Yahoo Finance Walgreens Boots Alliance (WBA) Stock Sinks As Market Gains: What You Should Know
Walgreens Boots Alliance (WBA) closed the most recent trading day at $31.46, moving -1.81% from the previous trading session. This change lagged the S&P 500's daily gain of 0.95%. Elsewhere, the Dow gained 0.35%, while the tech-heavy Nasdaq added 4.73%.
Heading into today, shares of the largest U.S. drugstore chain had lost 8.01% over the past month, lagging the Retail-Wholesale sector's gain of 2.76% and the S&P 500's gain of 0.3% in that time.
Investors will be hoping for strength from Walgreens Boots Alliance as it approaches its next earnings release. The company is expected to report EPS of $1.10, up 14.58% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $33.84 billion, up 3.83% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.50 per share and revenue of $136.18 billion. These totals would mark changes of -10.71% and +2.62%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Walgreens Boots Alliance. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Walgreens Boots Alliance is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Walgreens Boots Alliance is holding a Forward P/E ratio of 7.13. This represents a no noticeable deviation compared to its industry's average Forward P/E of 7.13.
We can also see that WBA currently has a PEG ratio of 2.36. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. WBA's industry had an average PEG ratio of 1.81 as of yesterday's close.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 228, putting it in the bottom 10% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Walgreens Boots Alliance, Inc. (WBA) : Free Stock Analysis Report
