Rite Aid Stock Sinks After Chapter 11 Bankruptcy Filing

RAD is down more than 80% in 2023

Fernanda Horner

Digital Content Manager

Oct 16, 2023 at 10:04 AM

Rite Aid Corp (NYSE:RAD) stock is down 5.6% to trade at $0.61 at last check, after the pharmacy concern filed for Chapter 11 bankruptcy protection this weekend, amid slowing sales, increasing debt, and opioid-related lawsuits. The company also named a new CEO and secured a debt restructuring deal.

The equity has spent most of the last 12 months deep into penny stock territory, after slipping below $5 back in December. The 50-day moving average has been acting as pressure since mid-August, contributing to Rite Aid stock's 80.6% year-to-date deficit.

Options traders are overwhelmingly bearish, per RAD's 10-day put/call volume ratio of 2.85 back at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) that sits in the 92nd percentile of annual readings. Echoing this, the stock's Schaeffer's put/call open interest ratio (SOIR) of 1.01 stands in the 99th percentile of annual readings.

Follow @Schaeffers

Two High-Octane Trade Ideas. One Simple Goal: Intraday Profits.

Dynamite Day Trading Signals delivers two same-day options trades every week — powered by proprietary intraday analysis and 43+ years of trading expertise.

But this isn’t just another stream of alerts.

It’s a structured plan with clear entry and exit points – designed for traders who want to act fast, trade smart, and wrap up gains before the closing bell.

No guesswork. No overnight exposure – Just two well-researched setups per week — whether you prefer buying premium or selling it.

And the results speak for themselves: subscribers have locked in +245.8% total profit over the last six months (since inception!).

👉 Start your one-month trial now for just $10, and be ready for the next trade alert.