Sputtering profits

Advance Auto Parts had its worst day in more than five years after it missed Wall Street’s third-quarter profit projections and lowered its full-year earnings-per-share outlook. North Carolina-based Advance Auto Parts earned an adjusted $2.84 per share in the period, well short of analysts’ targets of $3.30. The auto parts distributor hit sales targets of $2.64 billion, but said foreign currency exchange headwinds cut into profits to the tune of 20 cents per share. Advance Auto Parts now expects adjusted earnings for 2022 to be between $12.60 and $12.80 per share, down from previous guidance of between $12.75 and $13.25 per share. Chief Financial Officer Jeff Shepherd told investors on a conference call that the company is making “strategic inventory investments” to improve parts availability for its customers.