Can Rite Aid Corporation (RAD) Survive The Battle of the Last Mile?

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Source: The Motley Fools CAPs and Forbes

While Rite Aid is up a significant amount as a percentage, it is still only trading at around $1.70 a share.  It has a high short float and low institutional ownership compared to its rivals, too.  For those Foolish investors looking to buy shares at penny stock prices, pay particular attention to the interest coverage ratio of Rite Aid.  Until it rises to at least 1.5, the concerns about cash flow are just too foreboding when the competition is so well-financed.

The article Can Rite Aid Survive The Battle of the Last Mile? originally appeared on Fool.com and is written by Jonathan Yates.

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