Advance Auto PartsAAP +5.71%69 Dividend Payout Ratio is 0.33 as of Mar. 2026, which is 313% above its 10-year median of 0.08. GuruFocus rates AAP with a GF Score™ of 69/100 and a GF Value™ of $52.12 (Modestly Overvalued). The stock has 5 warning signs investors should review. Among 776 Vehicles & Parts companies, Advance Auto Parts ranks better than 58.76% on this metric.
The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period. Advance Auto Parts's Dividend Payout Ratio for the
months ended in Mar. 2026 was 0.33.
The historical rank and industry rank for Advance Auto Parts's Dividend Payout Ratio or its related term are showing as below:
AAP'
s Dividend Payout Ratio Range Over the Past 10 Years
Min: 0.03 Med: 0.08 Max: 4
Current: 0.31
During the past 13 years, the highest Dividend Payout Ratio of Advance Auto Parts was 4.00. The lowest was 0.03. And the median was 0.08.
AAP's Dividend Payout Ratio is ranked better than 58.76% of 776
companies
in the Vehicles & Parts industry
Industry Median: 0.36
vs AAP: 0.31
During the past 3 years, the average Dividends Per Share Growth Rate was -45.00% per year.
During the past 5 years, the average Dividends Per Share Growth Rate was -12.40% per year.
During the past 10 years, the average Dividends Per Share Growth Rate was 29.30% per year.
During the past 13 years, the highest 3-Year average Dividends Per Share Growth Rate of Advance Auto Parts was 192.40% per year. The lowest was -45.00% per year. And the median was 0.00% per year.
The growth rate is calculated with least square regression.
For more information regarding to dividend, please check our Dividend Page.
* Please note that "special dividend" is not included in the calculation of dividend per share and related fields.
Advance Auto Parts (NYSE:AAP) Dividend Payout Ratio Explanation
In dividends investing, Dividend Payout Ratio and Dividend Growth Rate are the two most important variables for consideration. A lower payout ratio may indicate that the company has more room to increase its dividends.
Advance Auto Parts Dividend Payout Ratio Related Terms
Advance Auto Parts Dividend Payout Ratio Historical Data
* Premium members only.
The historical data trend for Advance Auto Parts's Dividend Payout Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
AAP vs DORM, ATMU, DAN: Dividend Payout Ratio Comparison
For the Auto Parts subindustry, Advance Auto Parts's Dividend Payout Ratio, along with its competitors' market caps and Dividend Payout Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Advance Auto Parts Dividend Payout Ratio vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Advance Auto Parts's Dividend Payout Ratio distribution charts can be found below:
* The bar in red indicates where Advance Auto Parts's Dividend Payout Ratio falls into.
Advance Auto Parts Dividend Payout Ratio Calculation
The Dividend Payout Ratio is the measure of dividends paid out to shareholders relative to the company's net income. It is calculated as the Dividends per Share divided by the Earnings per Share (Diluted) during the same time period.
Advance Auto Parts's Dividend Payout Ratio for the fiscal year that ended in Dec. 2025 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Advance Auto Parts (AAP) has a Dividend Payout Ratio of 0.33 as of Mar. 2026. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Advance Auto Parts and its competitors. This is 313% above median its historical median of 0.08. Over the past decade, Advance Auto Parts' Dividend Payout Ratio has ranged from 0.03 to 4.00. According to the industry distribution chart, Advance Auto Parts ranks #320 out of 776 companies in the Vehicles & Parts industry, placing it in the top 41.2%.
Is Advance Auto Parts' Dividend Payout Ratio too high?
Advance Auto Parts' current Dividend Payout Ratio of 0.33 is 313% above median its 10-year median of 0.08. Over the past 10 years, this metric has ranged from a low of 0.03 to a high of 4.00. The Vehicles & Parts industry median Dividend Payout Ratio is 0.36. Advance Auto Parts' value of 0.33 is 8.3% below this industry median. Based on the distribution chart, Advance Auto Parts ranks #320 out of 776 companies in the Vehicles & Parts industry, which is above the industry midpoint. Overall, Advance Auto Parts has a GF Score™ of 69/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Advance Auto Parts' Dividend Payout Ratio compare to DORM and ATMU?
According to the Vehicles & Parts industry distribution chart, Advance Auto Parts ranks #320 out of 776 companies for Dividend Payout Ratio. This puts Advance Auto Parts in the upper half of its industry. The industry median Dividend Payout Ratio is 0.36. Advance Auto Parts' value of 0.33 is 8.3% below this benchmark. Historically, Advance Auto Parts' own Dividend Payout Ratio has ranged from 0.03 to 4.00 over the past decade. While the company's 10-year median is 0.08 vs. the industry median of 0.36, Advance Auto Parts has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Dividend Payout Ratio for a Vehicles & Parts company?
The median Dividend Payout Ratio among Vehicles & Parts companies is 0.36, based on 776 companies in the industry. Companies in the top quartile (top 25%) have a Dividend Payout Ratio significantly above this median, while those in the bottom quartile fall well below. However, Dividend Payout Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Advance Auto Parts's current Dividend Payout Ratio of 0.33 is 8.3% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Dividend Payout Ratio mean?
A high Dividend Payout Ratio can signal that a stock is expensive relative to its fundamentals. Dividend payout ratio is the percent of company earnings paid out as dividends. View historical data on Advance Auto Parts and its competitors. For the Vehicles & Parts industry, the median Dividend Payout Ratio is 0.36 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Advance Auto Parts's current Dividend Payout Ratio is 0.33, which is 313% above median its own 10-year median of 0.08. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Advance Auto Parts stock overvalued right now?
Based on GuruFocus' analysis, Advance Auto Parts (AAP) is currently considered Modestly Overvalued. The stock's GF Value™ is $52.12, compared to a current price of $57.94 — trading 11.2% above its estimated fair value. The current Dividend Payout Ratio is 0.33, which is 313% above median its 10-year median of 0.08 and 8.3% below the Vehicles & Parts industry median of 0.36. Advance Auto Parts' overall GF Score™ is 69/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Dividend Payout Ratio calculated?
Dividend Payout Ratio is calculated from a company's financial statements. For Advance Auto Parts (AAP), the current Dividend Payout Ratio is 0.33 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Advance Auto Parts (AAP) Overvalued in 2026?
Based on GuruFocus' analysis, Advance Auto Parts stock appears to be overvalued.
The current stock price of $57.94 is trading 11.2% above its estimated GF Value™ of $52.12.
GuruFocus considers Advance Auto Parts to be Modestly Overvalued.
Key valuation signals for AAP:
Dividend Payout Ratio: 0.33 (313% above median its 10-year median of 0.08)
GF Value™: $52.12 vs. price of $57.94 (11.2% above fair value)
Industry Position: 8.3% below the Vehicles & Parts median (#320 of 776)
No single metric tells the full story. See the AAP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Advance Auto Parts is a leading auto-parts retailer in North America with more than 4,000 store and branch locations. About half of the firm's sales are geared toward the professional channel, with the remaining sales in the do-it-yourself market. Through its vast store footprint and distribution network, Advance manages thousands of stock-keeping units for various vehicle makes and models. The retailer primarily competes on inventory availability and service speed, making the operating efficiency of its hub-and-spoke distribution model critical to meeting customer needs.
69GF Score
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