By Dean Seal
Shares of Advance Auto Parts tumbled after the company's guidance for the current quarter came in below Wall Street forecasts.
The stock was down 13% at $39.75 in early trading. Shares have had a choppy 12 months. They were trading at around $60.34 this time a year ago and hit a 16-year low of $35.59 back at the end of October.
The aftermarket car-parts retailer said for the fiscal first quarter that started Dec. 29, it expects $2.5 billion in sales and for comparable sales to fall about 2%. Analysts polled by FactSet had been looking for $2.62 billion in sales and a milder 0.6% comparable sales decline.
The weak near-term view overshadowed a stronger full-year outlook. The company is guiding for $8.4 billion to $8.6 billion in revenue this year, a decline from $9.1 billion in 2024, but in line with analyst projections for $8.52 billion, according to FactSet.
Adjusted earnings, which strip out one-time items, are expected to be $1.50 to $2.50 a share for the year. Analysts polled by FactSet are forecasting $1.55 a share.
Write to Dean Seal at dean.seal@wsj.com
(END) Dow Jones Newswires
February 26, 2025 11:22 ET (16:22 GMT)
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