JPMorgan Chase & Co. Cuts Advance Auto Parts (NYSE:AAP) Price Target to $55.00

Posted by Brenda Bartman on Aug 24th, 2026

Advance Auto Parts (NYSE:AAP – Free Report) had its price objective reduced by JPMorgan Chase & Co. from $65.00 to $55.00 in a research report sent to investors on Friday,Benzinga reports. JPMorgan Chase & Co. currently has a neutral rating on the stock.

Several other brokerages have also issued reports on AAP. Guggenheim reiterated a “neutral” rating on shares of Advance Auto Parts in a research note on Friday. Weiss Ratings upgraded shares of Advance Auto Parts from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Friday, May 29th. Royal Bank Of Canada decreased their price objective on Advance Auto Parts from $67.00 to $52.00 and set a “sector perform” rating for the company in a report on Friday. Evercore set a $65.00 target price on Advance Auto Parts in a research report on Tuesday, August 4th. Finally, TD Cowen dropped their target price on Advance Auto Parts from $61.00 to $45.00 and set a “hold” rating on the stock in a report on Thursday. Two analysts have rated the stock with a Buy rating, nineteen have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $50.80.

Check Out Our Latest Stock Report on Advance Auto Parts

Advance Auto Parts Trading Up 0.6%

NYSE:AAP opened at $42.85 on Friday. Advance Auto Parts has a twelve month low of $37.89 and a twelve month high of $65.21. The company has a quick ratio of 0.85, a current ratio of 1.75 and a debt-to-equity ratio of 1.50. The business has a 50 day moving average price of $56.58 and a two-hundred day moving average price of $55.39. The company has a market cap of $2.59 billion, a P/E ratio of 31.28, a price-to-earnings-growth ratio of 0.69 and a beta of 1.03.

Advance Auto Parts (NYSE:AAP – Get Free Report) last posted its quarterly earnings data on Thursday, August 20th. The company reported $1.03 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.81 by $0.22. The company had revenue of $2 billion for the quarter, compared to the consensus estimate of $2.04 billion. Advance Auto Parts had a net margin of 0.97% and a return on equity of 9.84%. The firm’s revenue was down .5% compared to the same quarter last year. During the same period last year, the company earned $0.69 earnings per share. Advance Auto Parts has set its FY 2026 guidance at 2.600-3.300 EPS. As a group, analysts expect that Advance Auto Parts will post 2.97 EPS for the current fiscal year.

Advance Auto Parts Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Friday, October 23rd. Shareholders of record on Friday, October 9th will be paid a $0.25 dividend. The ex-dividend date is Friday, October 9th. This represents a $1.00 dividend on an annualized basis and a yield of 2.3%. Advance Auto Parts’s dividend payout ratio (DPR) is currently 72.99%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Hsbc Holdings PLC raised its holdings in shares of Advance Auto Parts by 3.1% in the 2nd quarter. Hsbc Holdings PLC now owns 6,306 shares of the company’s stock valued at $293,000 after purchasing an additional 191 shares during the period. PNC Financial Services Group Inc. lifted its stake in Advance Auto Parts by 9.9% in the 1st quarter. PNC Financial Services Group Inc. now owns 2,224 shares of the company’s stock valued at $117,000 after purchasing an additional 200 shares during the last quarter. AlphaCore Capital LLC grew its holdings in Advance Auto Parts by 53.6% during the fourth quarter. AlphaCore Capital LLC now owns 883 shares of the company’s stock worth $35,000 after purchasing an additional 308 shares during the period. ProShare Advisors LLC increased its position in Advance Auto Parts by 3.2% during the fourth quarter. ProShare Advisors LLC now owns 11,673 shares of the company’s stock worth $459,000 after buying an additional 362 shares during the last quarter. Finally, LPL Financial LLC increased its position in Advance Auto Parts by 2.0% during the fourth quarter. LPL Financial LLC now owns 19,410 shares of the company’s stock worth $763,000 after buying an additional 380 shares during the last quarter. Institutional investors own 88.70% of the company’s stock.

Advance Auto Parts News Roundup

Here are the key news stories impacting Advance Auto Parts this week:

Positive Sentiment: Adjusted earnings beat expectations. Advance Auto Parts reported second-quarter adjusted EPS of $1.03, above the $0.81 consensus estimate and up from $0.69 a year earlier. The company also raised its FY2026 adjusted EPS guidance to $2.60–$3.30, while maintaining its sales outlook. Advance Auto Parts Analysts Cut Their Forecasts After Q2 Results
Positive Sentiment: Margins and balance-sheet metrics improved. A $26 million tariff refund helped support quarterly margins, while gross margin expanded to 46.2% from 43.5% a year earlier. Advance also reduced net leverage to 2.1x from 2.4x and repaid approximately $30 million of debt. Advance Auto Parts Rebounds After Tariff Refund Boosts Q2 Margins
Neutral Sentiment: Analyst targets remain mixed. JPMorgan lowered its target to $55, Morgan Stanley and RBC each moved to $52, and Citigroup cut its target to $45; all maintained neutral or equivalent ratings. These targets imply upside from recent levels, but Goldman Sachs reduced its target to $40 and assigned a Sell rating. Benzinga analyst updates
Neutral Sentiment: The dividend provides shareholder support. Advance Auto Parts declared a quarterly dividend of $0.25 per share, with payment scheduled for October 23 to shareholders of record on October 9. The dividend yield is approximately 2.4%.
Negative Sentiment: Sales momentum remains the main concern. Second-quarter revenue of approximately $2.0 billion missed estimates near $2.04 billion, while comparable-store sales declined 0.5%. Weak demand from cost-conscious, lower-income do-it-yourself customers and a volatile spending environment raised concerns about the pace of sales acceleration and required reinvestment. Advance Auto Parts Posts Disappointing Q2 Comparable Sales
Negative Sentiment: Broad target reductions underscore execution risk. Goldman Sachs’s Sell rating and Bank of America’s reiterated Sell/Underperform view highlight concerns over weak DIY demand and the company’s ability to execute its turnaround, even after the earnings beat. Bank of America Reiterates Sell Rating

Advance Auto Parts Company Profile

(Get Free Report)

Advance Auto Parts, Inc (NYSE: AAP) is a leading distributor of automotive aftermarket parts, accessories, and maintenance items. The company operates a network of stores and distribution centers across North America, serving both do-it-yourself (DIY) customers and professional service providers. Advance Auto Parts focuses on offering a comprehensive selection of replacement parts, batteries, engine components, and performance products for cars and light trucks.

The company’s product portfolio includes engine oils and lubricants, cooling system components, brake and suspension parts, filters, belts, hoses, and diagnostic tools.