Walgreens Boots Alliance (WBA) is gearing up for its fiscal fourth-quarter earnings report, due out before tomorrow’s open, in which analysts expect profits of 77 cents per share. WBA has pulled back for the majority of 2022, and four-straight weekly losses have pushed the shares back below the 20-day moving average after a brief period of trading above here. Now, Walgreens Boots Alliance stock sports a 37.6% year-to-date deficit.
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The options pits are pricing in a post-earnings swing of 9.4%, regardless of direction, which is larger than the 5.5% average move from the last two years. Of these last eight next-day sessions, four ended negative, including negative returns after its last three reports.
Analysts are weighing in on the equity ahead of the event, with Truist Securities cutting its price target to $38 from $42. Plus, Mizuho and UBS slashed their respective price objectives to $36 and $37 last Friday. Sentiment amongst the brokerage bunch is low, with all 15 in coverage recommending a “hold” or worse, while the consensus 12-month target price of $38.89 is a 19.2% premium to WBA’s current perch.
