Advance Auto Parts, Inc. cash flow to debt ratio of -0.88% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Advance Auto Parts, Inc. has insufficient data to evaluate this check.

Advance Auto Parts, Inc.'s debt to equity ratio is 2.36, which means that the company's assets are unhealthy financed, signaling financial risk.

Advance Auto Parts, Inc. has insufficient data to evaluate this check.

Advance Auto Parts, Inc. has a net debt to EBITDA ratio of 6.57x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Advance Auto Parts, Inc.'s interest coverage ratio is 1.54, which means that the company struggles to meet interest obligations, signaling financial risk.

Advance Auto Parts, Inc.'s profit margin has increased (-113.80%) in the last year from -3.69% to 0.51%, signaling increasing performance

Advance Auto Parts, Inc.'s short-term assets of $7.29B exceed its short-term liabilities of $4.18B

Advance Auto Parts, Inc.'s return on assets of 0.37% is lower than the 5.00% threshold, indicating inefficient asset utilization

Advance Auto Parts, Inc.'s return on equity of 2.00%, is lower than 15.00%, indicating bad performance

Advance Auto Parts, Inc.'s operating cash flow is lower than its net income, indicating that earnings may not be fully backed by cash generation

Advance Auto Parts, Inc. had positive net income in 4 out of 5 years, indicating stable and consistent earnings

Advance Auto Parts, Inc. has negative free cash flow, indicating the company is burning cash rather than generating it

Advance Auto Parts, Inc. has negative free cash flow, indicating cash burn

Advance Auto Parts, Inc.'s yearly earnings has increased -113.10% since last year from $-336.00M to $44.00M, signaling increasing performance

Advance Auto Parts, Inc. has insufficient data to evaluate this check.

ROIC 3.22% (Source: FMP key-metrics). Below the 5% partial-credit threshold. Score: 0 of 2. The 5% and 10% cutoffs anchor to typical US weighted-average cost of capital. Below 5% indicates the company is not generating returns above its likely cost of capital under this definition of invested capital. Invested capital here includes equity, non-current liabilities (pension obligations, deferred taxes, lease obligations), and short-term debt. Cash is not subtracted. Companies with substantial float, lease portfolios, or cash holdings will score lower under this definition than under narrower operating-capital definitions. See methodology.

Advance Auto Parts, Inc.'s 3-year revenue CAGR of -2.04% is negative, indicating declining revenue over the past 3 years

Advance Auto Parts, Inc. had revenue growth in only 2 out of 5 years, indicating inconsistent revenue performance

Advance Auto Parts, Inc. has insufficient net-income and equity history to evaluate ROE consistency.

Advance Auto Parts, Inc. has insufficient data to evaluate this check.

Advance Auto Parts, Inc. has an earnings yield of 1.31%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Advance Auto Parts, Inc. is overvalued relative to its fair value price of 2.31 based on EBITDA multiple model

Advance Auto Parts, Inc. has an EV/EBITDA ratio of 17.07x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Advance Auto Parts, Inc. is overvalued relative to its fair value price of 23.93 based on Earnings Fair Value model

Advance Auto Parts, Inc.'s earnings growth over the measurement period is negative; the PEG ratio is not meaningful and the check fails.

Advance Auto Parts, Inc. has a price-to-book ratio of 1.51x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Advance Auto Parts, Inc. has a price-to-sales ratio of 0.39x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue