Why Advance Auto Parts Stock Was Sliding Today
Key Points
One analyst lowered their price target on Advance today.
The risk of a trade war with Europe sent stocks tumbling today.
Advance is in the midst of a promising turnaround.
- 10 stocks we like better than Advance Auto Parts ›
Shares of Advance Auto Parts (NYSE: AAP) were sliding today on a broad sell-off in the stock market related to renewed fears of a trade war, and as one Wall Street analyst lowered their price target on the stock.
As a result, shares of Advance Auto Parts were down 6.9% as of 1:49 p.m. ET.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »
Image source: Getty Images.
Tariffs pose a renewed threat
The broad market tumbled on Tuesday, with the S&P 500 falling 1.8% as President Trump's threat to gain control of Greenland has sparked new concerns about a trade war.
Trump has proposed a tariff on eight European countries, and Europe could respond in kind.
Like other auto parts stocks, Advance Auto Parts has exposure to tariffs, though it primarily sources products from China, Canada, and Mexico, rather than Europe. Trump's willingness to embrace import taxes shows that a trade war could flare again.
Additionally, TD Cowen analyst Max Rakhlenko lowered the firm's price target from $62 to $46, reflecting the stock's pullback in recent months and part of a broader adjustment on the hardlines sector.
What's next for Advance Auto Parts
Advance has been a longtime laggard in its sector as it's struggled to compete with O'Reilly Automotive and AutoZone despite having a large number of stores.
Nonetheless, the company's recent results have been encouraging, delivering comparable sales growth of 3% in the third quarter and an increase in its full-year bottom-line guidance.
The aftermarket auto parts sector also tends to do well in weak economies, which should favor Advance if a recession hits.
Investors should look past today's sell-off and focus on the company's turnaround efforts. We should get an update from the company in early February when it releases fourth-quarter results.
Should you buy stock in Advance Auto Parts right now?
Before you buy stock in Advance Auto Parts, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Advance Auto Parts wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $474,578!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,141,628!*
Now, it’s worth noting Stock Advisor’s total average return is 955% — a market-crushing outperformance compared to 196% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of January 20, 2026.
Jeremy Bowman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Recommended Articles
