Why Rite Aid Stock Is Sinking Today

Shares of Rite Aid Corporation (NYSE: RAD) had sunk 16.7% lower as of 11:04 a.m. EST on Monday. The decline appears to reflect some profit taking by investors after Rite Aid's big jump last week, which was spurred by the pharmacy retailer's better-than-expected third-quarter earnings update.

After shares soared more than 60% in two days, it's not surprising that Rite Aid's sizzle would cool off somewhat. However, the underlying reasons for investors' renewed enthusiasm haven't changed.

Image source: Rite Aid.

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Source Fool.com