Walgreen Company (WAG), CVS Caremark Corporation (CVS), Rite Aid Corporation (RAD): Do March Sales Predict Annual Performance?

Final thoughts

March sales were up for two drug retailers and down for one. Walgreen and CVS are two companies worth holding and perhaps buying. Sales at each of these stores are expected to rise this year. So March sales do point toward the rest of the year. Rite Aid had lower sales but posted great profits for the quarter. One month doesn’t always signal the rest of the year.

Of these three companies, CVS Caremark Corporation (NYSE:CVS) is the best pick. It has more diversified revenue with multiple segments. It hasn’t had partnership issues like Walgreen and Express Scripts, nor has it had major profitability issues like Rite Aid. CVS is the leader of the pack. Stick with this one and watch the gains come in.

Austin Higgins has no position in any stocks mentioned. He is the Principal Consultant for Avant Venture Group and focuses on building businesses through innovation, growth and investment. Read his company’s blog at BuildInvestGrow.com and follow him on Twitter @Austin_Higgins.

The Motley Fool has no position in any of the stocks mentioned.