Advance Auto Parts
The 10-second takeaway
For the quarter ended Oct. 6 (Q3), Advance Auto Parts met expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank slightly and GAAP earnings per share dropped.
Gross margins grew, operating margins dropped, net margins dropped.
Advance Auto Parts chalked up revenue of $1.46 billion. The 15 analysts polled by S&P Capital IQ wanted to see a top line of $1.46 billion on the same basis. GAAP reported sales were 0.5% lower than the prior-year quarter's $1.46 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $1.21. The 17 earnings estimates compiled by S&P Capital IQ averaged $1.21 per share. GAAP EPS of $1.21 for Q3 were 14% lower than the prior-year quarter's $1.41 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 49.8%, 30 basis points better than the prior-year quarter. Operating margin was 10.3%, 180 basis points worse than the prior-year quarter. Net margin was 6.1%, 110 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.33 billion. On the bottom line, the average EPS estimate is $0.75.
Next year's average estimate for revenue is $6.21 billion. The average EPS estimate is $5.10.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 233 members out of 260 rating the stock outperform, and 27 members rating it underperform. Among 79 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 71 give Advance Auto Parts a green thumbs-up, and eight give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Advance Auto Parts is outperform, with an average price target of $77.33.
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