Jefferies Cuts Price Targets on Walgreen (WAG), Sees 'Subdued Performance' in 2012
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Price: $76.05 --0%
Rating Summary:
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Today's Overall Ratings:
Up: 6 | Down: 5 | New: 17
Rating Summary:
0 Buy, 0 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 6 | Down: 5 | New: 17
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Jefferies is maintaining its Hold rating on shares of Walgreen (NYSE: WAG), but is reducing its price target from $36 to $34 following the release of its first quarter results.
The company's first quarter results came in below expectations and management reported major "ongoing uncertainty" with the ESRX contract debate.
The firm is forecasting weak results for fiscal 2012 as the ESRX contract is set to expire on January 1st and based on the fact that sales growth is already showing signs of slowing.
Accounting for the Walgreen's last quarters performance and based on its new outlook on the company, Jefferies is lowering its Q2 and FY12 EPS estimates from $0.83 and $2.72 to $0.76 and $2.62. The firm is also cutting its FY13 EPS estimate from $3.00 to $2.95. FY12 and FY13 total sales are now forecasted to be $72.65 billion and $73.29 billion, which is down slightly from Jefferies previous estimates.
For an analyst ratings summary and ratings history on Walgreen click here. For more ratings news on Walgreen click here.
Shares of Walgreen closed at $33.92 yesterday.
The company's first quarter results came in below expectations and management reported major "ongoing uncertainty" with the ESRX contract debate.
The firm is forecasting weak results for fiscal 2012 as the ESRX contract is set to expire on January 1st and based on the fact that sales growth is already showing signs of slowing.
Accounting for the Walgreen's last quarters performance and based on its new outlook on the company, Jefferies is lowering its Q2 and FY12 EPS estimates from $0.83 and $2.72 to $0.76 and $2.62. The firm is also cutting its FY13 EPS estimate from $3.00 to $2.95. FY12 and FY13 total sales are now forecasted to be $72.65 billion and $73.29 billion, which is down slightly from Jefferies previous estimates.
For an analyst ratings summary and ratings history on Walgreen click here. For more ratings news on Walgreen click here.
Shares of Walgreen closed at $33.92 yesterday.
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