Stock AnalizAdvance Auto Parts Inc. AAP
Auto & Home Supply Stores · data as of November 13, 2026
Advance Auto Parts Inc. (AAP) is a consumer discretionary company listed in the US with a market value of about $2.7B. In the twelve months to October 10, 2026 it had revenue of $8.6B and net income of $100M, a net margin of 1.2%.
Its overall Stock Analiz score is 1.4 out of 5 (weak). The strongest part is shareholder returns (4/5); the weakest is track record (0/5).
Key numbers: a P/E of 22.4, a price to free cash flow of 31.2, 5-year revenue growth of -3% a year, a 5-year average ROIC of 1%. A discounted cash flow model with moderate assumptions puts its intrinsic value about 56% below the current price.
Score: 1.4 / 5
Checks passed
- P/E below 25
- Profit margin improving
- Positive free cash flow
- Pays a dividend
- 20% to 100% of free cash flow returned to shareholders
- Dividend 3 years in a row
- Stock-based pay below 5% of revenue
Checks not passed
- P/E below the industry median
- P/FCF below 20
- Price below intrinsic value (DCF, moderate assumptions)
- PEG below 1.5
- Revenue growth above 10% last year
- 3-year revenue growth above 10% a year
- 3-year free cash flow growth above 10% a year
- Strong R&D investment or growth above 20%
Valuation
Growth and quality
Financials, last 9 years
| Fiscal year | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $8.6B | $8.6B | $9.1B | $9.2B | $9.1B | $11.0B | $10.1B | $9.7B | $9.6B | $9.4B |
| Net income | $100M | $44M | -$336M | $30M | $464M | $597M | $493M | $487M | $424M | $476M |
| Free cash flow | $88M | -$298M | -$96M | $61M | $338M | $817M | $702M | $597M | $617M | $411M |
| EPS (diluted) | $1.64 | $0.73 | $-5.61 | $0.50 | $7.65 | $9.25 | $7.14 | $6.84 | $5.73 | $6.42 |
| Net margin | 1.2% | 0.5% | -3.7% | 0.3% | 5.1% | 5.4% | 4.9% | 5.0% | 4.4% | 5.1% |
| ROIC | — | -0.4% | -8.6% | 0.4% | 6.2% | 9.1% | 8.1% | 7.6% | 6.6% | 11.7% |
From the company’s 10-K and 10-Q filings with the SEC. TTM = trailing twelve months.
What analysts expect
The average 12-month price target from 20 analysts is $48.55, 7% above the current price; targets range from $32.00 to $70.00; the consensus rating is “Hold”; expected EPS is $2.90 for the fiscal year ending December 31, 2026.
Frequently asked questions
What is Advance Auto Parts’s P/E ratio?
About 22.4, based on the last twelve months of diluted earnings per share (forward P/E about 15.2).
Is Advance Auto Parts stock undervalued?
Our DCF model with moderate assumptions puts its intrinsic value about 56% below the current market value. A model is a range, not a promise; try your own assumptions in the DCF calculator.
Does Advance Auto Parts pay a dividend?
Yes. The dividend yield is about 2.19%, and it has paid dividends for 9 years in our data.
Is Advance Auto Parts a good stock to buy?
We do not give buy or sell advice. Advance Auto Parts scores 1.4 out of 5 on our five checks (value, growth, track record, financial health and shareholder returns); the checks above show why.
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Generated from SEC filings, analyst consensus estimates and market prices, rebuilt every day. Educational information, not investment advice.