A Glimpse Into The Expert Outlook On Walgreens Boots Alliance Through 14 Analysts

Across the recent three months, 14 analysts have shared their insights on Walgreens Boots Alliance WBA, expressing a variety of opinions spanning from bullish to bearish.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

In the assessment of 12-month price targets, analysts unveil insights for Walgreens Boots Alliance, presenting an average target of $14.0, a high estimate of $22.00, and a low estimate of $7.00. A 30.73% drop is evident in the current average compared to the previous average price target of $20.21.

Understanding Analyst Ratings: A Comprehensive Breakdown

The perception of Walgreens Boots Alliance by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Walgreens Boots Alliance. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Walgreens Boots Alliance compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of Walgreens Boots Alliance's stock. This comparison reveals trends in analysts' expectations over time.

Capture valuable insights into Walgreens Boots Alliance's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on Walgreens Boots Alliance analyst ratings.

All You Need to Know About Walgreens Boots Alliance

Walgreens Boots Alliance is one of the largest retail pharmacy chains in the US, with over 8,500 locations. Nearly three quarters of Americans live within five miles of a Walgreens location. Roughly two thirds of revenue is generated from prescription drug sales; Walgreens makes up 20% of total prescription revenue in the US. Walgreens also generates sales from retail products (general wellness consumables and its own branded merchandise), European drug wholesale, and healthcare. With more locations incorporating additional services like Health Corner and Village Medical, Walgreens creates an omnichannel experience for patients and positions itself as a one-stop healthcare provider.

Financial Insights: Walgreens Boots Alliance

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Over the 3 months period, Walgreens Boots Alliance showcased positive performance, achieving a revenue growth rate of 2.64% as of 31 May, 2024. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Consumer Staples sector.

Net Margin: Walgreens Boots Alliance's net margin falls below industry averages, indicating challenges in achieving strong profitability. With a net margin of 0.95%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Walgreens Boots Alliance's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of 2.54%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Walgreens Boots Alliance's ROA is below industry standards, pointing towards difficulties in efficiently utilizing assets. With an ROA of 0.41%, the company may encounter challenges in delivering satisfactory returns from its assets.

Debt Management: Walgreens Boots Alliance's debt-to-equity ratio is notably higher than the industry average. With a ratio of 2.4, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

Understanding the Relevance of Analyst Ratings

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

This article was generated by Benzinga's automated content engine and reviewed by an editor.