Why Rite Aid Stock Soared on Thursday

Shares of Rite Aid (NYSE: RAD) were looking downright healthy on Thursday as the stock surged by as much as 15.5%. As of 12:05 p.m. ET, the stock was still up by 15.2%.

The catalyst that sent the retail drugstore chain soaring was its fiscal 2023 first-quarter financial report, which was far better than investors had expected.

For the quarter, which ended May 28, Rite Aid reported revenue of $6.01 billion, down 2.3% year over year. While that might not seem worth writing home about, it's important to put that into context. Last year at this time, a major wave of COVID-19 vaccinations was boosting Rite Aid's top line. Current profits also took a hit in its latest quarter. The company delivered an adjusted net loss of $0.60 per share, compared to adjusted net income of $0.38 per share in the prior-year period. 

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Source Fool.com