Last week, the number one business or investing story trending on social media was CVS Caremark's announcement the retail pharmacy chain will no longer be selling tobacco products in its stores.
The response was so large and so positive from individuals--investors or not--that a group of Democratic congressmen even stepped in to encourage competitors like Walgreens to follow CVS' lead.
Tobacco unquestionably causes a variety of health problems, cancer being the worst case among a plethora of nasty outcomes. So for society in general the less smoking of tobacco the better. But what about for investors in these pharmacies who, with this policy, are sacrificing hundreds of millions of dollars in revenue.
In the video below, Motley Fool contributor Jay Jenkins walks us through what happened and why it matters for investors in retail pharmacies. Despite the immediate hit to revenues, Jay thinks this change is a smart long term strategic decision in today's Obamacare reality.
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The article The #1 Trending Business Story This Week Confirms Americans Hate Tobacco originally appeared on Fool.com.Jay Jenkins has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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