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Rite Aid stock- Any reason to buy/hold?

Posted on 6/30/17 at 11:32 am
Posted by Tiger the Hutt
Metairie
Member since May 2013
517 posts
Posted on 6/30/17 at 11:32 am
If you currently have RAD are you holding onto for some reason? After yesterday I'm just trying to understand why the stock isn't at zero.
Posted by PillPusher
Gulf Coast
Member since Oct 2009
5707 posts
Posted on 6/30/17 at 11:45 am to
Because they will be able to pay off massive amounts of debt, become leaner and more efficient, and get a 10 year period of discount wholesaler purchases. But I wouldn't buy it here,
Posted by HailToTheChiz
Back in Auburn
Member since Aug 2010
48922 posts
Posted on 6/30/17 at 11:45 am to
quote:

After yesterday I'm just trying to understand why the stock isn't at zero.


The hope that another company buys them I guess
Posted by LSUFanHouston
NOLA
Member since Jul 2009
37044 posts
Posted on 6/30/17 at 11:47 am to
RAD is getting 5.18 billion in cash, plus 350 million termination fee, and will still operate a chain of 2,500 stores in a smaller footprint.

There is value in the company.

The problem is that RAD is a struggling company in a struggling sector.

I would love to get a deep dive into the FTC's thoughts. Was it truly the concern about lack of competition, or was it about Fred's being able to step up?
Posted by Bestbank Tiger
Premium Member
Member since Jan 2005
70950 posts
Posted on 7/1/17 at 9:02 pm to
Buy low?

Makes sense to take a chance with a small amount of money. Minimal downside and potential for a nice profit.
Posted by matthew25
Member since Jun 2012
9425 posts
Posted on 7/1/17 at 9:18 pm to
Walgreen will have 10,000+ stores
CVS - 9000+
RAD - 2000+

Jeff Sessions said Anti-Trust policy is to have at least operators in the space.

Who is # 4?
Posted by MSTiger33
Member since Oct 2007
20374 posts
Posted on 7/2/17 at 2:09 am to
Fred's?
Posted by Boss
Member since Dec 2007
1206 posts
Posted on 7/2/17 at 12:16 pm to
Wally world then Kroger
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