AI Predicts a Bearish Trend for Walgreens Boots Alliance: A Potential 4% Decline Ahead
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In the world of trading, the ability to predict market trends is invaluable. Our AI has identified a bearish trend for Walgreens Boots Alliance (WBA, $29.07), predicting a decline of 4% to $27.91 or more within the next month. Based on similar scenarios where the stock trended down during the month, the odds of a downtrend continuation are 72%.
Walgreens Boots Alliance operates within the drugstore chains industry, which includes stores that sell both prescription and non-prescription medicines, health, beauty, and personal care products. Many pharmacy retail chains have launched their own pharmacy benefits management services over time. Given that the demand for medical products is typically less sensitive to economic cycles, the drugstore retail chains industry can be largely considered as non-cyclical. Some of the biggest operators in this industry include CVS Health Corporation, Walgreens Boots Alliance Inc., and Rite Aid Corporation.
In terms of market capitalization, the average across the Drugstore Chains Industry is 3.04B, with a range from 3.29K to 24.72B. WBA holds the highest valuation in this group at 24.72B, while RLLVF is at the lower end with 3.29K.
Looking at price growth, the average weekly growth across all stocks in the Drugstore Chains Industry was 1%, with a monthly growth of 5%, and a quarterly decline of -3%. MEDS experienced the highest price growth at 94%, while RAD experienced the biggest fall at -24%.
In terms of volume, the average weekly volume growth across all stocks in the industry was 53%, with a monthly volume growth of 109% and a quarterly volume growth of 173%.
In conclusion, our AI's prediction of a bearish trend for Walgreens Boots Alliance underscores the power of AI in predicting market trends. As we continue to refine our AI algorithms, we look forward to sharing more insights and predictions with you. Stay tuned!
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WBA in -3.30% downward trend, declining for three consecutive days on September 22, 2023
Moving lower for three straight days is viewed as a bearish sign. Keep an eye on this stock for future declines. Considering data from situations where WBA declined for three days, in of 313 cases, the price declined further within the following month. The odds of a continued downward trend are .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Aroon Indicator for WBA entered a downward trend on September 20, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Indicator shows that the ticker has stayed in the oversold zone for 5 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an Uptrend is expected.
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 1 day, which means it's wise to expect a price bounce in the near future.
The Moving Average Convergence Divergence (MACD) for WBA just turned positive on September 18, 2023. Looking at past instances where WBA's MACD turned positive, the stock continued to rise in of 44 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where WBA advanced for three days, in of 306 cases, the price rose further within the following month. The odds of a continued upward trend are .
WBA may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.866) is normal, around the industry mean (10.540). P/E Ratio (7.485) is within average values for comparable stocks, (143.765). WBA has a moderately high Dividend Yield (0.091) as compared to the industry average of (0.037). P/S Ratio (0.134) is also within normal values, averaging (0.951).
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. WBA’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. WBA’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 93, placing this stock worse than average.
Notable companies
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a provider of drug store services
Industry DrugstoreChains
WBA and
Correlation & Price change
A.I.dvisor indicates that over the last year, WBA has been loosely correlated with RAD. These tickers have moved in lockstep 47% of the time. This A.I.-generated data suggests there is some statistical probability that if WBA jumps, then RAD could also see price increases.
| Ticker / NAME | Correlation To WBA | 1D Price Change % | ||
|---|---|---|---|---|
| WBA | 100% | -1.54% | ||
| RAD - WBA | 47% Loosely correlated | -6.54% | ||
| PETS - WBA | 30% Poorly correlated | -1.35% | ||
| MDVL - WBA | 24% Poorly correlated | +4.34% | ||
| LFMD - WBA | 22% Poorly correlated | N/A | ||
| HITI - WBA | 21% Poorly correlated | +5.88% | ||
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