UPDATE: Deutsche Bank Reiterates Hold Rating, Raises PT on Advance Auto Parts
In a report published Friday, Deutsche Bank reiterated its Hold rating on Advance Auto Parts (NYSE: AAP), and raised its price target from $70.00 to $80.00.
Deutsche Bank noted, “Little mention of corporate action initiatives. There were some positive signs in AAP's sales momentum, but overall trends remain fairly lackluster. But, outside of sales and earnings trends, we think the key stock driver is discussions around M&A and buyout opportunities. AAP did not address these issues on their call. Our LBO model points to a buyout potential in the mid to high $80s, depending on assumptions regarding sales and margins improvements as a private company as well as exit multiples. Our Hold rating balances soft business trends with these ideas.”
Advance Auto Parts closed on Thursday at $79.40.
Latest Ratings for AAP
|Jun 2016||BTIG Research||Initiates Coverage on||Sell|
|May 2016||Morgan Stanley||Maintains||Overweight|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.