Walgreens Boots Alliance Inc. (NASDAQ: WBA) stock fell -0.33% on Friday to $33.32 against a previous-day closing price of $33.43. With 4.9 million shares changed hands, the volume of the stock remained lighter than its average volume of 6.87 million shares. During the session, the Pharmaceutical Retailers company that operates in wider Healthcare sector, reached to the highest price of $33.53 whereas the lowest price it dropped to was $32.93. The 52-week range on WBA shows that it touched its highest point at $55.00 and its lowest point at $33.43 during that stretch. It currently has a 1-year price target of $41.75. With its current market cap of 28.76 billion, WBA has annualized dividend of $1.92 while the current yield stands at 5.76%. Beta for the stock currently stands at 0.62.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of WBA was down-trending over the past week, with a drop of -2.66%, but this was down by -11.00% over a month. Three-month performance dropped to -18.51% while six-month performance fell -28.71%. The stock lost -30.60% in the past year, while it has lost -36.12% so far this year. A look at the trailing 12-month EPS for WBA yields 5.89 with Next year EPS estimates of 4.66. For the next quarter, that number is 0.77. This implies an EPS growth rate of 2.00% for this year and -7.06% for next year. EPS is expected to grow by 0.88% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of -9.70%.
Float and Shares Shorts:
At present, 864.00 million WBA shares are outstanding with a float of 714.61 million shares on hand for trading. On Jul 14, 2022, short shares totaled 27.27 million, which was 3.16% higher than short shares on Jun 14, 2022. In addition to Mr. Stefano Pessina as the firm’s Exec. Chairman, Ms. Rosalind Gates Brewer serves as its CEO & Director.
Through their ownership of 59.94% of WBA’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 34.11% of WBA, in contrast to 33.95% held by mutual funds. Shares owned by individuals account for 25.61%. As the largest shareholder in WBA with 6.80% of the stake, The Vanguard Group, Inc. holds 58,739,534 shares worth 58,739,534. A second-largest stockholder of WBA, SSgA Funds Management, Inc., holds 50,278,504 shares, controlling over 5.82% of the firm’s shares. BlackRock Fund Advisors is the third largest shareholder in WBA, holding 39,086,144 shares or 4.52% stake. With a 2.52% stake in WBA, the Vanguard Total Stock Market Index is the largest stakeholder. A total of 21,732,265 shares are owned by the mutual fund manager. The Vanguard 500 Index Fund, which owns about 1.85% of WBA stock, is the second-largest Mutual Fund holder. It holds 16,002,044 shares valued at 561.03 million. Invesco QQQ Trust holds 1.44% of the stake in WBA, owning 12,438,955 shares worth 436.11 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for WBA since 20 analysts follow the stock currently. There are 0 analysts who recommend BUY ratings, while 2 suggest SELL ratings. Of the remaining analysts, 16 believe that the stock is worth HOLDING, 1 give it an OVERWEIGHT rating, and 1 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With WBA analysts setting a high price target of $49.00 and a low target of $35.00, the average target price over the next 12 months is $41.66. Based on these targets, WBA could surge 47.06% to reach the target high and rise by 5.04% to reach the target low. Reaching the average price target will result in a growth of 25.03% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. WBA will report FY 2022 earnings on 10/12/2023. Analysts have provided yearly estimates in a range of $5.06 being high and $4.97 being low. For WBA, this leads to a yearly average estimate of $5.01. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Walgreens Boots Alliance Inc. surprised analysts by $0.04 when it reported $0.96 EPS against a consensus estimate of $0.92. The surprise factor in the prior quarter was $0.20. Based on analyst estimates, the high estimate for the next quarter is $0.82 and the low estimate is $0.74. The average estimate for the next quarter is thus $0.77.
Dividends & Yield:
In terms of dividends, WBA has a current ratio of $1.92, which is $1.92 over the trailing 12-months, while a dividend of $1.77 is likely to be paid on average over the next five years. Dividend yield is another indicator that appeals to many investors, and WBA currently yields $5.74. In the past year, WBA’s dividend yield has been $5.74, but when looking at the stock over the past five years, its yield has been $3.47. Accordingly, WBA has a current buyback yield of $0.65. This was $0.65 for the TTM, and it was $5.82 for the past five years.
Summary of Insider Activity:
Insiders traded WBA stock several times over the past three months with 0 Buys and 0 Sells. In these transactions, 0 shares were bought while 0 shares were sold. The number of buy transactions has increased to 15 while that of sell transactions has risen to 15 over the past year. The total number of shares bought during that period was 627,607 while 162,807 shares were sold.