Advance Auto Parts, Inc. (AAP) is a publicly traded company in the Consumer Cyclical — Specialty Retail industry listed on NYSE. This overview shows the latest price, key valuation ratios, profitability metrics and financial-health indicators used by fundamental investors.
Advance Auto Parts, Inc. operates as a leading retailer and supplier of a comprehensive array of automotive replacement components, accessories, batteries, and essential maintenance supplies. Its extensive inventory caters to a wide spectrum of vehicles, including domestic and imported passenger cars, vans, sport utility vehicles, and both light and heavy-duty trucks.
Is Advance Auto Parts, Inc. stock overvalued or undervalued in 2026?
Advance Auto Parts, Inc. (AAP) trades at 34.0× earnings (P/E), above the median of the 209 consumer cyclicals companies over $2bn in Kaplio's universe. At the decade median (22.8×) $31 (-33 %); at its sector median (17.9×) $24 (-48 %).
Kaplio overview: Advance Auto Parts, Inc.
Market cap $3B · 52 weeks $39 – $63 (27 % below the high) · P/E 34.0× · 2027 expected P/E 15.8× · Dividend 2.2 % · Next earnings November 5, 2026 · expected EPS $0.79 · Closing price, Oct 28 · accounts published Aug 20.
- Valuation: P/E 34.0× (expensive).
- Business: 5-year ROIC 1.8 % (weak).
- Balance sheet: Net debt/EBITDA 6.6× (fragile).
- Earnings: 7 of 8 (on track).
What would it be worth at its usual multiples?
At the decade median (22.8×) $31 (-33 %); at its sector median (17.9×) $24 (-48 %). Implied price from applying the reference multiples to today's earnings (or book value, or FFO) per share. Not a fair value: it is where the stock would trade at its usual multiples.
What matters in consumer cyclicals: 2 of 8 pass
- 5y avg operating margin 2.2 %, fails.
- Inventory turnover 1.3×, fails.
- 5y avg ROIC 1.8 %, fails.
- Net debt / EBITDA 6.6×, fails.
- Altman Z-Score 1.7, fails.
- P/E read in reverse (cyclicals) 34.0×, fails.
- Current Ratio 1.75, passes.
- EV/Sales vs history 0.5×, passes.
Against its peers (reference peers) — Advance Auto Parts, Inc.: P/E 34.0×; EV/EBITDA 6.6×; ROIC 3.5 %; $2.8B. Rh (P/E 25.8×; EV/EBITDA 13.1×; ROIC 6.0 %; $2.7B), Academy Sports and Outdoors, Inc. (P/E 9.8×; EV/EBITDA 7.4×; ROIC 10.4 %; $3.6B), Columbia Sportswear Company (P/E 15.8×; EV/EBITDA 9.2×; ROIC 9.3 %; $3.1B).
Expensive or cheap against its last ten years?
P/E at each close: today 34.0× · median 22.8× · minimum 6.5× · maximum 45.3× · cheap below 18.4× · expensive above 28.1×. It has been cheaper than today 94% of the time over its last ten years.
Dividend
fragile · Yield 2.2 % ($1.00 per share in 2025) · 5-year growth +4 % a year · Free cash flow coverage -1.0× · With $1,000 invested today you'd collect $21.90 a year ($1.82 a month).
Profitability
| Return on Equity | 3.79% |
| Return on Invested Capital | 3.49% |
| Return on Assets | 0.70% |
| Gross Margin | 44.66% |
| Operating Margin | 3.75% |
| Net Margin | 0.97% |
Financial Health
| Debt / Equity | 2.31 |
| Current Ratio | 1.75 |
| Piotroski F-Score | 4 |
| Altman Z-Score | 1.72 |
Price Performance
| 1 month | +14.75% |
| 3 months | -17.92% |
| Year-to-date | +16.01% |
| 1 year | -17.30% |
| 3 years | -11.18% |
| 5 years | -79.78% |
| 10 years | -67.45% |
Dividend History
Paid in the last 12 months: $1.0000 per share in 4 payments.
| Date | Amount |
|---|---|
| 2026-10-09 | $0.2500 |
| 2026-07-10 | $0.2500 |
| 2026-04-10 | $0.2500 |
| 2026-01-09 | $0.2500 |
| 2025-10-10 | $0.2500 |
| 2025-07-11 | $0.2500 |
| 2025-04-11 | $0.2500 |
| 2025-01-10 | $0.2500 |
| 2024-10-11 | $0.2500 |
| 2024-07-12 | $0.2500 |
Amounts adjusted for stock splits.
Related companies: ASO · COLM · PTON · AEO · BKE · RH
Explore sector: Consumer Cyclical · Specialty Retail
More sections of AAP: Financials · Valuation · Statistics · Estimates · Technical · Ownership · News · Events
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