Alert: Rating Downgrade (3/1/24)-Advance Auto Parts Inc. (NYSE: AAP).

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Stock Rating Downgrade

The Value Trend Rating for Advance Auto Parts Inc. (NYSE: AAP) weakened recently from C to D reflecting eroding fundamentals and low Appreciation Potential. Details supporting this lower rating are included in our next report.

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Recent Price Action

Advance Auto Parts Inc. (NYSE: AAP) stock closed at $69.26 on 3/1/24 after a large increase of 2.5%. Moreover, above average trading volume at 121% of normal accompanied the advance. The stock has risen 14.1% during the last week but has been weak relative to the market over the last nine months.

Current PriceTarget Research Rating

AAP is expected to continue to be an important Value Builder reflecting capital returns that are forecasted to exceed the cost of capital.

Advance Auto Parts has a current Value Trend Rating of D (Negative). With this rating, PTR’s two proprietary measures of a stock’s current attractiveness are providing consistent signals. Advance Auto Parts has a slightly negative Appreciation Score of 37 and a poor Power Rating of 29, producing the Negative Value Trend Rating.

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