Morgan Stanley lowers Walgreens price target to $45 ahead of earnings » 07:0407/0207/02/20
Morgan Stanley analyst…
Morgan Stanley analyst Ricky Goldwasser lowered the firm's price target on Walgreens Boots Alliance to $45 from $49 and keeps an Equal Weight rating on the shares ahead of the company's upcoming earnings report next week. She predicts EPS of $1.16, which is modestly below the consensus forecast of $1.19. Goldwasser thinks commentary on the company's ability to manage costs, especially considering tightening of generic pricing, will be key to sentiment. She also will look for updated thoughts about store footprint and hopes to get a better understanding of the second phase of the company's transformation plan, Goldwasser tells investors in her earnings preview note.
Option Care Health should be bought on S-3 filing dip, says Lake Street » 09:0706/2906/29/20
Lake Street analyst…
Lake Street analyst Brooks O'Neil noted that Option Care Health (OPCH) filed a Form S-3 after the close on Friday that contains a mixed shelf registration for $500M and seeks to register the 144M shares held by Madison Dearborn and Walgreens (WBA). O'Neil, who contends that "no one paying attention should be surprised by this," believe this filing is net positive for investors and should some elect to sell out of fear he would be a buyer on the dip. He thinks it is likely Option Care can refinance debt at a lower rate and that it might be possible to sell new equity to repay debt, strengthen the balance sheet and reduce interest expense going forward, O'Neil added.
|Over a week ago|
Walgreens Boots Alliance to resume immunization services » 08:0406/2206/22/20
Walgreens announced the…
Walgreens announced the company is resuming immunization services with additional safety measures in place for pharmacy team members and patients. The changes follow recently updated Centers for Disease Control and Prevention, or CDC, guidelines and come ahead of flu season, which health officials warn may coincide with a second wave of COVID-19. At the height of shelter-in-place orders across the country, Walgreens continued to provide only essential immunizations where the benefit outweighed the risk, and followed CDC guidelines to postpone all non-urgent, routine immunizations. Pharmacy areas maintain enhanced cleaning regimens, social distancing protocols and plexiglass shields at registers. All pharmacy team members are required to wear disposable facemasks at all times, including while administering immunizations, and follow proper glove and handwashing procedures that are standard for vaccination administration. As an additional safety measure, all pharmacy team members administering immunizations are receiving plastic face shields to be used during immunizations for eye protection. Patients entering a pharmacy are encouraged to wear a face covering to protect others and those who do not have one will be provided a facemask prior to receiving immunizations. At least six feet of distance is maintained between pharmacy waiting area chairs where patients may choose to complete paperwork and wait for their immunization or appointment.
West Virginia Attorney General files lawsuits against Rite Aid, Walgreens » 13:2306/0406/04/20
West Virginia Attorney…
West Virginia Attorney General Patrick Morrisey filed lawsuits against Rite Aid (RAD) and Walgreens (WBA) "alleging the two opioid distributors reaped billions of dollars in revenues, while their conduct caused immense harm to West Virginia and its citizens." The lawsuits allege Rite Aid and Walgreens "supplied far more opioids to their retail pharmacies than necessary to meet a legitimate market, and not even that was enough as the retail pharmacies ordered additional pills from other distributors to fulfill demand." The Attorney General contends Rite Aid and Walgreens "each knew its obligation to halt suspicious orders to its retail pharmacies, but failed to monitor for and report such activity." Reference Link
Walgreens Boots Alliance price target lowered to $48 from $53 at Mizuho » 06:4706/0406/04/20
Mizuho analyst Ann Hynes…
Mizuho analyst Ann Hynes lowered the firm's price target on Walgreens Boots Alliance to $48 from $53 and keeps a Neutral rating on the shares. The analyst sees limited earnings visibility. Based on weekly prescription data, mail order continues to outperform retail and as a result, earnings visibility is low for Walgreens in the intermediate term, Hynes tells investors in a research note. The analyst believes the shares will trade towards low historical averages.
|Over a month ago|
Walgreens Boots Alliance price target lowered to $48 from $54 at Cowen » 07:4105/1905/19/20
Cowen analyst Charles…
Cowen analyst Charles Ryhee lowered the firm's price target on Walgreens Boots Alliance to $48 from $54 and keeps a Market Perform rating on the shares. The analyst said the shares look oversold in the near-term and could see a reversal but he remains neutral on the long-term strategy.
Walgreens reviewing global advertising account, AdWeek reports » 15:1305/1205/12/20
CVS, IPG, WPP, WBA
Walgreens (WBA) is…
Walgreens (WBA) is reviewing its global advertising account, AdWeek's Erik Oster reports. The global creative and media review includes all of its brands and follows the conclusion of the company's three-year contract with WPP (WPP), the author notes, adding that the latter is defending in the review process, which is being handled by MediaLink, according to sources. Discussions around the review dated back to before the impact of the coronavirus pandemic, and other major holding companies are also participating in the process, with the exception of IPG (IPG), which works with competitor CVS (CVS), according to a source familiar with the matter. Reference Link
Walgreens says most U.S. stores to resume standard operating hours today » 11:0905/0505/05/20
Walgreens announced that,…
Walgreens announced that, beginning today, most Walgreens stores nationwide throughout the United States will resume standard operating hours. "The company continues to evaluate and adjust certain operations and offerings to meet the needs of its customers during the pandemic. Certain stores, specifically those located in tourist regions, downtown city centers, or markets with government-mandated curfews, will continue operating under the adjusted hours implemented in March. California stores will resume standard operating hours beginning May 18 due to local regulations. Customers can visit the store locator for specific Walgreens store and pharmacy hours. Ongoing cleaning and sanitizing will also continue to take place during operating hours. Walgreens continues to institute safety measures for employees and customers inside stores, including enhanced cleaning regimens, social distancing protocols, plexiglass shields, hygiene guidance, face covers, and providing wipes at the front of stores to clean shopping carts and baskets," the company noted.
Walgreens shares likely react positively to Amerisource report, says Guggenheim » 08:5905/0505/05/20
After Reuters suggested…
After Reuters suggested that AmerisourceBergen (ABC) has approached Walgreens Boots Alliance (WBA) to explore a deal for its pharmaceutical wholesaling unit, Guggenheim analyst Glen Santangelo said he believes this will be viewed by investors as a positive for Walgreens. The potential of this transaction will be viewed as a surprise to investors and would suggest the company is serious about a broad restructuring and a possible leveraged buyout, Santangelo contends. Such a deal would make the previous talk of an LBO appear more possible as the company would be shrinking in both size and balance sheet leverage, the analyst noted. Meanwhile, he believes the potential transaction would be viewed "somewhat more cautiously, at least initially," by AmerisourceBergen shareholders given the longer-term strategic questions related to moving into the historically challenging European market. Santangelo has a Buy rating on AmerisourceBergen shares and a Neutral rating on Walgreens.
Walgreens Boots Alliance is up 2% after Reuters report of interest in unit » 17:4705/0405/04/20
Walgreens Boots Alliance…
Walgreens Boots Alliance (WBA) is up 2% after Reuters report of AmerisourceBergen (ABC) interest in its drug distribution unit.