Advance Auto Parts, Inc. (AAP)
NYSEConsumer DiscretionarySpecialty RetailSnapshot 2026-09-04
$44.18+3.42%
Close 2026-09-04 · 1-day change
NYSEConsumer DiscretionarySpecialty RetailSnapshot 2026-09-04
QuarterlyIQ Insights · AAP
How strong the business is — where it ranks within its sector on capital efficiency and cash generation, and how well management has been executing.
How management runs the business: capital, margins, balance sheet, and how reliably they guide and deliver.
A guidance track record builds as the company issues and delivers on guidance.
Priorities management has stated in recent disclosures, with status and evidence drawn from earnings calls, filings, and press releases.
Achieve full year comparable store sales growth between 1.0% and 2.0% as part of 2026 strategic plan execution.
Stated as a priority in 3 of last 3 quarters. Full year 2026 guidance reaffirms comparable store sales growth of 1.0% to 2.0%. Q2 2026 comparable store sales decreased 0.5%, while Q1 2026 grew 3.5%, indicating mixed but ongoing focus on growth. The trajectory shows persistent emphasis with some short-term variability.
Each factor is a parallel diagnostic with a clear read of what it shows and how names like it have historically fared. Never aggregated into a single score.
Operating income rose in 2 of the last 3 quarter-over-quarter moves. Historically, Consumer Discretionary names rated strong grew net income 63% of the time over the next year (vs 50% for the rest of the cohort, n=5213).
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
“The Company has reaffirmed its full year 2026 guidance for net sales, comparable store sales, adjusted operating income margin, capital expenditures and free cash flow.”
“Full Year 2026 Guidance... Comparable store sales (52 weeks) 1.00% 2.00%”
“In 2026, we will continue to execute our strategic plan... targeting an acceleration in full year comparable sales growth of 1.0% to 2.0%”
Continue to improve adjusted operating income margin within the range of 3.8% to 4.5% for full year 2026.
Stated as a priority in 3 of last 3 quarters. The Company reaffirmed 2026 adjusted operating income margin guidance of 3.8% to 4.5%. Q2 2026 operating income margin was 5.1%, up from 1.1% in Q2 2025, showing margin expansion. The trajectory is delivering margin improvement consistent with guidance.
“The Company has reaffirmed its full year 2026 guidance for net sales, comparable store sales, adjusted operating income margin, capital expenditures and free cash flow.”
“Full Year 2026 Guidance... Adjusted operating income margin 3.80% 4.50%”
“In 2026, we will continue to execute our strategic plan... adjusted operating income margin in the range of 3.8% to 4.5%”
Keep capital expenditures disciplined at approximately $300 million for the full year 2026.
Stated as a priority in 3 of last 3 quarters. The Company reaffirmed capital expenditures guidance at approximately $300 million for 2026. Actual capital expenditures were $132 million in the first half of 2026, consistent with the annual target. The trajectory shows disciplined capital allocation.
“The Company has reaffirmed its full year 2026 guidance for net sales, comparable store sales, adjusted operating income margin, capital expenditures and free cash flow.”
“Capital expenditures Approx. $300”
“Today, we are announcing 2026 guidance... Capital expenditures Approx. $300”
Generate free cash flow of approximately $100 million for the full year 2026 as a key financial objective.
Stated as a priority in 3 of last 3 quarters. The Company reaffirmed free cash flow guidance of approximately $100 million for 2026. Year-to-date free cash flow was positive in 2026-Q2 after two years of outflows, indicating progress. The trajectory is delivering improved cash flow.
“The Company has reaffirmed its full year 2026 guidance for net sales, comparable store sales, adjusted operating income margin, capital expenditures and free cash flow.”
“Free cash flow Approx. $100”
“Today, we are announcing 2026 guidance... Free cash flow Approx. $100”
Execute store growth strategy by opening between 10 and 15 market hubs during 2026.
Stated as a priority in 3 of last 3 quarters. The Company revised its market hub opening guidance to 10 to 15 for 2026. This reflects a strategic shift from prior guidance of 15 to 20. The trajectory shows a narrowed but consistent focus on market hub expansion.
“The Company has revised its new store and market hub opening schedule for the year.”
“Store growth Store Openings 40 - 45 Market hub openings 10 - 15”
“Full Year 2026 Guidance... Market hub openings 10 - 15”
Over the trailing year it converted 0.87x of net income into operating cash flow. Historically, Consumer Discretionary names rated fragile grew net income 40% of the time over the next year (vs 53% for the rest of the cohort, n=3652).
Most sensitive to the broad stock market.
Not enough signal to read sensitivity to long-term interest rates, real (inflation-adjusted) rates, the US dollar, Fed net liquidity (low R² over the window).
19 material management or governance events in the past 24 months, led by executive changes. Historically, Consumer Discretionary names rated neutral grew net income 48% of the time over the next year (vs 53% for the rest of the cohort, n=2538).
Not investment advice. As of 2026-09-04.