Each of the companies gets a buy rating from TheStreet Ratings.
Advance Auto Parts
The car retailer reported Thursday fourth-quarter earnings of $66.4 million, or 90 cents a share, an increase from year-earlier earnings of $48.1 million, or 57 cents.Analysts anticipated earnings of 75 cents a share. "Management also introduced upbeat FY12 EPS guidance of $5.55-$5.75 vs. a consensus figure of $5.64," Oppenheimer analysts wrote in a report Thursday. "We estimate share repurchases could add another $0.10-$0.15 to forecasts. AAP shares are up about 8% today on the stronger report. We expect the company to continue benefiting from favorable industry trends near term. Our Perform rating reflects valuation." The analysts raised their price target to $92 from $73 and maintained their perform rating on the stock. Shares of Advance Auto Parts hit a 52-week high of $86.30 on Thursday. The stock's 52-week low of $49.50 was set on Sept. 12. Advance Auto Parts has an estimated price-to-earnings ratio for next year of 13.12; the average for specialty retailers is 17.23. For comparison, Penske Automotive Group (PAG) has a lower forward P/E of 10.95 and Autonation's (AN) forward P/E is 13.88. Fourteen of the 24 analysts who cover Advance Auto Parts rated it a hold. Ten analysts gave it a buy rating. TheStreet Ratings gives Advance Auto Parts an A grade with a $92.54 price target. The stock has risen 23.4% year to date.