Turnaround Hopeful Faces 8% Plunge in U.S. Auto Parts Stocks

On July 6, shares of Advance Auto Parts Inc. (AAP) closed at $56.68 on the New York Stock Exchange, down 7.89% from the previous trading day. Its market capitalization fell to approximately $3.4 billion (roughly ₩4.8 trillion), wiping out about $250 million (₩350 billion) in value in a single session, with trading volume around 1.31 million shares.

Following its restructuring efforts, the company maintained its turnaround trajectory by reporting first-quarter 2026 earnings in May that beat expectations and reaffirming its full-year guidance. Last month, RBC Capital kept its investment rating on the stock but adopted a conservative stance by lowering its price target from $63 to $62.

Advance Auto Parts operates more than 4,300 stores across North America, supplying aftermarket auto parts to repair shops and individual consumers. In recent years, it has confronted profitability pressures and inventory and supply-chain challenges, undertaking large-scale restructurings and store closures. The company is now executing a mid- to long-term turnaround plan centered on debt reduction and enhanced operational efficiency.