Advance Auto Buy Hold or Sell Recommendation

AAP -- USA Stock  

USD 137.16  1.08  0.78%

Considering 30-days investment horizon, and your above average risk tolerance our recommendation regarding Advance Auto Parts is 'Strong Buy'. Macroaxis provides Advance Auto Parts buy hold or sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Advance Auto positions. The advice algorithm takes into account all of Advance Auto Parts available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from Advance Auto buy-and-hold prospective. Check also Advance Auto Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with current analyst consensus.

Time Horizon

Risk Tolerance

Symbol
Execute Advice

Advance Auto Current Recommendation

SellBuy
Strong Buy

Volatility

Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

For the selected time horizon Advance Auto Parts has a risk adjusted performance of 0.01, jensen alpha of 0.0, total risk alpha of 0.0, sortino ratio of 0.4534 and treynor ratio of 0.0
Macroaxis provides buy, hold, or sell suggestion on Advance Auto Parts to complement and cross-verify current analyst consensus on Advance Auto Parts. Our buy, hold, or sell recommendation engine determines the organization potential to grow exclusively from the prospective of investors current risk tolerance and investing horizon. To make sure Advance Auto is not overpriced, please confirm all Advance Auto Parts fundamentals including its Price to Sales, Debt to Equity, Beta, as well as the relationship between Net Income and Short Ratio . Given that Advance Auto Parts has Price to Earning of 21.36 times, we suggest you validate Advance Auto Parts market performance and probability of bankruptcy to make sure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Advance Auto Thematic Classifications

Macroaxis Index IdeaMacroaxis Index
Macroaxis power theme of selected equities with solid fundamentals
Retail IdeaRetail
USA Equities from Retail industry as classified by Fama & French
Cars IdeaCars
Car makers, trucks manufacturing, auto dealerships, and auto parts

Returns Distribution Density

Mean Return0.67Value At Risk1.23
Potential Upside3.69Standard Deviation1.95
 Return Density 
      Distribution 

Institutional Investors

Security TypeSharesValue
Vanguard Group IncCommon Shares7.2 M854 M
Franklin Resources IncCommon Shares5.1 M609.9 M
Blackrock IncCommon Shares4.5 M538 M
Artisan Partners Limited PartnershipCommon Shares3.7 M436.9 M
Starboard Value LpCommon Shares3.2 M376.4 M
State Street CorpCommon Shares3 M357.5 M
Invesco LtdCommon Shares2.6 M313.6 M

Advance Auto Greeks

α
Alpha over DOW
=0.00
β
Beta against DOW=0.00
σ
Overall volatility
=2.00
Ir
Information ratio =0.34

Advance Auto Volatility Alert

Advance Auto Parts has relatively low volatility with skewness of 1.42 and kurtosis of 4.52. However, we advise all investors to independently investigate Advance Auto Parts to ensure market all accessible information is consistent with the expectations about its upside potential and future risk-adjusted return.
    
 Better Than Average     
    
 Worse Than Average Compare Advance Auto to competition

Advance Auto Fundamental Vs Peers

FundamentalsAdvance AutoPeer Average
Return On Equity15.02 % (15.17) %
Return On Asset4.91 % (15.64) %
Profit Margin5.07 % (5.50) %
Operating Margin9.70 % (10.91) %
Current Valuation8.33 B152.14 B
Shares Outstanding74.03 M1.43 B
Shares Owned by Insiders0.36 % 6.91 %
Shares Owned by Institutions105.87 % 18.37 %
Number of Shares Shorted1003.24 M
Price to Earning21.36 times40.69 times
Price to Book2.96 times14.44 times
Price to Sales1.08 times17.81 times
Revenue9.37 B9.85 B
Gross Profit4.09 B21.75 B
EBITDA909.4 M1.41 B
Net Income475.5 M517.71 M
Cash and Equivalents546.94 M3.89 B
Cash per Share7.43 times5.17 times
Total Debt1.04 B7.36 B
Debt to Equity30.50 % 0.72 %
Current Ratio1.56 times3.30 times
Book Value Per Share46.41 times13.64 times
Cash Flow from Operations432.25 M1.25 B
Short Ratio0.11 times2.09 times
Earnings Per Share6.42 times2.30 times
Price to Earnings To Growth1.36 times1.22 times
Number of Employees40 K10.67 K
Beta0.890.34
Market Capitalization10.15 B29.78 B
Total Asset1.97 B126.86 B
Retained Earnings2.02 B38.24 B
Working Capital462.9 M3.58 B
Current Asset1.19 B36.8 B
   Acquisition by John Brouillard of tradable shares of Advance Auto subject to Rule 16b-3 [view details]

Advance Auto Alerts

Trading Alerts and Improvement Suggestions
Advance Auto Parts has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial commitments
Over 106.0% of the company shares are held by institutions such as insurance companies
Latest headline from news.cmlviz.com: The One-Week Pre-earnings Momentum Trade With Options in Advance Auto Parts Inc

Did You Try This Idea?

Run Momentum Thematic Idea Now
Momentum
Momentum Idea
Large corporations operating in software, education, financial and car manufacturing industries. Momentum theme has 39 constituents.
View All  Next Launch Momentum
Check also Advance Auto Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with current analyst consensus. Please also try Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.