Raia Drogasil S.A. (OTCMKTS:RADLY) Stock Short Interest Drops 40.3%

Key Points

• Short interest fell 40.3% to 793 shares as of October 15, representing effectively 0.0% of the company’s shares and a 0.0-day short-interest ratio.
• Jefferies upgraded Raia Drogasil to “Buy” with a $5.20 price target. Analyst coverage consists of one Buy and one Hold rating, producing a consensus rating of “Moderate Buy.”
• Shares declined 3.2% to $2.76, near the 52-week low of $2.74 and well below the 50-day and 200-day moving averages. The company matched quarterly EPS expectations at $0.05 but reported revenue of $2.17 billion, below the $2.32 billion consensus estimate.

Raia Drogasil S.A. (OTCMKTS:RADLY - Get Free Report) was the recipient of a large decline in short interest in the month of October. As of October 15th, there was short interest totaling 793 shares, a decline of 40.3% from the September 30th total of 1,328 shares. Currently, 0.0% of the company's shares are sold short. Based on an average daily volume of 349,085 shares, the short-interest ratio is currently 0.0 days.

Analysts Set New Price Targets

Separately, Jefferies Financial Group upgraded shares of Raia Drogasil to a "buy" rating and set a $5.20 price objective for the company in a research report on Sunday, October 18th. One research analyst has rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat, Raia Drogasil currently has a consensus rating of "Moderate Buy" and a consensus target price of $5.20.

Raia Drogasil Trading Down 3.2%

Shares of Raia Drogasil stock traded down $0.09 on Friday, reaching $2.76. 4,628 shares of the company's stock were exchanged, compared to its average volume of 186,223. The company has a market capitalization of $3.63 billion and a P/E ratio of 18.40. Raia Drogasil has a 52 week low of $2.74 and a 52 week high of $5.34. The firm's 50-day moving average is $3.75 and its two-hundred day moving average is $4.08. The company has a debt-to-equity ratio of 0.99, a quick ratio of 0.58 and a current ratio of 1.41.

Raia Drogasil (OTCMKTS:RADLY - Get Free Report) last announced its quarterly earnings data on Tuesday, August 4th. The company reported $0.05 EPS for the quarter, hitting the consensus estimate of $0.05. Raia Drogasil had a net margin of 2.99% and a return on equity of 20.12%. The company had revenue of $2.17 billion during the quarter, compared to the consensus estimate of $2.32 billion. Sell-side analysts predict that Raia Drogasil will post 0.17 EPS for the current fiscal year.

About Raia Drogasil

Raia Drogasil, now operating under the name RD Saúde, is a Brazilian healthcare and pharmacy retail company. It operates a network of pharmacies offering prescription medicines, over-the-counter drugs, vitamins, personal care products, beauty items and other health-related merchandise.

The company also provides digital purchasing and delivery services through its online channels, supporting customers with prescription fulfillment, health products and related services. Its operations include pharmacy-based healthcare initiatives designed to complement its retail business and improve access to everyday healthcare.

RD Saúde was created in 2011 through the merger of Drogasil and Droga Raia, two established Brazilian pharmacy chains.

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