As a standalone business, our Luke Lango writes, Rite Aid remains viable. It is currently valued at just 7.7 times trailing earnings before interest, taxes and depreciation (EBITDA), the metric most used to evaluate potential acquisitions.
RAD stock news has been driven lately by the sale of a bunch of its stores. The FTC approved the sale of a whopping 1,932 stores and three distribution centers to competitor Walgreens Boots Alliance (NYSE:WBA) for $4.375 billion in cold cash.
Rite Aid suffered a huge setback in June, when its merger with Walgreens Boots Alliance Inc. WBA was terminated for failing to get the Federal Trade Commission's (FTC) nod after two years of investigation.