below is a chart showing AAP's trailing twelve month trading history, with the $170.00 strike highlighted in red: Considering the fact that the $170.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available this week, for the November 18th expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new November 18th contracts and identified one put and one call contract of particular interest.
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At Stock Options Channel, our YieldBoost formula has looked up and down the AAP options chain for the new November 18th contracts and identified one put and one call contract of particular interest. Below is a chart showing AAP's trailing twelve month trading history, with the $170.00 strike highlighted in red: Considering the fact that the $170.00 strike represents an approximate 1% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. Investors in Advance Auto Parts Inc (Symbol: AAP) saw new options become available this week, for the November 18th expiration.
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10894.0
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2022-09-08 00:00:00 UTC
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Is Most-Watched Stock Advance Auto Parts, Inc. (AAP) Worth Betting on Now?
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AAP
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https://www.nasdaq.com/articles/is-most-watched-stock-advance-auto-parts-inc.-aap-worth-betting-on-now
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nan
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nan
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Advance Auto Parts (AAP) has recently been on Zacks.com's list of the most searched stocks. Therefore, you might want to consider some of the key factors that could influence the stock's performance in the near future.
Shares of this auto parts retailer have returned -8.4% over the past month versus the Zacks S&P 500 composite's -3.8% change. The Zacks Automotive - Retail and Wholesale - Parts industry, to which Advance Auto Parts belongs, has lost 1.5% over this period. Now the key question is: Where could the stock be headed in the near term?
While media releases or rumors about a substantial change in a company's business prospects usually make its stock 'trending' and lead to an immediate price change, there are always some fundamental facts that eventually dominate the buy-and-hold decision-making.
Revisions to Earnings Estimates
Rather than focusing on anything else, we at Zacks prioritize evaluating the change in a company's earnings projection. This is because we believe the fair value for its stock is determined by the present value of its future stream of earnings.
We essentially look at how sell-side analysts covering the stock are revising their earnings estimates to reflect the impact of the latest business trends. And if earnings estimates go up for a company, the fair value for its stock goes up. A higher fair value than the current market price drives investors' interest in buying the stock, leading to its price moving higher. This is why empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For the current quarter, Advance Auto Parts is expected to post earnings of $3.33 per share, indicating a change of +3.7% from the year-ago quarter. The Zacks Consensus Estimate has changed -9.8% over the last 30 days.
The consensus earnings estimate of $13.01 for the current fiscal year indicates a year-over-year change of +8.2%. This estimate has changed -4.9% over the last 30 days.
For the next fiscal year, the consensus earnings estimate of $14.75 indicates a change of +13.4% from what Advance Auto Parts is expected to report a year ago. Over the past month, the estimate has changed -4.2%.
With an impressive externally audited track record, our proprietary stock rating tool -- the Zacks Rank -- is a more conclusive indicator of a stock's near-term price performance, as it effectively harnesses the power of earnings estimate revisions. The size of the recent change in the consensus estimate, along with three other factors related to earnings estimates, has resulted in a Zacks Rank #4 (Sell) for Advance Auto Parts.
The chart below shows the evolution of the company's forward 12-month consensus EPS estimate:
12 Month EPS
Projected Revenue Growth
While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues. After all, it's nearly impossible for a company to increase its earnings for an extended period without increasing its revenues. So, it's important to know a company's potential revenue growth.
In the case of Advance Auto Parts, the consensus sales estimate of $2.66 billion for the current quarter points to a year-over-year change of +1.6%. The $11.12 billion and $11.57 billion estimates for the current and next fiscal years indicate changes of +1.1% and +4.1%, respectively.
Last Reported Results and Surprise History
Advance Auto Parts reported revenues of $2.67 billion in the last reported quarter, representing a year-over-year change of +0.6%. EPS of $3.74 for the same period compares with $3.40 a year ago.
Compared to the Zacks Consensus Estimate of $2.75 billion, the reported revenues represent a surprise of -2.99%. The EPS surprise was 0%.
Over the last four quarters, Advance Auto Parts surpassed consensus EPS estimates three times. The company topped consensus revenue estimates two times over this period.
Valuation
No investment decision can be efficient without considering a stock's valuation. Whether a stock's current price rightly reflects the intrinsic value of the underlying business and the company's growth prospects is an essential determinant of its future price performance.
While comparing the current values of a company's valuation multiples, such as price-to-earnings (P/E), price-to-sales (P/S) and price-to-cash flow (P/CF), with its own historical values helps determine whether its stock is fairly valued, overvalued, or undervalued, comparing the company relative to its peers on these parameters gives a good sense of the reasonability of the stock's price.
The Zacks Value Style Score (part of the Zacks Style Scores system), which pays close attention to both traditional and unconventional valuation metrics to grade stocks from A to F (an An is better than a B; a B is better than a C; and so on), is pretty helpful in identifying whether a stock is overvalued, rightly valued, or temporarily undervalued.
Advance Auto Parts is graded B on this front, indicating that it is trading at a discount to its peers. Click here to see the values of some of the valuation metrics that have driven this grade.
Bottom Line
The facts discussed here and much other information on Zacks.com might help determine whether or not it's worthwhile paying attention to the market buzz about Advance Auto Parts. However, its Zacks Rank #4 does suggest that it may underperform the broader market in the near term.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Advance Auto Parts (AAP) has recently been on Zacks.com's list of the most searched stocks. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report In the case of Advance Auto Parts, the consensus sales estimate of $2.66 billion for the current quarter points to a year-over-year change of +1.6%.
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Advance Auto Parts (AAP) has recently been on Zacks.com's list of the most searched stocks. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report The chart below shows the evolution of the company's forward 12-month consensus EPS estimate: 12 Month EPS Projected Revenue Growth While earnings growth is arguably the most superior indicator of a company's financial health, nothing happens as such if a business isn't able to grow its revenues.
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Advance Auto Parts (AAP) has recently been on Zacks.com's list of the most searched stocks. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report For the next fiscal year, the consensus earnings estimate of $14.75 indicates a change of +13.4% from what Advance Auto Parts is expected to report a year ago.
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Advance Auto Parts (AAP) has recently been on Zacks.com's list of the most searched stocks. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report And if earnings estimates go up for a company, the fair value for its stock goes up.
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10895.0
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2022-09-06 00:00:00 UTC
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Implied Volatility Surging for Advance Auto Parts (AAP) Stock Options
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AAP
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https://www.nasdaq.com/articles/implied-volatility-surging-for-advance-auto-parts-aap-stock-options-1
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nan
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nan
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. That is because the Sep 16, 2022 $145.00 Call had some of the highest implied volatility of all equity options today.
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
Clearly, options traders are pricing in a big move for Advance Auto Parts shares, but what is the fundamental picture for the company? Currently, Advance Auto Parts is a Zacks Rank #4 (Sell) in the Automotive - Retail and Wholesale - Parts industry that ranks in the Bottom 30% of our Zacks Industry Rank. Over the last 30 days, one analyst has increased the earnings estimates for the current quarter, while seven have dropped their estimates. The net effect has taken our Zacks Consensus Estimate for the current quarter from $3.69 per share to $3.33 in that period.
Given the way analysts feel about Advance Auto Parts right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
Looking to Trade Options?
Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Currently, Advance Auto Parts is a Zacks Rank #4 (Sell) in the Automotive - Retail and Wholesale - Parts industry that ranks in the Bottom 30% of our Zacks Industry Rank.
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
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10896.0
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2022-09-05 00:00:00 UTC
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2 Monster Stocks With Major Passive Income Potential
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AAP
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https://www.nasdaq.com/articles/2-monster-stocks-with-major-passive-income-potential
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nan
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nan
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The consumer sector has a long history of successful dividend stocks. Warren Buffett's Berkshire Hathaway earns an annual dividend return of more than 50% on the original cost of its Coca-Cola position, which dates back to 1988. Procter & Gamble paid its first dividend in 1890! Though some of these names are probably better to hold than buy today, new investors can still find opportunities in consumer dividend stocks.
Moreover, many pay dividends far above the S&P 500 average of 1.6% and offer prospects for further payout hikes. Given current conditions, Target (NYSE: TGT) and Advance Auto Parts (NYSE: AAP) are two dividend growth stocks that could pay off well for income investors.
1. Target
Target's current annual dividend of $4.32 brings a year return of about 2.6%. The company has increased its dividend for 51 consecutive years, making it a Dividend King. Such a long streak builds in an expectation that dividends will rise yearly. So it was notable that despite this ongoing pressure, Target hiked its payout by 20% this year and 32% in 2021.
Analysts credit Target's competitive advantages with the ability to increase the dividend to this degree. Same-day fulfillment, which leverages its 50-state store footprint, has helped to speed retail deliveries. Additionally, so-called "stores within a store," such as the Ulta Beauty locations inside many Target stores, likely also helped draw customers.
Such advantages are critical. Competition from Amazon, Costco, and Walmart remains intense. Also, Target warned in June that an inventory overhang would weigh on profits as it seeks to reduce its inventories. Like many other retailers, Target over-ordered amid supply chain concerns.
The need to liquidate product has considerably reduced its free cash flow. So far this year, Target has reported a negative free cash flow of about $2.6 billion. Over the same time frame, the dividend cost Target $842 million, a factor that may explain why its cash position has fallen to $1.1 billion, down from $5.9 billion at the end of 2021.
Still, this isn't necessarily bad news for investors. Free cash flow for the first half of 2021 came in at $2.1 billion, a level that should make Target's dividend sustainable. This and its ability to significantly raise its dividend in a competitive environment should bode well for the company.
2. Advance Auto Parts
Advance Auto Parts shareholders now receive an annual dividend of $6.00 per share, a yield of about 3.5%. However, investors should take note of its recent dividend history.
After years of paying only $0.24 per share in dividends annually, Advance raised its annual dividend to $1.00 per share in 2020. The payout subsequently grew to $4.00 per share in 2021 and $6.00 per share today. In all, the payout jumped 25-fold over a three-year period.
The auto parts retailer has benefited from the need for transportation and the current state of the car industry. Auto parts is a recession-resistant business as working cars are a top priority for most consumers. Also, according to S&P Mobility, the average age of a vehicle is up to 12.2 years, a factor that will likely keep auto parts in high demand.
Still, it must compete with AutoZone, Genuine Parts, O'Reilly Automotive, and many others. Additionally, the rise of electric vehicles (EVs) could pressure Advance Auto over time as EVs typically use fewer parts.
And like other retailers, Advance has dealt with an inventory overhang. Free cash flow in the first half of fiscal 2022 (which ended July 16) was $97 million, down from $647 million during the same period in 2021. Also, the dividend hikes have led to $246 million in dividend costs over the first two quarters of the year.
Still, the 2021 free cash flow indicates it can afford its dividend as sales return to normal. And even if the dividend hikes pause for a time, investors can still earn a significant cash return from this stock.
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John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Will Healy has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon, Costco Wholesale, Target, Ulta Beauty, and Walmart Inc. The Motley Fool recommends the following options: long January 2024 $47.50 calls on Coca-Cola. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Given current conditions, Target (NYSE: TGT) and Advance Auto Parts (NYSE: AAP) are two dividend growth stocks that could pay off well for income investors. Warren Buffett's Berkshire Hathaway earns an annual dividend return of more than 50% on the original cost of its Coca-Cola position, which dates back to 1988. Though some of these names are probably better to hold than buy today, new investors can still find opportunities in consumer dividend stocks.
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Given current conditions, Target (NYSE: TGT) and Advance Auto Parts (NYSE: AAP) are two dividend growth stocks that could pay off well for income investors. Advance Auto Parts Advance Auto Parts shareholders now receive an annual dividend of $6.00 per share, a yield of about 3.5%. After years of paying only $0.24 per share in dividends annually, Advance raised its annual dividend to $1.00 per share in 2020.
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Given current conditions, Target (NYSE: TGT) and Advance Auto Parts (NYSE: AAP) are two dividend growth stocks that could pay off well for income investors. Advance Auto Parts Advance Auto Parts shareholders now receive an annual dividend of $6.00 per share, a yield of about 3.5%. After years of paying only $0.24 per share in dividends annually, Advance raised its annual dividend to $1.00 per share in 2020.
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Given current conditions, Target (NYSE: TGT) and Advance Auto Parts (NYSE: AAP) are two dividend growth stocks that could pay off well for income investors. Advance Auto Parts Advance Auto Parts shareholders now receive an annual dividend of $6.00 per share, a yield of about 3.5%. And even if the dividend hikes pause for a time, investors can still earn a significant cash return from this stock.
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10897.0
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2022-08-31 00:00:00 UTC
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Advance Auto Parts Enters Oversold Territory
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AAP
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https://www.nasdaq.com/articles/advance-auto-parts-enters-oversold-territory-0
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nan
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nan
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The DividendRank formula at Dividend Channel ranks a coverage universe of thousands of dividend stocks, according to a proprietary formula designed to identify those stocks that combine two important characteristics — strong fundamentals and a valuation that looks inexpensive. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of AAP entered into oversold territory, changing hands as low as $168.255 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30. In the case of Advance Auto Parts Inc, the RSI reading has hit 29.6 — by comparison, the universe of dividend stocks covered by Dividend Channel currently has an average RSI of 45.3. A falling stock price — all else being equal — creates a better opportunity for dividend investors to capture a higher yield. Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 3.52% based upon the recent $170.47 share price.
A bullish investor could look at AAP's 29.6 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. In general, dividends are not always predictable; but, looking at the history chart below can help in judging whether the most recent dividend is likely to continue.
Click here to find out what 9 other oversold dividend stocks you need to know about »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A bullish investor could look at AAP's 29.6 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of AAP entered into oversold territory, changing hands as low as $168.255 per share.
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Indeed, AAP's recent annualized dividend of 6/share (currently paid in quarterly installments) works out to an annual yield of 3.52% based upon the recent $170.47 share price. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of AAP entered into oversold territory, changing hands as low as $168.255 per share.
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Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors. But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of AAP entered into oversold territory, changing hands as low as $168.255 per share.
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But making Advance Auto Parts Inc an even more interesting and timely stock to look at, is the fact that in trading on Wednesday, shares of AAP entered into oversold territory, changing hands as low as $168.255 per share. Among the fundamental datapoints dividend investors should investigate to decide if they are bullish on AAP is its dividend history. Advance Auto Parts Inc (Symbol: AAP) presently has an excellent rank, in the top 25% of the coverage universe, which suggests it is among the top most "interesting" ideas that merit further research by investors.
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10898.0
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2022-08-30 00:00:00 UTC
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Implied Volatility Surging for Advance Auto Parts (AAP) Stock Options
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AAP
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https://www.nasdaq.com/articles/implied-volatility-surging-for-advance-auto-parts-aap-stock-options-0
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nan
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nan
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. That is because the Sep 16, 2022 $145.00 Call had some of the highest implied volatility of all equity options today.
What is Implied Volatility?
Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
What do the Analysts Think?
Clearly, options traders are pricing in a big move for Advance Auto Parts shares, but what is the fundamental picture for the company? Currently, Advance Auto Parts is a Zacks Rank #4 (Sell) in the Automotive - Retail and Wholesale - Parts industry that ranks in the Bottom 30% of our Zacks Industry Rank. Over the last 30 days, no analysts have increased their earnings estimates for the current quarter, while seven analysts have revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from $3.69 per share to $3.32 in that period.
Given the way analysts feel about Advance Auto Parts right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
Looking to Trade Options?
Check out the simple yet high-powered approach that Zacks Executive VP Kevin Matras has used to close recent double and triple-digit winners. In addition to impressive profit potential, these trades can actually reduce your risk.
Click to see the trades now >>
How to Profit from the Hot Electric Vehicle Industry
Global electric car sales in 2021 more than doubled their 2020 numbers. And today, the electric vehicle (EV) technology and very nature of the business is changing quickly. The next push for future technologies is happening now and investors who get in early could see exceptional profits.
See Zacks' Top Stocks to Profit from the EV Revolution >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
|
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other.
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Investors in Advance Auto Parts, Inc. AAP need to pay close attention to the stock based on moves in the options market lately. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.
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10899.0
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2022-08-29 00:00:00 UTC
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Auto Roundup: Honda (HMC) Trims Output, Ford (F) Cuts 3K Jobs & More
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AAP
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https://www.nasdaq.com/articles/auto-roundup%3A-honda-hmc-trims-output-ford-f-cuts-3k-jobs-more
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nan
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nan
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Supply chain disruptions and chip shortages continue to roil the automotive space. Last week, Honda HMC notified its intention to slash output by 40% in Japan in early September. Per reports, the company is also considering shifting its supply chain away from China. Meanwhile,Honda’s closest peer Toyota TM is doubling down on its hybrid bet in India. As India tightens fuel efficiency and emission targets for carmakers, hybrids will help Toyota meet its regulatory requirements as credits earned will offset the production of fossil-fuel vehicles.
In another major announcement, U.S. legacy automaker Ford F announced workforce downsizing by almost 3,000 as part of its cost-reduction efforts and restructuring plan that focuses on shifting to an EV-defined future that reduces dependency on labor. Auto parts retailer Advance Auto Parts, Inc. AAP also made it to the headlines as it unveiled its quarterly results and cut its 2022 projections.
While Toyota, Honda and Ford carry a Zacks Rank #3 (Hold), Advance Auto holds a Zacks Rank #4 (Sell) now.
You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
Recap of Last Week’s Major News
Honda announced its plans to cut production by 40% early next month owing to the chip crisis, logistical challenges and persistent supply chain disruptions. The company’s assembly plant in Saitama prefecture in Japan will slash output by nearly 40%.Two lines at its Suzuka plant will also trim production plans by 30% in early September.The temporary suspension of operations at these factories is set to impact the production of the Vezel sports utility vehicle, the Stepwgn minivan and the Civic compact car.
In another development, the Japanese auto giant is considering setting up a separate supply chain outside China to reduce its dependence on the country. It is believed that HMC would maintain its supply chain in China for the domestic market while having another one in parallel. Honda’s supply chain is heavily China-dependent. Last year, almost 40% of Honda’s automobile production took place in China. But the recent resurgence of Covid-led restrictions in China resulted in supply snarls that significantly lowered output for Honda. The company’s global production plunged 54% year over year in April, primarily because of logistical issues. In light of such supply chain snafus, Honda is contemplating diversifying its manufacturing outside China.
Toyota announced that it is rebooting its strategy for India by doubling down on a bet that emerging markets will generate demand for hybrids if provided at the right price.Toyota wants more first-time buyers in India to own full hybrids as an initial step toward mass electrification. Gradually, it would bolster local sourcing, and production will be competitive.Toyota’s hybrid Camry sedan performance, since its India debut in 2013, has not been impressive. Sales numbers for the vehicle have remained low partly due to a sticker price that was more than eight times the annual income of a middle-class family in the country.
Now, TM is keen to play the game differently with lower-cost hybrids. It intends to bring down the cost of full-hybrid powertrains by manufacturing them domestically in India.Toyota plans to use the clout of its cooperation with partner Suzuki Motor and reap the benefit of the latter’s low-cost engineering know-how and mild hybrid technology. Toyota's first new hybrid to hit India’s roads will be the Urban Cruiser Hyryder, a compact SUV. Its price is expected to be around $25,000, which is less than half the price of the Camry. Suzuki and Toyota together will sell the Hyryder.
Advance Auto reported adjusted earnings of $3.74 per share for second-quarter 2022 (ended Jul 16, 2022), up 10% from the year-ago quarter figure. The reported figure was in line with the Zacks Consensus Estimate. The company generated net revenues of $2,665.4 million, falling short of the Zacks Consensus Estimate of $2,748 million but edging up 0.6% from the year-ago reported figure.
Discouragingly, Advance Auto has trimmed its 2022 guidance. It estimates full-year net sales in the band of $11-$11.2 billion, down from the previous guided range of $11.2-$11.5 billion. Comparable store sales are now envisioned to decline up to 1% as against the prior forecast of 1-3% growth. Adjusted operating income margin is envisioned in the range of 9.8-10%, down from the prior estimate of 10-10.2%. Adjusted EPS is now forecast between $12.75 and $13.25, down from the previously guided range of $13.30-$13.85. The auto parts retailer now intends to buy back stocks worth $500-$600 million in 2022. It aims to open 125-150 new stores this year.
Ford stated its decision to downsize its workforce by 3,000 as part of intensive cost-reduction and restructuring efforts. The move will impact salaried and contract workers. Most of the reduction will be in the United States, Canada and the Ford Business Services operation in India. Of the 3,000 employees, 2,000 are salaried employees and 1,000 are agency personnel.
F opined that its focus on the electrification-driven restructuring efforts has necessitated the re-deployment of its resources to become on par with competitors. Many job positions have skills that have become redundant over time. Therefore, it intends to shuffle its workforce to make it more competitive and dynamic.Ford’s hunger to generate revenues through digital software and connected services requires it to streamline its workforce with the people having the right set of skills.
Price Performance
The following table shows the price movement of some of the major auto players over the last week and six-month period.
Image Source: Zacks Investment Research
What’s Next in the Auto Space?
Industry watchers will keep a tab on August U.S. vehicle sales. Also, stay tuned for any updates on how automakers will tackle the semiconductor shortage and make changes in their business operations.
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Ford Motor Company (F): Free Stock Analysis Report
Toyota Motor Corporation (TM): Free Stock Analysis Report
Honda Motor Co., Ltd. (HMC): Free Stock Analysis Report
Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Auto parts retailer Advance Auto Parts, Inc. AAP also made it to the headlines as it unveiled its quarterly results and cut its 2022 projections. Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report As India tightens fuel efficiency and emission targets for carmakers, hybrids will help Toyota meet its regulatory requirements as credits earned will offset the production of fossil-fuel vehicles.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Auto parts retailer Advance Auto Parts, Inc. AAP also made it to the headlines as it unveiled its quarterly results and cut its 2022 projections. In another major announcement, U.S. legacy automaker Ford F announced workforce downsizing by almost 3,000 as part of its cost-reduction efforts and restructuring plan that focuses on shifting to an EV-defined future that reduces dependency on labor.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Auto parts retailer Advance Auto Parts, Inc. AAP also made it to the headlines as it unveiled its quarterly results and cut its 2022 projections. While Toyota, Honda and Ford carry a Zacks Rank #3 (Hold), Advance Auto holds a Zacks Rank #4 (Sell) now.
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Advance Auto Parts, Inc. (AAP): Free Stock Analysis Report Auto parts retailer Advance Auto Parts, Inc. AAP also made it to the headlines as it unveiled its quarterly results and cut its 2022 projections. Per reports, the company is also considering shifting its supply chain away from China.
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