Rite Aid Beats Up on Analysts Yet Again
Rite Aid (NYS: RAD) reported earnings today. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended March 3 (Q4), Rite Aid met expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded and GAAP loss per share dropped.
Gross margins shrank, operating margins dropped, net margins expanded.
Rite Aid booked revenue of $7.15 billion. The six analysts polled by S&P Capital IQ hoped for a top line of $7.13 billion on the same basis. GAAP reported sales were 11% higher than the prior-year quarter's $6.46 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at -$0.10. The five earnings estimates compiled by S&P Capital IQ predicted -$0.17 per share on the same basis. GAAP EPS were -$0.18 for Q4 against -$0.24 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 24.9%, 140 basis points worse than the prior-year quarter. Operating margin was 0.3%, 80 basis points worse than the prior-year quarter. Net margin was -2.3%, 90 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $6.58 billion. On the bottom line, the average EPS estimate is -$0.05.
Next year's average estimate for revenue is $25.78 billion. The average EPS estimate is -$0.29.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 813 members out of 979 rating the stock outperform, and 167 members rating it underperform. Among 151 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 111 give Rite Aid a green thumbs-up, and 40 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Rite Aid is hold, with an average price target of $1.58.
If you're interested in retailers like Rite Aid as investments, you should check out the retail concept that is The Motley Fool's top stock for 2012. Its founder wrote the book on big box retailing, and it's growing in increasingly important international markets. Click here for instant access to this free report.
- Add Rite Aid to My Watchlist.
At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.