ADVANCE AUTO PARTS INC (AAP) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does ADVANCE AUTO PARTS INC Do?
Advance Auto Parts, Inc. provides automotive replacement parts, accessories, batteries, and maintenance items for domestic and imported cars, vans, sport utility vehicles, and light and heavy duty trucks. The company offers battery accessories; belts and hoses; brakes and brake pads; chassis and climate control parts; clutches and drive shafts; engines and engine parts; exhaust systems and parts; hub assemblies; ignition components and wires; radiators and cooling parts; starters and alternators; and steering and alignment parts. It also offers air conditioning chemicals and accessories; air fresheners; antifreeze and washer fluids; electrical wires and fuses; electronics; floor mats, seat covers, and interior accessories; hand and specialty tools; lighting products; performance parts; sealants, adhesives and compounds; tire repair accessories; vent shades, mirrors and exterior accessories; washes, waxes and cleaning supplies; and wiper blades. In addition, the company offers air filters; fuel and oil additives; fuel filters; grease and lubricants; motor oils; oil filters, part cleaners and treatments; and transmission fluids for engine maintenance. Further, it offers battery and wiper installation; engine light scanning and checking; electrical system testing; video clinic; oil and battery recycling; and loaner tool program services. Additionally, the company sells its products through its website. It serves professional installers and do-it-yourself customers. The company operates stores under the Advance Auto Parts, Autopart International, and Carquest brands, as well as branches under the Worldpac name. As of January 2, 2022, it operated 4,706 stores and 266 branches in the United States, Puerto Rico, the U.S. Virgin Islands, and Canada; and served 1,317 independently owned Carquest branded stores in Mexico, Grand Cayman, the Bahamas, Turks and Caicos, and the British Virgin Islands. The company was founded in 1929 and is based in Raleigh, North Carolina. ADVANCE AUTO PARTS INC (AAP) is classified as a mid-cap stock in the Consumer Discretionary sector, specifically within the Retail industry. The company is led by CEO Thomas R. Greco and employs approximately 67,000 people, headquartered in ROANOKE, North Carolina. With a market capitalization of $3.3B, AAP is one of the notable companies in the Consumer Discretionary sector.
ADVANCE AUTO PARTS INC (AAP) Stock Rating — Reduce (April 2026)
As of April 2026, ADVANCE AUTO PARTS INC receives a Reduce rating with a composite score of 36.6/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.AAP ranks #2,831 out of 4,446 stocks in our coverage universe. Within the Consumer Discretionary sector, ADVANCE AUTO PARTS INC ranks #301 of 442 stocks, placing it in the lower half of its Consumer Discretionary peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
AAP Stock Price and 52-Week Range
ADVANCE AUTO PARTS INC (AAP) currently trades at $54.59. The stock lost $1.94 (3.4%) in the most recent trading session. The 52-week high for AAP is $70.00, which means the stock is currently trading -22.0% from its annual peak. The 52-week low is $28.89, putting the stock 89.0% above its annual trough. Recent trading volume was 2.0M shares, reflecting moderate market activity.
Is AAP Overvalued or Undervalued? — Valuation Analysis
ADVANCE AUTO PARTS INC (AAP) carries a value factor score of 25/100 in the Blank Capital model, signaling premium valuation that prices in significant future growth. The trailing price-to-earnings ratio is 113.48x, compared to the Consumer Discretionary sector average of 24.47x — a premium of 364%. The price-to-book ratio stands at 1.45x, versus the sector average of 1.99x. The price-to-sales ratio is 0.39x, compared to 0.27x for the average Consumer Discretionary stock. On an enterprise value basis, AAP trades at 26.68x EV/EBITDA, versus 4.91x for the sector.
At current multiples, ADVANCE AUTO PARTS INC trades at a premium to most Consumer Discretionary peers. This elevated valuation may be justified if the company can sustain above-average growth rates and profitability, but it also creates downside risk if earnings disappoint expectations.
ADVANCE AUTO PARTS INC Profitability — ROE, Margins, and Quality Score
ADVANCE AUTO PARTS INC (AAP) earns a quality factor score of 37/100, signaling below-average profitability metrics relative to the broader market. The return on equity (ROE) is 1.3%, compared to the Consumer Discretionary sector average of 6.2%, which is below typical expectations for high-quality companies. Return on assets (ROA) comes in at 0.2% versus the sector average of 2.5%.
On a margin basis, ADVANCE AUTO PARTS INC reports gross margins of 43.4%, compared to 36.9% for the sector. The operating margin is 1.1% (sector: 3.8%). Net profit margin stands at 0.4%, versus 2.1% for the average Consumer Discretionary stock. Revenue growth is running at -21.2% on a trailing basis, compared to 3.3% for the sector. Profitability is below benchmark levels, which may reflect industry headwinds, elevated reinvestment, or structural challenges.
AAP Debt, Balance Sheet, and Financial Health
ADVANCE AUTO PARTS INC has a debt-to-equity ratio of 155.0%, compared to the Consumer Discretionary sector average of 89.0%. This elevated leverage warrants close monitoring, as it increases the company's sensitivity to rising interest rates and economic downturns. The current ratio is 1.75x, suggesting adequate working capital coverage. Total debt on the balance sheet is $3.41B. Cash and equivalents stand at $3.17B.
AAP has a beta of 1.03, meaning it is roughly in line with the broader market in terms of price volatility. The stability factor score for ADVANCE AUTO PARTS INC is 37/100, suggesting elevated price swings that may be unsuitable for conservative portfolios.
ADVANCE AUTO PARTS INC Revenue and Earnings History — Quarterly Trend
In TTM 2026, ADVANCE AUTO PARTS INC reported revenue of $8.09B. Net income for the quarter was $28M. Gross margin was 43.4%. Operating income came in at $88M.
In FY 2026, ADVANCE AUTO PARTS INC reported revenue of N/A.
In Q3 2025, ADVANCE AUTO PARTS INC reported revenue of $2.04B and earnings per share (EPS) of $-0.02. Net income for the quarter was $-1M. Gross margin was 43.3%. Operating income came in at $22M.
In Q3 2026, ADVANCE AUTO PARTS INC reported revenue of $2.04B and earnings per share (EPS) of $-0.02. Net income for the quarter was $-1M. Gross margin was 43.3%. Revenue grew 0.0% year-over-year compared to Q3 2025. Operating income came in at $22M.
Over the past 8 quarters, ADVANCE AUTO PARTS INC has demonstrated a growth trajectory, with revenue expanding from $2.58B to $8.09B. Investors analyzing AAP stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
AAP Dividend Yield and Income Analysis
ADVANCE AUTO PARTS INC (AAP) currently pays a dividend yield of 1.6%. At this yield, a $10,000 investment in AAP stock would generate approximately $$164.00 in annual dividend income.
AAP Momentum and Technical Analysis Profile
ADVANCE AUTO PARTS INC (AAP) has a momentum factor score of 53/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 38/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 9/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
AAP vs Competitors — Consumer Discretionary Sector Ranking and Peer Comparison
Within the Consumer Discretionary sector, ADVANCE AUTO PARTS INC (AAP) ranks #301 out of 442 stocks based on the Blank Capital composite score. This places AAP in the lower half of all Consumer Discretionary stocks in our coverage universe. Key competitors and sector peers include MONARCH CASINO & RESORT INC (MCRI) with a score of 50.5/100, CASEYS GENERAL STORES INC (CASY) with a score of 57.3/100, INGLES MARKETS INC (IMKTA) with a score of 51.0/100, FIVE BELOW, INC (FIVE) with a score of 51.6/100, and TARGET CORP (TGT) with a score of 52.6/100.
Comparing AAP against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full AAP vs S&P 500 (SPY) comparison to assess how ADVANCE AUTO PARTS INC stacks up against the broader market across all factor dimensions.
AAP Next Earnings Date
No upcoming earnings date has been announced for ADVANCE AUTO PARTS INC (AAP) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy AAP? — Investment Thesis Summary
The quantitative profile for ADVANCE AUTO PARTS INC suggests caution. The quality score of 37/100 flags below-average profitability. The value score of 25/100 indicates premium valuation. High volatility (stability score 37/100) increases portfolio risk.
In summary, ADVANCE AUTO PARTS INC (AAP) earns a Reduce rating with a composite score of 36.6/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on AAP stock.
Related Resources for AAP Investors
Explore more research and tools: AAP vs S&P 500 comparison, top Consumer Discretionary stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare AAP head-to-head with peers: AAP vs MCRI, AAP vs CASY, AAP vs IMKTA.