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Walgreens Opens New Micro-Fulfillment Center in Brooklyn Park

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Walgreens Boots Alliance, Inc. (WBA - Free Report) recently opened a new micro-fulfillment center (“MFC”) in Brooklyn Park, MN. The facility will streamline prescription processing and reduce administrative tasks to help pharmacists focus more on delivering personalized care to their patients. 

The newly opened MFC is part of the company’s continued investment in innovative pharmacy solutions and is likely to bolster its U.S. Retail Pharmacy segment. 

About WBA’s MFC

The new facility in Brooklyn Park will support nearly 200 Walgreens stores across the Midwest, including 145 in Minnesota alone, and is expected to process approximately 13 million prescriptions each year. It will also bring more than 175 jobs to the area, as well as significant payroll tax revenues to the state and property tax revenues to the county. MFCs are a network of facilities using innovative, robotic technology in a central pharmacy environment to efficiently dispense and ship prescriptions to Walgreens locations nationwide.

Importance of WBA’s MFC

Walgreens’ network of 12 micro-fulfillment centers supports over 5,000 stores across the United States, fulfilling more than 3.5 million prescriptions weekly. These high-tech facilities have yielded a 24% year-over-year increase in shipped volumes, with approximately 16 million prescriptions filled each month, enhancing the in-store experience for both team members and customers. 

Approximately 40% of a store’s total prescription volume is managed by MFCs at locations serviced by these facilities. Walgreens implemented a recycling program across MFCs, which recycled 3.7 million pounds of cardboard, plastic and toner cartridges in fiscal 2024. 

 

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Industry Prospects Favor WBA

Per a report by Verified Market Research, the retail pharmacy market size is expected to reach $640 billion by 2033, growing at a compound annual rate of 3.5% from 2026 to 2033. The global retail pharmacy market is experiencing steady growth, driven by an aging population, increased prevalence of chronic diseases and a rising demand for accessible healthcare services.

Price Performance

Year to date, WBA’s shares have edged 19.8% compared with the industry’s growth of 18.3%. The S&P 500 composite has risen 0.2% in the same time frame. 

Zacks Rank and Key Picks

Walgreens currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader medical space are AngioDynamics (ANGO - Free Report) , STERIS (STE - Free Report) and DexCom (DXCM - Free Report) . 

AngioDynamics, carrying a Zacks Rank #1 (Strong Buy) at present, has an estimated earnings growth rate of 23.7% for 2025. You can see the complete list of today’s Zacks #1 Rank stocks here.

ANGO’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 70.85%. Veracyte’s shares have risen 49.2% in the past year compared with the industry’s 5.5% growth.

STERIS, carrying a Zacks Rank #2 (Buy) at present, has an estimated growth rate of 10.8% for 2025. 

STE’s earnings surpassed estimates in each of the trailing four quarters, delivering an average surprise of 0.61%. Its shares have risen 34.1% compared with the industry’s 7.7% growth in the past year. 

DexCom, carrying a Zacks Rank #2 at present, has an estimated earnings growth rate of 23.2% for 2025. Its earnings surpassed estimates in two of the trailing four quarters and missed in the other two, delivering an average surprise of 0.47%.

DXCM’s shares have risen 26.4% against the industry’s 15.7% decline in the past year. 

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