The stock of Rite Aid Corporation (NYSE:RAD) is now priced at $12.95 and the shares are -0.07 points down or -0.54% lower compared to its previous closing price of $13.02. The stock had 2.754 million contracts set over the past session. RAD shares’ daily volume is compared to its average trading volume at 3.419 million shares. However, it has a float of 52.92 million and although its performance was -5.34% over the week, it’s one to watch. Analysts have given the RAD stock a yearly average price target of $10.17 per share. It means the stock’s downside potential is -21.47% with the RAD share price recently placing at $12.571 to $13.05. However, some brokerage firms have priced the stock below the average, including one that has called $6.
The shorts are running away from the Rite Aid Corporation stock, with the latest data on short interest released on July 31, 2020, showing that short interest numbers in the RAD shares have declined. Short interest in the stock represents just 22.72% of its float, but the volume has dropped by 0.
In the last trading session, Rite Aid Corporation (NYSE:RAD) dropped by -$0.73 over the week and lost -$2.53 on its 20-day. The stock’s high in the recent session is lower when compared to its 52-week high of $23.88. The stock recorded its established 52-week high on 12/27/19.
Since 09/03/19, the stock has traded to a low of $6.09 at 112.64%, an encouraging piece of data likely to interest most investors out to exploit the stock’s recent surge. The stock has a beta allocation of 0.8. Being above 1 means that the stock’s volatility is higher than the market and traders are keenly watching it.
Looking at current readings, Rite Aid Corporation’s two-week RSI is 25.72. This suggests that the stock is overbought at the moment and that RAD shares’ price movement remains not stable. The stochastic readings are equally revealing at 10.14% meaning the RAD share price is currently in overbought territory.
The technical chart shows that the RAD stock will likely settle at between $13.14 and $13.34 per share. However, if the stock dips below $12.66, then its market would become much weaker. Any downside could see the stock price sliding to levels as low as $12.38.
Currently, the stock is trading in the red of MACD, with a reading of -0.36. Investors always pay attention to any move above or below the zero-line, mainly because the indicator points to the position of the stock’s short-term average relative to its long-term measure. A MACD -a reading above the zero line means that the short-term is above the long-term average. This scenario implies that there is an upward momentum. The opposite is true when the MACD falls below the zero-line.
Analysts at Deutsche Bank raised their recommendation for RAD from Sell to Hold in April 17 review while maintain their target price of $12. Guggenheim analysts upgraded their recommendation of the stock from Sell to Neutral in a flash note released to investors on February 27. Deutsche Bank analysts see the stock as Sell when the analysts initiated the share price coverage on September 12.
The average rating for the RAD equity is 3.4 and is currently gathering a bearish momentum. Of 5 analysts tracking Rite Aid Corporation polled by Reuters, 3 rated RAD as a hold. The remaining 2 analysts were split evenly. However, the split wasn’t equal as a majority (0) rated it as a buy or strong buy. 2 analyst advised investors against buying the stock or to sell if they own any of the stock.
Elsewhere, the RAD stock price is 16.13X ahead of its 12-month Consensus earnings per share estimates. The stocks P/S ratio currently stands below the group’s average of 115.6. Rite Aid Corporation has its P/E ratio at 1.2, which means that the stock is currently trading at a discount relative to the 1.5 industry average.
Zacks Consensus Estimate forecasts that the current-quarter revenues for Rite Aid Corporation (NYSE:RAD) will decrease by about -4.76%, which will see them reach $5740 million. The company’s full-year revenues are, however, expected to increase by about 7.02%, up from $21900 million to $23500 million. RAD’s expected adjusted earnings should drop almost -100% to end up at $0 per share, while for the fiscal year, analysts project the company’s earnings to grow by about 153.33% to record $0.38/share.