Advance Auto Parts Stock Forecast: What Wall Street Analysts Predict

Is Now the Time to Buy or Sell AAP Stock?

Advance Auto Parts Inc. (AAP) recently reported a 0.1% year-on-year revenue decline to $2.68 billion, in line with Wall Street's expectations.

According to 15 Wall Street equities research analysts, the average twelve-month stock price forecast for AAP is $63.44 by August 16, 2025.
This represents an upside potential of approximately 11% from the current stock price of around $57.
Analyst recommendations have recently shifted, with a majority now rating AAP as a "buy" or "overweight."

Several factors are influencing AAP's stock performance:

Strong industry fundamentals: The automotive aftermarket industry is expected to benefit from increasing vehicle miles traveled and rising car ownership rates.
Market share gains: AAP has made strategic acquisitions and invested in technology, allowing it to gain market share from smaller competitors.
Focus on professional customers: AAP's focus on serving professional mechanics and car repair shops has provided it with a stable revenue base.
Economic uncertainty: Macroeconomic headwinds, such as inflation and supply chain disruptions, could impact AAP's profitability in the short term.
Competition from online retailers: AAP faces competition from e-commerce platforms that offer convenience and competitive pricing.

Based on the current analysis, most analysts believe that AAP stock is undervalued and represents a potential buying opportunity.

However, investors should carefully consider the following before making a decision:

AAP's profitability could be impacted by rising input costs and economic uncertainty.
The company's success depends on the health of the automotive aftermarket industry.
Competition from online retailers and other auto parts suppliers is increasing.

It is recommended to conduct thorough research and consult with a financial advisor before investing in AAP stock.