The stock of Advance Auto Parts Inc (AAP) has gone down by -10.33% for the week, with a -1.89% drop in the past month and a -26.20% drop in the past quarter. The volatility ratio for the week is 8.18%, and the volatility levels for the past 30 days are 4.70% for AAP. The simple moving average for the last 20 days is -6.10% for AAP’s stock, with a simple moving average of -43.84% for the last 200 days.

Is It Worth Investing in Advance Auto Parts Inc (NYSE: AAP) Right Now?

Advance Auto Parts Inc (NYSE: AAP) has a price-to-earnings ratio of 16.14x that is above its average ratio. Additionally, the 36-month beta value for AAP is 1.13. There are mixed opinions on the stock, with 1 analysts rating it as a “buy,” 0 rating it as “overweight,” 23 rating it as “hold,” and 2 rating it as “sell.”

The average price predicted by analysts for AAP is $58.44, which is $8.11 above the current price. The public float for AAP is 58.87M and currently, short sellers hold a 10.29% ratio of that float. The average trading volume of AAP on November 20, 2023 was 2.56M shares.

AAP) stock’s latest price update

Advance Auto Parts Inc (NYSE: AAP)’s stock price has gone decline by -5.78 in comparison to its previous close of 53.42, however, the company has experienced a -10.33% decrease in its stock price over the last five trading days. The Motley Fool reported 2023-11-18 that Advance Auto Parts slashed its earnings guidance again and flipped from a profit to a loss. Further, the auto parts provider’s “strategic review” update was underwhelming.

Analysts’ Opinion of AAP

Many brokerage firms have already submitted their reports for AAP stocks, with BofA Securities repeating the rating for AAP by listing it as a “Underperform.” The predicted price for AAP in the upcoming period, according to BofA Securities is $43 based on the research report published on November 16, 2023 of the current year 2023.

AAP Trading at -8.10% from the 50-Day Moving Average

After a stumble in the market that brought AAP to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -68.19% of loss for the given period.

Volatility was left at 4.70%, however, over the last 30 days, the volatility rate increased by 8.18%, as shares sank -1.70% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -22.10% lower at present.

During the last 5 trading sessions, AAP fell by -10.33%, which changed the moving average for the period of 200-days by -67.58% in comparison to the 20-day moving average, which settled at $53.56. In addition, Advance Auto Parts Inc saw -65.77% in overturn over a single year, with a tendency to cut further losses.

Insider Trading

Reports are indicating that there were more than several insider trading activities at AAP starting from LEE EUGENE I JR, who purchase 8,670 shares at the price of $57.65 back on Sep 13. After this action, LEE EUGENE I JR now owns 19,430 shares of Advance Auto Parts Inc, valued at $499,818 using the latest closing price.

Pertz Douglas A, the Director of Advance Auto Parts Inc, purchase 4,575 shares at $66.02 during a trade that took place back on Jun 12, which means that Pertz Douglas A is holding 12,831 shares at $302,058 based on the most recent closing price.

Stock Fundamentals for AAP

Current profitability levels for the company are sitting at:

• +6.76 for the present operating margin
• +44.26 for the gross margin

The net margin for Advance Auto Parts Inc stands at +4.50. The total capital return value is set at 11.00, while invested capital returns managed to touch 7.94. Equity return is now at value 6.95, with 1.53 for asset returns.

Based on Advance Auto Parts Inc (AAP), the company’s capital structure generated 151.82 points at debt to equity in total, while total debt to capital is 60.29. Total debt to assets is 33.83, with long-term debt to equity ratio resting at 129.43. Finally, the long-term debt to capital ratio is 51.40.

When we switch over and look at the enterprise to sales, we see a ratio of 0.60, with the company’s debt to enterprise value settled at 0.32. The receivables turnover for the company is 15.06 and the total asset turnover is 0.92. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.13.

Conclusion

In conclusion, Advance Auto Parts Inc (AAP) has seen bad performance in recent times. Analysts have a mixed opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.