These Analysts Increase Their Forecasts On Advance Auto Parts Following Upbeat Q2 Earnings

Advance Auto Parts Inc. AAP posted better-than-expected earnings for the second quarter on Thursday.

The company reported second-quarter adjusted earnings per share of 69 cents, beating analysts' consensus estimate of 57 cents. Quarterly sales of $2.01 billion outpaced the Street view of $1.978 billion. Comparable store sales for the second quarter increased 0.1%.

"Our comparable sales performance was fueled by growth in the Pro business, and we are encouraged by the early signs of stabilization in our DIY business," said Shane O'Kelly, president and chief executive officer.

Advance Auto Parts cut its FY25 adjusted EPS outlook to $1.20–$2.20 from $1.50–$2.50, compared with the $1.80 consensus. The company reaffirmed its FY25 sales guidance of $8.40 billion to $8.60 billion, compared with the $8.522 billion estimate.

Advance Auto Parts shares rose 2.5% to trade at $58.28 on Friday.

These analysts made changes to their price targets on Advance Auto Parts following earnings announcement.

• Truist Securities analyst Scott Ciccarelli maintained Advance Auto Parts with a Hold and raised the price target from $51 to $53.
• Morgan Stanley analyst Simeon Gutman maintained Advance Auto Parts with an Equal-Weight rating and raised the price target from $48 to $55.
• Wells Fargo analyst Zachary Fadem maintained the stock with an Equal-Weight rating and boosted the price target from $45 to $50.

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