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Walgreens Boots Alliance (WBA) Rises But Trails Market: What Investors Should Know
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Walgreens Boots Alliance (WBA - Free Report) closed the most recent trading day at $20.76, moving +1.52% from the previous trading session. The stock lagged the S&P 500's daily gain of 1.56%. Elsewhere, the Dow saw an upswing of 1.15%, while the tech-heavy Nasdaq appreciated by 2.05%.
Shares of the largest U.S. drugstore chain have depreciated by 15.46% over the course of the past month, underperforming the Retail-Wholesale sector's gain of 4.01% and the S&P 500's gain of 0.38%.
The upcoming earnings release of Walgreens Boots Alliance will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.68, reflecting a 41.38% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $34.75 billion, indicating a 4.1% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.38 per share and revenue of $142.8 billion, indicating changes of -15.08% and +2.67%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Walgreens Boots Alliance. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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. Over the past month, the Zacks Consensus EPS estimate has moved 10.22% lower. Walgreens Boots Alliance currently has a Zacks Rank of #4 (Sell).
Looking at valuation, Walgreens Boots Alliance is presently trading at a Forward P/E ratio of 6.05. This indicates a discount in contrast to its industry's Forward P/E of 6.47.
We can also see that WBA currently has a PEG ratio of 1.21. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Retail - Pharmacies and Drug Stores industry had an average PEG ratio of 1.48.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 186, this industry ranks in the bottom 27% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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Walgreens Boots Alliance (WBA) Rises But Trails Market: What Investors Should Know
Walgreens Boots Alliance (WBA - Free Report) closed the most recent trading day at $20.76, moving +1.52% from the previous trading session. The stock lagged the S&P 500's daily gain of 1.56%. Elsewhere, the Dow saw an upswing of 1.15%, while the tech-heavy Nasdaq appreciated by 2.05%.
Shares of the largest U.S. drugstore chain have depreciated by 15.46% over the course of the past month, underperforming the Retail-Wholesale sector's gain of 4.01% and the S&P 500's gain of 0.38%.
The upcoming earnings release of Walgreens Boots Alliance will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.68, reflecting a 41.38% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $34.75 billion, indicating a 4.1% increase compared to the same quarter of the previous year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $3.38 per share and revenue of $142.8 billion, indicating changes of -15.08% and +2.67%, respectively, compared to the previous year.
Investors should also note any recent changes to analyst estimates for Walgreens Boots Alliance. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. 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. Over the past month, the Zacks Consensus EPS estimate has moved 10.22% lower. Walgreens Boots Alliance currently has a Zacks Rank of #4 (Sell).
Looking at valuation, Walgreens Boots Alliance is presently trading at a Forward P/E ratio of 6.05. This indicates a discount in contrast to its industry's Forward P/E of 6.47.
We can also see that WBA currently has a PEG ratio of 1.21. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Retail - Pharmacies and Drug Stores industry had an average PEG ratio of 1.48.
The Retail - Pharmacies and Drug Stores industry is part of the Retail-Wholesale sector. With its current Zacks Industry Rank of 186, this industry ranks in the bottom 27% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our individual 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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.