Rite Aid (RAD - Free Report) closed the most recent trading day at $8.08, moving -0.62% from the previous trading session. This change lagged the S&P 500's 0.16% loss on the day. Elsewhere, the Dow gained 0.01%, while the tech-heavy Nasdaq lost 0.26%.
Coming into today, shares of the drugstore chain had lost 27.11% in the past month. In that same time, the Retail-Wholesale sector gained 0.34%, while the S&P 500 lost 0.19%.
RAD will be looking to display strength as it nears its next earnings release. On that day, RAD is projected to report earnings of $0.02 per share, which would represent year-over-year growth of 110%. Our most recent consensus estimate is calling for quarterly revenue of $5.37 billion, down 0.31% from the year-ago period.
Investors might also notice recent changes to analyst estimates for RAD. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 55% lower. RAD currently has a Zacks Rank of #5 (Strong Sell).
Looking at its valuation, RAD is holding a Forward P/E ratio of 30.11. This valuation marks a premium compared to its industry's average Forward P/E of 12.03.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 244, which puts it in the bottom 5% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.