Seeking Alpha

Intangible Valuation  

View Intangible Valuation's Comments BY TICKER:

  • Advance Auto Parts, 14% Moves And Weak Market Conditions [View article]
    I am not to sure about that. First of all, how did you measure the different in infrastructure spending? Does AAP recent distribution center enter into the equation? What about their availability policy?

    Also, when comparing the capital expenditure spending of AZO and AAP, it is does not, for me, tell the story: " they have not spent as heavily in their store infrastructure as their competitors."

    Now, I definitely think that AZO is a better company. But originally I thought AAP management was full of it with their excuses about a geographically weak market -- that is, until I looked it up and did the research. AAP and AZO are saying the same thing about the north east -- and it is all about weather.

    And about the SG&A expense reduction, yes, it happen chronologically prior to the sales decline. But I am not too sure that is all that happened. Also, the SG&A expense, in absolute terms, did not decline 'dramatically,' in my opinion.
    Nov 8, 2012. 09:14 AM | 2 Likes Like |Link to Comment
More on AAP by Intangible Valuation