Today’s Research Reports on Stocks to Watch: Rite Aid and CVS Health

NEW YORK, NY / ACCESSWIRE / February 9, 2018 / Rite Aid shares and CVS shares both saw losses in Thursday trading despite separate positive announcements. Rite Aid released an encouraging update on its progress of selling stores to Walgreens and CVS released strong fourth quarter results and said it would be raising its starting hourly wage for employees to $11 in April.

RDI Initiates Coverage on:

Rite Aid Corporation
https://rdinvesting.com/news/?ticker=RAD

CVS Health Corporation
https://rdinvesting.com/news/?ticker=CVS

Rite Aid’s shares closed down 3.85% on nearly 14.3 million shares traded yesterday. The drug store chain released an update on its progress of selling stores to Walgreens Boots Alliance. The update is pursuant to the previously disclosed Amended and Restated Asset Purchase Agreement, dated as of September 18, 2017. According to the company’s update, as of February 8th, it has transferred 1,114 stores and related assets to WBA, and has received cash proceeds of $2,424 million. The company is using these funds to reduce debt. CEO John Standley commented, “We have now completed more than half of the planned store transfers and remain on track to finish the process in the spring of this year. As we work to complete this process, we remain focused on opportunities to build our business while delivering a great experience to our customers and patients and driving value for our shareholders.”

Access RDI’s Rite Aid Corporation Research Report at:
https://rdinvesting.com/news/?ticker=RAD

CVS Health’s shares closed down 5.11% on Thursday with about 11.7 million shares traded. Despite the loss, it was a good day for CVS after the company announced that it would raise its starting wage for employees to $11 an hour in April. According to CNBC, the raise comes from the $1.2 billion in savings that CVS is seeing from the tax reform. CVS also announced its fourth quarter results and posted revenue of $48.4 billion, a 5.3% growth from the year ago quarter. It was also higher than the $47.5 billion that analysts had expected. CEO Larry Merlo commented, “In 2017, we delivered on the four-point plan we set in place to return to more robust levels of growth. Our position in the evolving health care landscape is stronger than ever before, and we remain confident in our model and in our ability to make health care more affordable, more accessible and more effective.”

Access RDI’s CVS Health Corporation Research Report at:
https://rdinvesting.com/news/?ticker=CVS

Our Actionable Research on Rite Aid Corporation (NYSE: RAD) and CVS Health Corporation (NYSE: CVS) can be downloaded free of charge at Research Driven Investing.

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