Advance Auto PartsAAP +5.71%69 5-Year Yield-on-Cost % is 0.88 as of Jun. 24, 2026, which is 132% above its 10-year median of 0.38. 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 870 Vehicles & Parts companies, Advance Auto Parts ranks worse than 79.77% on this metric.
Advance Auto Parts's yield on cost for the quarter that ended in Mar. 2026 was 0.88.
The historical rank and industry rank for Advance Auto Parts's 5-Year Yield-on-Cost % or its related term are showing as below:
AAP'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.07 Med: 0.38 Max: 4.15
Current: 0.88
During the past 13 years, Advance Auto Parts's highest Yield on Cost was 4.15. The lowest was 0.07. And the median was 0.38.
AAP's 5-Year Yield-on-Cost % is ranked worse than 79.77% of 870
companies
in the Vehicles & Parts industry
Industry Median: 3.09
vs AAP: 0.88
Advance Auto Parts (NYSE:AAP) 5-Year Yield-on-Cost % Explanation
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Advance Auto Parts 5-Year Yield-on-Cost % Related Terms
AAP vs DORM, ATMU, DAN: 5-Year Yield-on-Cost % Comparison
For the Auto Parts subindustry, Advance Auto Parts's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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 5-Year Yield-on-Cost % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Advance Auto Parts's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Advance Auto Parts's 5-Year Yield-on-Cost % falls into.
Advance Auto Parts 5-Year Yield-on-Cost % Calculation
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Advance Auto Parts (AAP) has a 5-Year Yield-on-Cost % of 0.88 as of Jun. 24, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Advance Auto Parts and its competitors. This is 132% above median its historical median of 0.38. Over the past decade, Advance Auto Parts' 5-Year Yield-on-Cost % has ranged from 0.07 to 4.15. According to the industry distribution chart, Advance Auto Parts ranks #694 out of 870 companies in the Vehicles & Parts industry, placing it in the top 79.8%.
Is Advance Auto Parts' 5-Year Yield-on-Cost % too high?
Advance Auto Parts' current 5-Year Yield-on-Cost % of 0.88 is 132% above median its 10-year median of 0.38. Over the past 10 years, this metric has ranged from a low of 0.07 to a high of 4.15. The Vehicles & Parts industry median 5-Year Yield-on-Cost % is 3.09. Advance Auto Parts' value of 0.88 is 71.5% below this industry median. Based on the distribution chart, Advance Auto Parts ranks #694 out of 870 companies in the Vehicles & Parts industry, which is in the bottom quartile relative to peers. 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' 5-Year Yield-on-Cost % compare to DORM and ATMU?
According to the Vehicles & Parts industry distribution chart, Advance Auto Parts ranks #694 out of 870 companies for 5-Year Yield-on-Cost %. This places Advance Auto Parts in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 3.09. Advance Auto Parts' value of 0.88 is 71.5% below this benchmark. Historically, Advance Auto Parts' own 5-Year Yield-on-Cost % has ranged from 0.07 to 4.15 over the past decade. While the company's 10-year median is 0.38 vs. the industry median of 3.09, 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 5-Year Yield-on-Cost % for a Vehicles & Parts company?
The median 5-Year Yield-on-Cost % among Vehicles & Parts companies is 3.09, based on 870 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Advance Auto Parts's current 5-Year Yield-on-Cost % of 0.88 is 71.5% 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Advance Auto Parts and its competitors. For the Vehicles & Parts industry, the median 5-Year Yield-on-Cost % is 3.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Advance Auto Parts's current 5-Year Yield-on-Cost % is 0.88, which is 132% above median its own 10-year median of 0.38. 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 5-Year Yield-on-Cost % is 0.88, which is 132% above median its 10-year median of 0.38 and 71.5% below the Vehicles & Parts industry median of 3.09. 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 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Advance Auto Parts (AAP), the current 5-Year Yield-on-Cost % is 0.88 as of Jun. 24, 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:
5-Year Yield-on-Cost %: 0.88 (132% above median its 10-year median of 0.38)
GF Value™: $52.12 vs. price of $57.94 (11.2% above fair value)
Industry Position: 71.5% below the Vehicles & Parts median (#694 of 870)
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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