Walgreens Boots Alliance has had its price target raised by UBS to $10 from $9. UBS maintains a Neutral rating on the shares after discussions with the company's management.
CEO Tim Wentworth expressed optimism, stating that Tuesday was his best day since assuming the role in late 2023, driven by a positive stock response and encouraging results. UBS notes that while there are signs of recovery in adjusted EPS and reported free cash flow, significant improvements may still be one to two years away.
UBS also highlights that potential sales of VillageMD and/or Summit/CityMD could serve as key catalysts to accelerate the turnaround in earnings per share and free cash flow.