Rite Aid Corporation (NYSE: RAD) is a large pharmacy chain with over 2,600 stores in the United States. The company has been struggling since 2013, when it reported a net loss of $1.4 billion. In 2016, Rite Aid reported a net loss of $2.
9 billion. In 2017, the company reported a net loss of $3.5 billion.
Rite Aid’s losses have been blamed on a variety of factors, including competition from online pharmacies and the opioid crisis. The company has been trying to turnaround its business by closing stores and reducing its workforce.
However, these efforts have not been successful, and Rite Aid is currently predicting a net loss of $4.2 billion for 2018.
There are a number of reasons why Rite Aid may be losing money. First, the company’s core pharmacy business is facing increasing competition from online pharmacies. These pharmacies can offer lower prices and faster shipping, which can be a disadvantage for Rite Aid.
Second, the opioid crisis has caused a decline in the number of patients who are visiting Rite Aid pharmacies. Finally, the company has been struggling to keep up with the changing trends in the retail industry, including the rise of online shopping and the growth of Walmart and Amazon.
Although Rite Aid is facing significant challenges, it is still a large and well-known pharmacy chain. The company’s bankruptcy filing in 2013 caused a sharp drop in the stock price, but the stock has since recovered.
However, Rite Aid’s current financial situation is likely to continue to cause turbulence in the stock price. Therefore, investors should exercise caution when considering investing in the company.
