Analyzing Rite Aid Corporation (RAD) By Technical Indicators

As of Friday close, Rite Aid Corporation’s (NYSE:RAD) stock was down -$0.14, moving down -4.96 percent to $2.68. The average number of shares traded per day over the past five days has been 5,819,280 shares. 2 times new highs have been achieved over the past 5 days, with a -$0.60 fall in that time frame. In the last twenty days, the average volume was 2,858,695, while in the previous 50 days, it was 2,636,972.

Since last month, RAD stock retreated -32.15%. Shares of the company fell to $2.42 on 03/15/23, the lowest level in the past month. A 52-week high of $11.60 was reached on 02/23/23 after having rallying from a 52-week low of $2.42. Since the beginning of this year, RAD’s stock price has dropped by -19.76% or -$0.66, and marked a new high 6 times. However, the stock has declined by -76.91% since its 52-week high.

Financial Health

In the three months ended November 29, Rite Aid Corporation’s quick ratio stood at 0.60, while its current ratio was 1.30, showing that the company is not able to pay off its debt. On the profitability front, the trailing twelve-month gross margin is 19.90% percent. In the year ended November 29, operating margins totaled -3.10%. Based on annual data, RAD earned $5.11 billion in gross profit and brought in $24.57 billion in revenue.

A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was -12.00%. Return on equity (ROE) for the past 12 months was 552.90%.

In Rite Aid Corporation’s quarter-end financial report for November 29, it reported total debt of $3.19 billion. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. RAD’s revenue fell -2.39% to $5.9 billion during the quarter, while net income inched up to $6.08 billion. While analysts expected Rite Aid Corporation to report -$0.31 quarterly earnings, the actual figure was -$0.14 per share, beating the consensus estimate by 54.80%. During the quarter, the company generated $78.7 million in EBITDA. The liabilities of Rite Aid Corporation were 8.61 billion at the end of its most recent quarter ended November 29, and its total debt was $6.2 billion. The value of shareholders’ equity is $56.52 million.

Technical Picture

This quick technical analysis looks at Rite Aid Corporation’s (RAD) price momentum. With a historical volatility rate of 116.09%, the RSI 9-day stood at 25.47% on 17 March.

With respect to its five-day moving average, the current Rite Aid Corporation price is down by -18.29% percent or -$0.60. At present, RAD shares trade -31.28% below its 20-day simple moving average and -36.19% percent below its 100-day simple moving average. However, the stock is currently trading approximately -24.72% below its SMA50 and -51.89% below its SMA200.

Stochastic coefficient K was 17.35% and Stochastic coefficient D was 14.14%, while ATR was 0.29. Given the Stochastic reading of 16.83% for the 14-day period, the RSI (14) reading has been calculated as 28.77%. As of today, the MACD Oscillator reading stands at -0.38, while the 14-day reading stands at -0.59.

Analyst Ratings

Rite Aid Corporation downgraded its rating on Rite Aid Corporation (NYSE: RAD) to a Sell in a note to investors on April 07, 2022. The analysts firm previously had a Hold rating on the stock.Rite Aid Corporation (RAD) has been rated Sell by analysts. According to 3 brokerage firms, RAD is a sell, and 0 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 0 analysts rate Rite Aid Corporation stock as buy, with 0 recommending it as overweight.

With a median target price of $3.00, the current consensus forecast for the stock is $3.00 – $3.00. Based on these forecasts, analysts predict Rite Aid Corporation (RAD) will achieve an average price target of $3.00.