Barclays Reiterates a Buy Rating on Advance Auto Parts (AAP)


Barclays analyst Matthew McClintock reiterated a Buy rating on Advance Auto Parts (AAP) yesterday and set a price target of $205. The company’s shares closed yesterday at $166.

McClintock commented:

“We remain bullish on the shares of AAP as we believe the company continues to appropriately invest for the future and improve the long-term infrastructure of the business. Furthermore, we are impressed management is able to do this while simultaneously driving same store sales growth and margin expansion. We expect investment pressure to continue into 2020, however, a meaningful payoff could occur in 2021 and provide significant upside to consensus expectations. We are maintaining our FY19 EPS estimate of $8.25 and introducing our FY20 EPS estimate of $9.70AAP reported adj. 4Q18 EPS of $1.17: Results exclude $0.43 related to transformation expenses, GPI integration and store closure expenses, and GPI amortization. Revenue increased 3.3% to $2.10 billion: For the quarter comp store sales increased 3.4%.”

According to TipRanks.com, McClintock is a 4-star analyst with an average return of 7.3% and a 56.7% success rate. McClintock covers the Services sector, focusing on stocks such as Foot Locker Inc, O’Reilly Auto, and Best Buy Co.

Advance Auto Parts has an analyst consensus of Moderate Buy, with a price target consensus of $193.14, a 16.3% upside from current levels. In a report issued on February 12, Credit Suisse also upgraded the stock to Buy with a $195 price target.

See today’s analyst top recommended stocks >>

Advance Auto Parts’ market cap is currently $12.18B and has a P/E ratio of 28.96. The company has a Price to Book ratio of 3.31.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

Advance Auto Parts, Inc. engages in the supply and distribution of aftermarket automotive products for both professional installers and do-it-yourself customers. It offers replacement parts, performance parts, accessories, oil and fluids, engine parts, brakes, batteries, accessories, and tools and garage.

Stay Ahead of Everyone Else

Get The Latest Stock News Alerts