Rite Aid Co. (RAD) Expected to Post Quarterly Sales of $5.49 Billion

Brokerages predict that Rite Aid Co. (NYSE:RAD) will report $5.49 billion in sales for the current fiscal quarter, Zacks reports. Two analysts have provided estimates for Rite Aid’s earnings. The highest sales estimate is $5.50 billion and the lowest is $5.48 billion. Rite Aid reported sales of $5.35 billion during the same quarter last year, which indicates a positive year-over-year growth rate of 2.6%. The firm is scheduled to announce its next earnings report on Wednesday, January 2nd.

According to Zacks, analysts expect that Rite Aid will report full-year sales of $21.89 billion for the current financial year, with estimates ranging from $21.88 billion to $21.90 billion. For the next year, analysts forecast that the company will report sales of $22.33 billion, with estimates ranging from $22.30 billion to $22.36 billion. Zacks Investment Research’s sales averages are an average based on a survey of research firms that that provide coverage for Rite Aid.

Rite Aid (NYSE:RAD) last released its earnings results on Thursday, September 27th. The company reported ($0.01) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.01). Rite Aid had a negative return on equity of 1.97% and a net margin of 3.26%. The firm had revenue of $5.42 billion during the quarter, compared to analysts’ expectations of $5.36 billion. During the same quarter last year, the business posted ($0.01) earnings per share. The firm’s revenue was up 1.4% on a year-over-year basis.

Several research firms recently issued reports on RAD. Zacks Investment Research upgraded Rite Aid from a “sell” rating to a “hold” rating in a research report on Friday, October 5th. Loop Capital set a $1.00 target price on Rite Aid and gave the stock a “hold” rating in a research report on Friday, September 28th. Royal Bank of Canada set a $1.00 target price on Rite Aid and gave the stock a “hold” rating in a research report on Monday, September 24th. Goldman Sachs Group began coverage on Rite Aid in a research report on Thursday, September 6th. They set a “sell” rating and a $1.00 target price for the company. Finally, Cowen cut Rite Aid from an “outperform” rating to a “market perform” rating and increased their target price for the stock from $2.35 to $6.00 in a research report on Monday, August 13th. Two research analysts have rated the stock with a sell rating, six have assigned a hold rating and one has issued a strong buy rating to the company’s stock. The stock currently has an average rating of “Hold” and an average target price of $2.16.

NYSE:RAD opened at $1.06 on Friday. The company has a debt-to-equity ratio of 2.41, a current ratio of 1.62 and a quick ratio of 0.94. Rite Aid has a 12-month low of $1.02 and a 12-month high of $2.55. The stock has a market cap of $1.36 billion, a P/E ratio of -53.00 and a beta of 1.66.

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in RAD. Northern Trust Corp grew its holdings in Rite Aid by 124.0% during the 2nd quarter. Northern Trust Corp now owns 12,115,100 shares of the company’s stock valued at $20,959,000 after buying an additional 6,706,701 shares in the last quarter. Private Management Group Inc. purchased a new position in shares of Rite Aid in the 2nd quarter worth approximately $11,435,000. Millennium Management LLC boosted its holdings in shares of Rite Aid by 3,323.5% in the 1st quarter. Millennium Management LLC now owns 5,437,416 shares of the company’s stock worth $9,135,000 after purchasing an additional 5,278,592 shares during the period. Sarbit Advisory Services Inc. purchased a new position in shares of Rite Aid in the 2nd quarter worth approximately $7,987,000. Finally, Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp boosted its holdings in shares of Rite Aid by 20.2% in the 2nd quarter. Her Majesty the Queen in Right of the Province of Alberta as represented by Alberta Investment Management Corp now owns 22,604,480 shares of the company’s stock worth $39,106,000 after purchasing an additional 3,797,936 shares during the period. Institutional investors and hedge funds own 55.58% of the company’s stock.

Rite Aid Company Profile

Rite Aid Corporation, through its subsidiaries, operates a chain of retail drugstores in the United States. It operates through two segments, Retail Pharmacy and Pharmacy Services. The Retail Pharmacy segment sells prescription drugs and a range of other merchandise, including over-the-counter medications, health and beauty aids, personal care items, cosmetics, household items, food and beverages, greeting cards, seasonal merchandise, and other every day and convenience products.

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