Yahoo Finance Why the Market Dipped But Walgreens Boots Alliance (WBA) Gained Today
The most recent trading session ended with Walgreens Boots Alliance (WBA) standing at $15.55, reflecting a +0.65% shift from the previouse trading day's closing. This change outpaced the S&P 500's 0.04% loss on the day. Elsewhere, the Dow lost 0.15%, while the tech-heavy Nasdaq added 0.12%.
The largest U.S. drugstore chain's stock has dropped by 15.76% in the past month, falling short of the Retail-Wholesale sector's gain of 0.37% and the S&P 500's gain of 4.15%.
Analysts and investors alike will be keeping a close eye on the performance of Walgreens Boots Alliance in its upcoming earnings disclosure. The company's earnings report is set to go public on June 27, 2024. The company is expected to report EPS of $0.68, down 32% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $35.96 billion, indicating a 1.55% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $3.21 per share and a revenue of $145.92 billion, indicating changes of -19.35% and +4.91%, respectively, from the former year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Walgreens Boots Alliance. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.41% lower. Walgreens Boots Alliance is currently a Zacks Rank #3 (Hold).
With respect to valuation, Walgreens Boots Alliance is currently being traded at a Forward P/E ratio of 4.81. This indicates a discount in contrast to its industry's Forward P/E of 7.61.
We can also see that WBA currently has a PEG ratio of 0.96. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Pharmacies and Drug Stores industry had an average PEG ratio of 0.77 as trading concluded yesterday.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 232, finds itself in the bottom 8% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Walgreens Boots Alliance, Inc. (WBA) : Free Stock Analysis Report
