Rite Aid (RAD) was up more than 15% at recent check, near six-year highs, as its second quarter surprised investors with an unexpected profit.
The drugstore said it earned $32.8 million, or three cents a share, compared with a year-earlier loss of $38.8 million, or a nickel a share. Analysts were looking for a per-share loss of four cents for the period ended August 31.
Rite Aid's total sales climbed 0.8% to $$6.28 billion, while same-store sales rose 1%, as a 0.3% decline in front-end sales was more than offset by a 1.7% increase in pharmacy sales.
In addition, Rite Aid also increased its forecast, saying it now expects to earn to between 18 cents and 27 cents a share on sales of $25.1 billion to $25.3 billion and same-store sales of plus or minus 0.5%. The company's EPS estimate is above expectations, while the revenue guidance is in-line with current forecasts.
At recent check, rival Walgreen (WAG), the nation's largest chain, was up 0.5%, while CVS Caremark (CVS), the second-largest drugstore operator, was down 0.1%.
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