Walgreens Boots Alliance reported earnings this morning. They failed to meet expectations on earnings, revenue, and lowered guidance. The stock opened down about 13%
They reported adjusted earnings of $1.64 vs expectations of $1.72 per share. Revenue came in at $34.53 Billion vs. $34.56 expectations. WBA also lowered guidance from 7-12 % growth to flat.
WBA Earnings: Stock Valuation
The valuation is compelling in WBA. Even with the miss in earnings and revenue WBA is cheap. The current price of $56 gives a trailing P/E ratio of just over 10. This valuation is significantly below the market and below the normal P/E range of Walgreens Boots Alliance.
WBA Earnings Report Opinion
I believe that WBA below $60 provides a good value for long term investors. Technically, while WBA opened below support at $60 if it fails to hold below that level it becomes interesting and will be a stock to watch in the short term.