Advance Auto Parts Inc (AAP)

NYSE · Consumer Cyclical · Auto Parts · USA

Advance Auto Parts Inc is a mid cap company (market value between $2 billion and $10 billion) in the Auto Parts industry.

Advance Auto Parts operates automotive aftermarket retail stores across North America, selling replacement parts, accessories, batteries and maintenance items to professional installers, do-it-yourself customers and independent retailers. The company runs stores under the Advance Auto Parts and Carquest trade names throughout the United States and select territories, while supplying independent Carquest retailers through direct distribution channels.

From its FY2026 annual report (Form 10-K)

Intrinsic value, DCF valuation, financial health and value investing analysis for the Advance Auto Parts Inc stock.

Our verdict on AAP

Undervalued: intrinsic value $93.49 per share, market price $43.70, margin of safety 53.3% (as of 2026-10-19).

Its through-the-cycle earnings (6.6% median margin), capitalised at 7.4% with no growth, values the shares at $93.49; the price of $43.70 is 53% below that value.

Leak Score: 43/100 on 11 of 12 signals (On Watch).

ETFs with the most weight in AAP

17 more funds hold it; the full list is part of the paid plan.

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Is AAP undervalued or overvalued?

AAP is undervalued (as of the 2026-10-19 close). Its through-the-cycle earnings (6.6% median margin), capitalised at 7.4% with no growth, values the shares at $93.49; the price of $43.70 is 53% below that value.

What is the intrinsic value of AAP?

$93.49 per share (as of the 2026-10-19 close), against a market price of $43.70. That is a margin of safety of 53.3%. The value is the average of the valuation methods that apply to this company, recomputed every night after the US close.

What is Advance Auto Parts Inc's Leak Score?

43 out of 100, which we rate "On Watch", on 11 of 12 value investing signals.