Morgan Stanley Doesn't Expect Q4 Comp Upside for Advance Auto Parts

In a report published Monday, Morgan Stanley analyst Simeon Gutman reiterated an Overweight rating and $170.00 price target on Advance Auto Parts (NYSE: AAP).In the report, Morgan Stanley noted, "Not expecting upside to Q4 comps. ORLY's strong 6.3% comps may have increased expectations for AAP's Q4 comp. However, our correlation work still points to a comp around 0.5%. Prior to ORLY, market expectations ranged somewhere between 0.5%-1.0% for Q4 and a comp in that neighborhood would likely be viewed as good enough. Given AAP's 3.5% ascent since ORLY's Q4 results last week, the comp bar for AAP is now probably closer to 1%."Advance Auto Parts closed on Friday at $162.00.