WallStSmart

Advance Auto Parts Inc (AAP)vsGenuine Parts Co (GPC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Genuine Parts Co generates 186% more annual revenue ($24.70B vs $8.63B). AAP leads profitability with a 0.5% profit margin vs 0.2%. GPC appears more attractively valued with a PEG of 1.32. GPC earns a higher WallStSmart Score of 49/100 (D+).

AAP

Hold

47

out of 100

Grade: D+

Growth: 2.7Profit: 4.0Value: 5.3Quality: 5.0
Piotroski: 4/9Altman Z: 1.68

GPC

Hold

49

out of 100

Grade: D+

Growth: 4.0Profit: 5.0Value: 3.3Quality: 4.5
Piotroski: 3/9Altman Z: 1.72
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AAPUndervalued (+31.5%)

Margin of Safety

+31.5%

Fair Value

$87.04

Current Price

$55.42

$31.62 discount

UndervaluedFair: $87.04Overvalued
GPCSignificantly Overvalued (-37.2%)

Margin of Safety

-37.2%

Fair Value

$108.79

Current Price

$105.11

$3.68 premium

UndervaluedFair: $108.79Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AAP1 strengths · Avg: 8.0/10
Price/BookValuation
1.5x8/10

Reasonable price relative to book value

GPC0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

AAP4 concerns · Avg: 3.8/10
PEG RatioValuation
1.664/10

Expensive relative to growth rate

Revenue GrowthGrowth
1.2%4/10

1.2% revenue growth

Altman Z-ScoreHealth
1.684/10

Distress zone — elevated risk

Return on EquityProfitability
2.0%3/10

ROE of 2.0% — below average capital efficiency

GPC4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.724/10

Distress zone — elevated risk

Return on EquityProfitability
1.3%3/10

ROE of 1.3% — below average capital efficiency

Profit MarginProfitability
0.2%3/10

0.2% margin — thin

Debt/EquityHealth
1.503/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : AAP

The strongest argument for AAP centers on Price/Book.

Bull Case : GPC

PEG of 1.32 suggests the stock is reasonably priced for its growth.

Bear Case : AAP

The primary concerns for AAP are PEG Ratio, Revenue Growth, Altman Z-Score. A P/E of 54.3x leaves little room for execution misses. Debt-to-equity of 2.36 is elevated, increasing financial risk.

Bear Case : GPC

The primary concerns for GPC are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 235.8x leaves little room for execution misses. Debt-to-equity of 1.50 is elevated, increasing financial risk.

Key Dynamics to Monitor

AAP carries more volatility with a beta of 1.06 — expect wider price swings.

GPC is growing revenue faster at 6.8% — sustainability is the question.

GPC generates stronger free cash flow (-34M), providing more financial flexibility.

Monitor AUTO PARTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

GPC scores higher overall (49/100 vs 47/100). AAP offers better value entry with a 31.5% margin of safety. Both earn "Hold" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Advance Auto Parts Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

Advance Auto Parts, Inc. (Advance) is an American automotive aftermarket parts provider. Headquartered in Raleigh, North Carolina, it serves both professional installer and do-it-yourself (DIY) customers.

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Genuine Parts Co

CONSUMER CYCLICAL · AUTO PARTS · USA

Genuine Parts Company (GPC) is an American service organization engaged in the distribution of automotive replacement parts, industrial replacement parts, office products and electrical/electronic materials.

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