In today’s fast-paced and ever-changing world, investing has become a key component of building wealth. As investors seek opportunities to grow their portfolios, they consistently keep an eye out for companies with strong earnings and growth potential. Advance Auto Parts Inc. (NYSE: AAP) is a company that has caught the attention of many institutional investors like Nisa Investment Advisors LLC.
According to its most recent Form 13F filing with the Securities & Exchange Commission, Nisa Investment Advisors LLC increased its position in Advance Auto Parts by 7.9% during the fourth quarter of 2022. This institutional investor now owns 18,685 shares of Advance Auto Parts’ stock after purchasing an additional 1,364 shares during the period.
The increase in shares held by Nisa Investment Advisors LLC is not surprising considering Advance Auto Parts’ strong earnings results for the year. On Tuesday, February 28th, the company reported $2.88 earnings per share for the quarter, exceeding the consensus estimate of $2.41 by $0.47.
The company had a net margin of 4.50% and a return on equity of 28.53%, both signs of a healthy organization with stable growth potential. The business generated $2.47 billion in revenue during the quarter, up from the consensus estimate of $2.42 billion and higher than the previous year’s revenue by 3.2%.
Advance Auto Parts is a leading supplier and distributor of aftermarket automotive products for both professional installers and do-it-yourself customers worldwide through its segments: Advance Auto Parts/Carquest U.S., Carquest Canada, Worldpac, and Independents.
Founded in 1929 by Arthur Taubman, Advanced Auto Parts has grown to become one of North America’s largest auto parts retailers with over five thousand locations across the United States serving millions of customers each year.
In conclusion, Advance Auto Parts’ strong earnings report and growth potential have caught the attention of investors like Nisa Investment Advisors LLC. It’s a company with a solid history and a bright outlook for future growth, making it an attractive investment opportunity for those seeking long-term financial returns.
Institutional Investors Modify Holdings in Advance Auto Parts, Inc.: Implications for Long-Term Growth
Advance Auto Parts, Inc. is a leading aftermarket automotive products supplier and distributor, which offers a broad range of products to professional installers, as well as do-it-yourself customers. Recently, various high-profile institutional investors have modified their holdings in the company’s stock. Some investors have increased their stake while others have reduced it, but collectively hold approximately 96% of the company’s outstanding shares.
Gamco Investors INC., for instance, has raised its stake by 15.7% during Q3 and now holds 2,389 shares worth $373,000 after buying an additional 325 shares last quarter. On the other hand, Central Bank & Trust Co has increased its stake by as much as 43% and owns 319 shares worth $50,000 after purchasing an extra 96 shares in Q3.
The trends in their stock purchases are indicative of how confident these institutional investors feel about Advance Auto Parts’ long-term growth prospects. Distillate Capital Partners LLC raised its stake by 15.1%, while KBC Group NV managed a staggering increase of over 265%. Trust Co. of Vermont lifted its stake up by nearly 5%. Fondly known as “AAP” among traders and investors alike, they recently went through with quarterly dividend payments to shareholders earlier this April.
Shares of AAP opened at $123.78 on Wednesday when market trading resumed following the public holiday held on April 25th for ANZAC Day observed mainly in Australia and New Zealand but also in other Commonwealth countries like Canada and UK.
In summary, AAP has established itself as one of the top suppliers of aftermarket automotive equipment globally. The recent changes in institutional investors’ ownership reveal that some believe AAP could be positioned to grow even more despite any setbacks from light truck sales outlooks or lower-priced gasoline alternatives eroding demand for premium priced synthetic motor oils. With solid fundamentals yet volatile sentiment surrounding performance expectations within this industry, AAP continues to attract investment interest from both individual traders and institutional investors alike.