Why Walgreen Is Poised to Keep Rallying
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, drugstore giant Walgreen has earned a respected four-star ranking.
With that in mind, let's take a closer look at Walgreen and see what CAPS investors are saying about the stock right now.
Walgreen facts
Headquarters (founded) | Deerfield, Ill. (1901) |
Market Cap | $37.1 billion |
Industry | Drug retail |
Trailing-12-Month Revenue | $70.8 billion |
Management | CEO Gregory Wasson (since 2009) |
Return on Equity | 15.2% |
Cash/Debt | $1.9 billion / $6.4 billion |
Dividend Yield | 2.8% |
Competitors | CVS Caremark Rite Aid Wal-Mart Stores |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 94% of the 2,241 members who have rated Walgreen believe the stock will outperform the S&P 500 going forward.
Just yesterday, one of those Fools, All-Star PsychoDr, succinctly summed up the bull case for our community:
[Walgreen] is poised to continue to grow due to aging population and expansive growth in health care fields. This area cannot be overlooked and the huge players in the arena are the way to go. Some are bearish about the acquisition of the foreign pharmacy unit they have recently jumped into bed with, not me. International growth without having to break into the market. [Walgreen] has done a great job integrating purchases, why would this change now. The recent problems with the pharmacy benefits partner are clearing up but the improvement in this relationship has not been reflected into the price yet. Top it off with a 2.8% [dividend yield] and this one will help me grow old comfortably.
If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Walgreen may not be your top choice.
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Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.
The article Why Walgreen Is Poised to Keep Rallying originally appeared on Fool.com.
Fool contributor Brian Pacampara has no position in any stocks mentioned, and neither does The Motley Fool. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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