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Amazon Reportedly Offering Six-Month Prescriptions for $6

Amazon is offering $6 six-month prescriptions for common drugs like simvastatin for high cholesterol, a media report says.
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Amazon.com  (AMZN) - Get Report shares rose Tuesday after a media report said the online retail colossus is providing six-month prescriptions starting at $6 for common drugs.

The prescriptions are made online. The plan undoubtedly benefits people who lack insurance. In addition, most insurers don’t reimburse for six-month prescriptions, Bloomberg says. So the offering could help people with insurance, too.

Amazon Prime subscribers can take advantage of the $6/six-month coverage for medicines such as simvastatin for high cholesterol and amlodipine for high blood pressure, Bloomberg reports.

Shares of Amazon recently traded at $3,255, up 1.8%. They have firmed 3% over the past six months; investors and analysts have expressed concern about its valuation.

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The company’s new prescription option represents competition for CVS Health  (CVS) - Get Report and Walgreens Boots Alliance  (WBA) - Get Report

Both pharmacy chains saw their share prices slip on Tuesday, CVS by 1.1% to $85.41 and Walgreens by 0.7% to $54.16.

Amazon entered the prescription-drug market in 2018 with its purchase of online pharmacy PillPack.

Amazon also is considering brick-and-mortar pharmacy storefronts, knowledgeable sources told Business Insider. 

The e-commerce giant has discussed using its Whole Foods stores to house the pharmacies, as well as launching stand-alone sites, they said.

In other Amazon news, it is expected to be included in an international tax plan, even as the Seattle tech and online-retail giant doesn't specifically qualify based on its profit margins, a Bloomberg report says.

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