RAD

Rite Aid Corp.

Healthcare, Consumer


Presented:07/30/2021
Price:$15.20
Cap:$0.84B
Current Price:$0.01
Cap:$0.00B

Presented

Date07/30/2021
Price$15.20
Market Cap$0.84B
Ent Value$7.19B
P/E RatioN/A
Book Value$10.96
Div Yield0%
Shares O/S55.09M
Ave Daily Vol2,405,590
Short Int23.06%

Current

Price$0.01
Market Cap$0.00B
Rite Aid Corp. engages in the ownership and management of retail drug stores. It operates through following segments: Retail Pharmacy and Pharmacy Services. The Retail Pharmacy segment includes branded and generic prescription drugs, health and beauty aids, personal care products, and walk-in retail clinics. The Pharmacy Services segment offers transparent and traditional pharmacy benefit management for insurance companies, employers, health plans, and government employee groups. The company was founded by Alex Grass on September 12, 1962 and is headquartered in Camp Hill, PA.

Publicly traded companies mentioned herein: Rite Aid Corp (RAD), Walgreens Boots Alliance Inc (WBA)

Highlights

The presenter is short shares of Rite Aid Corp (RAD), viewing the company as a structurally unprofitable, dying business. Overall, he feels that Street expectations in the out years are too high. Its FCF is negative and getting worse, he expects EBITDA to decrease below $300MM (whereas the Street expects annual EBITDA growth from last year’s $438MM to over $500MM in 2024), and he believes there will be leverage issues as demand for the business falls off. 

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Idea Discussion

Commentor 1 - 2 weeks ago

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