We recently compiled a list of the 10 Biggest Losers of This Week. In this article, we are going to take a look at where Walgreens Boots Alliance Inc. (NASDAQ:WBA) stands against the other stocks.
Wall Street’s main indices all finished in the green during a shortened trading session this week, yet 10 companies–mainly technology stocks– still booked significant losses in their valuations. Let’s take a look at the extent of each company’s losses and the potential factors that could have dampened investor sentiment.
To come up with the biggest losers this week, we considered only the stocks that have at least $2 billion in market capitalization and $5 million in daily trading volume.
A pharmacist discussing the health benefits of a prescription medication with a customer.
Walgreens Boots Alliance Inc. (NASDAQ:WBA)
Shares of Walgreens Boost Alliance (WBA) dipped by 3 percent in the first two trading days of the week, to end at $9.19 apiece from the $9.50 on Monday.
Earlier this week, the company was in the spotlight due to reports of a potential buyout, which came following a 65 percent decline in the company’s valuation over the past year and by 88 percent over the past decade.
The pharmaceutical giant earlier admitted that it made a wrong decision in acquiring a majority stake in VillageMD, a medical group that was looking to rapidly expand its footprint.
Expansion outside of Walgreens’s geographical footprint also turned out to be unprofitable, and its plans to use the service as a funnel to its pharmacies didn’t work out. The company also faced further setbacks after VillageMD defaulted on a $2.25 billion secured loan that Walgreens had provided to the company.
Overall WBA ranks 9th on our list of the biggest losers of this week. While we acknowledge the potential of WBA as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than WBA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.