When investors face the current volatility and uncertainty in the stock market, it might be hard to keep a cool head and stay away from the sell button. However, this is precisely when they should scour the market for better opportunities and deals. Keeping the fundamentals front and center will always help performance, especially when everyone gets scared.Three stocks stand out to reassure investors of good discounts on companies with solid fundamentals, even after the nontraditional leader, NVIDIA Co. NAS ...

Core Viewpoint - Advance Auto Parts (AAP) experienced a significant decline in stock price after a strong start in 2024, leading to a substantial loss for investors like Michael Burry, who managed to sell his shares before the downturn [1][2]. Group 1: Stock Performance - AAP shares were up 36% year-to-date by the end of Q1 2024, generating approximately $3 million in profit for Michael Burry [1]. - By August 28, 2024, AAP's stock had retraced almost 50% from its earlier highs, with the price dropping from around $80 in early April to $47.67 [1][2]. - The stock was approximately $63 on the last day of June 2024, indicating a significant decline from its peak [2]. Group 2: Investment Decisions - Michael Burry's timely sale of AAP shares allowed him to avoid potential losses, with estimates suggesting he could have saved up to $3 million had he sold in early April [2]. - Even if he sold at the end of Q2 2024, he would have avoided $1 million in losses due to the disappointing earnings report released in late August [4]. - Burry's original investment in AAP consisted of 70,000 shares, purchased when the stock was trading between $48 and $65 in Q4 2023, indicating a profitable trade unless he sold at the lowest point in Q2 2024 [5][6].

Shares of Advance Auto Parts (AAP) tumbled 20.6% in the last two trading sessions after it delivered dismal second-quarter results on Aug 22, before the opening bell. The stock closed at $49.15 on Friday, just 3% above its 52-week low of $47.73. At this juncture, investors must be wondering if it’s the right time to buy the stock given the dip.Now, this auto retail parts company has been suffering from quite some time. It missed earnings estimates in each of the trailing four quarters, with the average nega ...

Advance Auto Parts, Inc. (AAP) is struggling in a challenging retail environment. This Zacks Rank #5 (Strong Sell) recently missed on earnings for the 6th quarter in a row.Advance Auto Parks is an automotive aftermarket parts providers that serves both professional installers and do-it-yourself (DIY) customers.As of July 13, 2024, Advance Auto Parks operated 4,776 stores and 321 Worldpac branches mostly in the United States but with additional locations in Canada, Puerto Rico, and the US Virgin Islands. It ...

Advance Auto Parts, Inc. (AAP) reported adjusted earnings of 75 cents per share for the second quarter of 2024, which missed the Zacks Consensus Estimate of 97 cents. The company reported an adjusted earnings per share (EPS) of $1.43 in the year-ago quarter.Advance Auto generated net revenues of $2.68 billion, which marginally beat the Zacks Consensus Estimate of $2.67 billion on higher-than-expected comparable store sales. Comparable store sales increased 0.4% year over year. We projected a decline of 0.1% ...

Advance Auto Parts Inc. AAP reported weak second-quarter earnings and slashed FY24 outlook on Thursday.The company reported earnings per share of 75 cents, missing the street view of $1.07. Quarterly sales of $2.683 billion beat the street view of $2.679 billion.Advance Auto Parts revised its FY24 outlook, lowering its earnings per share forecast to $2.00 – $2.50 from the previous range of $3.75 – $4.25, which contrasts with the $3.63 estimate. Additionally, the company adjusted its sales projection to $11. ...

Core Insights - Advance Auto Parts has reported disappointing earnings, with a significant stock decline of 17.8% in the past week and a 62% drop over the last decade, contrasting sharply with competitors AutoZone and O'Reilly Automotive, which saw stock increases of 490% and 625% respectively [1] Financial Performance - The second-quarter earnings revealed a severe contraction in profit margins due to increased costs associated with strategic plans and higher product costs [2] - The company has revised its full-year guidance downward, with the midpoint of sales guidance now at $11.2 billion (down from $11.35 billion), operating margin guidance at 2.3% (down from 3.35%), and diluted EPS guidance at $2.25 (down from $4) [2] Strategic Changes - In response to previous criticism for maintaining pricing to protect margins, the company is now investing in pricing changes to enhance its price perception in the industry [2] - The CEO Shane O'Kelly is focused on a turnaround strategy, but the company still has significant work to do to match the operational metrics of its peers [3] Market Sentiment - Despite the potential value case for the stock, it has been underperforming for the last decade, and there is skepticism regarding the company's ability to deliver improvements as previously promised by the board chair [5][6] - Investors are advised to wait for tangible improvements before considering investment in the stock [7]

Key TakeawaysAdvanced Auto Parts missed expectations with its second-quarter earnings results and lowered its full-year guidance.The company also announced the sale of its wholesale distribution arm for $1.5 billion.CEO Shane O’Kelly said the company faced a "challenging demand environment."Shares in the auto parts retailer fell as much as 22% early in Thursday's session, hitting their lowest level since last October. Advance Auto Parts (AAP) shares plunged after the company announced quarterly earnings th ...

J. Michael JonesAdvance Auto Parts (NYSE:AAP) surprised the market Thursday with another soft earnings report and big cut to its full-year 2024 guidance. Back in February, I warned that it was too early to buy into the company's projected turnaround. AAP stock is a classic bull and bear debate. Activist investors see the potential in the company with its massive store base, well-known brand, and currently depressed valuation. In theory, if Advance Auto Parts can increase its profit margins to somewhat c ...

Advance Auto Parts has sold its wholesale operation Worldpac for $1.5 billion.The sale, to funds managed by the Carlyle Group, is expected to be finalized by the end of the year, Advance said in a Thursday (Aug. 22) news release.“The sale enables our team to sharpen their focus on decisive actions to turn around the Advance blended box business,” said CEO Shane O’Kelly.“Proceeds from the transaction will provide greater financial flexibility as we continue our strategic and operational review to improve the ...