Rite Aid jumped about 9% after reporting better-than-expected earnings

Earnings

Pedestrians cross a street in front of a Rite Aid store in Oakland, California.

David Paul Morris | Bloomberg | Getty Images

Rite Aid’s stock surged by about 9% in pre-market trading Thursday after reporting better-than-expected earnings under new CEO Heyward Donigan. 

The pharmacy chain’s overall sales, however, fell short of analysts’ forecasts for its fiscal second quarter for 2020 ended Aug. 31, as did sales as locations open for at least a year. 

Here’s how the company performed compared with what Wall Street expected, based on analysts surveyed by Refinitiv :

  • Adjusted earnings per share: 12 cents vs. 7 cents expected
  • Revenue: $5.37 billion vs. $5.41 billion expected

Rite Aid updated its full-year forecast, reiterating its revenue guidance of between $21.5 billion and $21.9 billion while lowering its projected earnings. Rite Aid now expects to lose between $235 million and $275 million during fiscal 2020, compared with a net loss of $170.0 million and $220.0 million.

However, it narrowed its adjusted earnings per share forecast. It now expects EPS to range from zero to 56 cents a share. It previously projected EPS to fall between a loss of 14 cents a share to a gain of 72 cents a share. 

Articles You May Like

The ultra-wealthy just gained $49 trillion in wealth thanks to stocks
Here’s why Abbott Labs stock is getting dinged after a strong earnings beat
Spirit Airlines forecasts bigger quarterly loss as revenue falls short of expectations
With corners of the media industry in upheaval, Netflix makes clear it’s staying out of the fray
Top Wall Street analysts are confident about the potential behind these 3 stocks

Leave a Reply

Your email address will not be published. Required fields are marked *