Fintel reports that on June 1, 2023, Goldman Sachs downgraded their outlook for Advance Auto Parts (NYSE:AAP) from Buy to Neutral .
Analyst Price Forecast Suggests 109.18% Upside
As of May 11, 2023, the average one-year price target for Advance Auto Parts is 152.47. The forecasts range from a low of 106.05 to a high of $189.00. The average price target represents an increase of 109.18% from its latest reported closing price of 72.89.
See our leaderboard of companies with the largest price target upside.
The projected annual revenue for Advance Auto Parts is 11,502MM, an increase of 3.11%. The projected annual non-GAAP EPS is 13.56.
Advance Auto Parts Declares $0.25 Dividend
On May 31, 2023 the company declared a regular quarterly dividend of $0.25 per share ($1.00 annualized). Shareholders of record as of July 14, 2023 will receive the payment on July 28, 2023. Previously, the company paid $1.50 per share.
At the current share price of $72.89 / share, the stock's dividend yield is 1.37%.
Looking back five years and taking a sample every week, the average dividend yield has been 1.39%, the lowest has been 0.13%, and the highest has been 5.23%. The standard deviation of yields is 1.46 (n=237).
The current dividend yield is 0.01 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.71. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 5.00%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 1300 funds or institutions reporting positions in Advance Auto Parts. This is a decrease of 40 owner(s) or 2.99% in the last quarter. Average portfolio weight of all funds dedicated to AAP is 0.18%, a decrease of 16.94%. Total shares owned by institutions decreased in the last three months by 4.63% to 63,983K shares. 
The put/call ratio of AAP is 0.96, indicating a bullish outlook.
What are Other Shareholders Doing?
Jpmorgan Chase holds 3,297K shares representing 5.55% ownership of the company. In it's prior filing, the firm reported owning 3,394K shares, representing a decrease of 2.94%. The firm decreased its portfolio allocation in AAP by 90.68% over the last quarter.
HLIEX - JPMorgan Equity Income Fund Class I holds 2,451K shares representing 4.12% ownership of the company. No change in the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 1,833K shares representing 3.08% ownership of the company. In it's prior filing, the firm reported owning 1,799K shares, representing an increase of 1.85%. The firm decreased its portfolio allocation in AAP by 22.19% over the last quarter.
Champlain Investment Partners holds 1,553K shares representing 2.61% ownership of the company. In it's prior filing, the firm reported owning 1,571K shares, representing a decrease of 1.17%. The firm increased its portfolio allocation in AAP by 80,150.76% over the last quarter.
Millennium Management holds 1,509K shares representing 2.54% ownership of the company. In it's prior filing, the firm reported owning 1,181K shares, representing an increase of 21.74%. The firm increased its portfolio allocation in AAP by 9.53% over the last quarter.
Advance Auto Parts Background Information
(This description is provided by the company.)
Advance Auto Parts, Inc., is a leading automotive aftermarket parts provider that serves both professional installer and do-it-yourself customers. As of October 3, 2020, Advance operated 4,811 stores and 168 Worldpac branches in the United States, Canada, Puerto Rico and the U.S. Virgin Islands. The Company also serves 1,269 independently owned Carquest branded stores across these locations in addition to Mexico, the Bahamas, Turks and Caicos and British Virgin Islands.
Key filings for this company:
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
