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Rite Aid Corporation

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RAD : NYSE :
$18.16 -0.03 | -0.16%
Today's Range: 17.83 - 18.55
Avg. Daily Volume: 0
04/22/21 - 4:00 PM ET
Rating Summary Rating Detail Financial Analysis Peer Group

Financial Analysis


RITE AID CORP's gross profit margin for the fourth quarter of its fiscal year 2020 has decreased when compared to the same period a year ago. The company has grown its sales and net income during the past quarter when compared with the same quarter a year ago, and although its growth in net income has outpaced the subsector average, its revenue growth has not. RITE AID CORP has weak liquidity. Currently, the Quick Ratio is 0.62 which shows a lack of ability to cover short-term cash needs. The company's liquidity has increased from the same period last year.

During the same period, stockholders' equity ("net worth") has decreased by 8.80% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q4 FY20 Q4 FY19
Net Sales ($mil)5916.865727.24
EBITDA ($mil)19.79162.77
EBIT ($mil)-57.7883.47
Net Income ($mil)-18.5-324.72


Balance Sheet Q4 FY20 Q4 FY19
Cash & Equiv. ($mil)160.9218.18
Total Assets ($mil)9335.49452.37
Total Debt ($mil)6432.256305.94
Equity ($mil)615.15674.53


Profitability Q4 FY20 Q4 FY19
Gross Profit Margin20.5423.5
EBITDA Margin0.332.84
Operating Margin-0.981.46
Sales Turnover2.582.32
Return on Assets-0.97-4.78
Return on Equity-16.27-69.56
Debt Q4 FY20 Q4 FY19
Current Ratio1.381.34
Debt/Capital0.910.9
Interest Expense50.053.43
Interest Coverage-1.161.56


Share Data Q4 FY20 Q4 FY19
Shares outstanding (mil)55.2554.72
Div / share0.00.0
EPS-0.34-6.43
Book value / share11.1312.33
Institutional Own % n/a n/a
Avg Daily Volume2684158.04347127.0

Valuation


HOLD. The current P/E ratio is negative, which has no meaningful value in the assessment of premium or discount valuation, it simply displays that the company has negative earnings. For additional comparison, its price-to-book ratio of 1.59 indicates a significant discount versus the S&P 500 average of 4.38 and a significant discount versus the subsector average of 7.19. The price-to-sales ratio is well below both the S&P 500 average and the subsector average, indicating a discount. After reviewing these and other key valuation criteria, RITE AID CORP proves to trade at a discount to investment alternatives.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
RAD NM Peers 30.32   RAD 42.51 Peers 13.07

Neutral. The absence of a valid P/E ratio happens when a stock can not be valued on the basis of a negative stream of earnings.

RAD's P/E is negative making this valuation measure meaningless.

 

Premium. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

RAD is trading at a significant premium to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
RAD 72.20 Peers 28.86   RAD NA Peers 2.59

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

RAD is trading at a discount to its peers.

 

Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

Ratio not available.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
RAD 1.59 Peers 7.19   RAD 78.78 Peers -10.48

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

RAD is trading at a significant discount to its peers.

 

Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

RAD is expected to have an earnings growth rate that significantly exceeds its peers.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
RAD 0.04 Peers 0.71   RAD 9.64 Peers 5.84

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

RAD is trading at a significant discount to its subsector on this measurement.

 

Higher. A sales growth rate that exceeds the subsector implies that a company is gaining market share.

RAD has a sales growth rate that significantly exceeds its peers.

 

 

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