Stock Alert: Rite Aid Ascends 17% On Upbeat Results

(RTTNews) - Shares of drugstore chain Rite Aid Corporation (RAD) are rising more than 18% Thursday morning influenced by upbeat first-quarter results.

Rite Aid reported first-quarter adjusted net loss from continuing operations of $2.0 Million, or $0.04 Per Share, beating the average estimate of analysts polled by Thomson Reuters for loss of $0.38 per share.

Revenues from continuing operations for the quarter increased to $6.03 billion from $5.37 billion in the same quarter a year ago, while surpassing the consensus estimate of $5.61 billion.

Due to the significant uncertainty of the impacts of Covid-19 pandemic on the company's business, Rite Aid had withdrawn its fiscal 2021 guidance issued earlier. However, it does expect to generate positive cash flow in 2021 by reducing costs, improving working capital, and reducing expected capital expenditures.

The stock is currently trading at $15.14. It has traded in the range of $5.04- $23.88 in the past one year.