Rite Aid Corp

Amazon (AMZN) recently began letting customers use funds in their special healthcare savings account to pay for purchases of eligible products on its marketplace, the company confirmed to CNBC.

Walgreens stock has fallen 2.4% YTD (year-to-date). It fell ~10% after Amazon announced the acquisition of Pillpack in June.

Walgreens’s Retail Pharmacy USA division accounted for 76% of fourth-quarter sales and increased 14.4% YoY to $25.5 billion.

RBC Capital Markets raised the price target for Walgreens Boots Alliance (WBA) from $68 to $82 (or ~20%) on Monday, October 8.

Wall Street expects a 10.7% year-over-year jump in Walgreens Boots Alliance’s (WBA) EPS to $1.45 during the fourth quarter of fiscal 2018.

Rite Aid (RAD) reported a second-quarter adjusted net loss from continuing operations of $7.9 million or $0.01 loss per share.

Rite Aid (RAD) reported results for the second quarter—which ended on September 1—yesterday. The company’s top line from continuing operations improved 1.4 % YoY (year-over-year) to $5.42 billion.

Struggling with the company’s financial position, Rite Aid’s management has tried to sell the company’s assets since 2015.

Rite Aid Corporation (RAD) is expected to post an adjusted loss of 1 cent per share when it reports its second-quarter 2019 results on September 27.

CVS Health’s (CVS) better-than-expected second-quarter results managed to please investors.

On August 8, Albertsons and Rite Aid (RAD) announced that they mutually terminated their merger agreement, which was announced in February.

Rite Aid (RAD) stock took a hit on August 6 after management updated the fiscal 2019 profit outlook.

Amazon’s (AMZN) purchase of PillPack is expected to pose a threat to existing players in the pharmaceutical space.

Walgreens’s fiscal third-quarter top line increased 14% YoY to $34.3 billion. On a constant currency basis, sales rose 11.8% YoY.

Rite Aid’s (RAD) better-than-expected results drove its stock by 1.5% in the post-trading session on June 27.

Rite Aid (RAD) reported adjusted net income from continuing operations of -$11.5 million, or -$0.01 per share, in the fiscal first quarter of 2019.

Rite Aid’s Retail Pharmacy segment recorded a 1.9% YoY sales fall during the fiscal first quarter of 2019.

Rite Aid stock tumbled 7% yesterday after the company issued a letter that asked shareholders to vote in favor of the pending merger with Albertsons.

After a disastrous 2017, Rite Aid stock has managed to stay in the green so far this year.

Rite Aid has witnessed a continuous deterioration in its profitability over the years.

Rite Aid (RAD) is projected to report a 31.6% YoY (year-over-year) decline in total sales to $5.3 billion.

Rite Aid stock has risen a moderate 2.2% this year after falling 76% last year. Wall Street, however, expects some recovery in the stock price this year.

Rite Aid’s (RAD) top line for fiscal 4Q18 fell 8.6% YoY to $5.4 billion, missing the average consensus expectation by $180 million.

Rite Aid’s stock has plunged around 18% this year after falling 76% last year.

SuperValu (SVU) announced on March 14 that it’s selling 21 of its 38 Farm Fresh stores to three grocery store chains.

According to a report by CNBC, talks between Walgreens Boots Alliance (WBA) and AmerisourceBergen Corp. (ABC) ended without an agreement.

The top three drugstore chains in the US are in the process of forming new associations through mergers and acquisitions to create a more diversified portfolio and protect themselves from the growing online threat.

Albertsons Companies is planning to rebrand its existing pharmacies (excluding Jewel Osco) as Rite Aid stores.

The proposed transaction would create a company that is projected to generate $83 billion in total sales and ~$3.7 billion (including run rate cost synergies) in adjusted EBITDA during the first year.

On February 20, 2018, privately held Albertsons announced its intention to merge with Rite Aid (RAD), one of America’s leading drugstore chains.

Privately held grocery chain Albertsons Companies announced its merger with drugstore chain Rite Aid (RAD) on February 20, 2018.

Why would Walgreens acquire AmerisourceBergen? As discussed, The Wall Street Journal recently reported that Walgreens Boots Alliance (WBA) is in acquisition talks with AmerisourceBergen (ABC). The deal, if proposed and completed, would combine America’s largest pharmacy chain (by drugstore count) with one of the largest drug distributors in the country. The significant deal would further consolidate […]

Walgreens Boots Alliance’s (WBA) 1Q18 top-line growth was driven by strong performances from all three of its divisions.

As we’ve discussed, Walgreens Boots Alliance (WBA) reported its 1Q18 results on January 4. The company’s top line increased 7.9% YoY (year-over-year) to $30.74 billion.

Walgreens Boots Alliance (WBA) reported its results for 1Q18 on Thursday, January 4. The results relate to the three-month period ending November 30, 2017.

Wall Street kept its stance unchanged on Rite Aid (RAD) after its third-quarter results. Evercore ISI, however, initiated coverage on the company on January 5 with an “underperform” rating.

As we discussed throughout this series, Rite Aid (RAD) reported better-than-expected quarterly profits on January 3. However, the third quarter results couldn’t stop the slide in the company’s stock price.

Rite Aid Corporation (RAD) reported third-quarter results on January 3. The company’s adjusted net earnings from continuing operations stood at $1.6 million, or $0.00 per diluted share, compared to $26.8 million or $0.03 per diluted share during the same period last year.

As we outlined in the previous part of this series, Rite Aid (RAD) reported a 5.6% YoY (year-over-year) fall in revenue from continued operations to $5.35 billion during the third quarter of 2017.

Rite Aid (RAD) reported its 3Q17 results after the market closed on January 3. The company’s top line plunged 5.6% YoY (year-over-year) to $5.35 billion (excluding discontinued operations).

Rite Aid Corporation (RAD) reported results for 3Q17 on Wednesday, January 3. The results relate to the three-month period ending December 2, 2017.

CVS Health (CVS), America’s largest pharmacy chain, announced a $69 billion deal to purchase Aetna (AET), the country’s third-largest insurance company, on December 3, 2017.

US-based (SPY) drugstore chain Rite Aid (RAD) announced that it was adding Apple’s (AAPL) Apple Pay as a payment option for online purchases.

PetMed Express (PETS) stock has risen 77% in the last one-year period, reaching a high of $50.06 on July 26, 2017.

In 2017, the PetMed Express (PETS) website attracted ~32.0 million visitors, ~8.0% of whom placed an order for a conversion ratio of ~25.0%.

Of the five analysts covering PetMed Express (PETS) in October 2017, two gave it “strong buy” ratings, two gave it “hold” ratings, and one gave it a “sell” rating. Its target price was $43.75.

With trailing 12-month sales of $181 billion, CVS Health is a pharmacy colossus. However, its focus seems to be on becoming more than just a retail pharmacy chain.

Walgreens Boots Alliance’s strong 4Q17 results were received well by the market. The company’s stock price rose 3% and closed at $69.36 on October 25.

Walgreens Boots Alliance (WBA) is slated to release its fiscal 4Q17 earnings on October 25. WBA’s total sales are expected to reach $29.6 billion, a 4.6% increase over its fiscal 4Q16 sales.

CVS generates close to 70% of its annual sales by offering a full range of pharmacy benefit management services.

The US drugstore market is dominated by two major players—CVS Health (CVS) and Walgreens Boots Alliance (WBA). CVS and WBA accounted for ~29% of the country’s prescription dispensing revenues in 2016.

The stock prices of Target and CVS Health rose seven sessions in a row, from June 15–June 23. The pharmacy sale announcement by both companies resulted in a positive reception by the markets.

Three months after its Whole Foods acquisition, Amazon is making waves again with rumors that it is eying the prescription drug distribution business.

Rite Aid’s stock crashed 11%, touching a four-year low after the company missed revenue expectations and reported weak sales comps on September 28.

Rite Aid (RAD) reported 2Q net earnings of $170.7 million, or 16 cents per share.

As outlined in the previous section, Rite Aid (RAD) reported a 4.4% YoY (year-over-year) decline in total sales to $7.7 billion during 2Q17.

As we’ve discussed in this series, Walgreens received FTC (Federal Trade Commission) approval to acquire 1,932 Rite Aid store on September 19.

The stock price for Rite Aid (RAD) plunged more than 12% after the announcement of the deal closure with Walgreens on September 19.

Rite Aid’s shareholders have been the real losers from the delay and eventual termination of the deal between Rite Aid (RAD) and Walgreens Boots Alliance (WBA) in October 2015.

According to Bloomberg, Walgreens Boots Alliance (WBA) and Rite Aid (RAD) have moved toward closing their long-awaited acquisition deal.

Rite Aid’s profitability has worsened over the years. Its gross margin has fallen from 29.0% in fiscal 2013 to just 22.6% in the first quarter of the current fiscal year.

Rite Aid (RAD) is slated to release its fiscal 2Q17 results on Thursday, September 28, 2017. Its EPS (earnings per share) is projected to fall to zero from last year’s $0.01.

As of March 31, 2017, the top selling in billionaire investor David Einhorn’s portfolio included Apple, Time Warner, Rite Aid, and AerCap Holdings.

On June 29, 2017, Walgreens Boots Alliance (WBA) and Rite Aid (RAD) announced that they have a new definitive agreement.

Rite Aid, Fred’s, and Walgreens Boots Alliance’s stock prices rose on June 26. The Rite Aid-Walgreens merger might be getting close to a conclusion.

Walgreens is covered by 25 Wall Street analysts. The company has received a rating of 2 on a scale of 1 (strong buy) to 5 (sell). It has 72% “buy” and 28% “hold” recommendations and no “sell” recommendations.

According to a recent report from The Capital Forum, the FTC is set to block the pending merger of Walgreens Boots Alliance (WBA) and Rite Aid (RAD).

Wall Street’s reaction to WBA’s second quarter results While Walgreens (WBA) delivered mixed 2Q17 results, CEO (chief executive officer) Stefano Pessina’s optimism about the pending Rite Aid (RAD) deal has been well received by the analyst community. John Heinbockel of Guggenheim maintained a “buy” rating on WBA, issuing a price target of $100. While Heinbockel […]

WBA’s CEO, Stefano Pessina, said that he remains positive about the Rite Aid deal, which has been waiting for FTC approval for more than a year.

WBA’s fiscal 2Q17 EPS stood at $1.36, in line with estimates. Its top line, however, missed the consensus estimate, falling 2.4% YoY to ~$29.5 billion.

Walgreens Boots Alliance (WBA) is currently trading at $83.56 as of March 27, 2017, which is ~5.3% below its 52-week high.

In a recent research note, a Deutsche Bank analyst warned about a sharp plunge in Rite Aid’s share price if its proposed deal with Walgreens Boots Alliance falls apart.

Uncertainty over closing the proposed merger between Walgreens Boots Alliance (WBA) and Rite Aid (RAD) has resulted in a 42.8% fall in RAD stock YTD.

The merger of Walgreens and Rite Aid would join the second- and third-largest drugstore chains and thus significantly reduce competition.

According to a recent Bloomberg report, Walgreens is working on preparing a new deal with Rite Aid in order to please regulatory authorities.

Walgreens Boots Alliance (WBA) and Rite Aid (RAD) have amended their merger agreement. WBA will now pay less for each RAD share, depending on the number of locations it must divest.

Walgreens Boots Alliance (WBA) and Rite Aid (RAD) have amended their merger agreement. Walgreens will now pay $6.50–$7 per share instead of $9.

Analysts have a positive to neutral view on Walgreens and has rated its stock a “2” on a scale of “1-strong buy” to “5-sell.”

In fiscal 1Q17, sales for WBA’s Retail Pharmacy USA division rose 1.4%. It was the only segment that reported sales growth.

In the last couple of quarters, Walgreens Boots Alliance’s (WBA) fiscal 1Q17 top line was negatively affected by currency headwinds, falling 1.8% YoY.

In fiscal 1Q17, WBA reported a top-line fall for the first time in the last 16 quarters. But the fall in revenues was primarily due to currency headwinds.

GNC Holdings reported 3Q16 revenues of $628.0 million, a fall of 8.1% compared to revenues of $683.4 million in 3Q15.

Let’s wrap up this series on Walgreens (WBA) with a brief SWOT (strengths, weaknesses, opportunities, and threats) to gauge the company’s standing.

Walgreens Boots Alliance (WBA) is currently trading at $86.08 as of December 19, 2016, which is ~2.2% below its 52-week high. The stock has risen 1.0% YTD.

During fiscal 2016, Walgreens entered into various strategic partnerships to advance its retail and pharmacy operations.

Walgreens Boots Alliance (WBA) posted strong results in fiscal 2016. Revenues rose 13.4% YoY, and EPS rose 18.3% over the previous year.

Walgreens Boots Alliance (WBA) is looking to divest 650 stores in order to win the Federal Trade Commission’s (FTC) approval for its pending Rite Aid (RAD) acquisition.

Walgreens’s deal with Rite Aid is currently awaiting the Federal Trade Commission’s (or FTC) approval. The FTC has asked Walgreens to close or sell ~650 stores.

GNC’s peers have outperformed GNC Holdings based on PE and PBV ratios. But GNC has mostly outperformed its peers based on PS ratios.

GNC Holdings (GNC) reported 3Q16 revenue of $628.0 million, a fall of 8.1%. Its gross profit margin and operating margin fell 240 bps and 170 bps, respectively.

Walgreens Boots Alliance and CVS Health are both covered by 26 Wall Street analysts each.

In October 2015, Walgreens Boots Alliance (WBA) announced its intention to acquire Rite Aid (RAD) for a total enterprise value of $17.2 billion.

WBA is still awaiting approval from the FTC, which has asked WBA to shut or sell around 650 of its stores, or ~5% of the WBA-RAD combined store count.

GNC Holdings has a market cap of $1.5 billion. It fell by 25.5% and closed at $20.28 per share on July 28, 2016. It reported 2Q16 revenue of $673.2 million.

Walgreens (WBA) operates close to 8,200 pharmacies in the US. It is closely followed by CVS Health (CVS), which operates slightly fewer than 8,000 pharmacies.

Walgreens Boots Alliance (WBA) issued Baa2/BBB rated high-grade bonds worth $6.0 billion through five parts on May 26.

Target has identified four signature categories it’s concentrating on to provide higher store and web traffic and sales: Baby, Style, Wellness, and Kids.

Walgreens Boots Alliance’s (WBA) sales rose 48.5% YoY (year-over-year) to $29 billion in 1Q16. The increase was largely driven by the consolidation of Alliance Boots’ operations.

After delivering a decent performance in the stock market in 2015 with returns of 12%, Walgreens Boots Alliance (WBA) had a rought start in 2016.

The S&P 500 slightly outperformed the S&P Consumer Staples and the S&P Consumer Discretionary last week.