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Notable earnings before Thursday’s open

Comments (1)
  • neissmor
    , contributor
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    You can rarely be wrong investing in a drug chain.
    A prescription is the only product ....
    You must buy although someone else ordered you to buy it.(your doctor)
    You don't know what it is or the cost.
    The penalty for not buying it is hastened death (in some cases) or prolonged agony.
    A drug chain balance sheet is read by analysts the same way they read any retail balance sheet....WRONG.
    There is an intangible asset which does not appear on the balance sheet.
    THE VALUE OF EACH ACTIVE RX.
    Chains are paying premiums for it to expand their volume and increase profits and market share.
    If you take RAD's active Rx's ($16 BILLION worth) and multiply that by the value today of each Rx,divide by the number of shares outstanding,you'd be amazed at the real value of a RAD share.
    Another mistake analysts made when the bogey man "GENERICS" reared it's alleged volume reducing head.
    It actually increased margins.
    Reduced inventory carrying costs.
    Left the customer with a surprise pocket of cash upon leaving the prescription department.....
    Who,on the way out (especially if it was a woman) didn't make it past the cosmetic counter without leaving the surprise difference (bonus) for make up or fragrance.After all it was "free".
    I was in the business 40 years and attest to "all of the above".
    10 Apr, 09:54 AM Reply Like
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