Advance Auto Parts, Inc.

AAP pitch long Jordan Barron, Nielsen Fields, Noah Scherz

Thesis

We recommend a long on Advance Auto Parts with a price target of $280, offering 75%+ upside from today’s price of $161. We believe EPS can double to ~$16 over the next four to five years via multiple operational improvements, and at 18x forward EPS, AAP is worth $280 in 2019.

Did it work?

failed confidence: high

The stock price of Advance Auto Parts has decreased by 63% since the pitch, which is a significant decline and contradicts the long thesis that anticipated a price target of $280. Given that the time elapsed is well beyond the stated horizon of four to five years, the thesis has clearly failed to materialize.

Raw excerpt

No raw excerpt stored.